Adjustment of Civil Penalties for Inflation, 67073-67074 [2018-28177]

Download as PDF Federal Register / Vol. 83, No. 248 / Friday, December 28, 2018 / Rules and Regulations cargo are subject to seizure and forfeiture. D. Paperwork Reduction Act The provisions of the Paperwork Reduction Act of 1995, 44 U.S.C. chapter 35, and its implementing regulations, 5 CFR part 1320, do not apply to this final rule, because this final rule does not trigger any new or revised recordkeeping or reporting. Claire M. Grady, Under Secretary for Management and Senior Official Performing the Duties of the Deputy Secretary. [FR Doc. 2018–28141 Filed 12–27–18; 8:45 am] BILLING CODE 9111–14–P VI. Signing Authority The signing authority for this document falls under 19 CFR 0.2(a). Accordingly, this document is signed by the Secretary of Homeland Security. PENSION BENEFIT GUARANTY CORPORATION List of Subjects in 19 CFR Part 4 RIN 1212–AB45 Exports, Freight, Harbors, Maritime carriers, Oil pollution, Reporting and recordkeeping requirements, Vessels. Adjustment of Civil Penalties for Inflation For the reasons stated in the preamble, CBP amends 19 CFR part 4 as follows: PART 4—VESSELS IN FOREIGN AND DOMESTIC TRADES 1. The authority citation for part 4 continues to read in part as follows: ■ Authority: 5 U.S.C. 301; 19 U.S.C. 66, 1431, 1433, 1434, 1624, 2071 note; 46 U.S.C. 501, 60105. * * * * Sections 4.80, 4.80a, and 4.80b also issued under 19 U.S.C. 1706a; 28 U.S.C. 2461 note; 46 U.S.C. 12112, 12117, 12118, 50501–55106, 55107, 55108, 55110, 55114, 55115, 55116, 55117, 55119, 56101, 55121, 56101, 57109; Pub. L. 108–7, Division B, Title II, § 211; * ■ * * * * 2. Revise § 4.80(i) to read as follows: § 4.80 Vessels entitled to engage in coastwise trade. amozie on DSK3GDR082PROD with RULES * * * * * (i) Any vessel, entitled to be documented and not so documented, employed in a trade for which a Certificate of Documentation is issued under the vessel documentation laws (see § 4.0(c)), other than a trade covered by a registry, is liable to a civil penalty of $500 for each port at which it arrives without the proper Certificate of Documentation on or before November 2, 2015, and $1296 for each port at which it arrives without the proper Certificate of Documentation after November 2, 2015 (19 U.S.C. 1706a, as adjusted by the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015). If such a vessel has on board any foreign merchandise (sea stores excepted), or any domestic taxable alcoholic beverages, on which the duty and taxes have not been paid or secured to be paid, the vessel and its VerDate Sep<11>2014 16:02 Dec 27, 2018 Jkt 247001 Pension Benefit Guaranty Corporation. ACTION: Final rule. AGENCY: Amendments to the Regulations * 29 CFR Parts 4071 and 4302 The Pension Benefit Guaranty Corporation is required to amend its regulations annually to adjust for inflation the maximum civil penalty for failure to provide certain notices or other material information and for failure to provide certain multiemployer plan notices. DATES: Effective date: This rule is effective on December 28, 2018. Applicability date: The increases in the civil monetary penalties under sections 4071 and 4302 of the Employee Retirement Income Security Act provided for in this rule apply to such penalties assessed after December 28, 2018. FOR FURTHER INFORMATION CONTACT: Stephanie Cibinic, Deputy Assistant General Counsel for Regulatory Affairs (cibinic.stephanie@pbgc.gov), Office of the General Counsel, Pension Benefit Guaranty Corporation, 1200 K Street NW, Washington, DC 20005–4026; 202– 326–4400 extension 6352. (TTY users may call the Federal relay service tollfree at 800–877–8339 and ask to be connected to 202–326–4400 extension 6352.) SUMMARY: SUPPLEMENTARY INFORMATION: Executive Summary Purpose of the Regulatory Action This rule is needed to carry out the requirements of the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 and Office of Management and Budget guidance M– 19–04. The rule adjusts, as required for 2019, the maximum civil penalties under 29 CFR part 4071 and 29 CFR part 4302 that the Pension Benefit Guaranty Corporation (PBGC) may assess for failure to provide certain notices or PO 00000 Frm 00041 Fmt 4700 Sfmt 4700 67073 other material information and certain multiemployer plan notices. PBGC’s legal authority for this action comes from the Federal Civil Penalties Inflation Adjustment Act of 1990 as amended by the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 and from sections 4002(b)(3), 4071, and 4302 of the Employee Retirement Income Security Act of 1974 (ERISA). Major Provisions of the Regulatory Action This rule adjusts as required by law the maximum civil penalties that PBGC may assess under sections 4071 and 4302 of ERISA. The new maximum amounts are $2,194 for section 4071 penalties and $292 for section 4302 penalties. Background PBGC administers title IV of ERISA. Title IV has two provisions that authorize PBGC to assess civil monetary penalties.1 Section 4302, added to ERISA by the Multiemployer Pension Plan Amendments Act of 1980, authorizes PBGC to assess a civil penalty of up to $100 a day for failure to provide a notice under subtitle E of title IV of ERISA (dealing with multiemployer plans). Section 4071, added to ERISA by the Omnibus Budget Reconciliation Act of 1987, authorizes PBGC to assess a civil penalty of up to $1,000 a day for failure to provide a notice or other material information under subtitles A, B, and C of title IV and sections 303(k)(4) and 306(g)(4) of title I of ERISA. Adjustment of Civil Penalties On November 2, 2015, the President signed into law the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015,2 which requires agencies to adjust civil monetary penalties for inflation and to publish the adjustments in the Federal Register. An initial adjustment was required to be made by interim final rule published by July 1, 2016, and effective by August 1, 2016. Subsequent adjustments must be published by January 15 each year after 2016. On December 14, 2018, the Office of Management and Budget issued 1 Under the Federal Civil Penalties Inflation Adjustment Act of 1990, a penalty is a civil monetary penalty if (among other things) it is for a specific monetary amount or has a maximum amount specified by Federal law. Title IV also provides (in section 4007) for penalties for late payment of premiums, but those penalties are neither in a specified amount nor subject to a specified maximum amount. 2 Sec. 701, Public Law 114–74, 129 Stat. 599–601 (Bipartisan Budget Act of 2015). E:\FR\FM\28DER1.SGM 28DER1 67074 Federal Register / Vol. 83, No. 248 / Friday, December 28, 2018 / Rules and Regulations memorandum M–19–04 on implementation of the 2019 annual inflation adjustment pursuant to the 2015 act.3 The memorandum provides agencies with the cost-of-living adjustment multiplier for 2019, which is based on the Consumer Price Index (CPI–U) for the month of October 2018, not seasonally adjusted. The multiplier for 2019 is 1.02522. The adjusted maximum amounts are $2,194 for section 4071 penalties and $292 for section 4302 penalties. Compliance With Regulatory Requirements The Office of Management and Budget has determined that this rule is not a ‘‘significant regulatory action’’ under Executive Order 12866 and therefore not subject to its review. As this is not a significant regulatory action under E.O. 12866, it is not considered an E.O. 13771 regulatory action. The Office of Management and Budget also has determined that notice and public comment on this final rule are unnecessary because the adjustment of civil penalties implemented in the rule is required by law. See 5 U.S.C. 553(b). Because no general notice of proposed rulemaking is required for this rule, the Regulatory Flexibility Act of 1980 does not apply. See 5 U.S.C. 601(2). List of Subjects 29 CFR Part 4071 § 4302.3 [Amended] 4. In § 4302.3, the figures ‘‘$285’’ are removed and the figures ‘‘$292’’ are added in their place. ■ Issued in Washington, DC. William Reeder, Director, Pension Benefit Guaranty Corporation. [FR Doc. 2018–28177 Filed 12–27–18; 8:45 am] BILLING CODE 7709–02–P DEPARTMENT OF HOMELAND SECURITY Coast Guard 33 CFR Part 165 [Docket No. USCG–2018–1094] Safety Zone, Brandon Road Lock and Dam to Lake Michigan Including Des Plaines River, Chicago Sanitary and Ship Canal, Chicago River, and Calumet-Saganashkee Channel, Chicago, IL Coast Guard, DHS. Notice of enforcement of regulation. Penalties. In consideration of the foregoing, PBGC amends 29 CFR parts 4071 and 4302 as follows: 1. The authority citation for part 4071 continues to read as follows: ■ Authority: 28 U.S.C. 2461 note, as amended by sec. 701, Pub. L. 114–74, 129 Stat. 599–601; 29 U.S.C. 1302(b)(3), 1371. [Amended] 2. In § 4071.3, the figures ‘‘$2,140’’ are removed and the figures ‘‘$2,194’’ are added in their place. ■ 3 See M–19–04, Implementation of Penalty Inflation Adjustments for 2019, Pursuant to the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015, https:// www.whitehouse.gov/omb/information-foragencies/memoranda/. 16:02 Dec 27, 2018 Jkt 247001 The Coast Guard will enforce a segment of the Safety Zone; Brandon Road Lock and Dam to Lake Michigan including Des Plaines River, Chicago Sanitary and Ship Canal, Chicago River, Calumet-Saganashkee Channel on all waters of the main branch of the Chicago River 600 feet west of the Franklin/Orleans Street Bridge and 1,000 feet east of the Columbus Drive Bridge from 11:45 p.m. on December 31, 2018 through 12:15 a.m. on January 1, 2019. This action is necessary and intended to ensure the safety of life and property on navigable waters prior to, during, and immediately after this fireworks display. During the enforcement period listed below transiting within the safety zone is prohibited unless authorized by the Captain of the Port Lake Michigan or a designated representative. DATES: The regulations in 33 CFR 165.930 will be enforced from 11:45 p.m. on December 31, 2018 through 12:15 a.m. on January 1, 2019. SUMMARY: PART 4071—PENALTIES FOR FAILURE TO PROVIDE CERTAIN NOTICES OR OTHER MATERIAL INFORMATION amozie on DSK3GDR082PROD with RULES Authority: 28 U.S.C. 2461 note, as amended by sec. 701, Pub. L. 114–74, 129 Stat. 599–601; 29 U.S.C. 1302(b)(3), 1452. ACTION: 29 CFR Part 4302 VerDate Sep<11>2014 3. The authority citation for part 4302 continues to read as follows: ■ AGENCY: Penalties. § 4071.3 PART 4302—PENALTIES FOR FAILURE TO PROVIDE CERTAIN MULTIEMPLOYER PLAN NOTICES PO 00000 Frm 00042 Fmt 4700 Sfmt 9990 If you have questions about this notice of enforcement, call or email LT John Ramos, Waterways Management Division, Marine Safety Unit Chicago, at 630–986–2155, email address D09-DGMSUChicago-Waterways@uscg.mil. FOR FURTHER INFORMATION CONTACT: The Coast Guard will enforce a segment of the Safety Zone; Brandon Road Lock and Dam to Lake Michigan including Des Plaines River, Chicago Sanitary and Ship Canal, Chicago River, CalumetSaganashkee Channel, Chicago, IL, listed in 33 CFR 165.930. Specifically, the Coast Guard will enforce this safety zone on all waters of the main branch of the Chicago River 600 feet west of the Franklin/Orleans Street Bridge and 1,000 feet east of the Columbus Drive Bridge from 11:45 p.m. on December 31, 2018 through 12:15 a.m. on January 1, 2019. During the enforcement period, no vessel may enter into, transit, moor lay up or anchor within this regulated area without approval from the Captain of the Port Lake Michigan or a Captain of the Port Lake Michigan designated representative. Vessels and persons granted permission to enter the safety zone shall obey all lawful orders or directions of the Captain of the Port Lake Michigan, or his or her on-scene representative. This notice of enforcement is issued under the authority of 33 CFR 165.930 and 5 U.S.C. 552(a). In addition to this publication in the Federal Register, the Captain of the Port Lake Michigan will also provide notice through other means, which will include Broadcast Notice to Mariners, distribution in leaflet form, and/or on-scene oral notice. Additionally, the Captain of the Port Lake Michigan may notify representatives from the maritime industry through telephonic and email notifications. If the Captain of the Port or a designated representative determines that the regulated area need not be enforced for the full duration stated in this notice of enforcement, he or she may use a Broadcast Notice to Mariners to grant general permission to enter the regulated area. The Captain of the Port Lake Michigan or a designated on-scene representative may be contacted via Channel 16, VHF–FM or at (414) 747–7182. SUPPLEMENTARY INFORMATION: Dated: December 14, 2018. Thomas J. Stuhlreyer, Captain, U.S. Coast Guard, Captain of the Port Lake Michigan. [FR Doc. 2018–28138 Filed 12–27–18; 8:45 am] BILLING CODE 9110–04–P E:\FR\FM\28DER1.SGM 28DER1

Agencies

[Federal Register Volume 83, Number 248 (Friday, December 28, 2018)]
[Rules and Regulations]
[Pages 67073-67074]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-28177]


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PENSION BENEFIT GUARANTY CORPORATION

29 CFR Parts 4071 and 4302

RIN 1212-AB45


Adjustment of Civil Penalties for Inflation

AGENCY: Pension Benefit Guaranty Corporation.

ACTION: Final rule.

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SUMMARY: The Pension Benefit Guaranty Corporation is required to amend 
its regulations annually to adjust for inflation the maximum civil 
penalty for failure to provide certain notices or other material 
information and for failure to provide certain multiemployer plan 
notices.

DATES: Effective date: This rule is effective on December 28, 2018.
    Applicability date: The increases in the civil monetary penalties 
under sections 4071 and 4302 of the Employee Retirement Income Security 
Act provided for in this rule apply to such penalties assessed after 
December 28, 2018.

FOR FURTHER INFORMATION CONTACT: Stephanie Cibinic, Deputy Assistant 
General Counsel for Regulatory Affairs (cibinic.stephanie@pbgc.gov), 
Office of the General Counsel, Pension Benefit Guaranty Corporation, 
1200 K Street NW, Washington, DC 20005-4026; 202-326-4400 extension 
6352. (TTY users may call the Federal relay service toll-free at 800-
877-8339 and ask to be connected to 202-326-4400 extension 6352.)

SUPPLEMENTARY INFORMATION:

Executive Summary

Purpose of the Regulatory Action

    This rule is needed to carry out the requirements of the Federal 
Civil Penalties Inflation Adjustment Act Improvements Act of 2015 and 
Office of Management and Budget guidance M-19-04. The rule adjusts, as 
required for 2019, the maximum civil penalties under 29 CFR part 4071 
and 29 CFR part 4302 that the Pension Benefit Guaranty Corporation 
(PBGC) may assess for failure to provide certain notices or other 
material information and certain multiemployer plan notices.
    PBGC's legal authority for this action comes from the Federal Civil 
Penalties Inflation Adjustment Act of 1990 as amended by the Federal 
Civil Penalties Inflation Adjustment Act Improvements Act of 2015 and 
from sections 4002(b)(3), 4071, and 4302 of the Employee Retirement 
Income Security Act of 1974 (ERISA).

Major Provisions of the Regulatory Action

    This rule adjusts as required by law the maximum civil penalties 
that PBGC may assess under sections 4071 and 4302 of ERISA. The new 
maximum amounts are $2,194 for section 4071 penalties and $292 for 
section 4302 penalties.

Background

    PBGC administers title IV of ERISA. Title IV has two provisions 
that authorize PBGC to assess civil monetary penalties.\1\ Section 
4302, added to ERISA by the Multiemployer Pension Plan Amendments Act 
of 1980, authorizes PBGC to assess a civil penalty of up to $100 a day 
for failure to provide a notice under subtitle E of title IV of ERISA 
(dealing with multiemployer plans). Section 4071, added to ERISA by the 
Omnibus Budget Reconciliation Act of 1987, authorizes PBGC to assess a 
civil penalty of up to $1,000 a day for failure to provide a notice or 
other material information under subtitles A, B, and C of title IV and 
sections 303(k)(4) and 306(g)(4) of title I of ERISA.
---------------------------------------------------------------------------

    \1\ Under the Federal Civil Penalties Inflation Adjustment Act 
of 1990, a penalty is a civil monetary penalty if (among other 
things) it is for a specific monetary amount or has a maximum amount 
specified by Federal law. Title IV also provides (in section 4007) 
for penalties for late payment of premiums, but those penalties are 
neither in a specified amount nor subject to a specified maximum 
amount.
---------------------------------------------------------------------------

Adjustment of Civil Penalties

    On November 2, 2015, the President signed into law the Federal 
Civil Penalties Inflation Adjustment Act Improvements Act of 2015,\2\ 
which requires agencies to adjust civil monetary penalties for 
inflation and to publish the adjustments in the Federal Register. An 
initial adjustment was required to be made by interim final rule 
published by July 1, 2016, and effective by August 1, 2016. Subsequent 
adjustments must be published by January 15 each year after 2016.
---------------------------------------------------------------------------

    \2\ Sec. 701, Public Law 114-74, 129 Stat. 599-601 (Bipartisan 
Budget Act of 2015).
---------------------------------------------------------------------------

    On December 14, 2018, the Office of Management and Budget issued

[[Page 67074]]

memorandum M-19-04 on implementation of the 2019 annual inflation 
adjustment pursuant to the 2015 act.\3\ The memorandum provides 
agencies with the cost-of-living adjustment multiplier for 2019, which 
is based on the Consumer Price Index (CPI-U) for the month of October 
2018, not seasonally adjusted. The multiplier for 2019 is 1.02522. The 
adjusted maximum amounts are $2,194 for section 4071 penalties and $292 
for section 4302 penalties.
---------------------------------------------------------------------------

    \3\ See M-19-04, Implementation of Penalty Inflation Adjustments 
for 2019, Pursuant to the Federal Civil Penalties Inflation 
Adjustment Act Improvements Act of 2015, https://www.whitehouse.gov/omb/information-for-agencies/memoranda/.
---------------------------------------------------------------------------

Compliance With Regulatory Requirements

    The Office of Management and Budget has determined that this rule 
is not a ``significant regulatory action'' under Executive Order 12866 
and therefore not subject to its review. As this is not a significant 
regulatory action under E.O. 12866, it is not considered an E.O. 13771 
regulatory action.
    The Office of Management and Budget also has determined that notice 
and public comment on this final rule are unnecessary because the 
adjustment of civil penalties implemented in the rule is required by 
law. See 5 U.S.C. 553(b).
    Because no general notice of proposed rulemaking is required for 
this rule, the Regulatory Flexibility Act of 1980 does not apply. See 5 
U.S.C. 601(2).

List of Subjects

29 CFR Part 4071

    Penalties.

29 CFR Part 4302

    Penalties.
    In consideration of the foregoing, PBGC amends 29 CFR parts 4071 
and 4302 as follows:

PART 4071--PENALTIES FOR FAILURE TO PROVIDE CERTAIN NOTICES OR 
OTHER MATERIAL INFORMATION

0
1. The authority citation for part 4071 continues to read as follows:

    Authority: 28 U.S.C. 2461 note, as amended by sec. 701, Pub. L. 
114-74, 129 Stat. 599-601; 29 U.S.C. 1302(b)(3), 1371.


Sec.  4071.3   [Amended]

0
2. In Sec.  4071.3, the figures ``$2,140'' are removed and the figures 
``$2,194'' are added in their place.

PART 4302--PENALTIES FOR FAILURE TO PROVIDE CERTAIN MULTIEMPLOYER 
PLAN NOTICES

0
3. The authority citation for part 4302 continues to read as follows:

    Authority: 28 U.S.C. 2461 note, as amended by sec. 701, Pub. L. 
114-74, 129 Stat. 599-601; 29 U.S.C. 1302(b)(3), 1452.


Sec.  4302.3   [Amended]

0
4. In Sec.  4302.3, the figures ``$285'' are removed and the figures 
``$292'' are added in their place.

    Issued in Washington, DC.
William Reeder,
Director, Pension Benefit Guaranty Corporation.
[FR Doc. 2018-28177 Filed 12-27-18; 8:45 am]
 BILLING CODE 7709-02-P