Adjustment of Civil Penalties for Inflation for FY 2017, 8133-8135 [2017-01313]
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Federal Register / Vol. 82, No. 14 / Tuesday, January 24, 2017 / Rules and Regulations
sradovich on DSK3GMQ082PROD with RULES
may assess against the individual a civil
monetary penalty in any amount, not to
exceed the amounts set forth below, as
provided by section 102(f)(6)(C)(ii) of
the Act and as adjusted in accordance
with the inflation adjustment
procedures of the Federal Civil Penalties
Inflation Adjustment Act of 1990, as
amended:
§ 2636.104
action.
Civil, disciplinary and other
(a) Civil action. Except when the
employee engages in conduct in good
faith reliance upon an advisory opinion
issued under § 2636.103, an employee
who engages in any conduct in violation
of the prohibitions, limitations and
restrictions contained in this part may
be subject to civil action under 5 U.S.C.
app. 504(a) and a civil monetary penalty
of not more than the amounts set forth
below, as adjusted in accordance with
the inflation adjustment procedures
prescribed in the Federal Civil Penalties
Inflation Adjustment Act of 1990, as
amended, or the amount of the
compensation the individual received
for the prohibited conduct, whichever is
greater.
8133
to $10,957 for each false claim or
statement.
This final rule is effective on
January 24, 2017.
DATES:
Please refer to Docket ID
NRC–2016–0165 when contacting the
NRC about the availability of
information for this action. You may
obtain publicly-available information
Date of violation
Penalty
related to this action by any of the
following methods:
Violation occurring between Sept.
29, 1999 and Nov. 2, 2015 .......
$5,500
• Federal Rulemaking Web site: Go to
Violation occurring after Nov. 2,
https://www.regulations.gov and search
2015 ..........................................
9,623
for Docket ID NRC–2016–0165. Address
questions about NRC dockets to Carol
■ 4. Section 2634.703 is revised to read
Gallagher; telephone: 301–415–3463;
as follows:
email: Carol.Gallagher@nrc.gov. For
technical questions, contact the
§ 2634.703 Misuse of public reports.
individual listed in the FOR FURTHER
(a) The Attorney General may bring a
INFORMATION CONTACT section of this
Date of violation
Penalty
civil action against any person who
document.
obtains or uses a report filed under this
Violation occurring between Sept.
• NRC’s Agencywide Documents
part for any purpose prohibited by
29, 1999 and Nov. 2, 2015 .......
$11,000
Access and Management System
section 105(c)(1) of the Act, as
Violation occurring after Nov. 2,
incorporated in § 2634.603(f). The court
2015 ..........................................
19,246 (ADAMS): You may obtain publiclyavailable documents online in the
in which the action is brought may
ADAMS Public Documents collection at
assess against the person a civil
*
*
*
*
*
https://www.nrc.gov/reading-rm/
monetary penalty in any amount, not to [FR Doc. 2017–00627 Filed 1–23–17; 8:45 am]
adams.html. To begin the search, select
exceed the amounts set forth below, as
BILLING CODE 6345–03–P
‘‘ADAMS Public Documents’’ and then
provided by section 105(c)(2) of the Act
select ‘‘Begin Web-based ADAMS
and as adjusted in accordance with the
Search.’’ For problems with ADAMS,
inflation adjustment procedures
NUCLEAR REGULATORY
please contact the NRC’s Public
prescribed in the Federal Civil Penalties COMMISSION
Document Room (PDR) reference staff at
Inflation Adjustment Act of 1990, as
1–800–397–4209, 301–415–4737, or by
amended:
10 CFR Parts 2 and 13
email to pdr.resource@nrc.gov. The
[NRC–2016–0165]
ADAMS accession number for each
Date of violation
Penalty
document referenced (if it is available in
RIN 3150–AJ82
Violation occurring between Sept.
ADAMS) is provided the first time that
29, 1999 and Nov. 2, 2015 .......
$11,000 Adjustment of Civil Penalties for
it is mentioned in the SUPPLEMENTARY
Violation occurring after Nov. 2,
Inflation for FY 2017
INFORMATION section.
2015 ..........................................
19,246
• NRC’s PDR: You may examine and
AGENCY: Nuclear Regulatory
purchase copies of public documents at
(b) This remedy shall be in addition
Commission.
the NRC’s PDR, Room O1–F21, One
to any other remedy available under
ACTION: Final rule.
White Flint North, 11555 Rockville
statutory or common law.
SUMMARY: The U.S. Nuclear Regulatory
Pike, Rockville, Maryland 20852.
PART 2636—LIMITATIONS ON
Commission (NRC) is amending its
OUTSIDE EARNED INCOME,
regulations to adjust the maximum civil FOR FURTHER INFORMATION CONTACT: Eric
EMPLOYMENT AND AFFILIATIONS
monetary penalties (CMPs) it can assess Michel, Office of the General Counsel,
telephone: 301–287–3704, email:
FOR CERTAIN NONCAREER
under statutes enforced by the agency.
Eric.Michel2@nrc.gov, U.S. Nuclear
EMPLOYEES
These changes are mandated by the
Regulatory Commission, Washington,
Federal Civil Penalties Inflation
DC 20555–0001.
■ 5. The authority citation for part 2636
Adjustment Act of 1990 (FCPIAA), as
continues to read as follows:
amended by the Federal Civil Penalties
SUPPLEMENTARY INFORMATION:
Authority: 5 U.S.C. App. (Ethics in
Inflation Adjustment Act Improvements
Table of Contents
Government Act of 1978); Pub. L. 101–410,
Act of 2015 (2015 Improvements Act).
104 Stat. 890, 28 U.S.C. 2461 note (Federal
The NRC is amending its regulations to
I. Background
Civil Penalties Inflation Adjustment Act of
adjust the maximum CMP for a violation
1990), as amended by Sec. 31001, Pub. L.
II. Discussion
of the Atomic Energy Act of 1954, as
104–134, 110 Stat. 1321 (Debt Collection
III. Rulemaking Procedure
Improvement Act of 1996) and Sec. 701, Pub. amended (AEA), or any regulation or
IV. Section-by-Section Analysis
order issued under the AEA from
L. 114–74 (Federal Civil Penalties Inflation
V. Regulatory Analysis
Adjustment Act Improvements Act of 2015);
$280,469 to $285,057 per violation, per
VI. Regulatory Flexibility Act
E.O. 12674, 54 FR 15159, 3 CFR, 1989 Comp., day. Additionally, the NRC is amending VII. Backfitting and Issue Finality
p. 215, as modified by E.O. 12731, 55 FR
provisions concerning program fraud
VIII. Plain Writing
42547, 3 CFR, 1990 Comp., p. 306.
civil penalties by adjusting the
IX. National Environmental Policy Act
■ 6. Section 2636.104 is amended by
maximum CMP under the Program
X. Paperwork Reduction Act
revising paragraph (a) to read as follows: Fraud Civil Remedies Act from $10,781
XI. Congressional Review Act
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17:47 Jan 23, 2017
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ADDRESSES:
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8134
Federal Register / Vol. 82, No. 14 / Tuesday, January 24, 2017 / Rules and Regulations
sradovich on DSK3GMQ082PROD with RULES
I. Background
Congress passed the FCPIAA in 1990
to allow for regular adjustment for
inflation of CMPs, maintain the
deterrent effect of such penalties and
promote compliance with the law, and
improve the collection of CMPs by the
Federal government (Pub. L. 101–410,
104 Stat. 890; 28 U.S.C. 2461 note). The
Debt Collection Improvement Act of
1996 amended the FCPIAA to require
the head of each agency to review, and
if necessary adjust by regulation, the
CMPs assessed under statutes enforced
by that agency at least once every 4
years, in accordance with a statutory
formula linked to the percentage change
in the Consumer Price Index (CPI) (Pub.
L. 104–34, 110 Stat. 1321–373).
Pursuant to this authority, the NRC
increased the CMP amounts for
violations of the AEA (codified at
§ 2.205 of title 10 of the Code of Federal
Regulations (10 CFR)) and Program
Fraud Civil Remedies Act (codified at
10 CFR 13.3) on four occasions between
1996 and 2008.1
On November 2, 2015, Congress
amended the FCPIAA through the 2015
Improvements Act (Sec. 701, Pub. L.
114–74, 129 Stat. 599). The 2015
Improvements Act required that the
head of each agency perform a ‘‘catchup’’ adjustment by rulemaking, not later
than July 1, 2016, adjusting the CMPs
within the jurisdiction of that agency
according to the percentage change in
the CPI between the month of October
2015 and October of the calendar year
when the CMP amount was last
established by Congress. The NRC
performed this rulemaking on July 1,
2016 (81 FR 43019), increasing the
amounts codified at 10 CFR 2.205 and
10 CFR 13.3 to $280,469 and $10,781,
respectively.
The 2015 Improvements Act also
requires that the head of each agency
continue to adjust CMP amounts,
rounded to the nearest dollar, each year
thereafter. Specifically, each CMP is to
be adjusted based on the percentage
change between the CPI for the previous
month of October, and the CPI for the
month of October in the year preceding
that. Therefore, the CMP adjustment
1 Adjustment of Civil Penalties for Inflation, 73
FR 54671 (September 23, 2008); Adjustment of Civil
Penalties for Inflation, 69 FR 62393 (October 26,
2004); Adjustment of Civil Penalties for Inflation;
Miscellaneous Administrative Changes, 65 FR
59270 (October 4, 2000); Adjustment of Civil
Monetary Penalties for Inflation, 61 FR 53554
(October 11, 1996). An adjustment was not
performed in 2012 because the FCPIAA at the time
required agencies to round their CMP amounts to
the nearest multiple of $1,000 or $10,000,
depending on the size of the CMP amount, and the
2012 adjustments based on the statutory formula
were not large enough to warrant an adjustment.
VerDate Sep<11>2014
17:47 Jan 23, 2017
Jkt 241001
required to be performed in 2017 is to
be based on the percentage change
between the CPI for the month of
October 2016 and October 2015.
II. Discussion
Section 234 of the AEA limits civil
penalties for violations of the AEA to
$100,000 per day, per violation (42
U.S.C. 2282). However, as discussed in
the Background section of this
document, the NRC has increased this
amount several times since 1996 under
the FCPIAA, as amended. Using the
formula in the 2015 Improvements Act,
the $280,469 amount last established in
July 2016 will increase by 1.636 percent,
resulting in a new CMP amount of
$285,057. This is based on the
percentage change between the October
2016 CPI (241.729) and the October
2015 CPI (237.838).2 The NRC is
amending 10 CFR 2.205 to reflect a new
maximum CMP under the AEA in the
amount of $285,057 per day, per
violation. This represents an increase of
$4,588.
Monetary penalties under the Program
Fraud Civil Remedies Act were
established in 1986 at $5,000 per claim
(Pub. L. 99–509, 100 Stat. 1938; 31
U.S.C. 3802). Since 1996 the NRC has
adjusted this amount (currently set at
$10,781) multiple times under the
FCPIAA, as amended. Using the same
previously discussed formula in the
2015 Improvements Act, the $10,781
amount will increase by 1.636 percent,
resulting in a new CMP amount of
$10,957. Therefore, the NRC is
amending 10 CFR 13.3 to reflect a new
maximum CMP amount of $10,957 per
claim. This represents an increase of
$176.
As permitted by the 2015
Improvements Act, the NRC may apply
these increased CMP amounts to any
penalties assessed by the agency after
the effective date of this final rule
(January 24, 2017), regardless of
whether the associated violation
occurred before or after this date (Pub.
L. 114–74, 129 Stat. 600; 28 U.S.C. 2461
note). The NRC assesses civil penalty
amounts, based on the class of licensee
and severity of the violation, in
accordance with the NRC Enforcement
Policy (ADAMS Accession No.
ML16197A561).
2 These figures are confirmed by guidance from
the Office of Management and Budget (OMB)
concerning implementation of the 2015
Improvements Act. See OMB M–17–11,
Implementation of the 2017 annual adjustment
pursuant to the Federal Civil Penalties Inflation
Adjustment Act Improvements Act of 2015
(December 16, 2016), available at https://
www.whitehouse.gov/sites/default/files/omb/
memoranda/2017/m-17-11_0.pdf.
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III. Rulemaking Procedure
The 2015 Improvements Act expressly
states that agencies shall make the
adjustments required by the act
‘‘notwithstanding section 553 of title 5,
United States Code’’. Therefore, because
this final rule has been expressly
exempted by Congress from the notice
and comment requirements of the
Administrative Procedure Act (5 U.S.C.
553), it is being issued without prior
public notice or opportunity for public
comment, with an immediate effective
date.
IV. Section-by-Section Analysis
10 CFR 2.205
Paragraph (j) in § 2.205 is revised by
replacing ‘‘$280,469’’ with ‘‘$285,057.’’
10 CFR 13.3
Paragraphs (a)(1)(iv) and (b)(1)(ii) in
§ 13.3 are revised by replacing
‘‘$10,781’’ with ‘‘$10,957.’’
V. Regulatory Analysis
This final rule adjusts for inflation the
maximum CMPs the NRC may assess
under the AEA and under the Program
Fraud Civil Remedies Act of 1986. The
formula for determining the amount of
the adjustment is mandated by Congress
in the FCPIAA, as amended by the 2015
Improvements Act (codified at 28 U.S.C.
2461 note). Congress passed this
legislation on the basis of its findings
that the power to impose monetary civil
penalties is important to deterring
violations of Federal law and furthering
the policy goals of Federal laws and
regulations. Congress has also found
that inflation has diminished the impact
of these penalties and their effect. The
principal purposes of this legislation are
to provide for adjustment of civil
monetary penalties for inflation,
maintain the deterrent effect of civil
monetary penalties, and promote
compliance with the law. Therefore,
these are the anticipated impacts of this
final rule. Direct monetary impacts fall
only upon licensees or other persons
subjected to NRC enforcement for
violations of the AEA and regulations
and orders issued under the AEA (10
CFR 2.205), or those licensees or
persons subjected to liability pursuant
to the provisions of the Program Fraud
Civil Remedies Act of 1986 (31 U.S.C.
3801–3812) and the NRC’s
implementing regulations (10 CFR part
13).
VI. Regulatory Flexibility Act
The Regulatory Flexibility Act does
not apply to regulations for which a
Federal agency is not required by law,
including the rulemaking provisions of
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Federal Register / Vol. 82, No. 14 / Tuesday, January 24, 2017 / Rules and Regulations
the Administrative Procedure Act, 5
U.S.C 553(b), to publish a general notice
of proposed rulemaking. 5 U.S.C. 604.
As discussed in this notice under
Section III, ‘‘Rulemaking Procedure,’’
the NRC has determined that this final
rule is exempt from the requirements of
5 U.S.C. 553(b) and that notice and
comment need not be provided.
Accordingly, the NRC also determines
that the requirements of the Regulatory
Flexibility Act do not apply to this final
rule.
VII. Backfitting and Issue Finality
The NRC has not prepared a backfit
analysis for this final rule. This final
rule does not involve any provision that
would impose a backfit, nor is it
inconsistent with any issue finality
provision, as those terms are defined in
10 CFR chapter I. As mandated by
Congress, this final rule adjusts CMP
amounts for violations of alreadyexisting NRC regulations and
requirements. This final rule does not
modify any licensee system, structures,
components, designs, approvals, or
procedures required for the construction
or operation of any facility.
VIII. Plain Writing
The Plain Writing Act of 2010 (Pub.
L. 111–274) requires Federal agencies to
write documents in a clear, concise, and
well-organized manner. The NRC has
written this document to be consistent
with the Plain Writing Act as well as the
Presidential Memorandum, ‘‘Plain
Language in Government Writing,’’
published June 10, 1998 (63 FR 31883).
IX. National Environmental Policy Act
The NRC has determined that this
final rule is the type of action described
as a categorical exclusion in 10 CFR
51.22(c)(1). Therefore, neither an
environmental impact statement nor an
environmental assessment has been
prepared for this final rule.
sradovich on DSK3GMQ082PROD with RULES
This final rule does not contain a
collection of information as defined in
the Paperwork Reduction Act of 1995
(44 U.S.C. 3501 et seq.) and, therefore,
is not subject to the requirements of the
Paperwork Reduction Act of 1995.
XI. Congressional Review Act
This final rule is a rule as defined in
the Congressional Review Act (5 U.S.C.
801–808). However, the Office of
Management and Budget has not found
it to be a major rule as defined in the
Congressional Review Act.
17:47 Jan 23, 2017
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PART 13—PROGRAM FRAUD CIVIL
REMEDIES
10 CFR Part 2
Administrative practice and
procedure, Antitrust, Byproduct
material, Classified information,
Confidential business information,
Freedom of information, Environmental
protection, Hazardous waste, Nuclear
energy, Nuclear materials, Nuclear
power plants and reactors, Penalties,
Reporting and recordkeeping
requirements, Sex discrimination,
Source material, Special nuclear
material, Waste treatment and disposal.
10 CFR Part 13
Administrative practice and
procedure, Claims, Fraud, Organization
and function (government agencies),
Penalties.
For the reasons set out in the
preamble and under the authority of the
Atomic Energy Act of 1954, as amended;
the Energy Reorganization Act of 1974,
as amended; 28 U.S.C. 2461 note; and 5
U.S.C. 552 and 553, the NRC is adopting
the following amendments to 10 CFR
parts 2 and 13.
PART 2—AGENCY RULES OF
PRACTICE AND PROCEDURE
1. The authority citation for part 2
continues to read as follows:
■
Authority: Atomic Energy Act of 1954,
secs. 29, 53, 62, 63, 81, 102, 103, 104, 105,
161, 181, 182, 183, 184, 186, 189, 191, 234
(42 U.S.C. 2039, 2073, 2092, 2093, 2111,
2132, 2133, 2134, 2135, 2201, 2231, 2232,
2233, 2234, 2236, 2239, 2241, 2282); Energy
Reorganization Act of 1974, secs. 201, 206
(42 U.S.C. 5841, 5846); Nuclear Waste Policy
Act of 1982, secs. 114(f), 134, 135, 141 (42
U.S.C. 10134(f), 10154, 10155, 10161);
Administrative Procedure Act (5 U.S.C. 552,
553, 554, 557, 558); National Environmental
Policy Act of 1969 (42 U.S.C. 4332); 44 U.S.C.
3504 note.
Section 2.205(j) also issued under 28
U.S.C. 2461 note.
3. The authority citation for part 13
continues to read as follows:
■
Authority: 31 U.S.C. 3801 through 3812;
44 U.S.C. 3504 note. Section 13.3 also issued
under 28 U.S.C. 2461 note. Section 13.13 also
issued under 31 U.S.C. 3730.
4. Amend § 13.3 by revising
paragraphs (a)(1)(iv) and (b)(1)(ii) to
read as follows:
■
§ 13.3 Basis for civil penalties and
assessments.
(a) * * *
(1) * * *
(iv) Is for payment for the provision
of property or services which the person
has not provided as claimed, shall be
subject, in addition to any other remedy
that may be prescribed by law, to a civil
penalty of not more than $10,957 for
each such claim.
*
*
*
*
*
(b) * * *
(1) * * *
(ii) Contains or is accompanied by an
express certification or affirmation of
the truthfulness and accuracy of the
contents of the statement, shall be
subject, in addition to any other remedy
that may be prescribed by law, to a civil
penalty of not more than $10,957 for
each such statement.
*
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Dated in Rockville, Maryland, this 9th day
of January, 2017.
For the Nuclear Regulatory Commission.
Victor M. McCree,
Executive Director for Operations.
[FR Doc. 2017–01313 Filed 1–23–17; 8:45 am]
BILLING CODE 7590–01–P
FEDERAL TRADE COMMISSION
16 CFR Part 1
2. Amend § 2.205 by revising
paragraph (j) to read as follows:
Adjustments to Civil Penalty Amounts
§ 2.205
X. Paperwork Reduction Statement
VerDate Sep<11>2014
List of Subjects
8135
ACTION:
■
Civil penalties.
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(j) Amount. A civil monetary penalty
imposed under Section 234 of the
Atomic Energy Act of 1954, as amended,
or any other statute within the
jurisdiction of the Commission that
provides for the imposition of a civil
penalty in an amount equal to the
amount set forth in Section 234, may
not exceed $285,057 for each violation.
If any violation is a continuing one,
each day of such violation shall
constitute a separate violation for the
purposes of computing the applicable
civil penalty.
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Federal Trade Commission.
Final rule.
AGENCY:
The Federal Trade
Commission (‘‘FTC’’ or ‘‘Commission’’)
is confirming certain amendments made
on an interim final basis to the civil
penalty amounts within its jurisdiction
in June 2016 and implementing further
adjustments to the civil penalty
amounts within its jurisdiction to
account for inflation, as required by law.
DATES: Effective: January 24, 2017.
FOR FURTHER INFORMATION CONTACT:
Kenny A. Wright, Attorney, Office of the
General Counsel, FTC, 600
Pennsylvania Avenue NW., Washington,
SUMMARY:
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Agencies
[Federal Register Volume 82, Number 14 (Tuesday, January 24, 2017)]
[Rules and Regulations]
[Pages 8133-8135]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-01313]
=======================================================================
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NUCLEAR REGULATORY COMMISSION
10 CFR Parts 2 and 13
[NRC-2016-0165]
RIN 3150-AJ82
Adjustment of Civil Penalties for Inflation for FY 2017
AGENCY: Nuclear Regulatory Commission.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: The U.S. Nuclear Regulatory Commission (NRC) is amending its
regulations to adjust the maximum civil monetary penalties (CMPs) it
can assess under statutes enforced by the agency. These changes are
mandated by the Federal Civil Penalties Inflation Adjustment Act of
1990 (FCPIAA), as amended by the Federal Civil Penalties Inflation
Adjustment Act Improvements Act of 2015 (2015 Improvements Act). The
NRC is amending its regulations to adjust the maximum CMP for a
violation of the Atomic Energy Act of 1954, as amended (AEA), or any
regulation or order issued under the AEA from $280,469 to $285,057 per
violation, per day. Additionally, the NRC is amending provisions
concerning program fraud civil penalties by adjusting the maximum CMP
under the Program Fraud Civil Remedies Act from $10,781 to $10,957 for
each false claim or statement.
DATES: This final rule is effective on January 24, 2017.
ADDRESSES: Please refer to Docket ID NRC-2016-0165 when contacting the
NRC about the availability of information for this action. You may
obtain publicly-available information related to this action by any of
the following methods:
Federal Rulemaking Web site: Go to https://www.regulations.gov and search for Docket ID NRC-2016-0165. Address
questions about NRC dockets to Carol Gallagher; telephone: 301-415-
3463; email: Carol.Gallagher@nrc.gov. For technical questions, contact
the individual listed in the FOR FURTHER INFORMATION CONTACT section of
this document.
NRC's Agencywide Documents Access and Management System
(ADAMS): You may obtain publicly-available documents online in the
ADAMS Public Documents collection at https://www.nrc.gov/reading-rm/adams.html. To begin the search, select ``ADAMS Public Documents'' and
then select ``Begin Web-based ADAMS Search.'' For problems with ADAMS,
please contact the NRC's Public Document Room (PDR) reference staff at
1-800-397-4209, 301-415-4737, or by email to pdr.resource@nrc.gov. The
ADAMS accession number for each document referenced (if it is available
in ADAMS) is provided the first time that it is mentioned in the
SUPPLEMENTARY INFORMATION section.
NRC's PDR: You may examine and purchase copies of public
documents at the NRC's PDR, Room O1-F21, One White Flint North, 11555
Rockville Pike, Rockville, Maryland 20852.
FOR FURTHER INFORMATION CONTACT: Eric Michel, Office of the General
Counsel, telephone: 301-287-3704, email: Eric.Michel2@nrc.gov, U.S.
Nuclear Regulatory Commission, Washington, DC 20555-0001.
SUPPLEMENTARY INFORMATION:
Table of Contents
I. Background
II. Discussion
III. Rulemaking Procedure
IV. Section-by-Section Analysis
V. Regulatory Analysis
VI. Regulatory Flexibility Act
VII. Backfitting and Issue Finality
VIII. Plain Writing
IX. National Environmental Policy Act
X. Paperwork Reduction Act
XI. Congressional Review Act
[[Page 8134]]
I. Background
Congress passed the FCPIAA in 1990 to allow for regular adjustment
for inflation of CMPs, maintain the deterrent effect of such penalties
and promote compliance with the law, and improve the collection of CMPs
by the Federal government (Pub. L. 101-410, 104 Stat. 890; 28 U.S.C.
2461 note). The Debt Collection Improvement Act of 1996 amended the
FCPIAA to require the head of each agency to review, and if necessary
adjust by regulation, the CMPs assessed under statutes enforced by that
agency at least once every 4 years, in accordance with a statutory
formula linked to the percentage change in the Consumer Price Index
(CPI) (Pub. L. 104-34, 110 Stat. 1321-373). Pursuant to this authority,
the NRC increased the CMP amounts for violations of the AEA (codified
at Sec. 2.205 of title 10 of the Code of Federal Regulations (10 CFR))
and Program Fraud Civil Remedies Act (codified at 10 CFR 13.3) on four
occasions between 1996 and 2008.\1\
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\1\ Adjustment of Civil Penalties for Inflation, 73 FR 54671
(September 23, 2008); Adjustment of Civil Penalties for Inflation,
69 FR 62393 (October 26, 2004); Adjustment of Civil Penalties for
Inflation; Miscellaneous Administrative Changes, 65 FR 59270
(October 4, 2000); Adjustment of Civil Monetary Penalties for
Inflation, 61 FR 53554 (October 11, 1996). An adjustment was not
performed in 2012 because the FCPIAA at the time required agencies
to round their CMP amounts to the nearest multiple of $1,000 or
$10,000, depending on the size of the CMP amount, and the 2012
adjustments based on the statutory formula were not large enough to
warrant an adjustment.
---------------------------------------------------------------------------
On November 2, 2015, Congress amended the FCPIAA through the 2015
Improvements Act (Sec. 701, Pub. L. 114-74, 129 Stat. 599). The 2015
Improvements Act required that the head of each agency perform a
``catch-up'' adjustment by rulemaking, not later than July 1, 2016,
adjusting the CMPs within the jurisdiction of that agency according to
the percentage change in the CPI between the month of October 2015 and
October of the calendar year when the CMP amount was last established
by Congress. The NRC performed this rulemaking on July 1, 2016 (81 FR
43019), increasing the amounts codified at 10 CFR 2.205 and 10 CFR 13.3
to $280,469 and $10,781, respectively.
The 2015 Improvements Act also requires that the head of each
agency continue to adjust CMP amounts, rounded to the nearest dollar,
each year thereafter. Specifically, each CMP is to be adjusted based on
the percentage change between the CPI for the previous month of
October, and the CPI for the month of October in the year preceding
that. Therefore, the CMP adjustment required to be performed in 2017 is
to be based on the percentage change between the CPI for the month of
October 2016 and October 2015.
II. Discussion
Section 234 of the AEA limits civil penalties for violations of the
AEA to $100,000 per day, per violation (42 U.S.C. 2282). However, as
discussed in the Background section of this document, the NRC has
increased this amount several times since 1996 under the FCPIAA, as
amended. Using the formula in the 2015 Improvements Act, the $280,469
amount last established in July 2016 will increase by 1.636 percent,
resulting in a new CMP amount of $285,057. This is based on the
percentage change between the October 2016 CPI (241.729) and the
October 2015 CPI (237.838).\2\ The NRC is amending 10 CFR 2.205 to
reflect a new maximum CMP under the AEA in the amount of $285,057 per
day, per violation. This represents an increase of $4,588.
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\2\ These figures are confirmed by guidance from the Office of
Management and Budget (OMB) concerning implementation of the 2015
Improvements Act. See OMB M-17-11, Implementation of the 2017 annual
adjustment pursuant to the Federal Civil Penalties Inflation
Adjustment Act Improvements Act of 2015 (December 16, 2016),
available at https://www.whitehouse.gov/sites/default/files/omb/memoranda/2017/m-17-11_0.pdf.
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Monetary penalties under the Program Fraud Civil Remedies Act were
established in 1986 at $5,000 per claim (Pub. L. 99-509, 100 Stat.
1938; 31 U.S.C. 3802). Since 1996 the NRC has adjusted this amount
(currently set at $10,781) multiple times under the FCPIAA, as amended.
Using the same previously discussed formula in the 2015 Improvements
Act, the $10,781 amount will increase by 1.636 percent, resulting in a
new CMP amount of $10,957. Therefore, the NRC is amending 10 CFR 13.3
to reflect a new maximum CMP amount of $10,957 per claim. This
represents an increase of $176.
As permitted by the 2015 Improvements Act, the NRC may apply these
increased CMP amounts to any penalties assessed by the agency after the
effective date of this final rule (January 24, 2017), regardless of
whether the associated violation occurred before or after this date
(Pub. L. 114-74, 129 Stat. 600; 28 U.S.C. 2461 note). The NRC assesses
civil penalty amounts, based on the class of licensee and severity of
the violation, in accordance with the NRC Enforcement Policy (ADAMS
Accession No. ML16197A561).
III. Rulemaking Procedure
The 2015 Improvements Act expressly states that agencies shall make
the adjustments required by the act ``notwithstanding section 553 of
title 5, United States Code''. Therefore, because this final rule has
been expressly exempted by Congress from the notice and comment
requirements of the Administrative Procedure Act (5 U.S.C. 553), it is
being issued without prior public notice or opportunity for public
comment, with an immediate effective date.
IV. Section-by-Section Analysis
10 CFR 2.205
Paragraph (j) in Sec. 2.205 is revised by replacing ``$280,469''
with ``$285,057.''
10 CFR 13.3
Paragraphs (a)(1)(iv) and (b)(1)(ii) in Sec. 13.3 are revised by
replacing ``$10,781'' with ``$10,957.''
V. Regulatory Analysis
This final rule adjusts for inflation the maximum CMPs the NRC may
assess under the AEA and under the Program Fraud Civil Remedies Act of
1986. The formula for determining the amount of the adjustment is
mandated by Congress in the FCPIAA, as amended by the 2015 Improvements
Act (codified at 28 U.S.C. 2461 note). Congress passed this legislation
on the basis of its findings that the power to impose monetary civil
penalties is important to deterring violations of Federal law and
furthering the policy goals of Federal laws and regulations. Congress
has also found that inflation has diminished the impact of these
penalties and their effect. The principal purposes of this legislation
are to provide for adjustment of civil monetary penalties for
inflation, maintain the deterrent effect of civil monetary penalties,
and promote compliance with the law. Therefore, these are the
anticipated impacts of this final rule. Direct monetary impacts fall
only upon licensees or other persons subjected to NRC enforcement for
violations of the AEA and regulations and orders issued under the AEA
(10 CFR 2.205), or those licensees or persons subjected to liability
pursuant to the provisions of the Program Fraud Civil Remedies Act of
1986 (31 U.S.C. 3801-3812) and the NRC's implementing regulations (10
CFR part 13).
VI. Regulatory Flexibility Act
The Regulatory Flexibility Act does not apply to regulations for
which a Federal agency is not required by law, including the rulemaking
provisions of
[[Page 8135]]
the Administrative Procedure Act, 5 U.S.C 553(b), to publish a general
notice of proposed rulemaking. 5 U.S.C. 604. As discussed in this
notice under Section III, ``Rulemaking Procedure,'' the NRC has
determined that this final rule is exempt from the requirements of 5
U.S.C. 553(b) and that notice and comment need not be provided.
Accordingly, the NRC also determines that the requirements of the
Regulatory Flexibility Act do not apply to this final rule.
VII. Backfitting and Issue Finality
The NRC has not prepared a backfit analysis for this final rule.
This final rule does not involve any provision that would impose a
backfit, nor is it inconsistent with any issue finality provision, as
those terms are defined in 10 CFR chapter I. As mandated by Congress,
this final rule adjusts CMP amounts for violations of already-existing
NRC regulations and requirements. This final rule does not modify any
licensee system, structures, components, designs, approvals, or
procedures required for the construction or operation of any facility.
VIII. Plain Writing
The Plain Writing Act of 2010 (Pub. L. 111-274) requires Federal
agencies to write documents in a clear, concise, and well-organized
manner. The NRC has written this document to be consistent with the
Plain Writing Act as well as the Presidential Memorandum, ``Plain
Language in Government Writing,'' published June 10, 1998 (63 FR
31883).
IX. National Environmental Policy Act
The NRC has determined that this final rule is the type of action
described as a categorical exclusion in 10 CFR 51.22(c)(1). Therefore,
neither an environmental impact statement nor an environmental
assessment has been prepared for this final rule.
X. Paperwork Reduction Statement
This final rule does not contain a collection of information as
defined in the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.)
and, therefore, is not subject to the requirements of the Paperwork
Reduction Act of 1995.
XI. Congressional Review Act
This final rule is a rule as defined in the Congressional Review
Act (5 U.S.C. 801-808). However, the Office of Management and Budget
has not found it to be a major rule as defined in the Congressional
Review Act.
List of Subjects
10 CFR Part 2
Administrative practice and procedure, Antitrust, Byproduct
material, Classified information, Confidential business information,
Freedom of information, Environmental protection, Hazardous waste,
Nuclear energy, Nuclear materials, Nuclear power plants and reactors,
Penalties, Reporting and recordkeeping requirements, Sex
discrimination, Source material, Special nuclear material, Waste
treatment and disposal.
10 CFR Part 13
Administrative practice and procedure, Claims, Fraud, Organization
and function (government agencies), Penalties.
For the reasons set out in the preamble and under the authority of
the Atomic Energy Act of 1954, as amended; the Energy Reorganization
Act of 1974, as amended; 28 U.S.C. 2461 note; and 5 U.S.C. 552 and 553,
the NRC is adopting the following amendments to 10 CFR parts 2 and 13.
PART 2--AGENCY RULES OF PRACTICE AND PROCEDURE
0
1. The authority citation for part 2 continues to read as follows:
Authority: Atomic Energy Act of 1954, secs. 29, 53, 62, 63, 81,
102, 103, 104, 105, 161, 181, 182, 183, 184, 186, 189, 191, 234 (42
U.S.C. 2039, 2073, 2092, 2093, 2111, 2132, 2133, 2134, 2135, 2201,
2231, 2232, 2233, 2234, 2236, 2239, 2241, 2282); Energy
Reorganization Act of 1974, secs. 201, 206 (42 U.S.C. 5841, 5846);
Nuclear Waste Policy Act of 1982, secs. 114(f), 134, 135, 141 (42
U.S.C. 10134(f), 10154, 10155, 10161); Administrative Procedure Act
(5 U.S.C. 552, 553, 554, 557, 558); National Environmental Policy
Act of 1969 (42 U.S.C. 4332); 44 U.S.C. 3504 note.
Section 2.205(j) also issued under 28 U.S.C. 2461 note.
0
2. Amend Sec. 2.205 by revising paragraph (j) to read as follows:
Sec. 2.205 Civil penalties.
* * * * *
(j) Amount. A civil monetary penalty imposed under Section 234 of
the Atomic Energy Act of 1954, as amended, or any other statute within
the jurisdiction of the Commission that provides for the imposition of
a civil penalty in an amount equal to the amount set forth in Section
234, may not exceed $285,057 for each violation. If any violation is a
continuing one, each day of such violation shall constitute a separate
violation for the purposes of computing the applicable civil penalty.
PART 13--PROGRAM FRAUD CIVIL REMEDIES
0
3. The authority citation for part 13 continues to read as follows:
Authority: 31 U.S.C. 3801 through 3812; 44 U.S.C. 3504 note.
Section 13.3 also issued under 28 U.S.C. 2461 note. Section 13.13
also issued under 31 U.S.C. 3730.
0
4. Amend Sec. 13.3 by revising paragraphs (a)(1)(iv) and (b)(1)(ii) to
read as follows:
Sec. 13.3 Basis for civil penalties and assessments.
(a) * * *
(1) * * *
(iv) Is for payment for the provision of property or services which
the person has not provided as claimed, shall be subject, in addition
to any other remedy that may be prescribed by law, to a civil penalty
of not more than $10,957 for each such claim.
* * * * *
(b) * * *
(1) * * *
(ii) Contains or is accompanied by an express certification or
affirmation of the truthfulness and accuracy of the contents of the
statement, shall be subject, in addition to any other remedy that may
be prescribed by law, to a civil penalty of not more than $10,957 for
each such statement.
* * * * *
Dated in Rockville, Maryland, this 9th day of January, 2017.
For the Nuclear Regulatory Commission.
Victor M. McCree,
Executive Director for Operations.
[FR Doc. 2017-01313 Filed 1-23-17; 8:45 am]
BILLING CODE 7590-01-P