Civil Penalties, 42548-42552 [2016-15566]

Download as PDF 42548 Federal Register / Vol. 81, No. 126 / Thursday, June 30, 2016 / Rules and Regulations Inert ingredients Limits Uses * * * * * * Pentaerythritol tetrakis (3-(3,5-di-tert-butyl-4- Not to exceed 3% by weight of the pesticide formulahydroxyphenyl)propionate) (CAS Reg. No. 6683–19–8). tion. * * * BILLING CODE 6560–50–P DEPARTMENT OF HEALTH AND HUMAN SERVICES Centers for Medicare & Medicaid Services 42 CFR Parts 416, 482, and 483 [CMS–3277–CN] RIN 0938–AR72 Medicare and Medicaid Programs; Fire Safety Requirements for Certain Health Care Facilities; Correction Centers for Medicare & Medicaid Services (CMS), HHS. ACTION: Final rule; correction. AGENCY: This document corrects technical errors that appeared in the final rule published in the Federal Register on May 4, 2016, entitled ‘‘Medicare and Medicaid Programs; Fire Safety Requirements for Certain Health Care Facilities.’’ DATES: This correction is effective July 5, 2016. FOR FURTHER INFORMATION CONTACT: Kristin Shifflett, (410) 786–4133. SUPPLEMENTARY INFORMATION: SUMMARY: I. Background In FR Doc. 2016–10043 of May 4, 2016 (81 FR 26871), there were technical errors that are identified and corrected in the Correction of Errors section below. The provisions in this correction document are effective as if they had been included in the document published May 4, 2016. Accordingly, the corrections are effective July 5, 2016. srobinson on DSK5SPTVN1PROD with RULES II. Summary of Errors in Regulations Text On page 26897, at § 416.44(b)(1), we inadvertently omitted a portion of the sentence. We are correcting this sentence to read, ‘‘. . . the ASC must meet the provisions applicable to Ambulatory Health Care Occupancies, regardless of the number of patients served[.]’’. On page 26899, at § 482.41(b)(1)(i), we inadvertently omitted a sentence. We 20:00 Jun 29, 2016 Jkt 238001 * are correcting this error by adding a sentence to clarify that outpatient surgical departments must meet the provisions applicable to Ambulatory Health Care Occupancies, regardless of the number of patients served. On page 26900, at § 483.70(a)(8), we inadvertently specified an incorrect facility type. We are correcting this error to specify the requirements an LTC facility must meet when a sprinkler system is shut down for more than 10 hours. [FR Doc. 2016–15613 Filed 6–29–16; 8:45 am] VerDate Sep<11>2014 * III. Waiver of Proposed Rulemaking and the 30-Day Delay in Effective Date * § 416.44 IV. Correction of Errors In FR Doc. 2016–10043 of May 4, 2016 (81 FR 26871), make the following corrections: PO 00000 Frm 00096 Fmt 4700 Sfmt 4700 * [Corrected] 1. On page 26897, in the first column, line 1 (§ 416.44(b)(1)), after the word ‘‘Occupancies’’ insert ‘‘, regardless of the number of patients served,’’. ■ § 482.41 [Corrected] 2. On page 26899, in the first column; in § 482.41(b)(1)(i), add a new sentence at the end of the paragraph to read, ‘‘Outpatient surgical departments must meet the provisions applicable to Ambulatory Health Care Occupancies, regardless of the number of patients served.’’ ■ § 483.70 We ordinarily publish a notice of proposed rulemaking in the Federal Register to provide a period for public comment before the provisions of a rule take effect in accordance with section 553(b) of the Administrative Procedure Act (APA) (5 U.S.C. 553(b)). However, we can waive this notice and comment procedure if the Secretary finds, for good cause, that the notice and comment process is impracticable, unnecessary, or contrary to the public interest, and incorporates a statement of the finding and the reasons therefore in the notice. Section 553(d) of the APA ordinarily requires a 30-day delay in effective date of final rules after the date of their publication in the Federal Register. This 30-day delay in effective date can be waived; however, if an agency finds for good cause that the delay is impracticable, unnecessary, or contrary to the public interest, and the agency incorporates a statement of the findings and its reasons in the rule issued. In this case, we find that a period for comment and a delay in the effective date of publication are both unnecessary, because this correction notice merely corrects technical and typographical errors in the regulations text and makes no changes in CMS policy. For this reason, we believe we have good cause to waive the APA notice and comment period and delayed effective date. * Antioxidant, stabilizer. [Corrected] 3. On page 26900, in the first column; in § 483.70(a)(8) introductory text, in line 2, the word ‘‘ASC’’ is corrected to read ‘‘LTC facility’’. ■ Dated: June 22, 2016. Madhura Valverde, Executive Secretary to the Department, Department of Health and Human Services. [FR Doc. 2016–15460 Filed 6–29–16; 8:45 am] BILLING CODE 4120–01–P DEPARTMENT OF TRANSPORTATION Maritime Administration 46 CFR Parts 221, 307, 340, and 356 RIN 2133–AB89 Civil Penalties Maritime Administration (MARAD), Department of Transportation (DOT). ACTION: Interim final rule. AGENCY: This interim final rule updates the maximum civil penalty amounts for violations of statutes and regulations administered by MARAD pursuant to the Federal Civil Penalties Inflation Adjustment Act Improvement Act of 2015. This interim final rule amends our regulations to reflect the new, adjusted civil penalty amounts MARAD may assess pursuant for violations of procedures related to the American Fisheries Act, certain regulated transactions involving documented vessels, the Automated Mutual Assistance Vessel Rescue SUMMARY: E:\FR\FM\30JNR1.SGM 30JNR1 Federal Register / Vol. 81, No. 126 / Thursday, June 30, 2016 / Rules and Regulations srobinson on DSK5SPTVN1PROD with RULES program (AMVER), and the Defense Production Act. DATES: This rule is effective August 1, 2016. ADDRESSES: Office of Chief Counsel, MAR 225, Maritime Administration, 1200 New Jersey Avenue SE., West Building, Second Floor, Washington, DC 20590. FOR FURTHER INFORMATION CONTACT: T. Mitchell Hudson, Jr., Office of Chief Counsel, MARAD, telephone (202) 366– 9373, email to: rulemakings.marad@ dot.gov, 1200 New Jersey Ave. SE., Washington, DC 20590. SUPPLEMENTARY INFORMATION: I. Background On November 2, 2015, the Federal Civil Penalties Inflation Adjustment Act Improvement Act (the 2015 Act), Public Law 114–74, Section 701, was signed into law. The purpose of the 2015 Act is to improve the effectiveness of civil monetary penalties and to maintain their deterrent effect. The 2015 Act requires agencies to make an initial catch up adjustment to the civil monetary penalties they administer through an interim final rule and then to make subsequent annual adjustments for inflation. The amount of increase of any adjustment to a civil penalty pursuant to the 2015 Act is limited to 150 percent of the current penalty. Agencies are required to issue the interim final rule with the initial catch up adjustment by July 1, 2016. The method of calculating inflationary adjustments in the 2015 Act differs substantially from the methods used in past inflationary adjustment rulemakings conducted pursuant to the Federal Civil Penalties Inflation Adjustment Act of 1990 (the Inflation Adjustment Act), Public Law 101–410. Previously, adjustments to civil penalties were conducted under rules that required significant rounding of figures. For example, a penalty increase that was greater than $1,000, but less than or equal to $10,000, would be rounded to the nearest multiple of $1,000. While this allowed penalties to be kept at round numbers, it meant that penalties would often not be increased at all if the inflation factor was not large enough. Furthermore, increases to penalties were capped at 10 percent. Over time, this formula caused penalties to lose value relative to total inflation. The 2015 Act has removed these rounding rules; now, penalties are simply rounded to the nearest $1. While this creates penalty values that are no longer round numbers, it does ensure that penalties will be increased each year to a figure commensurate with the VerDate Sep<11>2014 20:00 Jun 29, 2016 Jkt 238001 actual calculated inflation. Furthermore, the 2015 Act ‘‘resets’’ the inflation calculations by excluding prior inflationary adjustments under the Inflation Adjustment Act, which contributed to a decline in the real value of penalty levels. To do this, the 2015 Act requires agencies to identify, for each penalty, the year and corresponding amount(s) for which the maximum penalty level or range of minimum and maximum penalties was established (i.e., originally enacted by Congress) or last adjusted by statute or regulation other than pursuant to the Inflation Adjustment Act. The Director of the Office of Management and Budget (OMB) provided guidance to agencies in a February 24, 2016 memorandum on how to calculate the initial adjustment required by the 2015 Act.1 The initial catch up adjustment is based on the change between the Consumer Price Index for all Urban Consumers (CPI–U) for the month of October in the year the penalty amount was established or last adjusted by Congress and the October 2015 CPI–U. The February 24, 2016 memorandum contains a table with a multiplier for the change in CPI–U from the year the penalty was established or last adjusted to 2015. To arrive at the adjusted penalty, the agency must multiply the penalty amount when it was established or last adjusted by Congress, excluding adjustments under the Inflation Adjustment Act, by the multiplier for the increase in CPI–U from the year the penalty was established or adjusted provided in the February 24, 2016 memorandum. The 2015 Act limits the initial inflationary adjustment to 150 percent of the current penalty. To determine whether the increase in the adjusted penalty is less than 150 percent, the agency must multiply the current penalty by 250 percent. The adjusted penalty is the lesser of either the adjusted penalty based on the multiplier for CPI–U in Table A of the February 24, 2016 memorandum or an amount equal to 250 percent of the current penalty. This interim final rule adjusts the civil penalties for violations of statutes and regulations that MARAD administers consistent with the February 24, 2016 memorandum. 1 Memorandum from the Director of OMB to Heads of Executive Departments and Agencies, Implementation of the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (Feb. 24, 2016), available at www.whitehouse.gov/ sites/default/files/omb/memoranda/2016/m-1606.pdf. PO 00000 Frm 00097 Fmt 4700 Sfmt 4700 42549 II. Inflationary Adjustments to Penalty Amounts in 46 CFR Part 221 Changes to Civil Penalties for Regulated Transactions Involving Vessel Ownership Transfers and Other Maritime Interests (46 CFR 221.61) The maximum civil penalties arising under 46 CFR 221.61 have not been updated since they were established, except for inflationary adjustments pursuant to the Inflation Adjustment Act of 1990. The maximum civil penalty for a single violation of any provision under 46 U.S.C. Chapter 313 and all of Subtitle III related MARAD regulations, except section 31329, specified in 31309 of Title 46 of the United States Code was set at $10,000 when the penalty was established by Public Law 100–710, 102 Stat. 4747, enacted in 1988. Likewise, the maximum civil penalty for a single violation of 31329 of Title 46 of the United States Code as it relates to the court sales of documented vessels, specified in 31330 of Title 46 of the United States Code was set at $25,000 when the penalty was established by the same statute, Public Law 100–710, 102 Stat. 4747, enacted in 1988. Lastly, for penalties arising under 46 CFR 221.61, the maximum civil penalty for a single violation of 56101 of Title 46 of the United States Code as it relates to approvals required to transfer a vessel to a noncitizen, specified in 56101(e) of Title 46 United States Code was set at not more than $10,000 when the penalty was established by Public Law 101–225, 103 Stat. 1908, enacted in 1989. Applying the multiplier for the increase in CPI–U for 1988 in Table A of the February 24, 2016 memorandum (1.97869) results in an adjusted civil penalty of $19,787 pursuant to 46 U.S.C. 31309; $49,467 pursuant to 46 U.S.C. 31330. Applying the multiplier for the increase in CPI–U for 1989 (1.89361) results in an adjusted civil penalty of $18,936 pursuant to section 56101(e). Inflationary Adjustments to Penalty Amounts in 46 CFR Part 307 Changes to Civil Penalties for Failure To File an AMVER Report (46 CFR 307.19) The maximum civil penalty for a single violation of 50113 of Title 46 of the United States Code related to use and performance reports by operators of vessels as specified in 50113(b) of Title 46 of the United States Code was set at $50.00 per day when the penalty was established by Public Law 84–612, 70 Stat. 332, enacted in 1956. This civil penalty has not been updated since it was established. Applying the multiplier for the increase in CPI–U for 1956 in Table A of the February 24, E:\FR\FM\30JNR1.SGM 30JNR1 42550 Federal Register / Vol. 81, No. 126 / Thursday, June 30, 2016 / Rules and Regulations 2016 memorandum (8.64865) would result in an adjusted civil penalty of $432.433, which is more than the limitation on inflationary adjustments of 150 percent, accordingly the adjusted civil penalty is $125.00, which is 150 percent of the previously penalty amount not counting updates made under the Inflation Adjustment Act. Inflationary Adjustments to Penalty Amounts in 46 CFR Part 340 Changes to Civil Penalties for Violating Procedures for the Use and Allocation of Shipping Services, Port Facilities and Services for National Security and National Defense Operations (46 CFR 340.9) The maximum civil penalty for a single violation of 4501 of Title 50 of the United States Code, specified in 4513 of Title 50 of the United States Code, at 46 CFR 340.9, was set at not more than $10,000 when the penalty was established by the Defense Production Act, 64 Stat. 799, enacted in 1950. This civil penalty has not been updated since it was established. Applying the multiplier for the increase in CPI–U for 1950 in Table A of the February 24, 2016 memorandum (9.66821) would result in an adjusted civil penalty of $96682.1, which is above the 150 percent limit for inflationary adjustments, so the adjusted civil penalty is $25,000, which is 150 percent of the previous penalty amount not counting updates under the Inflation Adjustment Act. Inflationary Adjustments to Penalty Amounts in 46 CFR Part 356 srobinson on DSK5SPTVN1PROD with RULES Changes to Civil Penalties for Violations in Applying For or Renewing a Vessel’s Fishery Endorsement (46 CFR 356.49) The maximum civil penalty for a single violation of 12151 of Title 46 of the United States Code for engaging in fishing operations as defined in section 3 of the Magnuson-Stevens Fishery Conservation and Management Act, within the Exclusive Economic Zone, specified in 12151(c) of Title 46 of the United States Code, and at 46 CFR 356.49, was set at $100,000.00 for each day such vessel engaged in fishing when the penalty was established by Public Law 105–277, 112 Stat. 2681–620, enacted in 1998. This civil penalty has not been updated since it was established. Applying the multiplier for the increase in CPI–U for 1998 in Table A of the February 24, 2016 memorandum (1.45023) results in an adjusted civil penalty of $145,023. VerDate Sep<11>2014 20:00 Jun 29, 2016 Jkt 238001 III. Dispensing With Notice and Public Comment MARAD is promulgating this interim final rule to ensure that the amount of civil penalties contained in 46 CFR 221.61, 307.19, 340.9 and 356.49— reflect the statutorily mandated ranges as adjusted for inflation. Pursuant to the 2015 Act, MARAD is required to promulgate a ‘‘catch-up adjustment’’ through an interim final rule. Pursuant to the 2015 Act and 5 U.S.C. 553(b)(3)(B), MARAD finds that good cause exists for immediate implementation of this interim final rule without prior notice and comment because it would be impracticable to delay publication of this rule for notice and comment and because public comment is unnecessary. By operation of the Act, MARAD must publish the catch-up adjustment by interim final rule by July 1, 2016. Additionally, the 2015 Act provides a clear formula for adjustment of the civil penalties, leaving the agency little room for discretion. Furthermore, the increases in MARAD’s civil penalty authority authorized by 46 U.S.C. 12151(c), 31309, 31330, 50113(b), 56101(e) and 50 U.S.C. 4513 are already in effect and the amendments merely update the relevant regulations to reflect the new statutory civil penalty. For these reasons, MARAD finds that notice and comment would be impracticable and is unnecessary in this situation. IV. Rulemaking Analyses and Notices Executive Order 12866, Executive Order 13563, and DOT Regulatory Policies and Procedures MARAD has considered the impact of this rulemaking action under Executive Order 12866, Executive Order 13563, and the Department of Transportation’s regulatory policies and procedures. This rulemaking document was not reviewed under Executive Order 12866 or Executive Order 13563. This action is limited to the adoption of adjustments of civil penalties under statutes that the agency enforces, and has been determined to be not ‘‘significant’’ under the Department of Transportation’s regulatory policies and procedures and the policies of the Office of Management and Budget. Because this rulemaking does not change the number of entities that are subject to civil penalties, the impacts are limited. Furthermore, excluding the penalties in 46 CFR 221.61, 307.19, 340.9 and 356.49 for violating certain long standing procedures, this final rule does not establish civil penalty amounts that MARAD is required to seek. We also do not expect the increase in the civil penalty amount in any of these PO 00000 Frm 00098 Fmt 4700 Sfmt 4700 regulations to be economically significant. Over the last five years, MARAD has not collected any civil penalties under these regulations. Increasing the current civil penalty amount by 150 percent would not result in an annual effect on the economy of $100 million or more. Regulatory Flexibility Act We have also considered the impacts of this notice under the Regulatory Flexibility Act. I certify that this rule will not have a significant economic impact on a substantial number of small entities. Since this regulation does not establish a penalty amount that MARAD is required to seek, except for the long standing civil penalties set forth in 46 CFR 221.61, 307.19, 340.9 and 356.49, this rule will not have a significant economic impact on small businesses. Additionally, over the last five years, MARAD has not collected any civil penalties under these regulations. Accordingly, increasingly the civil penalty amount is unlikely to have any economic impact on any small businesses. In addition, MARAD has determined the RFA does not apply to this rulemaking. The 2015 Inflation Act requires MARAD to publish an interim final rule and does not require MARAD to complete notice and comment procedures under the APA. The Small Business Administration’s A Guide for Government Agencies: How to Comply with the Regulatory Flexibility Act (2012), provides that: If, under the APA or any rule of general applicability governing federal grants to state and local governments, the agency is required to publish a general notice of proposed rulemaking (NPRM), the RFA must be considered [citing 5 U.S.C. 604(a)]. . . . If an NPRM is not required, the RFA does not apply. Therefore, because the 2015 Inflation Act does not require an NPRM for this rulemaking, the RFA does not apply. Executive Order 13132 (Federalism) Executive Order 13132 requires MARAD to develop an accountable process to ensure ‘‘meaningful and timely input by State and local officials in the development of regulatory policies that have federalism implications.’’ ‘‘Policies that have federalism implications’’ is defined in the Executive Order to include regulations that have ‘‘substantial direct effects on the States, on the relationship between the national government and the States, or on the distribution of power and responsibilities among the various levels of government.’’ Under Executive Order 13132, the agency may E:\FR\FM\30JNR1.SGM 30JNR1 Federal Register / Vol. 81, No. 126 / Thursday, June 30, 2016 / Rules and Regulations not issue a regulation with Federalism implications, that imposes substantial direct compliance costs, and that is not required by statute, unless the Federal government provides the funds necessary to pay the direct compliance costs incurred by State and local governments, the agency consults with State and local governments, or the agency consults with State and local officials early in the process of developing the proposed regulation. This rule will not have substantial direct effects on the States, on the relationship between the national government and the States, or on the distribution of power and responsibilities among the various levels of government, as specified in Executive Order 13132. This rule only updates existing penalties, pursuant to statute. MARAD has not collected any civil penalties under these regulations within the last five years and if it were to assess penalties, due to the amounts involved, it would not have a substantial direct effect on a State. Thus, the requirements of Section 6 of the Executive Order do not apply. Unfunded Mandates Reform Act of 1995 The Unfunded Mandates Reform Act of 1995, Public Law 104–4, requires agencies to prepare a written assessment of the cost, benefits and other effects of proposed or final rules that include a Federal mandate likely to result in the expenditure by State, local, or tribal governments, in the aggregate, or by the private sector, of more than $100 million annually. Because this rule will not have a $100 million effect, no Unfunded Mandates assessment will be prepared. Executive Order 12778 (Civil Justice Reform) This rule does not have a retroactive or preemptive effect. Judicial review of a rule based on this proposal may be obtained pursuant to 5 U.S.C. 702. That section does not require that a petition for reconsideration be filed prior to seeking judicial review. srobinson on DSK5SPTVN1PROD with RULES Paperwork Reduction Act In accordance with the Paperwork Reduction Act of 1980, we state that there are no requirements for information collection associated with this rulemaking action. Privacy Act Please note that anyone is able to search the electronic form of all comments received into any of our dockets by the name of the individual submitting the comment (or signing the comment, if submitted on behalf of an VerDate Sep<11>2014 20:00 Jun 29, 2016 Jkt 238001 association, business, labor union, etc.). You may review DOT’s complete Privacy Act Statement in the Federal Register published on April 11, 2000 (Volume 65, Number 70; Pages 19477– 78), or you may visit https://dms.dot.gov. List of Subjects 46 CFR Part 221 Regulated Transactions Involving Documented Vessels and Other Maritime Interests. 46 CFR Part 307 Establishment of Mandatory Position Reporting System for Vessels. 46 CFR Part 340 Priority Use and Allocation of Shipping Services, Containers and Chassis, and Port Facilities and Services for National Security and National Defense Related Operations. 46 CFR Part 356 Requirements for Vessels of 100 Feet or Greater in Registered Length to Obtain a Fishery Endorsement to the Vessel’s Documentation. In consideration of the foregoing, 46 CFR parts 221, 307, 340, and 356 are amended as set forth below. PART 221—REGULATED TRANSACTIONS INVOLVING DOCUMENTED VESSELS AND OTHER MARITIME INTERESTS 1. The authority citation for 46 CFR part 221 is revised to read as follows: ■ Authority: 46 U.S.C. chs. 301, 313, and 561; Pub. L. 114–74; 49 CFR 1.93. 2. Section 221.61 is revised to read as follows: ■ § 221.61 Compliance. (a) This subpart describes procedures for the administration of civil penalties that the Maritime Administration may assess under 46 U.S.C. 31309, 31330 and 56101, pursuant to 49 U.S.C. 336. (b) Pursuant to 46 U.S.C. 31309, a general penalty of not more than $19,787 may be assessed for each violation of chapter 313 or 46 U.S.C. subtitle III administered by the Maritime Administration, and the regulations in this part that are promulgated thereunder, except that a person violating 46 U.S.C. 31329 and the regulations promulgated thereunder is liable for a civil penalty of not more than $49,467 for each violation. A person that charters, sells, transfers or mortgages a vessel, or an interest therein, in violation of 46 U.S.C. 56101(e) is liable for a civil penalty of not more than $18,936 for each violation. PO 00000 Frm 00099 Fmt 4700 Sfmt 4700 42551 PART 307—ESTABLISHMENT OF MANDATORY POSITION REPORTING SYSTEM FOR VESSELS 3. The authority citation for 46 CFR part 307 is revised to read as follows: ■ Authority: Pub. L. 109–304; 46 U.S.C. 50113; Pub. L. 114–74; 49 CFR 1.93. 4. Section 307.19 is revised to read as follows: ■ § 307.19 Penalties. The owner or operator of a vessel in the waterborne foreign commerce of the United States is subject to a penalty of $125.00 for each day of failure to file an AMVER report required by this part. Such penalty shall constitute a lien upon the vessel, and such vessel may be libeled in the district court of the United States in which the vessel may be found. PART 340—PRIORITY USE AND ALLOCATION OF SHIPPING SERVICES, CONTAINERS AND CHASSIS, AND PORT FACILITIES AND SERVICES FOR NATIONAL SECURITY AND NATIONAL DEFENSE RELATED OPERATIONS 5. The authority citation for 46 CFR part 340 is revised to read as follows: ■ Authority: 50 U.S.C. 4501 et seq. (‘‘The Defense Production Act’’); Executive Order 13603 (77 FR 16651); Executive Order 12656 (53 FR 47491); Pub. L. 114–74; 49 CFR 1.45; 49 CFR 1.93(l). 6. Section 340.9 is revised to read as follows: ■ § 340.9 Compliance. Pursuant 50 U.S.C. 4513 any person who willfully performs any act prohibited, or willfully fails to perform any act required, by the provisions of this regulation shall, upon conviction, be fined not more than $25,000 or imprisoned for not more than one year, or both. PART 356—REQUIREMENTS FOR VESSELS OF 100 FEET OR GREATER IN REGISTERED LENGTH TO OBTAIN A FISHERY ENDORSEMENT TO THE VESSEL’S DOCUMENTATION 6. The authority citation for 46 CFR part 356 is revised to read as follows: ■ Authority: 46 U.S.C. 12102; 46 U.S.C. 12151; 46 U.S.C. 31322; Pub. L. 105–277, division C, title II, subtitle I, section 203 (46 U.S.C. 12102 note), section 210(e), and section 213(g), 112 Stat. 2681; Pub. L. 107– 20, section 2202, 115 Stat. 168–170; Pub. L. 114–74; 49 CFR 1.93. 7. In § 356.49, revise paragraph (b) to read as follows: ■ E:\FR\FM\30JNR1.SGM 30JNR1 42552 Federal Register / Vol. 81, No. 126 / Thursday, June 30, 2016 / Rules and Regulations § Penalties. * * * * * (b) A fine of up to $145,023 may be assessed against the vessel owner for each day in which such vessel has engaged in fishing (as such term is defined in section 3 of the MagnusonStevens Fishery Conservation and Management Act (16 U.S.C. 1802) within the exclusive economic zone of the United States; and * * * * * Dated: June 27, 2016. By Order of the Maritime Administrator. Gabriel Chavez, Secretary, Maritime Administration. [FR Doc. 2016–15566 Filed 6–29–16; 8:45 am] BILLING CODE 4910–81–P FEDERAL MARITIME COMMISSION 46 CFR Part 506 [Docket No. 16–13] RIN 3072–AC63 Inflation Adjustment of Civil Monetary Penalties Federal Maritime Commission. Interim final rule. AGENCY: ACTION: This rule implements the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (2015 Act) (Sec. 701 of Pub. L. 11– 74). The rule adjusts the maximum amount of each statutory civil penalty subject to Federal Maritime Commission (Commission) jurisdiction for inflation, in accordance with the requirements of that Act. The 2015 Act requires that agencies publish a catch-up adjustment in the penalties in an interim rule by July 1, 2016, and that agencies adjust penalties yearly thereafter. DATES: This rule is effective on August 1, 2016. FOR FURTHER INFORMATION CONTACT: Tyler Wood, General Counsel, Federal Maritime Commission, 800 North SUMMARY: Non-inflationadjusted penalty U.S.C. Section srobinson on DSK5SPTVN1PROD with RULES 46 U.S.C. 42304 ...................................... 1,000,000 1 Increased CMPs are applicable only to violations occurring after the increase takes effect. 2 61 FR 52704 (Oct. 8, 1996). 3 65 FR 49741 (Aug. 15, 2000); 74 FR 38114 (July 28, 2009); 79 FR 37662 (July 2, 2014). 4 5(b)(2); Memorandum for the Heads of Executive Departments and Agencies for the Implementation of the Federal Civil Penalties Inflation Adjustment Act, M–16–06, at 4, February 24, 2016 (OMB Guidance Memo). VerDate Sep<11>2014 20:57 Jun 29, 2016 Capitol Street NW., Room 1018, Washington, DC 20573, (202) 523–5740. SUPPLEMENTARY INFORMATION: This rule implements the 2015 Act, which became effective on November 2, 2015. The 2015 Act further amends the Federal Civil Penalties Inflation Adjustment Act of 1990 (FCPIAA), Public Law 101–410, 104 Stat. 890 (codified as amended at 28 U.S.C. 2461 note), in order to improve the effectiveness of civil monetary penalties and to maintain their deterrent effect. The Debt Collection Improvement Act of 1996 (DCIA), Public Law 104–134, Title III, 31001(s)(1), 110 Stat. 1321–373, originally amended the FCPIAA and required the head of each executive agency to adopt regulations that adjust the maximum civil monetary penalties (CMPs) assessable under its agency’s jurisdiction at least every four years to ensure that they continued to maintain their deterrent value.1 In accordance with the DCIA, the Commission established Part 506 in 1996 and adjusted its penalties.2 The Commission further adjusted its civil penalty amounts in 2000, 2009, and 2014.3 The 2015 Act requires that agencies publish a catch-up adjustment in the penalties in an interim rule by July 1, 2016, to become effective no later than August 1, 2016. Following the catch-up adjustment, the 2015 Act requires agencies to adjust CMPs under their jurisdiction annually beginning in 2017 based on changes in the consumer price index using data from October in the previous calendar year. In order to catch-up CMPs, the 2015 Act requires agencies to identify the year the civil penalty was established or last adjusted by statute or regulation other than pursuant to the FCPIAA.4 Catch-up adjustments are based on the percent change between the Consumer Price Index for all Urban Consumers (CPI–U) 5 for the month of October of the year in which the CMP was established or adjusted (other than through Inflation Adjustment Act adjustments), and the October 2015 Jkt 238001 Year Multiplier 1988 1.97869 5 3(3). 6 Id. 7 Id. The amount of the catch-up penalty cannot exceed 250% of the amount that was effective on November 2, 2015 which would be $112,500 for a violation of Section 13. 8 The 150 percent limitation in the 2015 Act is on the amount of the increase. The actual adjusted penalty levels, however are capped at 250 percent PO 00000 Frm 00100 Fmt 4700 Sfmt 4700 CPI–U. In accordance with the 2015 Act, the Office of Management and Budget (OMB) has issued guidance to agencies on implementing the catch-up adjustments and provided multipliers for agencies to use depending on the year a civil penalty was established or adjusted (other than inflation adjustments). Agencies look at the multiplier corresponding to that year in a table provided by OMB.6 Next, agencies multiply the amount of the penalty (not adjusted for inflation) by the amount in the table.7 Under the 2015 Act, however, the catch-up increase cannot exceed 150% of the amount that was effective on November 2, 2015.8 For example, Section 13 of the Shipping Act of 1984 (1984 Act), 46 U.S.C. 41107, imposes a maximum $45,000 penalty for a knowing and willful violation of the 1984 Act.9 The penalty was established in 1984 for an amount of $25,000 and has only been adjusted pursuant to the FCPIAA since then. As a result, the Commission multiplied $25,000 by 2.25867 (the multiplier provided by OMB for 1984) to obtain an adjusted CMP of $55,467. The last time the Commission adjusted its CMP not pursuant to FCPIAA varies depending on the penalty.10 Accordingly, the Commission has looked at the multiplier in the table OMB provided to determine the appropriate adjustment for its civil penalties. In order to provide some clarity, the table below shows the noninflation-adjusted penalty, the year it was established or adjusted (other than under the FCPIAA), the multiplier provided by OMB, and the result of applying the multiplier (rounded to the nearest dollar per the statute). The table also shows 250% of the amount of the penalty in November 2015 (2015 Act Cap). The new adjusted maximum penalty is the lesser of (1) the amount using the multiplier and (2) 250% of the amount of the penalty in November 2015. Multiplier result 1,978,690 2015 Act cap (250% of 11/2/ 15 Amount) 4,000,000 New adjusted maximum penalty amount 1,978,690 of the levels in effect on November 2, 2015. M–16– 06, OMB guidance memo, at 3; also at 5(b)(2)(C). 9 The Commission last adjusted its civil penalties pursuant to FCPIAA in 2014. 10 Current CMPs at the Commission have been effective since July 11, 2014. 79 FR 37662 (July 2, 2014). E:\FR\FM\30JNR1.SGM 30JNR1

Agencies

[Federal Register Volume 81, Number 126 (Thursday, June 30, 2016)]
[Rules and Regulations]
[Pages 42548-42552]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-15566]

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DEPARTMENT OF TRANSPORTATION

Maritime Administration

46 CFR Parts 221, 307, 340, and 356

RIN 2133-AB89

Civil Penalties

AGENCY: Maritime Administration (MARAD), Department of Transportation
(DOT).

ACTION: Interim final rule.

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SUMMARY: This interim final rule updates the maximum civil penalty
amounts for violations of statutes and regulations administered by
MARAD pursuant to the Federal Civil Penalties Inflation Adjustment Act
Improvement Act of 2015. This interim final rule amends our regulations
to reflect the new, adjusted civil penalty amounts MARAD may assess
pursuant for violations of procedures related to the American Fisheries
Act, certain regulated transactions involving documented vessels, the
Automated Mutual Assistance Vessel Rescue

[[Page 42549]]

program (AMVER), and the Defense Production Act.

DATES: This rule is effective August 1, 2016.

ADDRESSES: Office of Chief Counsel, MAR 225, Maritime Administration,
1200 New Jersey Avenue SE., West Building, Second Floor, Washington, DC
20590.

FOR FURTHER INFORMATION CONTACT: T. Mitchell Hudson, Jr., Office of
Chief Counsel, MARAD, telephone (202) 366-9373, email to:
rulemakings.marad@dot.gov, 1200 New Jersey Ave. SE., Washington, DC
20590.

SUPPLEMENTARY INFORMATION:

I. Background

On November 2, 2015, the Federal Civil Penalties Inflation
Adjustment Act Improvement Act (the 2015 Act), Public Law 114-74,
Section 701, was signed into law. The purpose of the 2015 Act is to
improve the effectiveness of civil monetary penalties and to maintain
their deterrent effect. The 2015 Act requires agencies to make an
initial catch up adjustment to the civil monetary penalties they
administer through an interim final rule and then to make subsequent
annual adjustments for inflation. The amount of increase of any
adjustment to a civil penalty pursuant to the 2015 Act is limited to
150 percent of the current penalty. Agencies are required to issue the
interim final rule with the initial catch up adjustment by July 1,
2016.
The method of calculating inflationary adjustments in the 2015 Act
differs substantially from the methods used in past inflationary
adjustment rulemakings conducted pursuant to the Federal Civil
Penalties Inflation Adjustment Act of 1990 (the Inflation Adjustment
Act), Public Law 101-410. Previously, adjustments to civil penalties
were conducted under rules that required significant rounding of
figures. For example, a penalty increase that was greater than $1,000,
but less than or equal to $10,000, would be rounded to the nearest
multiple of $1,000. While this allowed penalties to be kept at round
numbers, it meant that penalties would often not be increased at all if
the inflation factor was not large enough. Furthermore, increases to
penalties were capped at 10 percent. Over time, this formula caused
penalties to lose value relative to total inflation.
The 2015 Act has removed these rounding rules; now, penalties are
simply rounded to the nearest $1. While this creates penalty values
that are no longer round numbers, it does ensure that penalties will be
increased each year to a figure commensurate with the actual calculated
inflation. Furthermore, the 2015 Act ``resets'' the inflation
calculations by excluding prior inflationary adjustments under the
Inflation Adjustment Act, which contributed to a decline in the real
value of penalty levels. To do this, the 2015 Act requires agencies to
identify, for each penalty, the year and corresponding amount(s) for
which the maximum penalty level or range of minimum and maximum
penalties was established (i.e., originally enacted by Congress) or
last adjusted by statute or regulation other than pursuant to the
Inflation Adjustment Act.
The Director of the Office of Management and Budget (OMB) provided
guidance to agencies in a February 24, 2016 memorandum on how to
calculate the initial adjustment required by the 2015 Act.\1\ The
initial catch up adjustment is based on the change between the Consumer
Price Index for all Urban Consumers (CPI-U) for the month of October in
the year the penalty amount was established or last adjusted by
Congress and the October 2015 CPI-U. The February 24, 2016 memorandum
contains a table with a multiplier for the change in CPI-U from the
year the penalty was established or last adjusted to 2015. To arrive at
the adjusted penalty, the agency must multiply the penalty amount when
it was established or last adjusted by Congress, excluding adjustments
under the Inflation Adjustment Act, by the multiplier for the increase
in CPI-U from the year the penalty was established or adjusted provided
in the February 24, 2016 memorandum. The 2015 Act limits the initial
inflationary adjustment to 150 percent of the current penalty. To
determine whether the increase in the adjusted penalty is less than 150
percent, the agency must multiply the current penalty by 250 percent.
The adjusted penalty is the lesser of either the adjusted penalty based
on the multiplier for CPI-U in Table A of the February 24, 2016
memorandum or an amount equal to 250 percent of the current penalty.
This interim final rule adjusts the civil penalties for violations of
statutes and regulations that MARAD administers consistent with the
February 24, 2016 memorandum.
---------------------------------------------------------------------------

\1\ Memorandum from the Director of OMB to Heads of Executive
Departments and Agencies, Implementation of the Federal Civil
Penalties Inflation Adjustment Act Improvements Act of 2015 (Feb.
24, 2016), available at www.whitehouse.gov/sites/default/files/omb/memoranda/2016/m-16-06.pdf.
---------------------------------------------------------------------------

II. Inflationary Adjustments to Penalty Amounts in 46 CFR Part 221

Changes to Civil Penalties for Regulated Transactions Involving Vessel
Ownership Transfers and Other Maritime Interests (46 CFR 221.61)

The maximum civil penalties arising under 46 CFR 221.61 have not
been updated since they were established, except for inflationary
adjustments pursuant to the Inflation Adjustment Act of 1990. The
maximum civil penalty for a single violation of any provision under 46
U.S.C. Chapter 313 and all of Subtitle III related MARAD regulations,
except section 31329, specified in 31309 of Title 46 of the United
States Code was set at $10,000 when the penalty was established by
Public Law 100-710, 102 Stat. 4747, enacted in 1988. Likewise, the
maximum civil penalty for a single violation of 31329 of Title 46 of
the United States Code as it relates to the court sales of documented
vessels, specified in 31330 of Title 46 of the United States Code was
set at $25,000 when the penalty was established by the same statute,
Public Law 100-710, 102 Stat. 4747, enacted in 1988. Lastly, for
penalties arising under 46 CFR 221.61, the maximum civil penalty for a
single violation of 56101 of Title 46 of the United States Code as it
relates to approvals required to transfer a vessel to a noncitizen,
specified in 56101(e) of Title 46 United States Code was set at not
more than $10,000 when the penalty was established by Public Law 101-
225, 103 Stat. 1908, enacted in 1989. Applying the multiplier for the
increase in CPI-U for 1988 in Table A of the February 24, 2016
memorandum (1.97869) results in an adjusted civil penalty of $19,787
pursuant to 46 U.S.C. 31309; $49,467 pursuant to 46 U.S.C. 31330.
Applying the multiplier for the increase in CPI-U for 1989 (1.89361)
results in an adjusted civil penalty of $18,936 pursuant to section
56101(e).

Inflationary Adjustments to Penalty Amounts in 46 CFR Part 307

Changes to Civil Penalties for Failure To File an AMVER Report (46 CFR
307.19)
The maximum civil penalty for a single violation of 50113 of Title
46 of the United States Code related to use and performance reports by
operators of vessels as specified in 50113(b) of Title 46 of the United
States Code was set at $50.00 per day when the penalty was established
by Public Law 84-612, 70 Stat. 332, enacted in 1956. This civil penalty
has not been updated since it was established. Applying the multiplier
for the increase in CPI-U for 1956 in Table A of the February 24,

[[Page 42550]]

2016 memorandum (8.64865) would result in an adjusted civil penalty of
$432.433, which is more than the limitation on inflationary adjustments
of 150 percent, accordingly the adjusted civil penalty is $125.00,
which is 150 percent of the previously penalty amount not counting
updates made under the Inflation Adjustment Act.

Inflationary Adjustments to Penalty Amounts in 46 CFR Part 340

Changes to Civil Penalties for Violating Procedures for the Use and
Allocation of Shipping Services, Port Facilities and Services for
National Security and National Defense Operations (46 CFR 340.9)
The maximum civil penalty for a single violation of 4501 of Title
50 of the United States Code, specified in 4513 of Title 50 of the
United States Code, at 46 CFR 340.9, was set at not more than $10,000
when the penalty was established by the Defense Production Act, 64
Stat. 799, enacted in 1950. This civil penalty has not been updated
since it was established. Applying the multiplier for the increase in
CPI-U for 1950 in Table A of the February 24, 2016 memorandum (9.66821)
would result in an adjusted civil penalty of $96682.1, which is above
the 150 percent limit for inflationary adjustments, so the adjusted
civil penalty is $25,000, which is 150 percent of the previous penalty
amount not counting updates under the Inflation Adjustment Act.

Inflationary Adjustments to Penalty Amounts in 46 CFR Part 356

Changes to Civil Penalties for Violations in Applying For or Renewing a
Vessel's Fishery Endorsement (46 CFR 356.49)
The maximum civil penalty for a single violation of 12151 of Title
46 of the United States Code for engaging in fishing operations as
defined in section 3 of the Magnuson-Stevens Fishery Conservation and
Management Act, within the Exclusive Economic Zone, specified in
12151(c) of Title 46 of the United States Code, and at 46 CFR 356.49,
was set at $100,000.00 for each day such vessel engaged in fishing when
the penalty was established by Public Law 105-277, 112 Stat. 2681-620,
enacted in 1998. This civil penalty has not been updated since it was
established. Applying the multiplier for the increase in CPI-U for 1998
in Table A of the February 24, 2016 memorandum (1.45023) results in an
adjusted civil penalty of $145,023.

III. Dispensing With Notice and Public Comment

MARAD is promulgating this interim final rule to ensure that the
amount of civil penalties contained in 46 CFR 221.61, 307.19, 340.9 and
356.49--reflect the statutorily mandated ranges as adjusted for
inflation. Pursuant to the 2015 Act, MARAD is required to promulgate a
``catch-up adjustment'' through an interim final rule. Pursuant to the
2015 Act and 5 U.S.C. 553(b)(3)(B), MARAD finds that good cause exists
for immediate implementation of this interim final rule without prior
notice and comment because it would be impracticable to delay
publication of this rule for notice and comment and because public
comment is unnecessary. By operation of the Act, MARAD must publish the
catch-up adjustment by interim final rule by July 1, 2016.
Additionally, the 2015 Act provides a clear formula for adjustment of
the civil penalties, leaving the agency little room for discretion.
Furthermore, the increases in MARAD's civil penalty authority
authorized by 46 U.S.C. 12151(c), 31309, 31330, 50113(b), 56101(e) and
50 U.S.C. 4513 are already in effect and the amendments merely update
the relevant regulations to reflect the new statutory civil penalty.
For these reasons, MARAD finds that notice and comment would be
impracticable and is unnecessary in this situation.

IV. Rulemaking Analyses and Notices

Executive Order 12866, Executive Order 13563, and DOT Regulatory
Policies and Procedures

MARAD has considered the impact of this rulemaking action under
Executive Order 12866, Executive Order 13563, and the Department of
Transportation's regulatory policies and procedures. This rulemaking
document was not reviewed under Executive Order 12866 or Executive
Order 13563. This action is limited to the adoption of adjustments of
civil penalties under statutes that the agency enforces, and has been
determined to be not ``significant'' under the Department of
Transportation's regulatory policies and procedures and the policies of
the Office of Management and Budget. Because this rulemaking does not
change the number of entities that are subject to civil penalties, the
impacts are limited. Furthermore, excluding the penalties in 46 CFR
221.61, 307.19, 340.9 and 356.49 for violating certain long standing
procedures, this final rule does not establish civil penalty amounts
that MARAD is required to seek.
We also do not expect the increase in the civil penalty amount in
any of these regulations to be economically significant. Over the last
five years, MARAD has not collected any civil penalties under these
regulations. Increasing the current civil penalty amount by 150 percent
would not result in an annual effect on the economy of $100 million or
more.

Regulatory Flexibility Act

We have also considered the impacts of this notice under the
Regulatory Flexibility Act. I certify that this rule will not have a
significant economic impact on a substantial number of small entities.
Since this regulation does not establish a penalty amount that MARAD is
required to seek, except for the long standing civil penalties set
forth in 46 CFR 221.61, 307.19, 340.9 and 356.49, this rule will not
have a significant economic impact on small businesses. Additionally,
over the last five years, MARAD has not collected any civil penalties
under these regulations. Accordingly, increasingly the civil penalty
amount is unlikely to have any economic impact on any small businesses.
In addition, MARAD has determined the RFA does not apply to this
rulemaking. The 2015 Inflation Act requires MARAD to publish an interim
final rule and does not require MARAD to complete notice and comment
procedures under the APA. The Small Business Administration's A Guide
for Government Agencies: How to Comply with the Regulatory Flexibility
Act (2012), provides that:

If, under the APA or any rule of general applicability governing
federal grants to state and local governments, the agency is
required to publish a general notice of proposed rulemaking (NPRM),
the RFA must be considered [citing 5 U.S.C. 604(a)]. . . . If an
NPRM is not required, the RFA does not apply.

Therefore, because the 2015 Inflation Act does not require an NPRM
for this rulemaking, the RFA does not apply.

Executive Order 13132 (Federalism)

Executive Order 13132 requires MARAD to develop an accountable
process to ensure ``meaningful and timely input by State and local
officials in the development of regulatory policies that have
federalism implications.'' ``Policies that have federalism
implications'' is defined in the Executive Order to include regulations
that have ``substantial direct effects on the States, on the
relationship between the national government and the States, or on the
distribution of power and responsibilities among the various levels of
government.'' Under Executive Order 13132, the agency may

[[Page 42551]]

not issue a regulation with Federalism implications, that imposes
substantial direct compliance costs, and that is not required by
statute, unless the Federal government provides the funds necessary to
pay the direct compliance costs incurred by State and local
governments, the agency consults with State and local governments, or
the agency consults with State and local officials early in the process
of developing the proposed regulation.
This rule will not have substantial direct effects on the States,
on the relationship between the national government and the States, or
on the distribution of power and responsibilities among the various
levels of government, as specified in Executive Order 13132. This rule
only updates existing penalties, pursuant to statute. MARAD has not
collected any civil penalties under these regulations within the last
five years and if it were to assess penalties, due to the amounts
involved, it would not have a substantial direct effect on a State.
Thus, the requirements of Section 6 of the Executive Order do not
apply.

Unfunded Mandates Reform Act of 1995

The Unfunded Mandates Reform Act of 1995, Public Law 104-4,
requires agencies to prepare a written assessment of the cost, benefits
and other effects of proposed or final rules that include a Federal
mandate likely to result in the expenditure by State, local, or tribal
governments, in the aggregate, or by the private sector, of more than
$100 million annually. Because this rule will not have a $100 million
effect, no Unfunded Mandates assessment will be prepared.

Executive Order 12778 (Civil Justice Reform)

This rule does not have a retroactive or preemptive effect.
Judicial review of a rule based on this proposal may be obtained
pursuant to 5 U.S.C. 702. That section does not require that a petition
for reconsideration be filed prior to seeking judicial review.

Paperwork Reduction Act

In accordance with the Paperwork Reduction Act of 1980, we state
that there are no requirements for information collection associated
with this rulemaking action.

Privacy Act

Please note that anyone is able to search the electronic form of
all comments received into any of our dockets by the name of the
individual submitting the comment (or signing the comment, if submitted
on behalf of an association, business, labor union, etc.). You may
review DOT's complete Privacy Act Statement in the Federal Register
published on April 11, 2000 (Volume 65, Number 70; Pages 19477-78), or
you may visit https://dms.dot.gov.

List of Subjects

46 CFR Part 221

Regulated Transactions Involving Documented Vessels and Other
Maritime Interests.

46 CFR Part 307

Establishment of Mandatory Position Reporting System for Vessels.

46 CFR Part 340

Priority Use and Allocation of Shipping Services, Containers and
Chassis, and Port Facilities and Services for National Security and
National Defense Related Operations.

46 CFR Part 356

Requirements for Vessels of 100 Feet or Greater in Registered
Length to Obtain a Fishery Endorsement to the Vessel's Documentation.

In consideration of the foregoing, 46 CFR parts 221, 307, 340, and
356 are amended as set forth below.

PART 221--REGULATED TRANSACTIONS INVOLVING DOCUMENTED VESSELS AND
OTHER MARITIME INTERESTS

0
1. The authority citation for 46 CFR part 221 is revised to read as
follows:

Authority: 46 U.S.C. chs. 301, 313, and 561; Pub. L. 114-74; 49
CFR 1.93.

0
2. Section 221.61 is revised to read as follows:

Sec. 221.61 Compliance.

(a) This subpart describes procedures for the administration of
civil penalties that the Maritime Administration may assess under 46
U.S.C. 31309, 31330 and 56101, pursuant to 49 U.S.C. 336.
(b) Pursuant to 46 U.S.C. 31309, a general penalty of not more than
$19,787 may be assessed for each violation of chapter 313 or 46 U.S.C.
subtitle III administered by the Maritime Administration, and the
regulations in this part that are promulgated thereunder, except that a
person violating 46 U.S.C. 31329 and the regulations promulgated
thereunder is liable for a civil penalty of not more than $49,467 for
each violation. A person that charters, sells, transfers or mortgages a
vessel, or an interest therein, in violation of 46 U.S.C. 56101(e) is
liable for a civil penalty of not more than $18,936 for each violation.

PART 307--ESTABLISHMENT OF MANDATORY POSITION REPORTING SYSTEM FOR
VESSELS

0
3. The authority citation for 46 CFR part 307 is revised to read as
follows:

Authority: Pub. L. 109-304; 46 U.S.C. 50113; Pub. L. 114-74; 49
CFR 1.93.

0
4. Section 307.19 is revised to read as follows:

Sec. 307.19 Penalties.

The owner or operator of a vessel in the waterborne foreign
commerce of the United States is subject to a penalty of $125.00 for
each day of failure to file an AMVER report required by this part. Such
penalty shall constitute a lien upon the vessel, and such vessel may be
libeled in the district court of the United States in which the vessel
may be found.

PART 340--PRIORITY USE AND ALLOCATION OF SHIPPING SERVICES,
CONTAINERS AND CHASSIS, AND PORT FACILITIES AND SERVICES FOR
NATIONAL SECURITY AND NATIONAL DEFENSE RELATED OPERATIONS

0
5. The authority citation for 46 CFR part 340 is revised to read as
follows:

Authority: 50 U.S.C. 4501 et seq. (``The Defense Production
Act''); Executive Order 13603 (77 FR 16651); Executive Order 12656
(53 FR 47491); Pub. L. 114-74; 49 CFR 1.45; 49 CFR 1.93(l).

0
6. Section 340.9 is revised to read as follows:

Sec. 340.9 Compliance.

Pursuant 50 U.S.C. 4513 any person who willfully performs any act
prohibited, or willfully fails to perform any act required, by the
provisions of this regulation shall, upon conviction, be fined not more
than $25,000 or imprisoned for not more than one year, or both.

PART 356--REQUIREMENTS FOR VESSELS OF 100 FEET OR GREATER IN
REGISTERED LENGTH TO OBTAIN A FISHERY ENDORSEMENT TO THE VESSEL'S
DOCUMENTATION

0
6. The authority citation for 46 CFR part 356 is revised to read as
follows:

Authority: 46 U.S.C. 12102; 46 U.S.C. 12151; 46 U.S.C. 31322;
Pub. L. 105-277, division C, title II, subtitle I, section 203 (46
U.S.C. 12102 note), section 210(e), and section 213(g), 112 Stat.
2681; Pub. L. 107-20, section 2202, 115 Stat. 168-170; Pub. L. 114-
74; 49 CFR 1.93.

0
7. In Sec. 356.49, revise paragraph (b) to read as follows:

[[Page 42552]]

Sec. Penalties.

* * * * *
(b) A fine of up to $145,023 may be assessed against the vessel
owner for each day in which such vessel has engaged in fishing (as such
term is defined in section 3 of the Magnuson-Stevens Fishery
Conservation and Management Act (16 U.S.C. 1802) within the exclusive
economic zone of the United States; and
* * * * *

Dated: June 27, 2016.

By Order of the Maritime Administrator.
Gabriel Chavez,
Secretary, Maritime Administration.
[FR Doc. 2016-15566 Filed 6-29-16; 8:45 am]
BILLING CODE 4910-81-P

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