Rules of Practice and Procedure; Adjusting Civil Money Penalties for Inflation, 2283-2284 [2020-00464]

Download as PDF Federal Register / Vol. 85, No. 10 / Wednesday, January 15, 2020 / Rules and Regulations environmental impact statement nor an environmental assessment has been prepared for this final rule. X. Paperwork Reduction Act 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 [Amended] 2. In § 2.205(j), remove the amount ‘‘$298,211’’ and add in its place the amount ‘‘$303.471’’. ■ PART 13—PROGRAM FRAUD CIVIL REMEDIES 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. § 13.3 [Amended] 4. In § 13.3(a)(1)(iv) and (b)(1)(ii), remove the amount ‘‘$11,463’’ and add in its place the amount ‘‘$11,665’’. ■ 10 CFR Part 2 Administrative practice and procedure, Antitrust, Byproduct material, Classified information, Confidential business information, Environmental protection, Freedom of information, 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. Dated in Rockville, Maryland, this 31st day of December 2019. For the Nuclear Regulatory Commission. Margaret M. Doane, Executive Director for Operations. 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: RIN 3055–AA16 PART 2—AGENCY RULES OF PRACTICE AND PROCEDURE 1. The authority citation for part 2 is revised to read as follows: ■ jbell on DSKJLSW7X2PROD with RULES § 2.205 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. VerDate Sep<11>2014 16:02 Jan 14, 2020 Jkt 250001 [FR Doc. 2020–00304 Filed 1–14–20; 8:45 am] BILLING CODE 7590–01–P FARM CREDIT SYSTEM INSURANCE CORPORATION 12 CFR Part 1411 Rules of Practice and Procedure; Adjusting Civil Money Penalties for Inflation Farm Credit System Insurance Corporation. ACTION: Final rule. AGENCY: This rule implements inflation adjustments to civil money penalties (CMPs) that the Farm Credit System Insurance Corporation (FCSIC) may impose under the Farm Credit Act of 1971, as amended. These adjustments are required by 2015 amendments to the Federal Civil Penalties Inflation Adjustment Act of 1990. DATES: Effective date: This regulation is effective on January 15, 2020. Applicability date: The adjusted amounts of civil money penalties in this rule are applicable to penalties assessed on or after January 15, 2019, for conduct occurring on or after November 2, 2015. FOR FURTHER INFORMATION CONTACT: Lynn M. Powalski, General Counsel, Farm Credit System Insurance Corporation, 1501 Farm Credit Drive, McLean, Virginia 22102, (703) 883– 4380, TTY (703) 883–4390. SUPPLEMENTARY INFORMATION: SUMMARY: PO 00000 Frm 00005 Fmt 4700 Sfmt 4700 2283 I. Background The Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (the 2015 Act) amended the Federal Civil Penalties Inflation Adjustment Act of 1990 (the Inflation Adjustment Act) 1 to improve the effectiveness of civil monetary penalties and to maintain their deterrent effect. The Inflation Adjustment Act provides for the regular evaluation of CMPs and requires FCSIC, and every other Federal agency with authority to impose CMPs, to ensure that CMPs continue to maintain their deterrent values.2 FCSIC must enact regulations that annually adjust its CMPs pursuant to the inflation adjustment formula of the amended Inflation Adjustment Act and rounded using a method prescribed by the Inflation Adjustment Act. The new amounts are applicable to penalties assessed on or after January 15, 2019, for conduct occurring on or after November 2, 2015. Agencies do not have discretion in choosing whether to adjust a CMP, by how much to adjust a CMP, or the methods used to determine the adjustment. II. CMPs Imposed Pursuant to Section 5.65 of the Farm Credit Act First, section 5.65(c) of the Farm Credit Act, as amended (Act), provides that any insured Farm Credit System bank that willfully fails or refuses to file any certified statement or pay any required premium shall be subject to a penalty of not more than $100 for each day that such violations continue, which penalty FCSIC may recover for its use.3 Second, section 5.65(d) of the Act provides that, except with the prior written consent of the Farm Credit Administration, it shall be unlawful for any person convicted of any criminal offense involving dishonesty or a breach of trust to serve as a director, officer, or employee of any System institution.4 For each willful violation of section 5.65(d), the institution involved shall be subject to a penalty of not more than 1 Public Law 101–410, 104 Stat. 890 (Oct. 5, 1990), as amended by Public Law 104–134, title III, sec. 31001(s)(1), 110 Stat. 1321–373 (Apr. 26, 1996); Public Law 105–362, title XIII, sec. 1301(a), 112 Stat. 3293 (Nov. 10, 1998); Public Law 114–74, title VII, sec. 701(b), 129 Stat. 599 (Nov. 2, 2015), codified at 28 U.S.C. 2461 note. 2 Under the amended Inflation Adjustment Act, a CMP is defined as any penalty, fine, or other sanction that: (1) Either is for a specific monetary amount as provided by Federal law or has a maximum amount provided for by Federal law; (2) is assessed or enforced by an agency pursuant to Federal law; and (3) is assessed or enforced pursuant to an administrative proceeding or a civil action in the Federal courts. All three requirements must be met for a fine to be considered a CMP. 3 12 U.S.C. 2277a–14(c). 4 12 U.S.C. 2277a–14(d). E:\FR\FM\15JAR1.SGM 15JAR1 2284 Federal Register / Vol. 85, No. 10 / Wednesday, January 15, 2020 / Rules and Regulations $100 for each day during which the violation continues, which FCSIC may recover for its use. FCSIC’s current § 1411.1 provides that FCSIC can impose a maximum penalty of $210 per day for a violation under section 5.65(c) and (d) of the Act. III. Required Adjustments The 2015 Act requires agencies to make annual adjustments for inflation. Annual inflation adjustments are based on the percent change between the October Consumer Price Index for all Urban Consumers (CPI–U) preceding the date of the adjustment, and the prior year’s October CPI–U. Based on the CPI– U for October 2019, not seasonally adjusted, the cost-of-living adjustment multiplier for 2020 is 1.01764.5 Multiplying 1.01764 times the current penalty amount of $210, after rounding to the nearest dollar as required by the 2015 Act, results in a new penalty amount of $214. IV. Notice and Comment Not Required by Administrative Procedure Act In accordance with the 2015 Act, Federal agencies shall adjust civil monetary penalties ‘‘notwithstanding’’ Section 553 of the Administrative Procedures Act. This means that public procedure generally required for agency rulemaking—notice, an opportunity for comment, and a delay in effective date—is not required for agencies to issue regulations implementing the annual adjustment. List of Subjects in 12 CFR Part 1411 Banks, banking, Civil money penalties, Penalties. For the reasons stated in the preamble, part 1411 of chapter XIV, title 12 of the Code of Federal Regulations is amended as follows: PART 1411—RULES OF PRACTICE AND PROCEDURE 1. The authority citation for part 1411 continues to read as follows: ■ Authority: 12 U.S.C. 2277a–7(10), 2277a– 14(c) and (d); 28 U.S.C. 2461 note. ■ 2. Revise § 1411.1 to read as follows: jbell on DSKJLSW7X2PROD with RULES § 1411.1 Inflation adjustment of civil money penalties for failure to file a certified statement, pay any premium required or obtain approval before employment of persons convicted of criminal offenses. In accordance with the Federal Civil Penalties Inflation Adjustment Act of 5 See Office of Mgmt. & Budget, Exec. Office of the President, OMB Memorandum No. M–20–05, Implementation of Penalty Inflation Adjustments for 2020, Pursuant to the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (December 16, 2019). VerDate Sep<11>2014 16:02 Jan 14, 2020 Jkt 250001 1990, as amended, a civil money penalty imposed pursuant to section 5.65(c) or (d) of the Farm Credit Act of 1971, as amended, shall not exceed $214 per day for each day the violation continues. Dated: January 9, 2020. Dale Aultman, Secretary, Farm Credit System Insurance Corporation. [FR Doc. 2020–00464 Filed 1–14–20; 8:45 am] BILLING CODE 6710–01–P DEPARTMENT OF TRANSPORTATION Federal Aviation Administration 14 CFR Part 39 www.regulations.gov by searching for and locating Docket No. FAA–2016– 6144; or in person at Docket Operations between 9 a.m. and 5 p.m., Monday through Friday, except Federal holidays. The AD docket contains this final rule, the regulatory evaluation, any comments received, and other information. The address for Docket Operations is U.S. Department of Transportation, Docket Operations, M– 30, West Building Ground Floor, Room W12–140, 1200 New Jersey Avenue SE, Washington, DC 20590. Dan Rodina, Aerospace Engineer, International Section, Transport Standards Branch, FAA, 2200 South 216th St., Des Moines, WA 98198; telephone and fax 206–231–3225. FOR FURTHER INFORMATION CONTACT: [Docket No. FAA–2016–6144; Product Identifier 2015–NM–088–AD; Amendment 39–21012; AD 2019–24–01] SUPPLEMENTARY INFORMATION: RIN 2120–AA64 Discussion Airworthiness Directives; Airbus SAS Airplanes The FAA issued a notice of proposed rulemaking (NPRM) to amend 14 CFR part 39 by adding an AD that would apply to certain Airbus SAS Model A318 and A319 series airplanes; Model A320–211, –212, –214, –231, –232, and –233 airplanes; Model A330–200, –200 Freighter, and –300 series airplanes; and Model A340–200, –300, –500, and –600 series airplanes. The NPRM published in the Federal Register on May 3, 2016 (81 FR 26487). The NPRM was prompted by the FAA’s analysis of fuel system reviews on these models conducted by the manufacturer. The NPRM proposed to require modifying the FQIS to prevent development of an ignition source inside the center fuel tank due to electrical fault conditions. The NPRM also provided alternative actions for cargo airplanes. The FAA is issuing this AD to address ignition sources inside the center fuel tank, which, in combination with flammable fuel vapors, could result in a fuel tank explosion and consequent loss of the airplane. Federal Aviation Administration (FAA), DOT. ACTION: Final rule. AGENCY: The FAA is adopting a new airworthiness directive (AD) for Airbus SAS Model A318 and A319 series airplanes; Model A320–211, –212, –214, –231, –232, and –233 airplanes; Model A321–111, –112, –131, –211, –212, –213, –231, and –232 airplanes; Model A330–200 and A330–200 Freighter series airplanes; Model A340–200 and –300 series airplanes; and Model A340– 500 and –600 airplanes (except for airplanes equipped with flammability reduction means (FRM) approved by the FAA as compliant with the Fuel Tank Flammability Reduction (FTFR) rule). This AD was prompted by the FAA’s analysis of the fuel system reviews on these models conducted by the manufacturer. This AD requires modifying the fuel quantity indicating system (FQIS) to prevent development of an ignition source inside the center fuel tank due to electrical fault conditions. This AD also provides alternative actions for cargo airplanes. This AD does not apply to airplanes equipped with FRM approved by the FAA. The FAA is issuing this AD to address the unsafe condition on these products. DATES: This AD is effective February 19, 2020. ADDRESSES: SUMMARY: Examining the AD Docket You may examine the AD docket on the internet at https:// PO 00000 Frm 00006 Fmt 4700 Sfmt 4700 Comments The FAA gave the public the opportunity to participate in developing this final rule. The following presents the comments received on the NPRM and the FAA’s response to each comment. Support for NPRM The Air Line Pilots Association, International (ALPA) and National Air Traffic Controllers Association (NATCA) supported the intent of the NPRM. Additional comments from NATCA are addressed below. E:\FR\FM\15JAR1.SGM 15JAR1

Agencies

[Federal Register Volume 85, Number 10 (Wednesday, January 15, 2020)]
[Rules and Regulations]
[Pages 2283-2284]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-00464]


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FARM CREDIT SYSTEM INSURANCE CORPORATION

12 CFR Part 1411

RIN 3055-AA16


Rules of Practice and Procedure; Adjusting Civil Money Penalties 
for Inflation

AGENCY: Farm Credit System Insurance Corporation.

ACTION: Final rule.

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SUMMARY: This rule implements inflation adjustments to civil money 
penalties (CMPs) that the Farm Credit System Insurance Corporation 
(FCSIC) may impose under the Farm Credit Act of 1971, as amended. These 
adjustments are required by 2015 amendments to the Federal Civil 
Penalties Inflation Adjustment Act of 1990.

DATES: 
    Effective date: This regulation is effective on January 15, 2020.
    Applicability date: The adjusted amounts of civil money penalties 
in this rule are applicable to penalties assessed on or after January 
15, 2019, for conduct occurring on or after November 2, 2015.

FOR FURTHER INFORMATION CONTACT: Lynn M. Powalski, General Counsel, 
Farm Credit System Insurance Corporation, 1501 Farm Credit Drive, 
McLean, Virginia 22102, (703) 883-4380, TTY (703) 883-4390.

SUPPLEMENTARY INFORMATION: 

I. Background

    The Federal Civil Penalties Inflation Adjustment Act Improvements 
Act of 2015 (the 2015 Act) amended the Federal Civil Penalties 
Inflation Adjustment Act of 1990 (the Inflation Adjustment Act) \1\ to 
improve the effectiveness of civil monetary penalties and to maintain 
their deterrent effect. The Inflation Adjustment Act provides for the 
regular evaluation of CMPs and requires FCSIC, and every other Federal 
agency with authority to impose CMPs, to ensure that CMPs continue to 
maintain their deterrent values.\2\
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    \1\ Public Law 101-410, 104 Stat. 890 (Oct. 5, 1990), as amended 
by Public Law 104-134, title III, sec. 31001(s)(1), 110 Stat. 1321-
373 (Apr. 26, 1996); Public Law 105-362, title XIII, sec. 1301(a), 
112 Stat. 3293 (Nov. 10, 1998); Public Law 114-74, title VII, sec. 
701(b), 129 Stat. 599 (Nov. 2, 2015), codified at 28 U.S.C. 2461 
note.
    \2\ Under the amended Inflation Adjustment Act, a CMP is defined 
as any penalty, fine, or other sanction that: (1) Either is for a 
specific monetary amount as provided by Federal law or has a maximum 
amount provided for by Federal law; (2) is assessed or enforced by 
an agency pursuant to Federal law; and (3) is assessed or enforced 
pursuant to an administrative proceeding or a civil action in the 
Federal courts. All three requirements must be met for a fine to be 
considered a CMP.
---------------------------------------------------------------------------

    FCSIC must enact regulations that annually adjust its CMPs pursuant 
to the inflation adjustment formula of the amended Inflation Adjustment 
Act and rounded using a method prescribed by the Inflation Adjustment 
Act. The new amounts are applicable to penalties assessed on or after 
January 15, 2019, for conduct occurring on or after November 2, 2015. 
Agencies do not have discretion in choosing whether to adjust a CMP, by 
how much to adjust a CMP, or the methods used to determine the 
adjustment.

II. CMPs Imposed Pursuant to Section 5.65 of the Farm Credit Act

    First, section 5.65(c) of the Farm Credit Act, as amended (Act), 
provides that any insured Farm Credit System bank that willfully fails 
or refuses to file any certified statement or pay any required premium 
shall be subject to a penalty of not more than $100 for each day that 
such violations continue, which penalty FCSIC may recover for its 
use.\3\ Second, section 5.65(d) of the Act provides that, except with 
the prior written consent of the Farm Credit Administration, it shall 
be unlawful for any person convicted of any criminal offense involving 
dishonesty or a breach of trust to serve as a director, officer, or 
employee of any System institution.\4\ For each willful violation of 
section 5.65(d), the institution involved shall be subject to a penalty 
of not more than

[[Page 2284]]

$100 for each day during which the violation continues, which FCSIC may 
recover for its use.
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    \3\ 12 U.S.C. 2277a-14(c).
    \4\ 12 U.S.C. 2277a-14(d).
---------------------------------------------------------------------------

    FCSIC's current Sec.  1411.1 provides that FCSIC can impose a 
maximum penalty of $210 per day for a violation under section 5.65(c) 
and (d) of the Act.

III. Required Adjustments

    The 2015 Act requires agencies to make annual adjustments for 
inflation. Annual inflation adjustments are based on the percent change 
between the October Consumer Price Index for all Urban Consumers (CPI-
U) preceding the date of the adjustment, and the prior year's October 
CPI-U. Based on the CPI-U for October 2019, not seasonally adjusted, 
the cost-of-living adjustment multiplier for 2020 is 1.01764.\5\ 
Multiplying 1.01764 times the current penalty amount of $210, after 
rounding to the nearest dollar as required by the 2015 Act, results in 
a new penalty amount of $214.
---------------------------------------------------------------------------

    \5\ See Office of Mgmt. & Budget, Exec. Office of the President, 
OMB Memorandum No. M-20-05, Implementation of Penalty Inflation 
Adjustments for 2020, Pursuant to the Federal Civil Penalties 
Inflation Adjustment Act Improvements Act of 2015 (December 16, 
2019).
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IV. Notice and Comment Not Required by Administrative Procedure Act

    In accordance with the 2015 Act, Federal agencies shall adjust 
civil monetary penalties ``notwithstanding'' Section 553 of the 
Administrative Procedures Act. This means that public procedure 
generally required for agency rulemaking--notice, an opportunity for 
comment, and a delay in effective date--is not required for agencies to 
issue regulations implementing the annual adjustment.

List of Subjects in 12 CFR Part 1411

    Banks, banking, Civil money penalties, Penalties.

    For the reasons stated in the preamble, part 1411 of chapter XIV, 
title 12 of the Code of Federal Regulations is amended as follows:

PART 1411--RULES OF PRACTICE AND PROCEDURE

0
1. The authority citation for part 1411 continues to read as follows:

    Authority:  12 U.S.C. 2277a-7(10), 2277a-14(c) and (d); 28 
U.S.C. 2461 note.


0
2. Revise Sec.  1411.1 to read as follows:


Sec.  1411.1   Inflation adjustment of civil money penalties for 
failure to file a certified statement, pay any premium required or 
obtain approval before employment of persons convicted of criminal 
offenses.

    In accordance with the Federal Civil Penalties Inflation Adjustment 
Act of 1990, as amended, a civil money penalty imposed pursuant to 
section 5.65(c) or (d) of the Farm Credit Act of 1971, as amended, 
shall not exceed $214 per day for each day the violation continues.

    Dated: January 9, 2020.
Dale Aultman,
Secretary, Farm Credit System Insurance Corporation.
[FR Doc. 2020-00464 Filed 1-14-20; 8:45 am]
 BILLING CODE 6710-01-P
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