Program Fraud Civil Remedies Act of 1986, Civil Monetary Penalties Inflation Adjustment, 1303-1304 [2018-00367]

Download as PDF Federal Register / Vol. 83, No. 8 / Thursday, January 11, 2018 / Rules and Regulations therefore, is withdrawing the direct final rule. EPA will address the comments in a subsequent final action based upon the proposed rule also published on November 14, 2017 (82 FR 52683). EPA will not institute a second comment period on this action. List of Subjects in 40 CFR Part 52 Environmental protection, Air pollution control, Carbon monoxide, Incorporation by reference, Intergovernmental relations, Lead, Nitrogen dioxide, Ozone, Particulate matter, Regional haze, Reporting and recordkeeping requirements, Sulfur oxides, Volatile organic compounds. Dated: December 22, 2017. Kenneth Moraff, Acting Regional Administrator, EPA New England. Accordingly, the amendments to 40 CFR 52.1520 published on November 14, 2017 (82 FR 52664) are withdrawn effective January 11, 2018. ■ [FR Doc. 2018–00288 Filed 1–10–18; 8:45 am] BILLING CODE 6560–50–P GENERAL SERVICES ADMINISTRATION 41 CFR Part 105–70 [FPMR Case 2018–101–1; Docket No. 2018– 0005; Sequence No. 1] RIN 3090–AJ92 Program Fraud Civil Remedies Act of 1986, Civil Monetary Penalties Inflation Adjustment Office of General Counsel, General Services Administration. ACTION: Final rule. AGENCY: In accordance with the Federal Civil Penalties Inflation Adjustment Act of 1990, as amended by the Debt Collection Improvement Act of 1996 and further amended by the Federal Civil Penalties Inflation Adjustment Act Improvement Act of 2015, this final rule incorporates the penalty inflation adjustments for the civil monetary penalties set forth in the United States Code, as codified in our regulations. DATES: Effective: February 12, 2018. FOR FURTHER INFORMATION CONTACT: Ms. Jessica Hawkins, Assistant General Counsel, General Law Division (LG), General Services Administration, 1800 F Street NW, Washington DC 20405. Telephone Number 202–501–1460. SUPPLEMENTARY INFORMATION: ethrower on DSK3G9T082PROD with RULES SUMMARY: VerDate Sep<11>2014 16:45 Jan 10, 2018 Jkt 244001 I. The Debt Collection Improvement Act of 1996 To maintain the remedial impact of civil monetary penalties (CMPs) and to promote compliance with the law, the Federal Civil Penalties Inflation Adjustment Act of 1990 (Pub. L. 101– 410) was amended by the Debt Collection Improvement Act of 1996 (Pub. L. 104–134) to require Federal agencies to regularly adjust certain CMPs for inflation and further amended by the Federal Civil Penalties Inflation Adjustment Act Improvement Act of 2015 (Sec. 701 of Pub. L. 114–74). As amended, the law requires each agency to make an initial inflationary adjustment for all applicable CMPs, and to make further adjustments at least once every year thereafter for these penalty amounts. The Debt Collection Improvement Act of 1996 further stipulates that any resulting increases in a CMP due to the calculated inflation adjustments shall apply only to violations which occur after the date the increase takes effect, i.e., thirty (30) days after date of publication in the Federal Register. Pursuant to the 2015 Act, agencies are required to adjust the level of the CMP with an initial ‘‘catch up‘‘, and make subsequent annual adjustments for inflation. Catch up adjustments are based on the percent change between the Consumer Price Index for Urban Consumers (CPI–U) for the month of October for the year of the previous adjustment, and the October 2015 CPI–U. Annual inflation adjustments will be based on the percent change between the October CPI–U preceding the date of adjustment and the prior year’s October CPI–U. II. The Program Fraud Civil Remedies Act of 1986 In 1986, sections 6103 and 6104 of the Omnibus Budget Reconciliation Act of 1986 (Pub. L. 99–501) set forth the Program Fraud Civil Remedies Act of 1986 (PFCRA). Specifically, this statute imposes a CMP and an assessment against any person who, with knowledge or reason to know, makes, submits, or presents a false, fictitious, or fraudulent claim or statement to the Government. The General Services Administration’s regulations, published in the Federal Register (61 FR 246, December 20, 1996) and codified at 41 CFR part 105–70, set forth a CMP of up to $10,781 for each false claim or statement made to the agency. Based on the penalty amount inflation factor calculation, derived from originally dividing the June 2015 CPI by the June 1996 CPI and making the CPI-based annual adjustment thereafter, after PO 00000 Frm 00015 Fmt 4700 Sfmt 4700 1303 rounding we are adjusting the maximum penalty amount for this CMP to $11,001 per violation. III. Waiver of Proposed Rulemaking In developing this final rule, we are waiving the usual notice of proposed rulemaking and public comment procedures set forth in the Administrative Procedure Act, 5 U.S.C. 553 (APA). The APA provides an exception to the notice and comment procedures when an agency finds there is good cause for dispensing with such procedures on the basis that they are impracticable, unnecessary or contrary to the public interest. We have determined that under 5 U.S.C. 553(b)(3)(B) good cause exists for dispensing with the notice of proposed rulemaking and public comment procedures for this rule. Specifically, this rulemaking comports and is consistent with the statutory authority set forth in the Debt Collection Improvement Act of 1996, with no issues of policy discretion. Accordingly, we believe that opportunity for prior comment is unnecessary and contrary to the public interest, and we are issuing these revised regulations as a final rule that will apply to all future cases under this authority. IV. Executive Orders 12866 and 13563 Executive Orders (E.O.s) 12866 and 13563 direct agencies to assess all costs and benefits of available regulatory alternatives and, if regulation is necessary, to select regulatory approaches that maximize net benefits (including potential economic, environmental, public health and safety effects, distributive impacts, and equity). E.O. 13563 emphasizes the importance of quantifying both costs and benefits, of reducing costs, of harmonizing rules, and of promoting flexibility. This is a not significant regulatory action and, therefore, was not subject to review under Section 6(b) of E.O. 12866, Regulatory Planning and Review, dated September 30, 1993. This rule is not a major rule under 5 U.S.C. 804. The Office of Management and Budget (OMB) has reviewed this final rule in accordance with the provisions of E.O. 12866 and has determined that it does not meet the criteria for a significant regulatory action. As indicated above, the provisions contained in this final rulemaking set forth the inflation adjustments in compliance with the Debt Collection Improvement Act of 1996 for specific applicable CMPs. The great majority of individuals, organizations and entities addressed through these regulations do not engage E:\FR\FM\11JAR1.SGM 11JAR1 1304 Federal Register / Vol. 83, No. 8 / Thursday, January 11, 2018 / Rules and Regulations in such prohibited conduct, and as a result, we believe that any aggregate economic impact of these revised regulations will be minimal, affecting only those limited few who may engage in prohibited conduct in violation of the statute. As such, this final rule and the inflation adjustment contained therein should have no effect on Federal or state expenditures. The Administrator of General Services certifies that this final rule will not have a significant economic impact on a substantial number of small business entities. While some penalties may have an impact on small business entities, it is the nature of the violation and not the size of the entity that will result in an action by the agency, and the aggregate economic impact of this rulemaking on small business entities should be minimal, affecting only those few who have engaged in prohibited conduct in violation of statutory intent. VI. Paperwork Reduction Act This final rule imposes no new reporting or recordkeeping requirements necessitating clearance by OMB. List of Subject in 41 CFR Part 105–70 Administrative hearing, Claims, Program fraud. Dated: January 5, 2018. Emily W. Murphy, Administrator. Accordingly, 41 CFR part 105–70 is amended as set forth below: PART 105–70—IMPLEMENTATION OF THE PROGRAM FRAUD CIVIL REMEDIES ACT OF 1986 1. The authority citation for part 105– 70 is revised to read as follows: ■ Authority: 40 U.S.C. 121(c); 31 U.S.C. 3809. * * § 105–70.003 * * [Amended] 2. Amend § 105–70.003 by— ■ a. Removing from paragraph (a)(1)(iv) the amount ‘‘10,781’’ and adding ‘‘11,001’’ in its place; and ■ b. Removing from paragraph (b)(1)(ii) the amount ‘‘10,781’’ and adding ‘‘11,001’’ in its place. ethrower on DSK3G9T082PROD with RULES ■ [FR Doc. 2018–00367 Filed 1–10–18; 8:45 am] BILLING CODE 6820–81–P VerDate Sep<11>2014 16:45 Jan 10, 2018 Jkt 244001 46 CFR Part 506 [Docket No. 18–01] RIN 3072–AC70 Inflation Adjustment of Civil Monetary Penalties Federal Maritime Commission. Final rule. AGENCY: ACTION: V. Regulatory Flexibility Act * FEDERAL MARITIME COMMISSION The Commission is publishing its adjustments to inflation annually, pursuant to the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (2015 Act). The 2015 Act requires that agencies adjust and publish their civil penalties by January 15 each year. DATES: This rule is effective on January 15, 2018. FOR FURTHER INFORMATION CONTACT: Tyler Wood, General Counsel, Federal Maritime Commission, 800 North Capitol Street NW, Room 1018, Washington, DC 20573, (202) 523–5740. SUPPLEMENTARY INFORMATION: This rule adjusts the civil monetary penalties assessable by the Commission in accordance with the 2015 Act, which became effective on November 2, 2015, Sec. 701 of Public Law 11–74. The 2015 Act further amended 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 2015 Act requires agencies to adjust civil monetary penalties under their jurisdiction by January 15 each year, based on changes in the consumer price index (CPI–U) using data from October in the previous calendar year. On December 15, 2017, the Office of Management and Budget published guidance stating that the CPI–U multiplier for October 2017 is 1.02041.1 In order to complete the adjustment for January 2018, agencies must multiply the most recent civil penalty amounts in 46 CFR part 506. SUMMARY: Rulemaking Analyses and Notices Notice and Effective Date Adjustments under the FCPIAA, as amended by the 2015 Act, are not subject to the procedural rulemaking requirements of the Administrative 1 Office of Management and Budget, M–18–03, Implementation of Penalty Inflation Adjustments for 2018, Pursuant to the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015, at 1 (Dec. 15, 2017) (M–18–03). PO 00000 Frm 00016 Fmt 4700 Sfmt 4700 Procedure Act (APA) (5 U.S.C. 553), including the requirements for prior notice, an opportunity for comment, and a delay between the issuance of a final rule and its effective date.2 As noted above, the 2015 Act requires that the Commission adjust its civil monetary penalties no later than January 15 of each year. Congressional Review Act The rule is not a ‘‘major rule’’ as defined by the Congressional Review Act, codified at 5 U.S.C. 801 et seq. The rule will not result in: (1) An annual effect on the economy of $100,000,000 or more; (2) a major increase in costs or prices; or (3) significant adverse effects on competition, employment, investment, productivity, innovation, or the ability of United States-based companies to compete with foreignbased companies. 5 U.S.C. 804(2). Regulatory Flexibility Act The Regulatory Flexibility Act (codified as amended at 5 U.S.C. 601– 612) provides that whenever an agency promulgates a final rule after being required to publish a notice of proposed rulemaking under the APA (5 U.S.C. 553), the agency must prepare and make available a final regulatory flexibility analysis (FRFA) describing the impact of the rule on small entities. 5 U.S.C. 604. As indicated above, this final rule is not subject to the APA’s notice and comment requirements, and the Commission is not required to prepare an FRFA in conjunction with this final rule. Paperwork Reduction Act The Paperwork Reduction Act of 1995 (44 U.S.C. 3501–3521) requires an agency to seek and receive approval from the Office of Management and Budget (OMB) before collecting information from the public. 44 U.S.C. 3507. The agency must submit collections of information in rules to OMB in conjunction with the publication of the notice of proposed rulemaking. 5 CFR 1320.11. This final rule does not contain any collections of information, as defined by 44 U.S.C. 3502(3) and 5 CFR 1320.3(c). Regulation Identifier Number The Commission assigns a regulation identifier number (RIN) to each regulatory action listed in the Unified Agenda of Federal Regulatory and Deregulatory Actions (Unified Agenda). The Regulatory Information Service Center publishes the Unified Agenda in April and October of each year. You 2 FCPIAA E:\FR\FM\11JAR1.SGM section 4(b)(2); M–17–11 at 2. 11JAR1

Agencies

General Services Administration

[Federal Register Volume 83, Number 8 (Thursday, January 11, 2018)]
[Rules and Regulations]
[Pages 1303-1304]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-00367]


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GENERAL SERVICES ADMINISTRATION

41 CFR Part 105-70

[FPMR Case 2018-101-1; Docket No. 2018-0005; Sequence No. 1]
RIN 3090-AJ92


Program Fraud Civil Remedies Act of 1986, Civil Monetary 
Penalties Inflation Adjustment

AGENCY: Office of General Counsel, General Services Administration.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: In accordance with the Federal Civil Penalties Inflation 
Adjustment Act of 1990, as amended by the Debt Collection Improvement 
Act of 1996 and further amended by the Federal Civil Penalties 
Inflation Adjustment Act Improvement Act of 2015, this final rule 
incorporates the penalty inflation adjustments for the civil monetary 
penalties set forth in the United States Code, as codified in our 
regulations.

DATES: Effective: February 12, 2018.

FOR FURTHER INFORMATION CONTACT: Ms. Jessica Hawkins, Assistant General 
Counsel, General Law Division (LG), General Services Administration, 
1800 F Street NW, Washington DC 20405. Telephone Number 202-501-1460.

SUPPLEMENTARY INFORMATION:

I. The Debt Collection Improvement Act of 1996

    To maintain the remedial impact of civil monetary penalties (CMPs) 
and to promote compliance with the law, the Federal Civil Penalties 
Inflation Adjustment Act of 1990 (Pub. L. 101-410) was amended by the 
Debt Collection Improvement Act of 1996 (Pub. L. 104-134) to require 
Federal agencies to regularly adjust certain CMPs for inflation and 
further amended by the Federal Civil Penalties Inflation Adjustment Act 
Improvement Act of 2015 (Sec. 701 of Pub. L. 114-74). As amended, the 
law requires each agency to make an initial inflationary adjustment for 
all applicable CMPs, and to make further adjustments at least once 
every year thereafter for these penalty amounts. The Debt Collection 
Improvement Act of 1996 further stipulates that any resulting increases 
in a CMP due to the calculated inflation adjustments shall apply only 
to violations which occur after the date the increase takes effect, 
i.e., thirty (30) days after date of publication in the Federal 
Register. Pursuant to the 2015 Act, agencies are required to adjust the 
level of the CMP with an initial ``catch up``, and make subsequent 
annual adjustments for inflation. Catch up adjustments are based on the 
percent change between the Consumer Price Index for Urban Consumers 
(CPI-U) for the month of October for the year of the previous 
adjustment, and the October 2015 CPI-U. Annual inflation adjustments 
will be based on the percent change between the October CPI-U preceding 
the date of adjustment and the prior year's October CPI-U.

II. The Program Fraud Civil Remedies Act of 1986

    In 1986, sections 6103 and 6104 of the Omnibus Budget 
Reconciliation Act of 1986 (Pub. L. 99-501) set forth the Program Fraud 
Civil Remedies Act of 1986 (PFCRA). Specifically, this statute imposes 
a CMP and an assessment against any person who, with knowledge or 
reason to know, makes, submits, or presents a false, fictitious, or 
fraudulent claim or statement to the Government. The General Services 
Administration's regulations, published in the Federal Register (61 FR 
246, December 20, 1996) and codified at 41 CFR part 105-70, set forth a 
CMP of up to $10,781 for each false claim or statement made to the 
agency. Based on the penalty amount inflation factor calculation, 
derived from originally dividing the June 2015 CPI by the June 1996 CPI 
and making the CPI-based annual adjustment thereafter, after rounding 
we are adjusting the maximum penalty amount for this CMP to $11,001 per 
violation.

III. Waiver of Proposed Rulemaking

    In developing this final rule, we are waiving the usual notice of 
proposed rulemaking and public comment procedures set forth in the 
Administrative Procedure Act, 5 U.S.C. 553 (APA). The APA provides an 
exception to the notice and comment procedures when an agency finds 
there is good cause for dispensing with such procedures on the basis 
that they are impracticable, unnecessary or contrary to the public 
interest. We have determined that under 5 U.S.C. 553(b)(3)(B) good 
cause exists for dispensing with the notice of proposed rulemaking and 
public comment procedures for this rule. Specifically, this rulemaking 
comports and is consistent with the statutory authority set forth in 
the Debt Collection Improvement Act of 1996, with no issues of policy 
discretion. Accordingly, we believe that opportunity for prior comment 
is unnecessary and contrary to the public interest, and we are issuing 
these revised regulations as a final rule that will apply to all future 
cases under this authority.

IV. Executive Orders 12866 and 13563

    Executive Orders (E.O.s) 12866 and 13563 direct agencies to assess 
all costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, distributive impacts, and equity). E.O. 
13563 emphasizes the importance of quantifying both costs and benefits, 
of reducing costs, of harmonizing rules, and of promoting flexibility. 
This is a not significant regulatory action and, therefore, was not 
subject to review under Section 6(b) of E.O. 12866, Regulatory Planning 
and Review, dated September 30, 1993. This rule is not a major rule 
under 5 U.S.C. 804.
    The Office of Management and Budget (OMB) has reviewed this final 
rule in accordance with the provisions of E.O. 12866 and has determined 
that it does not meet the criteria for a significant regulatory action. 
As indicated above, the provisions contained in this final rulemaking 
set forth the inflation adjustments in compliance with the Debt 
Collection Improvement Act of 1996 for specific applicable CMPs. The 
great majority of individuals, organizations and entities addressed 
through these regulations do not engage

[[Page 1304]]

in such prohibited conduct, and as a result, we believe that any 
aggregate economic impact of these revised regulations will be minimal, 
affecting only those limited few who may engage in prohibited conduct 
in violation of the statute. As such, this final rule and the inflation 
adjustment contained therein should have no effect on Federal or state 
expenditures.

V. Regulatory Flexibility Act

    The Administrator of General Services certifies that this final 
rule will not have a significant economic impact on a substantial 
number of small business entities. While some penalties may have an 
impact on small business entities, it is the nature of the violation 
and not the size of the entity that will result in an action by the 
agency, and the aggregate economic impact of this rulemaking on small 
business entities should be minimal, affecting only those few who have 
engaged in prohibited conduct in violation of statutory intent.

VI. Paperwork Reduction Act

    This final rule imposes no new reporting or recordkeeping 
requirements necessitating clearance by OMB.

List of Subject in 41 CFR Part 105-70

    Administrative hearing, Claims, Program fraud.

    Dated: January 5, 2018.
Emily W. Murphy,
Administrator.

    Accordingly, 41 CFR part 105-70 is amended as set forth below:

PART 105-70--IMPLEMENTATION OF THE PROGRAM FRAUD CIVIL REMEDIES ACT 
OF 1986

0
1. The authority citation for part 105-70 is revised to read as 
follows:

    Authority: 40 U.S.C. 121(c); 31 U.S.C. 3809.
* * * * *


Sec.  105-70.003  [Amended]

0
2. Amend Sec.  105-70.003 by--
0
a. Removing from paragraph (a)(1)(iv) the amount ``10,781'' and adding 
``11,001'' in its place; and
0
b. Removing from paragraph (b)(1)(ii) the amount ``10,781'' and adding 
``11,001'' in its place.

[FR Doc. 2018-00367 Filed 1-10-18; 8:45 am]
 BILLING CODE 6820-81-P

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