Inflation Adjustment of Ordinary Maximum Civil Monetary Penalty for a Violation of a Federal Railroad Safety Law or Federal Railroad Administration Safety Regulation, 51194-51199 [E7-17170]
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51194
Federal Register / Vol. 72, No. 172 / Thursday, September 6, 2007 / Rules and Regulations
B. Regulatory Flexibility Act
DEPARTMENT OF DEFENSE
Defense Acquisition Regulations
System
48 CFR Part 252
RIN 0750–AF58
Defense Federal Acquisition
Regulation Supplement; Taxpayer
Identification Numbers (DFARS Case
2006–D037)
Defense Acquisition
Regulations System, Department of
Defense (DoD).
ACTION: Final rule.
AGENCY:
C. Paperwork Reduction Act
DoD has issued a final rule
amending the Defense Federal
Acquisition Regulation Supplement
(DFARS) to address requirements for
validation of Taxpayer Identification
Numbers as part of the Central
Contractor Registration process. The
DFARS changes are consistent with
changes made to the Federal
Acquisition Regulation.
EFFECTIVE DATE: September 6, 2007.
FOR FURTHER INFORMATION CONTACT: Ms.
Felisha Hitt, Defense Acquisition
Regulations System, OUSD (AT&L)
DPAP (DARS), IMD 3D139, 3062
Defense Pentagon, Washington, DC
20301–3062. Telephone (703) 602–0310;
facsimile (703) 602–7887. Please cite
DFARS Case 2006–D037.
SUPPLEMENTARY INFORMATION:
SUMMARY:
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A. Background
DFARS 252.204–7004 contains a
substitute paragraph for use with the
clause at FAR 52.204–7, Central
Contractor Registration, to address DoDunique requirements relating to
contractor registration in the Central
Contractor Registration (CCR) database.
This final rule amends DFARS 252.204–
7004 for consistency with changes made
to FAR 52.204–7 in Item I of Federal
Acquisition Circular 2005–10,
published at 71 FR 36923 on June 28,
2006. The changes address requirements
for the Government to validate a
contractor’s Taxpayer Identification
Number, and for the contractor to
consent to this validation, as part of the
CCR registration process.
DoD published a proposed rule at 71
FR 2645 on January 22, 2007. DoD
received no comments on the proposed
rule. Therefore, DoD has adopted the
proposed rule as a final rule without
change.
This rule was not subject to Office of
Management and Budget review under
Executive Order 12866, dated
September 30, 1993.
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DoD certifies that this final rule will
not have a significant economic impact
on a substantial number of small entities
within the meaning of the Regulatory
Flexibility Act, 5 U.S.C. 601, et seq.,
because the rule relates to an
administrative requirement for TIN
validation, which is performed by the
Government. Contractors need only
provide consent for TIN validation as
part of the CCR registration process.
The Paperwork Reduction Act does
not apply, because the rule does not
impose any information collection
requirements that require the approval
of the Office of Management and Budget
under 44 U.S.C. 3501, et seq.
List of Subjects in 48 CFR Part 252
Government procurement.
Michele P. Peterson,
Editor, Defense Acquisition Regulations
System.
Therefore, 48 CFR part 252 is
amended as follows:
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PART 252—SOLICITATION
PROVISIONS AND CONTRACT
CLAUSES
1. The authority citation for 48 CFR
part 252 continues to read as follows:
I
Authority: 41 U.S.C. 421 and 48 CFR
Chapter 1.
2. Section 252.204–7004 is amended
as follows:
I a. By revising the section heading,
clause title, and clause date; and
I b. In paragraph (a), by revising the
definition of ‘‘Registered in the CCR
database’’ to read as follows:
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252.204–7004 Alternate A, Central
Contractor Registration.
ALTERNATE A, CENTRAL
CONTRACTOR REGISTRATION (SEP
2007)
*
*
*
*
*
(a) * * *
‘‘Registered in the CCR database’’
means that—
(1) The Contractor has entered all
mandatory information, including the
DUNS number or the DUNS+4 number,
into the CCR database;
(2) The Contractor’s CAGE code is in
the CCR database; and
(3) The Government has validated all
mandatory data fields, to include
validation of the Taxpayer Identification
Number (TIN) with the Internal Revenue
Service, and has marked the records
‘‘Active.’’ The Contractor will be
required to provide consent for TIN
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validation to the Government as part of
the CCR registration process.
[FR Doc. E7–17433 Filed 9–5–07; 8:45 am]
BILLING CODE 5001–08–P
DEPARTMENT OF TRANSPORTATION
Federal Railroad Administration
49 CFR Parts 209, 213, 214, 215, 216,
217, 218, 219, 220, 221, 222, 223, 224,
225, 228, 229, 230, 231, 232, 233, 234,
235, 236, 238, 239, 240, 241, and 244
[Docket No. FRA–2004–17529; Notice No.
5]
RIN 2130–AB66
Inflation Adjustment of Ordinary
Maximum Civil Monetary Penalty for a
Violation of a Federal Railroad Safety
Law or Federal Railroad Administration
Safety Regulation
Federal Railroad
Administration (FRA), Department of
Transportation (DOT).
ACTION: Final rule.
AGENCY:
SUMMARY: To comply with the Federal
Civil Penalties Inflation Adjustment Act
of 1990, FRA is adjusting the ordinary
maximum penalty that it will apply
when assessing a civil penalty for a
violation of railroad safety statutes and
regulations under its authority. In
particular, FRA is increasing the
ordinary maximum civil penalty from
$11,000 to $16,000.
EFFECTIVE DATE: October 9, 2007.
FOR FURTHER INFORMATION CONTACT:
Sarah Grimmer, Trial Attorney, Office of
Chief Counsel, FRA, 1120 Vermont
Avenue, NW., Mail Stop 10,
Washington, DC 20590 (telephone 202–
493–6390), sarah.grimmer@dot.gov.
SUPPLEMENTARY INFORMATION: The
Federal Civil Penalties Inflation
Adjustment Act of 1990 (Inflation Act)
requires that an agency adjust by
regulation each maximum civil
monetary penalty (CMP), or range of
minimum and maximum CMPs, within
that agency’s jurisdiction by October 23,
1996 and adjust those penalty amounts
once every four years thereafter to
reflect inflation. Public Law 101–410,
104 Stat. 890, 28 U.S.C. 2461, note, as
amended by Section 31001(s)(1) of the
Debt Collection Improvement Act of
1996, Public Law 104–134, 110 Stat.
1321–373, April 26, 1996. Congress
recognized the important role that CMPs
play in deterring violations of Federal
law and regulations and realized that
inflation has diminished the impact of
these penalties. In the Inflation Act,
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Congress found a way to counter the
effect that inflation has had on the
CMPs by having the agencies charged
with enforcement responsibility
administratively adjust the CMPs.
Calculation of the Adjustment
Under the Inflation Act, the inflation
adjustment is to be calculated by
increasing the maximum CMP, or the
range of minimum and maximum CMPs,
by the percentage that the Consumer
Price Index (CPI) for the month of June
of the calendar year preceding the
adjustment (here, June 2006) exceeds
the CPI for the month of June of the last
calendar year in which the amount of
such penalty was last set or adjusted
(here, June 1998 for the ordinary
maximum). The Inflation Act also
specifies that the amount of the
adjustment must be rounded to the
nearest multiple of $100 for a penalty
between $100 and $1,000, or to the
nearest multiple of $5,000 for a penalty
of more than $10,000 and less than or
equal to $100,000. The first adjustment
may not exceed an increase of ten
percent. FRA utilized Bureau of Labor
Statistics data to calculate adjusted CMP
amounts.
FRA is authorized as the delegate of
the Secretary of Transportation to
enforce the Federal railroad safety
statutes and regulations, including the
civil penalty provisions at 49 U.S.C. ch.
213. 49 CFR 1.49; 49 U.S.C. ch. 201–
213. FRA currently has 28 regulations
that contain provisions that reference its
authority to impose civil penalties if a
person violates any requirement in the
pertinent portion of a statute or the
Code of Federal Regulations. In this
final rule, FRA is amending each of
those separate regulatory provisions and
the corresponding footnotes in each
Schedule of Civil Penalties to raise the
ordinary maximum CMP to $16,000.
With the exception of the penalties
relating to the hours of service laws (49
U.S.C. ch. 211), the ordinary maximum
CMP for a violation of the rail safety
laws and regulations was established by
the Rail Safety Improvement Act of
1988, which set a $10,000 limit for a
CMP imposed for any ordinary
violation, and a $20,000 limit for a
grossly negligent violation or a pattern
of repeated violations that has created
an imminent hazard of death or injury
or caused death or injury (aggravated
violations). In 1998, after applying the
adjustment calculation in the Inflation
Act, FRA determined that the ordinary
maximum CMP for any single violation
needed to be increased to $11,000 and
that the maximum CMP for aggravated
violations needed to be increased to
$22,000. FRA amended each of its
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regulations by final rule to reflect the
increased CMPs. 63 FR 11618.
The Rail Safety Enforcement and
Review Act (RSERA) in 1992 increased
the range of the minimum and
maximum civil penalties for a violation
of the hours of service laws, making
these minimum and maximum penalty
amounts uniform with those of FRA’s
other regulatory provisions. Before
enactment of RSERA, the penalty was
‘‘up to $1,000 per violation.’’ RSERA
increased the minimum civil penalty for
an hours of service violation to $500,
the ordinary maximum civil penalty to
$10,000, and the aggravated maximum
to $20,000. By applying the same
adjustment calculation using the 1992
CPI, the ordinary and aggravated
maximum penalties for violations of the
hours of service laws were raised to
equal those of the other rail safety laws
and regulations: $11,000 and $22,000. In
1998, FRA had applied the adjustment
calculation in the Inflation Act to the
minimum CMP and had determined that
it would not need to be increased. In
2004, FRA by applying the adjustment
calculation using the June 2003 CPI
determined that the minimum CMP
should be increased from $500 to $550.
FRA also determined in 2004 under the
same rationale that the aggravated
maximum CMP should be increased
from $22,000 to $27,000. 69 FR 30592.
Calculations To Determine Civil
Monetary Penalty Updates for 2007
1. Minimum CMP
As required, this year, FRA
reevaluated the minimum CMP and
concluded that it should remain at $550,
as the next calculations show. The June
2006 CPI of 607.8 divided by the CPI for
June 2004 of 568.2 (since the last update
was in 2004) equals an inflation factor
of 1.06969; $550 times 1.06969 equals
$588. The raw inflation adjustment
amount of $38 is rounded to the nearest
multiple of 100, or zero. The inflationadjusted minimum penalty is $550 plus
zero, or $550. See appendix.
2. Aggravated Maximum CMP
FRA also reevaluated the CMP for an
aggravated violation and determined
that it should remain at $27,000, as the
following calculations show. The June
2006 CPI of 607.8 divided by the CPI for
June 2004 of 568.2 (since the last update
was in 2004) equals an inflation factor
of 1.06969; $27,000 times 1.06969
equals $28,882. The raw inflation
adjustment amount of $1,882 is rounded
to the nearest multiple of $5,000, which
is zero. The rounded raw inflation
adjustment amount is zero. The
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inflation-adjusted aggravated maximum
penalty remains $27,000.
3. Ordinary Maximum CMP
Applying the adjustment calculation
using the June 2006 CPI, FRA has
determined that the ordinary maximum
CMP should be increased from $11,000
to $16,000, as the next calculations
show.
The June 2006 CPI of 607.8 divided by
the June 1998 CPI of 488.2 (since the
last update was in 1998) equals an
inflation factor of 1.24498; $11,000
times 1.24498 equals $13,695, or a raw
inflation adjustment amount of $2,695,
which is rounded up to the nearest
multiple of $5,000, which is $5,000.
Therefore, the ordinary maximum CMP
should be increased by $5,000, or to
$16,000. Because this is the second time
that the ordinary maximum CMP has
been adjusted under the Act, the tenpercent cap on the increase does not
apply. This new FRA ordinary
maximum penalty will apply to
violations that occur on or after October
9, 2007.
Public Participation
FRA is proceeding to a final rule
without providing a notice of proposed
rulemaking or an opportunity for public
comment. The adjustments required by
the Act are ministerial acts over which
FRA has no discretion, making public
comment unnecessary. FRA is issuing
these amendments as a final rule
applicable to all future rail safety civil
penalty cases under its authority.
Regulatory Impact
A. Executive Order 12866 and DOT
Regulatory Policies and Procedures
This rule has been evaluated in
accordance with existing policies and
procedures. It is not considered a
significant regulatory action under
section 3(f) of Executive Order 12866
and, therefore, was not reviewed by the
Office of Management and Budget. This
rule is not significant under the
Regulatory Policies and Procedures of
the Department of Transportation (44 FR
11034) because it is limited to a
ministerial act on which the agency has
no discretion. The economic impact of
the final rule is minimal to the extent
that preparation of a regulatory
evaluation is not warranted.
B. Regulatory Flexibility Determination
FRA certifies that this final rule will
not have a significant economic impact
on a substantial number of small
entities. Although this rule will apply to
railroads and others that are considered
small entities, there is no economic
impact on any person who complies
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Federal Register / Vol. 72, No. 172 / Thursday, September 6, 2007 / Rules and Regulations
with the Federal railroad safety laws
and the regulations and orders issued
under those laws.
‘‘$11,000’’ and adding in its place the
numerical amount ‘‘$16,000’’.
Appendix A to Part 209—[Amended]
C. Federalism
This final rule will not have a
substantial effect on the States, on the
relationship between the national
government and the States, or the
distribution of power and
responsibilities among the various
levels of government. Thus, in
accordance with Executive Order 13132,
preparation of a Federalism assessment
is not warranted.
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§ 218.9
6. The authority citation for part 214
continues to read as follows:
Authority: 49 U.S.C. 20103, 20107; 28
U.S.C. 2461, note; and 49 CFR 1.49.
16. Section 218.9 is amended by
removing the numerical amount
‘‘$11,000’’ and adding in its place the
numerical amount ‘‘$16,000’’.
§ 214.5
Appendix A to Part 218
[Amended]
7. Section 214.5 is amended by
removing the numerical amount
‘‘$11,000’’ and adding in its place the
numerical amount ‘‘$16,000’’.
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PART 215—[AMENDED]
Authority: 49 U.S.C. 20103, 20107; 28
U.S.C. 2461, note; and 49 CFR 1.49.
§ 215.7
PART 209—[AMENDED]
1. The authority citation for part 209
continues to read as follows:
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15. The authority citation for part 218
continues to read as follows:
Authority: 49 U.S.C. 20103, 20107; 28
U.S.C. 2461, note; and 49 CFR 1.49.
[Amended]
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[Amended]
17. Footnote 1 of Appendix A to Part
218 is amended by removing the
numerical amount ‘‘$22,000’’ and
adding in its place the numerical
amount ‘‘$27,000’’.
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PART 219—[AMENDED]
8. The authority citation for part 215
continues to read as follows:
In consideration of the foregoing,
parts 209, 213, 214, 215, 216, 217, 218,
219, 220, 221, 222, 223, 224, 225, 228,
229, 230, 231, 232, 233, 234, 235, 236,
238, 239, 240, 241, and 244, of subtitle
B, chapter II of title 49 of the Code of
Federal Regulations are amended as
follows:
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PART 218—[AMENDED]
[Amended]
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[Amended]
9. Section 215.7 is amended by
removing the numerical amount
‘‘$11,000’’ and adding in its place the
numerical amount ‘‘$16,000’’.
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Appendix B to Part 215—[Amended]
10. Footnote 1 of Appendix B to Part
215—Schedule of Civil Penalties, is
amended by removing the numerical
amount ‘‘$10,000’’ and adding in its
place the numerical amount ‘‘16,000’’.
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18. The authority citation for part 219
continues to read as follows:
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Authority: 49 U.S.C. 20103, 20107, 20140,
21301, 21304, 21311; 28 U.S.C. 2461, note;
and 49 CFR 1.49(m).
§ 219.9
[Amended]
19. Paragraph (a) of § 219.9 is
amended by removing the numerical
amount ‘‘$11,000’’ and adding in its
place the numerical amount ‘‘$16,000’’.
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PART 220—[AMENDED]
20. The authority citation for part 220
continues to read as follows:
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PART 216—[AMENDED]
Authority: 49 U.S.C. 20102–20103, 20107,
21301–21302, 21304, 21311; 28 U.S.C. 2461,
note; and 49 CFR 1.49.
I
11. The authority citation for part 216
continues to read as follows:
§ 220.7
Authority: 49 U.S.C. 20102–20104, 20107,
20111, 20133, 20701–20702, 21301–21302,
21304; 28 U.S.C. 2461, note; and 49 CFR
1.49.
Authority: 49 U.S.C. 20103, 20107, 20111,
20112, 20114; 28 U.S.C. 2461, note; and 49
CFR 1.49.
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[Amended]
14. Section 217.5 is amended by
removing the numerical amount
‘‘$11,000’’ and adding in its place the
numerical amount ‘‘$16,000’’.
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The Final Rule
18:26 Sep 05, 2007
Authority: 49 U.S.C. 20103, 20107; 28
U.S.C. 2461, note; and 49 CFR 1.49.
PART 214—[AMENDED]
List of Subjects in 49 CFR Parts 209,
213, 214, 215, 216, 217, 218, 219, 220,
221, 222, 223, 224, 225, 228, 229, 230,
231, 232, 233, 234, 235, 236, 238, 239,
240, 241, and 244
Railroad safety, Penalties.
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13. The authority citation for part 217
continues to read as follows:
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5. Paragraph (a) of § 213.15 is
amended by removing the numerical
amount ‘‘$11,000’’ and adding in its
place the numerical amount ‘‘$16,000’’.
G. Energy Impact
According to definitions set forth in
Executive Order 13211, there will be no
significant energy action as a result of
the issuance of this final rule.
2. Section 209.409 is amended by
removing the numerical amount
PART 217—[AMENDED]
§ 217.5
4. The authority citation for part 213
continues to read as follows:
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F. Environmental Assessment
There are no significant
environmental impacts associated with
this final rule.
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12. Section 216.7 is amended by
removing the numerical amount
‘‘$11,000’’ and adding in its place the
numerical amount ‘‘$16,000’’.
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§ 213.15
E. Compliance With the Unfunded
Mandates Reform Act of 1995
The final rule issued today will not
result in the expenditure, in the
aggregate, of $128,100,000 or more in
any one year by State, local, or Indian
Tribal governments, or the private
sector, and thus preparation of a
statement is not required.
[Amended]
PART 213—[AMENDED]
[Amended]
Authority: 49 U.S.C. 20102–20114 and
20142; 28 U.S.C. 2461, note; and 49 CFR
1.49(m).
D. Paperwork Reduction Act
There are no new information
collection requirements in this final
rule.
§ 209.409
3. Appendix A to part 209 is amended
by removing the numerical amount
‘‘$11,000’’ in the third paragraph below
the heading ‘‘Penalty Schedules;
Assessment of Maximum Penalties,’’
and replacing it with the numerical
amount ‘‘$16,000’’.
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§ 216.7
21. Section 220.7 is amended by
removing the numerical amount
‘‘$11,000’’ and adding in its place the
numerical amount ‘‘$16,000’’.
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[Amended]
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PART 221—[AMENDED]
PART 228—[AMENDED]
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22. The authority citation for part 221
continues to read as follows:
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Authority: 49 U.S.C. 20103, 20107; 28
U.S.C. 2461, note; and 49 CFR 1.49.
Authority: 49 U.S.C. 20103, 20107, 21101–
21108; 28 U.S.C. 2461, note and 49 CFR 1.49.
§ 221.7
§ 228.21
[Amended]
23. Section 221.7 is amended by
removing the numerical amount
‘‘$11,000’’ and adding in its place the
numerical amount ‘‘$16,000’’.
PART 222—[AMENDED]
24. The authority citation for part 222
continues to read as follows:
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Authority: 49 U.S.C. 20103, 20107, 20153,
21301, 21304; 28 U.S.C. 2461, note; and 49
CFR 1.49.
[Amended]
25. Section 222.11 is amended by
removing the numerical amount
‘‘$11,000’’ and adding in its place the
numerical amount ‘‘$16,000’’.
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PART 223—[AMENDED]
26. The authority citation for part 223
continues to read as follows:
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Appendix A to Part 228—Requirements
of the Hours of Service Act: Statement
of Agency Policy and Interpretation
I 34. In appendix A to part 228, the
ninth paragraph below the heading
‘‘General Provisions,’’ which is entitled
‘‘Penalty’’ is amended by adding the
following at the end of the paragraph:
*
*
*
*
*
Penalty. * * * Effective October 9,
2007, the ordinary maximum penalty of
$11,000 was raised to $16,000 as
required under the law; however, the
minimum penalty and the maximum
penalty for a grossly negligent violation
did not need to be adjusted.
*
*
*
*
*
Authority: 49 U.S.C. 20103, 20107, 20148
and 21301; 28 U.S.C. 2461; and 49 CFR 1.49.
[Amended]
29. Section 224.11 is amended by
removing the amount ‘‘$11,000’’ and
adding in its place the numerical
amount ‘‘$16,000’’.
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37. Footnote 1 to Appendix B of Part
229 is amended by removing the
numerical amount of ‘‘$10,000’’ and
adding in its place the numerical
amount ‘‘$16,000’’.
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45. The authority citation for part 233
continues to read as follows:
§ 233.11
[Amended]
PART 234—[AMENDED]
47. The authority citation for part 234
continues to read as follows:
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Authority: 49 U.S.C. 20103, 20107; 28
U.S.C. 2461, note; and 49 CFR 1.49.
§ 234.6
[Amended]
38. The authority citation for part 230
continues to read as follows:
48. Paragraph (a) of § 234.6 is
amended by removing the numerical
amount ‘‘$11,000’’ and adding in its
place the numerical amount ‘‘$16,000’’.
Authority: 49 U.S.C. 20103, 20107, 20702;
28 U.S.C. 2461, note; and 49 CFR 1.49.
PART 235—[AMENDED]
§ 230.4
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30. The authority citation for part 225
continues to read as follows:
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44. Footnote 1 to Appendix A of Part
232 is amended by removing the
numerical amount of ‘‘$11,000’’ and
adding in its place the numerical
amount ‘‘$16,000’’.
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46. Section 233.11 is amended by
removing the numerical amount
‘‘$11,000’’ and adding in its place the
numerical amount ‘‘$16,000’’.
PART 230—[AMENDED]
PART 225—[AMENDED]
18:26 Sep 05, 2007
Appendix A To Part 232—[AMENDED]
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[Amended]
Appendix B to Part 229—[Amended]
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[Amended]
43. Paragraph (a) of § 232.11 is
amended by removing the numerical
amount ‘‘$11,000’’ and adding in its
place the numerical amount ‘‘$16,000’’.
Authority: 49 U.S.C. 20103, 20107; 28
U.S.C. 2461, note; and 49 CFR 1.49.
28. The authority citation for part 224
continues to read as follows:
31. Section 225.29 is amended by
removing the numerical amount
‘‘$11,000’’ and adding in its place the
numerical amount ‘‘$16,000’’.
§ 232.11
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Authority: 49 U.S.C. 20102–20103, 20107,
20133, 20141, 20301–20303, 20306, 21301–
21302, 21304; 28 U.S.C. 2461, note; and 49
CFR 1.49.
PART 233—[AMENDED]
36. Paragraph (b) of § 229.7 is
amended by removing the numerical
amount ‘‘$11,000’’ and adding in its
place the numerical amount ‘‘$16,000’’.
[Amended]
42. The authority citation for part 232
continues to read as follows:
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PART 229—[AMENDED]
PART 224—[AMENDED]
§ 225.29
PART 232—[AMENDED]
§ 229.7
27. Section 223.7 is amended by
removing the numerical amount
‘‘$11,000’’ and adding in its place the
numerical amount ‘‘$16,000’’.
Authority: 49 U.S.C. 103, 322(a), 20103,
20107, 20901–02, 21301, 21302, 21311; 28
U.S.C. 2461, note; and 49 CFR 1.49.
[Amended]
41. Paragraph (f) of § 231.0 is
amended by removing the numerical
amount ‘‘$11,000’’ and adding in its
place the numerical amount ‘‘$16,000’’.
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Authority: 49 U.S.C. 20102–20103, 20107,
20133, 20137–20138, 20143, 20701–20703,
21301–21302, 21304; 28 U.S.C. 2461, note;
and 49 CFR 1.49 (c), (m).
[Amended]
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§ 231.0
35. The authority citation for part 229
continues to read as follows:
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§ 224.11
Authority: 49 U.S.C. 20102–20103, 20107,
20131, 20301–20303, 21301–21302, 21304;
28 U.S.C. 2461, note; and 49 CFR 1.49.
I
Authority: 49 U.S.C. 20102–03, 20133,
20701–20702, 21301–02, 21304; 28 U.S.C.
2461, note; and 49 CFR 1.49.
§ 223.7
[Amended]
33. Section 228.21 is amended by
removing the numerical amount
‘‘$11,000’’ and adding in its place the
numerical amount ‘‘$16,000’’.
I
I
§ 222.11
32. The authority citation for part 228
continues to read as follows:
51197
[Amended]
39. Paragraph (a) of § 230.4 is
amended by removing the numerical
amount ‘‘$11,000’’ and adding in its
place the numerical amount ‘‘$16,000’’.
I
40. The authority citation for part 231
continues to read as follows:
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Authority: 49 U.S.C. 20103, 20107; 28
U.S.C. 2461, note; and 49 CFR 1.49.
§ 235.9
[Amended]
50. Section 235.9 is amended by
removing the numerical amount
‘‘$11,000’’ and adding in its place the
numerical amount ‘‘$16,000’’.
I
PART 231—[AMENDED]
I
49. The authority citation for part 235
continues to read as follows:
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Federal Register / Vol. 72, No. 172 / Thursday, September 6, 2007 / Rules and Regulations
§ 239.11
51. The authority citation for part 236
continues to read as follows:
I
Authority: 49 U.S.C. 20103, 20107; 28
U.S.C. 2461, note and 49 CFR 1.49.
§ 236.0
PART 240—[AMENDED]
[Amended]
58. The authority citation for part 240
continues to read as follows:
I
52. Paragraph (f) of § 236.0 is
amended by removing the numerical
amount ‘‘$11,000’’ and adding in its
place the numerical amount ‘‘$16,000’’.
I
Authority: 49 U.S.C. 20103, 20107, 20135,
21301, 21304, 21311; 28 U.S.C. 2461, note;
and 49 CFR 1.49.
PART 238—[AMENDED]
§ 240.11
[Amended]
59. Paragraph (a) of § 240.11 is
amended by removing the numerical
amount ‘‘$11,000’’ and adding in its
place the numerical amount ‘‘$16,000’’.
I
53. The authority citation for part 238
continues to read as follows:
I
Authority: 49 U.S.C. 20103, 20107, 20133,
20141, 20302–20303, 20306, 20701–20702,
21301–21302, 21304; 28 U.S.C. 2461, note; 49
CFR 1.49.
§ 238.11
[Amended]
57. Section 239.11 is amended by
removing the numerical amount
‘‘$11,000’’ and adding in its place the
numerical amount ‘‘$16,000’’.
I
PART 241—[Amended]
60. The authority citation for part 241
continues to read as follows:
I
[Amended]
54. Paragraph (a) of § 238.11 is
amended by removing the numerical
amount ‘‘$11,000’’ and adding in its
place the numerical amount ‘‘$16,000’’.
Authority: 49 U.S.C. 20103, 20107, 21301,
21304, 21311; 28 U.S.C. 2461, note; 49 CFR
1.49.
Appendix A to Part 238—[AMENDED]
I
I
55. Footnote 1 to Appendix A of part
238 is amended by removing the
numerical amount of ‘‘$10,000’’ and
adding in its place the numerical
amount ‘‘$16,000’’.
I
§ 241.15
[Amended]
61. Paragraph (a) of § 241.15 is
amended by removing the numerical
amount ‘‘$11,000’’ and adding in its
place the numerical amount ‘‘$16,000’’.
PART 244—[Amended]
PART 239—[AMENDED]
62. The authority citation for part 244
continues to read as follows:
56. The authority citation for part 239
continues to read as follows:
Authority: 49 U.S.C. 20103, 20107, 21301;
5 U.S.C. 553 and 559; 28 U.S.C. 2461, note;
and 49 CFR 1.49.
I
I
Authority: 49 U.S.C. 20102–20103, 20105–
20114, 20133, 21301, 21304, and 21311; 28
U.S.C. 2461, note; and 49 CFR 1.49(c), (g),
(m).
§ 244.5
pwalker on PROD1PC71 with RULES
COLA =
Step 3: Find the Raw Inflation Adjustment or
Inflation Adjustment Before Rounding.
Raw Inflation Adjustment = CMP × COLA
= $550 × 1.06969 = $588.33 ≈ $588
Step 4: Round the Raw Inflation Adjustment
Amount.
Recall that the increase in the CMP is
rounded, according to the rounding
rules. Increase = Raw Inflation
Adjustment—Original CMP = $588 ¥
$550 = $38
Use the following rounding rule: ‘‘If the
current unadjusted penalty is greater
than $100 and less than or equal to
$1,000, round the increase to the nearest
multiple of $100.’’ (Federal Civil
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[Amended]
63. Paragraph (a) of § 244.5 is
amended by removing the numerical
I
Joseph H. Boardman,
Administrator, Federal Railroad
Administration.
Appendix: Step by Step Calculations To
Determine Civil Monetary Penalty
Updates: 2007
Note: This appendix will not appear in the
Code of Federal Regulations.
Step by Step Calculations To Determine Civil
Monetary Penalty Updates: 2007
These calculations follow DOT and
Government Accounting Office guidance to
determine if the CMPs should be updated
according to the Inflation Act. (Sources for
guidance: (1) GAO attachment to
Memorandum with subject, ‘‘Annual Review
of Department of Transportation’s (DOT)
Civil Penalties Inflation Adjustment’’ dated
July 10, 2003; (2) policy paper entitled
‘‘Federal Civil Penalties Inflation Adjustment
Act of 1990.’’). Overall, there is no change in
the minimum ($550) and aggravated
maximum penalties ($27,000) for 2007, but
the ordinary maximum rises from $11,000 to
$16,000 under the Inflation Act.
Minimum
The current minimum CMP is $550, last
updated on May 28, 2004. See 69 FR 30592.
Step 1: Find the Consumer Price Index (CPI).
(BLS, 1967 Base, U.S. City Avg.)
The CPI for June of the preceding year, i.e.,
CPI for June 2006 = 607.8
The CPI for June of the year the CMP was
last set or adjusted under the Inflation
Act, i.e., CPI for June 2004 = 568.2
Step 2: Calculate the Cost of Living
Adjustment (COLA), or the Inflation
Factor.
CPI for June 2006 607.8
=
= 1.06969
CPI for June 2004 568.2
Penalties Inflation Adjustment Act of
1990, p. 4)
The nearest multiple of $100 is $0.
Rounded, the $38 increase = $0
Step 5: Find the Inflation Adjusted Penalty
After Rounding.
CMP after rounding = Original CMP +
Rounded Increase = $550 + $0 = $550
Step 6: Apply a 10% Ceiling if Necessary.
As the minimum CMP has been adjusted
previously according to the Inflation Act,
the 10% cap for first time adjustments
does not apply.
Step 7: Determine New Penalty
The new minimum CMP = $550
PO 00000
amount ‘‘$11,000’’ and adding in its
place the numerical amount ‘‘$16,000’’.
Frm 00040
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For 2007, the minimum CMP stays the
same.
Ordinary Maximum
The current ordinary maximum CMP is
$11,000, last updated on March 10, 1998. See
63 FR 11619.
Step 1: Find the Consumer Price Index (CPI).
The CPI for June of the preceding year, i.e.,
CPI for June 2006 = 607.8
The CPI for June of the year the CMP was
last set or adjusted under the Inflation
Act, i.e., CPI for June 1998 = 488.2
Step 2: Calculate the Cost of Living
Adjustment (COLA), or the Inflation
Factor.
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PART 236—[AMENDED]
Federal Register / Vol. 72, No. 172 / Thursday, September 6, 2007 / Rules and Regulations
COLA =
Step 3: Find the Raw Inflation Adjustment or
Inflation Adjustment Before Rounding.
Raw Inflation Adjustment = CMP × COLA
Raw Inflation Adjustment = $11,000 ×
1.24498 = $13,694.78 ≈ $13,695
Step 4: Round the Raw Inflation Adjustment
Amount.
Recall that the increase in the CMP is
rounded, according to the rounding
rules.
Increase = Raw Inflation Adjustment ¥
Original CMP
Increase = $13,695 ¥ $11,000 = $2,695
Use the following rounding rule: ‘‘If the
current unadjusted penalty is greater
than $10,000 and less than or equal to
$100,000, round the increase to the
nearest multiple of $5,000.’’ (Federal
The new ordinary maximum CMP =
$16,000
For 2007, the ordinary maximum CMP
rises from $11,000 to $16,000.
Aggravated Maximum
The current aggravated maximum CMP is
$27,000, last updated on May 28, 2004. See
69 FR 30592.
Step 1: Find the Consumer Price Index (CPI).
The CPI for June of the preceding year, i.e.,
CPI for June 2006 = 607.8
The CPI for June of the year the CMP was
last set or adjusted under the Inflation
Act, i.e., CPI for June 2004 = 568.2
Step 2: Calculate the Cost of Living
Adjustment (COLA), or the Inflation
Factor.
CPI for June 2006 607.8
=
= 1.06969
CPI for June 2004 568.2
Step 6: Apply a 10% Ceiling if Necessary.
As the aggravated maximum CMP has been
adjusted previously according to the
Inflation Act, the 10% cap for first time
adjustments does not apply.
Step 7: Determine New Penalty
The new aggravated maximum CMP =
$27,000
For 2007, the aggravated maximum CMP
stays the same.
[FR Doc. E7–17170 Filed 9–5–07; 8:45 am]
BILLING CODE 4910–06–P
ER06SE07.008</MATH>
Use the following rounding rule: ‘‘If the
current unadjusted penalty is greater
than $10,000 and less than or equal to
$100,000, round the increase to the
nearest multiple of $5,000.’’ (Federal
Civil Penalties Inflation Adjustment Act
of 1990, p. 4)
The nearest multiple of $5,000 is $0.
Rounded, the $1,882 increase = $0
Step 5: Find the Inflation Adjusted Penalty
After Rounding.
CMP after rounding = Original CMP +
Rounded Increase
CMP after rounding = $27,000 + $0 =
$27,000
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Step 3: Find the Raw Inflation Adjustment or
Inflation Adjustment Before Rounding.
Raw Inflation Adjustment = CMP × COLA
Raw Inflation Adjustment = $27,000 ×
1.06969 = $28,881.63 ≈ $28,882
Step 4: Round the Raw Inflation Adjustment
Amount.
Recall that the increase in the CMP is
rounded, according to the rounding
rules.
Increase = Raw Inflation Adjustment ¥
Original CMP
Increase = $28,882 ¥ $27,000 = $1,882
CPI for June 2006 607.8
=
= 1.24498
CPI for June 1998 488.2
Civil Penalties Inflation Adjustment Act
of 1990, p. 4)
The nearest multiple of $5,000 is $5,000.
Rounded, the $2,695 increase = $5,000
Step 5: Find the Inflation Adjusted Penalty
After Rounding.
CMP after rounding = Original CMP +
Rounded Increase
CMP after rounding = $11,000 + $5,000 =
$16,000
Step 6: Apply a 10% Ceiling if Necessary.
As the ordinary maximum CMP has been
adjusted previously according to the
Inflation Act, the 10% cap for first time
adjustments does not apply.
Step 7: Determine New Penalty
COLA =
51199
]]>Agencies
[Federal Register Volume 72, Number 172 (Thursday, September 6, 2007)]
[Rules and Regulations]
[Pages 51194-51199]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-17170]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF TRANSPORTATION
Federal Railroad Administration
49 CFR Parts 209, 213, 214, 215, 216, 217, 218, 219, 220, 221, 222,
223, 224, 225, 228, 229, 230, 231, 232, 233, 234, 235, 236, 238,
239, 240, 241, and 244
[Docket No. FRA-2004-17529; Notice No. 5]
RIN 2130-AB66
Inflation Adjustment of Ordinary Maximum Civil Monetary Penalty
for a Violation of a Federal Railroad Safety Law or Federal Railroad
Administration Safety Regulation
AGENCY: Federal Railroad Administration (FRA), Department of
Transportation (DOT).
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: To comply with the Federal Civil Penalties Inflation
Adjustment Act of 1990, FRA is adjusting the ordinary maximum penalty
that it will apply when assessing a civil penalty for a violation of
railroad safety statutes and regulations under its authority. In
particular, FRA is increasing the ordinary maximum civil penalty from
$11,000 to $16,000.
EFFECTIVE DATE: October 9, 2007.
FOR FURTHER INFORMATION CONTACT: Sarah Grimmer, Trial Attorney, Office
of Chief Counsel, FRA, 1120 Vermont Avenue, NW., Mail Stop 10,
Washington, DC 20590 (telephone 202-493-6390), sarah.grimmer@dot.gov.
SUPPLEMENTARY INFORMATION: The Federal Civil Penalties Inflation
Adjustment Act of 1990 (Inflation Act) requires that an agency adjust
by regulation each maximum civil monetary penalty (CMP), or range of
minimum and maximum CMPs, within that agency's jurisdiction by October
23, 1996 and adjust those penalty amounts once every four years
thereafter to reflect inflation. Public Law 101-410, 104 Stat. 890, 28
U.S.C. 2461, note, as amended by Section 31001(s)(1) of the Debt
Collection Improvement Act of 1996, Public Law 104-134, 110 Stat. 1321-
373, April 26, 1996. Congress recognized the important role that CMPs
play in deterring violations of Federal law and regulations and
realized that inflation has diminished the impact of these penalties.
In the Inflation Act,
[[Page 51195]]
Congress found a way to counter the effect that inflation has had on
the CMPs by having the agencies charged with enforcement responsibility
administratively adjust the CMPs.
Calculation of the Adjustment
Under the Inflation Act, the inflation adjustment is to be
calculated by increasing the maximum CMP, or the range of minimum and
maximum CMPs, by the percentage that the Consumer Price Index (CPI) for
the month of June of the calendar year preceding the adjustment (here,
June 2006) exceeds the CPI for the month of June of the last calendar
year in which the amount of such penalty was last set or adjusted
(here, June 1998 for the ordinary maximum). The Inflation Act also
specifies that the amount of the adjustment must be rounded to the
nearest multiple of $100 for a penalty between $100 and $1,000, or to
the nearest multiple of $5,000 for a penalty of more than $10,000 and
less than or equal to $100,000. The first adjustment may not exceed an
increase of ten percent. FRA utilized Bureau of Labor Statistics data
to calculate adjusted CMP amounts.
FRA is authorized as the delegate of the Secretary of
Transportation to enforce the Federal railroad safety statutes and
regulations, including the civil penalty provisions at 49 U.S.C. ch.
213. 49 CFR 1.49; 49 U.S.C. ch. 201-213. FRA currently has 28
regulations that contain provisions that reference its authority to
impose civil penalties if a person violates any requirement in the
pertinent portion of a statute or the Code of Federal Regulations. In
this final rule, FRA is amending each of those separate regulatory
provisions and the corresponding footnotes in each Schedule of Civil
Penalties to raise the ordinary maximum CMP to $16,000.
With the exception of the penalties relating to the hours of
service laws (49 U.S.C. ch. 211), the ordinary maximum CMP for a
violation of the rail safety laws and regulations was established by
the Rail Safety Improvement Act of 1988, which set a $10,000 limit for
a CMP imposed for any ordinary violation, and a $20,000 limit for a
grossly negligent violation or a pattern of repeated violations that
has created an imminent hazard of death or injury or caused death or
injury (aggravated violations). In 1998, after applying the adjustment
calculation in the Inflation Act, FRA determined that the ordinary
maximum CMP for any single violation needed to be increased to $11,000
and that the maximum CMP for aggravated violations needed to be
increased to $22,000. FRA amended each of its regulations by final rule
to reflect the increased CMPs. 63 FR 11618.
The Rail Safety Enforcement and Review Act (RSERA) in 1992
increased the range of the minimum and maximum civil penalties for a
violation of the hours of service laws, making these minimum and
maximum penalty amounts uniform with those of FRA's other regulatory
provisions. Before enactment of RSERA, the penalty was ``up to $1,000
per violation.'' RSERA increased the minimum civil penalty for an hours
of service violation to $500, the ordinary maximum civil penalty to
$10,000, and the aggravated maximum to $20,000. By applying the same
adjustment calculation using the 1992 CPI, the ordinary and aggravated
maximum penalties for violations of the hours of service laws were
raised to equal those of the other rail safety laws and regulations:
$11,000 and $22,000. In 1998, FRA had applied the adjustment
calculation in the Inflation Act to the minimum CMP and had determined
that it would not need to be increased. In 2004, FRA by applying the
adjustment calculation using the June 2003 CPI determined that the
minimum CMP should be increased from $500 to $550. FRA also determined
in 2004 under the same rationale that the aggravated maximum CMP should
be increased from $22,000 to $27,000. 69 FR 30592.
Calculations To Determine Civil Monetary Penalty Updates for 2007
1. Minimum CMP
As required, this year, FRA reevaluated the minimum CMP and
concluded that it should remain at $550, as the next calculations show.
The June 2006 CPI of 607.8 divided by the CPI for June 2004 of 568.2
(since the last update was in 2004) equals an inflation factor of
1.06969; $550 times 1.06969 equals $588. The raw inflation adjustment
amount of $38 is rounded to the nearest multiple of 100, or zero. The
inflation-adjusted minimum penalty is $550 plus zero, or $550. See
appendix.
2. Aggravated Maximum CMP
FRA also reevaluated the CMP for an aggravated violation and
determined that it should remain at $27,000, as the following
calculations show. The June 2006 CPI of 607.8 divided by the CPI for
June 2004 of 568.2 (since the last update was in 2004) equals an
inflation factor of 1.06969; $27,000 times 1.06969 equals $28,882. The
raw inflation adjustment amount of $1,882 is rounded to the nearest
multiple of $5,000, which is zero. The rounded raw inflation adjustment
amount is zero. The inflation-adjusted aggravated maximum penalty
remains $27,000.
3. Ordinary Maximum CMP
Applying the adjustment calculation using the June 2006 CPI, FRA
has determined that the ordinary maximum CMP should be increased from
$11,000 to $16,000, as the next calculations show.
The June 2006 CPI of 607.8 divided by the June 1998 CPI of 488.2
(since the last update was in 1998) equals an inflation factor of
1.24498; $11,000 times 1.24498 equals $13,695, or a raw inflation
adjustment amount of $2,695, which is rounded up to the nearest
multiple of $5,000, which is $5,000. Therefore, the ordinary maximum
CMP should be increased by $5,000, or to $16,000. Because this is the
second time that the ordinary maximum CMP has been adjusted under the
Act, the ten-percent cap on the increase does not apply. This new FRA
ordinary maximum penalty will apply to violations that occur on or
after October 9, 2007.
Public Participation
FRA is proceeding to a final rule without providing a notice of
proposed rulemaking or an opportunity for public comment. The
adjustments required by the Act are ministerial acts over which FRA has
no discretion, making public comment unnecessary. FRA is issuing these
amendments as a final rule applicable to all future rail safety civil
penalty cases under its authority.
Regulatory Impact
A. Executive Order 12866 and DOT Regulatory Policies and Procedures
This rule has been evaluated in accordance with existing policies
and procedures. It is not considered a significant regulatory action
under section 3(f) of Executive Order 12866 and, therefore, was not
reviewed by the Office of Management and Budget. This rule is not
significant under the Regulatory Policies and Procedures of the
Department of Transportation (44 FR 11034) because it is limited to a
ministerial act on which the agency has no discretion. The economic
impact of the final rule is minimal to the extent that preparation of a
regulatory evaluation is not warranted.
B. Regulatory Flexibility Determination
FRA certifies that this final rule will not have a significant
economic impact on a substantial number of small entities. Although
this rule will apply to railroads and others that are considered small
entities, there is no economic impact on any person who complies
[[Page 51196]]
with the Federal railroad safety laws and the regulations and orders
issued under those laws.
C. Federalism
This final rule will not have a substantial effect on the States,
on the relationship between the national government and the States, or
the distribution of power and responsibilities among the various levels
of government. Thus, in accordance with Executive Order 13132,
preparation of a Federalism assessment is not warranted.
D. Paperwork Reduction Act
There are no new information collection requirements in this final
rule.
E. Compliance With the Unfunded Mandates Reform Act of 1995
The final rule issued today will not result in the expenditure, in
the aggregate, of $128,100,000 or more in any one year by State, local,
or Indian Tribal governments, or the private sector, and thus
preparation of a statement is not required.
F. Environmental Assessment
There are no significant environmental impacts associated with this
final rule.
G. Energy Impact
According to definitions set forth in Executive Order 13211, there
will be no significant energy action as a result of the issuance of
this final rule.
List of Subjects in 49 CFR Parts 209, 213, 214, 215, 216, 217, 218,
219, 220, 221, 222, 223, 224, 225, 228, 229, 230, 231, 232, 233,
234, 235, 236, 238, 239, 240, 241, and 244
Railroad safety, Penalties.
The Final Rule
0
In consideration of the foregoing, parts 209, 213, 214, 215, 216, 217,
218, 219, 220, 221, 222, 223, 224, 225, 228, 229, 230, 231, 232, 233,
234, 235, 236, 238, 239, 240, 241, and 244, of subtitle B, chapter II
of title 49 of the Code of Federal Regulations are amended as follows:
PART 209--[AMENDED]
0
1. The authority citation for part 209 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107, 20111, 20112, 20114; 28
U.S.C. 2461, note; and 49 CFR 1.49.
Sec. 209.409 [Amended]
0
2. Section 209.409 is amended by removing the numerical amount
``$11,000'' and adding in its place the numerical amount ``$16,000''.
Appendix A to Part 209--[Amended]
0
3. Appendix A to part 209 is amended by removing the numerical amount
``$11,000'' in the third paragraph below the heading ``Penalty
Schedules; Assessment of Maximum Penalties,'' and replacing it with the
numerical amount ``$16,000''.
PART 213--[AMENDED]
0
4. The authority citation for part 213 continues to read as follows:
Authority: 49 U.S.C. 20102-20114 and 20142; 28 U.S.C. 2461,
note; and 49 CFR 1.49(m).
Sec. 213.15 [Amended]
0
5. Paragraph (a) of Sec. 213.15 is amended by removing the numerical
amount ``$11,000'' and adding in its place the numerical amount
``$16,000''.
PART 214--[AMENDED]
0
6. The authority citation for part 214 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107; 28 U.S.C. 2461, note; and 49
CFR 1.49.
Sec. 214.5 [Amended]
0
7. Section 214.5 is amended by removing the numerical amount
``$11,000'' and adding in its place the numerical amount ``$16,000''.
PART 215--[AMENDED]
0
8. The authority citation for part 215 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107; 28 U.S.C. 2461, note; and 49
CFR 1.49.
Sec. 215.7 [Amended]
0
9. Section 215.7 is amended by removing the numerical amount
``$11,000'' and adding in its place the numerical amount ``$16,000''.
Appendix B to Part 215--[Amended]
0
10. Footnote 1 of Appendix B to Part 215--Schedule of Civil Penalties,
is amended by removing the numerical amount ``$10,000'' and adding in
its place the numerical amount ``16,000''.
PART 216--[AMENDED]
0
11. The authority citation for part 216 continues to read as follows:
Authority: 49 U.S.C. 20102-20104, 20107, 20111, 20133, 20701-
20702, 21301-21302, 21304; 28 U.S.C. 2461, note; and 49 CFR 1.49.
Sec. 216.7 [Amended]
0
12. Section 216.7 is amended by removing the numerical amount
``$11,000'' and adding in its place the numerical amount ``$16,000''.
PART 217--[AMENDED]
0
13. The authority citation for part 217 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107; 28 U.S.C. 2461, note; and 49
CFR 1.49.
Sec. 217.5 [Amended]
0
14. Section 217.5 is amended by removing the numerical amount
``$11,000'' and adding in its place the numerical amount ``$16,000''.
PART 218--[AMENDED]
0
15. The authority citation for part 218 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107; 28 U.S.C. 2461, note; and 49
CFR 1.49.
Sec. 218.9 [Amended]
0
16. Section 218.9 is amended by removing the numerical amount
``$11,000'' and adding in its place the numerical amount ``$16,000''.
Appendix A to Part 218 [Amended]
0
17. Footnote 1 of Appendix A to Part 218 is amended by removing the
numerical amount ``$22,000'' and adding in its place the numerical
amount ``$27,000''.
PART 219--[AMENDED]
0
18. The authority citation for part 219 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107, 20140, 21301, 21304, 21311;
28 U.S.C. 2461, note; and 49 CFR 1.49(m).
Sec. 219.9 [Amended]
0
19. Paragraph (a) of Sec. 219.9 is amended by removing the numerical
amount ``$11,000'' and adding in its place the numerical amount
``$16,000''.
PART 220--[AMENDED]
0
20. The authority citation for part 220 continues to read as follows:
Authority: 49 U.S.C. 20102-20103, 20107, 21301-21302, 21304,
21311; 28 U.S.C. 2461, note; and 49 CFR 1.49.
Sec. 220.7 [Amended]
0
21. Section 220.7 is amended by removing the numerical amount
``$11,000'' and adding in its place the numerical amount ``$16,000''.
[[Page 51197]]
PART 221--[AMENDED]
0
22. The authority citation for part 221 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107; 28 U.S.C. 2461, note; and 49
CFR 1.49.
Sec. 221.7 [Amended]
0
23. Section 221.7 is amended by removing the numerical amount
``$11,000'' and adding in its place the numerical amount ``$16,000''.
PART 222--[AMENDED]
0
24. The authority citation for part 222 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107, 20153, 21301, 21304; 28
U.S.C. 2461, note; and 49 CFR 1.49.
Sec. 222.11 [Amended]
0
25. Section 222.11 is amended by removing the numerical amount
``$11,000'' and adding in its place the numerical amount ``$16,000''.
PART 223--[AMENDED]
0
26. The authority citation for part 223 continues to read as follows:
Authority: 49 U.S.C. 20102-03, 20133, 20701-20702, 21301-02,
21304; 28 U.S.C. 2461, note; and 49 CFR 1.49.
Sec. 223.7 [Amended]
0
27. Section 223.7 is amended by removing the numerical amount
``$11,000'' and adding in its place the numerical amount ``$16,000''.
PART 224--[AMENDED]
0
28. The authority citation for part 224 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107, 20148 and 21301; 28 U.S.C.
2461; and 49 CFR 1.49.
Sec. 224.11 [Amended]
0
29. Section 224.11 is amended by removing the amount ``$11,000'' and
adding in its place the numerical amount ``$16,000''.
PART 225--[AMENDED]
0
30. The authority citation for part 225 continues to read as follows:
Authority: 49 U.S.C. 103, 322(a), 20103, 20107, 20901-02, 21301,
21302, 21311; 28 U.S.C. 2461, note; and 49 CFR 1.49.
Sec. 225.29 [Amended]
0
31. Section 225.29 is amended by removing the numerical amount
``$11,000'' and adding in its place the numerical amount ``$16,000''.
PART 228--[AMENDED]
0
32. The authority citation for part 228 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107, 21101-21108; 28 U.S.C. 2461,
note and 49 CFR 1.49.
Sec. 228.21 [Amended]
0
33. Section 228.21 is amended by removing the numerical amount
``$11,000'' and adding in its place the numerical amount ``$16,000''.
Appendix A to Part 228--Requirements of the Hours of Service Act:
Statement of Agency Policy and Interpretation
0
34. In appendix A to part 228, the ninth paragraph below the heading
``General Provisions,'' which is entitled ``Penalty'' is amended by
adding the following at the end of the paragraph:
* * * * *
Penalty. * * * Effective October 9, 2007, the ordinary maximum
penalty of $11,000 was raised to $16,000 as required under the law;
however, the minimum penalty and the maximum penalty for a grossly
negligent violation did not need to be adjusted.
* * * * *
PART 229--[AMENDED]
0
35. The authority citation for part 229 continues to read as follows:
Authority: 49 U.S.C. 20102-20103, 20107, 20133, 20137-20138,
20143, 20701-20703, 21301-21302, 21304; 28 U.S.C. 2461, note; and 49
CFR 1.49 (c), (m).
Sec. 229.7 [Amended]
0
36. Paragraph (b) of Sec. 229.7 is amended by removing the numerical
amount ``$11,000'' and adding in its place the numerical amount
``$16,000''.
Appendix B to Part 229--[Amended]
0
37. Footnote 1 to Appendix B of Part 229 is amended by removing the
numerical amount of ``$10,000'' and adding in its place the numerical
amount ``$16,000''.
PART 230--[AMENDED]
0
38. The authority citation for part 230 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107, 20702; 28 U.S.C. 2461, note;
and 49 CFR 1.49.
Sec. 230.4 [Amended]
0
39. Paragraph (a) of Sec. 230.4 is amended by removing the numerical
amount ``$11,000'' and adding in its place the numerical amount
``$16,000''.
PART 231--[AMENDED]
0
40. The authority citation for part 231 continues to read as follows:
Authority: 49 U.S.C. 20102-20103, 20107, 20131, 20301-20303,
21301-21302, 21304; 28 U.S.C. 2461, note; and 49 CFR 1.49.
Sec. 231.0 [Amended]
0
41. Paragraph (f) of Sec. 231.0 is amended by removing the numerical
amount ``$11,000'' and adding in its place the numerical amount
``$16,000''.
PART 232--[AMENDED]
0
42. The authority citation for part 232 continues to read as follows:
Authority: 49 U.S.C. 20102-20103, 20107, 20133, 20141, 20301-
20303, 20306, 21301-21302, 21304; 28 U.S.C. 2461, note; and 49 CFR
1.49.
Sec. 232.11 [Amended]
0
43. Paragraph (a) of Sec. 232.11 is amended by removing the numerical
amount ``$11,000'' and adding in its place the numerical amount
``$16,000''.
Appendix A To Part 232--[AMENDED]
0
44. Footnote 1 to Appendix A of Part 232 is amended by removing the
numerical amount of ``$11,000'' and adding in its place the numerical
amount ``$16,000''.
PART 233--[AMENDED]
0
45. The authority citation for part 233 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107; 28 U.S.C. 2461, note; and 49
CFR 1.49.
Sec. 233.11 [Amended]
0
46. Section 233.11 is amended by removing the numerical amount
``$11,000'' and adding in its place the numerical amount ``$16,000''.
PART 234--[AMENDED]
0
47. The authority citation for part 234 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107; 28 U.S.C. 2461, note; and 49
CFR 1.49.
Sec. 234.6 [Amended]
0
48. Paragraph (a) of Sec. 234.6 is amended by removing the numerical
amount ``$11,000'' and adding in its place the numerical amount
``$16,000''.
PART 235--[AMENDED]
0
49. The authority citation for part 235 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107; 28 U.S.C. 2461, note; and 49
CFR 1.49.
Sec. 235.9 [Amended]
0
50. Section 235.9 is amended by removing the numerical amount
``$11,000'' and adding in its place the numerical amount ``$16,000''.
[[Page 51198]]
PART 236--[AMENDED]
0
51. The authority citation for part 236 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107; 28 U.S.C. 2461, note and 49
CFR 1.49.
Sec. 236.0 [Amended]
0
52. Paragraph (f) of Sec. 236.0 is amended by removing the numerical
amount ``$11,000'' and adding in its place the numerical amount
``$16,000''.
PART 238--[AMENDED]
0
53. The authority citation for part 238 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107, 20133, 20141, 20302-20303,
20306, 20701-20702, 21301-21302, 21304; 28 U.S.C. 2461, note; 49 CFR
1.49.
Sec. 238.11 [Amended]
0
54. Paragraph (a) of Sec. 238.11 is amended by removing the numerical
amount ``$11,000'' and adding in its place the numerical amount
``$16,000''.
Appendix A to Part 238--[AMENDED]
0
55. Footnote 1 to Appendix A of part 238 is amended by removing the
numerical amount of ``$10,000'' and adding in its place the numerical
amount ``$16,000''.
PART 239--[AMENDED]
0
56. The authority citation for part 239 continues to read as follows:
Authority: 49 U.S.C. 20102-20103, 20105-20114, 20133, 21301,
21304, and 21311; 28 U.S.C. 2461, note; and 49 CFR 1.49(c), (g),
(m).
Sec. 239.11 [Amended]
0
57. Section 239.11 is amended by removing the numerical amount
``$11,000'' and adding in its place the numerical amount ``$16,000''.
PART 240--[AMENDED]
0
58. The authority citation for part 240 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107, 20135, 21301, 21304, 21311;
28 U.S.C. 2461, note; and 49 CFR 1.49.
Sec. 240.11 [Amended]
0
59. Paragraph (a) of Sec. 240.11 is amended by removing the numerical
amount ``$11,000'' and adding in its place the numerical amount
``$16,000''.
PART 241--[Amended]
0
60. The authority citation for part 241 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107, 21301, 21304, 21311; 28
U.S.C. 2461, note; 49 CFR 1.49.
Sec. 241.15 [Amended]
0
61. Paragraph (a) of Sec. 241.15 is amended by removing the numerical
amount ``$11,000'' and adding in its place the numerical amount
``$16,000''.
PART 244--[Amended]
0
62. The authority citation for part 244 continues to read as follows:
Authority: 49 U.S.C. 20103, 20107, 21301; 5 U.S.C. 553 and 559;
28 U.S.C. 2461, note; and 49 CFR 1.49.
Sec. 244.5 [Amended]
0
63. Paragraph (a) of Sec. 244.5 is amended by removing the numerical
amount ``$11,000'' and adding in its place the numerical amount
``$16,000''.
Joseph H. Boardman,
Administrator, Federal Railroad Administration.
Appendix:
Step by Step Calculations To Determine Civil Monetary Penalty
Updates: 2007
Note: This appendix will not appear in the Code of Federal
Regulations.
Step by Step Calculations To Determine Civil Monetary Penalty Updates:
2007
These calculations follow DOT and Government Accounting Office
guidance to determine if the CMPs should be updated according to the
Inflation Act. (Sources for guidance: (1) GAO attachment to
Memorandum with subject, ``Annual Review of Department of
Transportation's (DOT) Civil Penalties Inflation Adjustment'' dated
July 10, 2003; (2) policy paper entitled ``Federal Civil Penalties
Inflation Adjustment Act of 1990.''). Overall, there is no change in
the minimum ($550) and aggravated maximum penalties ($27,000) for
2007, but the ordinary maximum rises from $11,000 to $16,000 under
the Inflation Act.
Minimum
The current minimum CMP is $550, last updated on May 28, 2004.
See 69 FR 30592.
Step 1: Find the Consumer Price Index (CPI). (BLS, 1967 Base, U.S.
City Avg.)
The CPI for June of the preceding year, i.e., CPI for June 2006
= 607.8
The CPI for June of the year the CMP was last set or adjusted
under the Inflation Act, i.e., CPI for June 2004 = 568.2
Step 2: Calculate the Cost of Living Adjustment (COLA), or the
Inflation Factor.
[GRAPHIC] [TIFF OMITTED] TR06SE07.006
Step 3: Find the Raw Inflation Adjustment or Inflation Adjustment
Before Rounding.
Raw Inflation Adjustment = CMP x COLA = $550 x 1.06969 = $588.33
[ap] $588
Step 4: Round the Raw Inflation Adjustment Amount.
Recall that the increase in the CMP is rounded, according to the
rounding rules. Increase = Raw Inflation Adjustment--Original CMP =
$588 - $550 = $38
Use the following rounding rule: ``If the current unadjusted
penalty is greater than $100 and less than or equal to $1,000, round
the increase to the nearest multiple of $100.'' (Federal Civil
Penalties Inflation Adjustment Act of 1990, p. 4)
The nearest multiple of $100 is $0.
Rounded, the $38 increase = $0
Step 5: Find the Inflation Adjusted Penalty After Rounding.
CMP after rounding = Original CMP + Rounded Increase = $550 + $0
= $550
Step 6: Apply a 10% Ceiling if Necessary.
As the minimum CMP has been adjusted previously according to the
Inflation Act, the 10% cap for first time adjustments does not
apply.
Step 7: Determine New Penalty
The new minimum CMP = $550
For 2007, the minimum CMP stays the same.
Ordinary Maximum
The current ordinary maximum CMP is $11,000, last updated on
March 10, 1998. See 63 FR 11619.
Step 1: Find the Consumer Price Index (CPI).
The CPI for June of the preceding year, i.e., CPI for June 2006
= 607.8
The CPI for June of the year the CMP was last set or adjusted
under the Inflation Act, i.e., CPI for June 1998 = 488.2
Step 2: Calculate the Cost of Living Adjustment (COLA), or the
Inflation Factor.
[[Page 51199]]
[GRAPHIC] [TIFF OMITTED] TR06SE07.007
Step 3: Find the Raw Inflation Adjustment or Inflation Adjustment
Before Rounding.
Raw Inflation Adjustment = CMP x COLA
Raw Inflation Adjustment = $11,000 x 1.24498 = $13,694.78 [ap]
$13,695
Step 4: Round the Raw Inflation Adjustment Amount.
Recall that the increase in the CMP is rounded, according to the
rounding rules.
Increase = Raw Inflation Adjustment - Original CMP
Increase = $13,695 - $11,000 = $2,695
Use the following rounding rule: ``If the current unadjusted
penalty is greater than $10,000 and less than or equal to $100,000,
round the increase to the nearest multiple of $5,000.'' (Federal
Civil Penalties Inflation Adjustment Act of 1990, p. 4)
The nearest multiple of $5,000 is $5,000.
Rounded, the $2,695 increase = $5,000
Step 5: Find the Inflation Adjusted Penalty After Rounding.
CMP after rounding = Original CMP + Rounded Increase
CMP after rounding = $11,000 + $5,000 = $16,000
Step 6: Apply a 10% Ceiling if Necessary.
As the ordinary maximum CMP has been adjusted previously
according to the Inflation Act, the 10% cap for first time
adjustments does not apply.
Step 7: Determine New Penalty
The new ordinary maximum CMP = $16,000
For 2007, the ordinary maximum CMP rises from $11,000 to
$16,000.
Aggravated Maximum
The current aggravated maximum CMP is $27,000, last updated on
May 28, 2004. See 69 FR 30592.
Step 1: Find the Consumer Price Index (CPI).
The CPI for June of the preceding year, i.e., CPI for June 2006
= 607.8
The CPI for June of the year the CMP was last set or adjusted
under the Inflation Act, i.e., CPI for June 2004 = 568.2
Step 2: Calculate the Cost of Living Adjustment (COLA), or the
Inflation Factor.
[GRAPHIC] [TIFF OMITTED] TR06SE07.008
Step 3: Find the Raw Inflation Adjustment or Inflation Adjustment
Before Rounding.
Raw Inflation Adjustment = CMP x COLA
Raw Inflation Adjustment = $27,000 x 1.06969 = $28,881.63 [ap]
$28,882
Step 4: Round the Raw Inflation Adjustment Amount.
Recall that the increase in the CMP is rounded, according to the
rounding rules.
Increase = Raw Inflation Adjustment - Original CMP
Increase = $28,882 - $27,000 = $1,882
Use the following rounding rule: ``If the current unadjusted
penalty is greater than $10,000 and less than or equal to $100,000,
round the increase to the nearest multiple of $5,000.'' (Federal
Civil Penalties Inflation Adjustment Act of 1990, p. 4)
The nearest multiple of $5,000 is $0.
Rounded, the $1,882 increase = $0
Step 5: Find the Inflation Adjusted Penalty After Rounding.
CMP after rounding = Original CMP + Rounded Increase
CMP after rounding = $27,000 + $0 = $27,000
Step 6: Apply a 10% Ceiling if Necessary.
As the aggravated maximum CMP has been adjusted previously
according to the Inflation Act, the 10% cap for first time
adjustments does not apply.
Step 7: Determine New Penalty
The new aggravated maximum CMP = $27,000
For 2007, the aggravated maximum CMP stays the same.
[FR Doc. E7-17170 Filed 9-5-07; 8:45 am]
BILLING CODE 4910-06-P
