Civil Penalties Inflation Adjustments; Annual Adjustments, 13153-13156 [2022-04989]
Download as PDF
<![CDATA[
Federal Register / Vol. 87, No. 46 / Wednesday, March 9, 2022 / Rules and Regulations
*
*
*
*
J. Paperwork Reduction Act
K. National Environmental Policy Act
L. Effects on the Energy Supply (E.O.
13211)
M. Clarity of This Regulation
N. Administrative Procedure Act
*
Thea D. Rozman Kendler,
Assistant Secretary for Export
Administration.
[FR Doc. 2022–04925 Filed 3–3–22; 5:00 pm]
BILLING CODE 3510–33–P
DEPARTMENT OF THE INTERIOR
Bureau of Indian Affairs
25 CFR Parts 140, 141, 211, 213, 225,
226, 227, 243, 249
[223A2100DD/AAKC001030/
A0A501010.999900253G]
RIN 1076–AF70
Civil Penalties Inflation Adjustments;
Annual Adjustments
Bureau of Indian Affairs,
Interior.
ACTION: Final rule.
AGENCY:
This rule provides for annual
adjustments to the level of civil
monetary penalties contained in Bureau
of Indian Affairs (Bureau) regulations to
account for inflation under the Federal
Civil Penalties Inflation Adjustment Act
Improvements Act of 2015 and Office of
Management and Budget (OMB)
guidance.
SUMMARY:
DATES:
This rule is effective on March 9,
2022.
FOR FURTHER INFORMATION CONTACT:
Steven Mullen, Federal Register Liaison,
Office of Regulatory Affairs and
Collaborative Action, Office of the
Assistant Secretary—Indian Affairs;
telephone (202) 924–2650, RACA@
bia.gov.
SUPPLEMENTARY INFORMATION:
jspears on DSK121TN23PROD with RULES1
I. Background
II. Calculation of Annual Adjustments
III. Procedural Requirements
A. Regulatory Planning and Review (E.O.
12866 and 13563)
B. Reducing Regulation and Controlling
Regulatory Costs (E.O. 13771)
C. Regulatory Flexibility Act
D. Small Business Regulatory Enforcement
Fairness Act
E. Unfunded Mandates Reform Act
F. Takings (E.O. 12630)
G. Federalism (E.O. 13132)
H. Civil Justice Reform (E.O. 12988)
I. Consultation With Indian Tribes (E.O.
13175)
I. Background
On November 2, 2015, the President
signed into law the Federal Civil
Penalties Inflation Adjustment Act
Improvements Act of 2015 (Sec. 701 of
Pub. L. 114–74) (‘‘the Act’’). The Act
requires Federal agencies to adjust the
level of civil monetary penalties with an
initial ‘‘catch-up’’ adjustment through
rulemaking and then make subsequent
annual adjustments for inflation. The
purpose of these adjustments is to
maintain the deterrent effect of civil
penalties and to further the policy goals
of the underlying statutes.
The Office of Management and Budget
(OMB) issued guidance for Federal
agencies on calculating the catch-up
adjustment. See February 24, 2016,
Memorandum for the Heads of
Executive Departments and Agencies,
from Shaun Donovan, Director, Office of
Management and Budget, re:
Implementation of the Federal Civil
Penalties Inflation Adjustment Act
Improvements Act of 2015 (M–16–06).
Under the guidance, the Department
identified applicable civil monetary
penalties and calculated the catch-up
adjustment. A civil monetary penalty is
any assessment with a dollar amount
that is levied for a violation of a Federal
civil statute or regulation, and is
assessed or enforceable through a civil
action in Federal court or an
administrative proceeding. A civil
monetary penalty does not include a
penalty levied for violation of a criminal
statute, or fees for services, licenses,
permits, or other regulatory review. The
calculated catch-up adjustment is based
on the percent change between the
Consumer Price Index for all Urban
Consumers (CPI0–U) for the month of
October in the year of the previous
adjustment (or in the year of
establishment, if no adjustment has
been made) and the October 2015 CPI–
U.
The Bureau issued an interim final
rule providing for calculated catch-up
adjustments on June 30, 2016 (81 FR
42478) with an effective date of August
1, 2016, and requesting comments postpromulgation. The Bureau issued a final
Description of penalty
25 CFR § 140.3 ..............
Penalty for trading in Indian country without a license ........................
VerDate Sep<11>2014
16:24 Mar 08, 2022
Jkt 256001
PO 00000
Frm 00037
Fmt 4700
rule affirming the catch-up adjustments
set forth in the interim final rule on
December 2, 2016 (81 FR 86953). The
Bureau then issued a final rule making
the next scheduled annual inflation
adjustment for 2017 on January 23, 2017
(82 FR 7649), for 2018 on February 6,
2018 (83 FR 5192), for 2019 on April 15,
2019 (84 FR 15098), for 2020 on
February 19, 2020 (85 FR 9366), and for
2021 on January 28, 2021 (86 FR 7344).
II. Calculation of 2022 Annual
Adjustments
OMB recently issued guidance to
assist Federal agencies in implementing
the annual adjustments required by the
Act, which agencies must complete by
January 15, 2022. See December 15,
2021, Memorandum for the Heads of
Executive Departments and Agencies,
from Shalanda D. Young, Acting
Director, Office of Management and
Budget, re: Implementation of Penalty
Inflation Adjustments for 2022,
Pursuant to the Federal Civil Penalties
Inflation Adjustment Act Improvements
Act of 2015 (M–21–10). The guidance
states that the cost-of-living adjustment
multiplier for 2022, based on the
Consumer Price Index (CPI–U) for the
month of October 2021, not seasonally
adjusted, is 1.06222. (The annual
inflation adjustments are based on the
percent change between the October
CPI–U preceding the date of the
adjustment, and the prior year’s October
CPI–U. For 2022, OMB explains,
October 2021 CPI–U (276.589))/October
2020 CPI–U (260.388)) = 1.06222.) The
guidance instructs agencies to complete
the 2022 annual adjustment by
multiplying each applicable penalty by
the multiplier, 1.06222, and rounding to
the nearest dollar. Further, agencies
should apply the multiplier to the most
recent penalty amount that includes the
initial catch-up adjustment required by
the Act.
The annual adjustment applies to all
civil monetary penalties with a dollar
amount that are subject to the Act. This
final rule adjusts the following civil
monetary penalties contained in the
Bureau’s regulations for 2022 by
multiplying 1.06222 (i.e., the cost-ofliving adjustment multiplier for 2022)
by each penalty amount as updated by
the adjustment made in the prior year
(2021):
Current
penalty
including
catchup
adjustment
CFR citation
Sfmt 4700
13153
E:\FR\FM\09MRR1.SGM
$1,368
09MRR1
Annual
adjustment
(multiplier)
1.06222
Adjusted
penalty
for 2022
$1,453
13154
Federal Register / Vol. 87, No. 46 / Wednesday, March 9, 2022 / Rules and Regulations
CFR citation
Description of penalty
25 CFR § 141.50 ............
Penalty for trading on Navajo, Hopi or Zuni reservations without a license.
Penalty for violation of leases of Tribal land for mineral development,
violation of part 211, or failure to comply with a notice of noncompliance or cessation order.
Penalty for failure of lessee to comply with lease of restricted lands
of members of the Five Civilized Tribes in Oklahoma for mining,
operating regulations at part 213, or orders.
Penalty for violation of minerals agreement, regulations at part 225,
other applicable laws or regulations, or failure to comply with a notice of noncompliance or cessation order.
Penalty for violation of lease of Osage reservation lands for oil and
gas mining or regulations at part 226, or noncompliance with the
Superintendent’s order.
Penalty per day for failure to obtain permission to start operations ....
Penalty per day for failure to file records .............................................
Penalty for each well and tank battery for failure to mark wells and
tank batteries.
Penalty each day after operations are commenced for failure to construct and maintain pits.
Penalty for failure to comply with requirements regarding valve or
other approved controlling device.
Penalty for failure to notify Superintendent before drilling, redrilling,
deepening, plugging, or abandoning any well.
Penalty per day for failure to properly care for and dispose of deleterious fluids.
Penalty per day for failure to file plugging and other required reports
Penalty for failure of lessee of certain lands in Wind River Indian
Reservation, Wyoming, for oil and gas mining to comply with lease
provisions, operating regulations, regulations at part 227, or orders.
Penalty for non-Native transferees of live Alaskan reindeer who violates part 243, takes reindeer without a permit, or fails to abide by
permit terms.
Penalty for fishing in violation of regulations at part 249 (Off-Reservation Treaty Fishing).
25 CFR § 211.55 ............
25 CFR § 213.37 ............
25 CFR § 225.37 ............
25 CFR § 226.42 ............
25 CFR § 226.43(a) ........
25 CFR § 226.43(b) ........
25 CFR § 226.43(c) ........
25 CFR § 226.43(d) ........
25 CFR § 226.43(e) ........
25 CFR § 226.43(f) .........
25 CFR § 226.43(g) ........
25 CFR § 226.43(h) ........
25 CFR § 227.24 ............
25 CFR § 243.8 ..............
25 CFR § 249.6(b) ..........
Consistent with the Act, the adjusted
penalty levels for 2022 will take effect
immediately upon the effective date of
the adjustment. The adjusted penalty
levels for 2022 will apply to penalties
assessed after that date including, if
consistent with agency policy,
assessments associated with violations
that occurred on or after November 2,
2015 (the date of the Act). The Act does
not, however, change previously
assessed penalties that the Bureau is
collecting or has collected. Nor does the
Act change an agency’s existing
statutory authorities to adjust penalties.
III. Procedural Requirements
jspears on DSK121TN23PROD with RULES1
Current
penalty
including
catchup
adjustment
A. Regulatory Planning and Review
(E.O. 12866 and 13563)
Executive Order 12866 provides that
the Office of Information and Regulatory
Affairs in the Office of Management and
Budget will review all significant rules.
The Office of Information and
Regulatory Affairs has determined that
this rule is not significant.
Executive Order 13563 reaffirms the
principles of E.O. 12866 while calling
for improvements in the nation’s
VerDate Sep<11>2014
16:24 Mar 08, 2022
Jkt 256001
regulatory system to promote
predictability, to reduce uncertainty,
and to use the best, most innovative,
and least burdensome tools for
achieving regulatory ends. The
executive order directs agencies to
consider regulatory approaches that
reduce burdens and maintain flexibility
and freedom of choice for the public
where these approaches are relevant,
feasible, and consistent with regulatory
objectives. E.O. 13563 emphasizes
further that regulations must be based
on the best available science and that
the rulemaking process must allow for
public participation and an open
exchange of ideas. We have developed
this rule in a manner consistent with
these requirements.
B. Reducing Regulation and Controlling
Regulatory Costs (Executive Order
13771)
This rule is not an E.O. 13771
regulatory action because this rule is not
significant under Executive Order
12866.
PO 00000
Frm 00038
Fmt 4700
Sfmt 4700
Annual
adjustment
(multiplier)
Adjusted
penalty
for 2022
1,368
1.06222
1,453
1,645
1.06222
1,747
1,368
1.06222
1,453
1,741
1.06222
1,849
976
1.06222
1,037
97
97
97
1.06222
1.06222
1.06222
103
103
103
97
1.06222
103
195
1.06222
207
390
1.06222
414
976
1.06222
1,037
97
1,368
1.06222
1.06222
103
1,453
6,451
1.06222
6,852
1,368
1.06222
1,453
C. Regulatory Flexibility Act
This rule will not have a significant
economic effect on a substantial number
of small entities under the Regulatory
Flexibility Act (5 U.S.C. 601 et seq.)
because the rule makes adjustments for
inflation.
D. Small Business Regulatory
Enforcement Fairness Act
This rule is not a major rule under 5
U.S.C. 804(2), the Small Business
Regulatory Enforcement Fairness Act.
This rule:
(a) Does not have an annual effect on
the economy of $100 million or more.
(b) Will not cause a major increase in
costs or prices for consumers,
individual industries, Federal, State, or
local government agencies, or
geographic regions.
(c) Does not have significant adverse
effects on competition, employment,
investment, productivity, innovation, or
the ability of U.S.-based enterprises to
compete with foreign-based enterprises.
E:\FR\FM\09MRR1.SGM
09MRR1
Federal Register / Vol. 87, No. 46 / Wednesday, March 9, 2022 / Rules and Regulations
E. Unfunded Mandates Reform Act
This rule does not impose an
unfunded mandate on State, local, or
tribal governments, or the private sector
of more than $100 million per year. The
rule does not have a significant or
unique effect on State, local, or tribal
governments or the private sector. A
statement containing the information
required by the Unfunded Mandates
Reform Act (2 U.S.C. 1531 et seq.) is not
required.
F. Takings (E.O. 12630)
This rule does not affect a taking of
private property or otherwise have
taking implications under Executive
Order 12630. A takings implication
assessment is not required.
G. Federalism (E.O. 13132)
Under the criteria in section 1 of
Executive Order 13132, this rule does
not have sufficient federalism
implications to warrant the preparation
of a federalism summary impact
statement. A federalism summary
impact statement is not required.
H. Civil Justice Reform (E.O. 12988)
This rule complies with the
requirements of Executive Order 12988.
Specifically, this rule: (a) Meets the
criteria of section 3(a) requiring that all
regulations be reviewed to eliminate
errors and ambiguity and be written to
minimize litigation; and (b) meets the
criteria of section 3(b)(2) requiring that
all regulations be written in clear
language and contain clear legal
standards.
jspears on DSK121TN23PROD with RULES1
I. Consultation With Indian Tribes (E.O.
13175 and Departmental Policy)
The Department of the Interior strives
to strengthen its government-togovernment relationship with Indian
tribes through a commitment to
consultation with Indian Tribes and
recognition of their right to selfgovernance and Tribal sovereignty. We
have evaluated this rule under the
Department’s consultation policy and
under the criteria in Executive Order
13175 and have determined that it has
no substantial direct effects on federally
recognized Indian Tribes and that
consultation under the Department’s
Tribal consultation policy is not
required.
J. Paperwork Reduction Act
This rule does not contain
information collection requirements,
and a submission to the Office of
Management and Budget under the
Paperwork Reduction Act (44 U.S.C.
3501 et seq.) is not required. We may
not conduct or sponsor, and you are not
VerDate Sep<11>2014
16:24 Mar 08, 2022
Jkt 256001
required to respond to, a collection of
information unless it displays a
currently valid OMB control number.
K. National Environmental Policy Act
This rule does not constitute a major
Federal action significantly affecting the
quality of the human environment. A
detailed statement under the National
Environmental Policy Act of 1969
(NEPA) is not required because the rule
is covered by a categorical exclusion.
This rule is excluded from the
requirement to prepare a detailed
statement because it is a regulation of an
administrative nature. (For further
information see 43 CFR 46.210(i)). We
have also determined that the rule does
not involve any of the extraordinary
circumstances listed in 43 CFR 46.215
that would require further analysis
under NEPA.
L. Effects on the Energy Supply (E.O.
13211)
This rule is not a significant energy
action under the definition in Executive
Order 13211. A Statement of Energy
Effects is not required.
M. Administrative Procedure Act
The Act requires agencies to publish
annual inflation adjustments by no later
than January 15, of each year,
notwithstanding section 553 of the
Administrative Procedure Act (APA) (5
U.S.C. 553). OMB has interpreted this
direction to mean that the usual APA
public procedure for rulemaking—
which includes public notice of a
proposed rule, an opportunity for public
comment, and a delay in the effective
date of a final rule—is not required
when agencies issue regulations to
implement the annual adjustments to
civil penalties that the Act requires.
Accordingly, we are issuing the annual
adjustments as a final rule without prior
notice or an opportunity for comment
and with an effective date immediately
upon publication in the Federal
Register.
Section 553(b) of the Administrative
Procedure Act (APA) provides that,
when an agency for good cause finds
that ‘‘notice and public procedure . . .
are impracticable, unnecessary, or
contrary to the public interest,’’ the
agency may issue a rule without
providing notice and an opportunity for
prior public comment. Under section
553(b), the Bureau finds that there is
good cause to promulgate this rule
without first providing for public
comment. It would not be possible to
meet the deadlines imposed by the Act
if we were to first publish a proposed
rule, allow the public sufficient time to
submit comments, analyze the
PO 00000
Frm 00039
Fmt 4700
Sfmt 4700
13155
comments, and publish a final rule.
Also, the Bureau is promulgating this
final rule to implement the statutory
directive in the Act, which requires
agencies to publish a final rule and to
update the civil penalty amounts by
applying a specified formula. The
Bureau has no discretion to vary the
amount of the adjustment to reflect any
views or suggestions provided by
commenters. Accordingly, it would
serve no purpose to provide an
opportunity for public comment on this
rule prior to promulgation. Thus,
providing for notice and public
comment is impracticable and
unnecessary.
Furthermore, the Bureau finds under
section 553(d)(3) of the APA that good
cause exists to make this final rule
effective immediately upon publication
in the Federal Register. In the Act,
Congress expressly required Federal
agencies to publish annual inflation
adjustments to civil penalties in the
Federal Register by January 15 of each
year, notwithstanding section 553 of the
APA. Under the statutory framework
and OMB guidance, the new penalty
levels take effect immediately upon the
effective date of the adjustment. The
statutory deadline does not allow time
to delay this rule’s effective date beyond
publication. Moreover, an effective date
after January 15 would delay
application of the new penalty levels,
contrary to Congress’s intent.
List of Subjects
25 CFR Part 140
Business and industry, Indians,
Penalties.
25 CFR Part 141
Business and industry, Credit,
Indians—business and finance,
Penalties.
25 CFR Part 211
Geothermal energy, Indians—lands,
Mineral resources, Mines, Oil and gas
exploration, Reporting and
recordkeeping requirements.
25 CFR Part 213
Indians—lands, Mineral resources,
Mines, Oil and gas exploration,
Reporting and recordkeeping
requirements.
25 CFR Part 225
Geothermal energy, Indians—lands,
Mineral resources, Mines, Oil and gas
exploration, Penalties, Reporting and
recordkeeping requirements, Surety
bonds.
25 CFR Part 226
Indians—lands.
E:\FR\FM\09MRR1.SGM
09MRR1
13156
Federal Register / Vol. 87, No. 46 / Wednesday, March 9, 2022 / Rules and Regulations
25 CFR Part 227
Indians—lands, Mineral resources,
Mines, Oil and gas exploration,
Reporting and recordkeeping
requirements.
777; 25 U.S.C. 356; and Sec. 701, Pub. L.
114–74, 129 Stat. 599. Interpret or apply secs.
3, 11, 35 Stat. 313, 316; sec. 8, 47 Stat. 779,
unless otherwise noted.
25 CFR Part 243
Indians, Livestock.
■
§ 213.37
PART 140—LICENSED INDIAN
TRADERS
Authority: Sec. 5, 19 Stat. 200, sec. 1, 31
Stat. 1066 as amended; 25 U.S.C. 261, 262;
94 Stat. 544, 18 U.S.C. 437; 25 U.S.C. 2 and
9; 5 U.S.C. 301; and Sec. 701, Pub. L. 114–
74, 129 Stat. 599, unless otherwise noted.
PART 226—LEASING OF OSAGE
RESERVATION LANDS FOR OIL AND
GAS MINING
11. The authority citation for part 226
continues to read as follows:
[Amended]
2. In § 140.3, remove ‘‘$1,368’’ and
add in its place ‘‘$1,453’’.
PART 141—BUSINESS PRACTICES ON
THE NAVAJO, HOPI AND ZUNI
RESERVATIONS
Authority: Sec. 3, 34 Stat. 543; secs. 1, 2,
45 Stat. 1478; sec. 3, 52 Stat. 1034, 1035; sec.
2(a), 92 Stat. 1660; and Sec. 701, Pub. L. 114–
74, 129 Stat. 599.
§ 226.42
[Amended]
12. In § 226.42, remove ‘‘$976’’ and
add in its place ‘‘$1,037’’.
■
3. The authority citation for part 141
continues to read as follows:
■
§ 226.43
Authority: 5 U.S.C. 301; 25 U.S.C. 2 and
9; and Sec. 701, Pub. L. 114–74, 129 Stat.
599, unless otherwise noted.
[Amended]
13. In § 226.43:
a. Remove ‘‘$97’’ and add in each
place ‘‘$103’’ wherever it appears;
■ b. In paragraph (e), remove ‘‘$195’’
and add in its place ‘‘$207’’;
■ c. In paragraph (f), remove ‘‘$390’’ and
add in its place ‘‘$414’’; and
■ d. In paragraph (g), remove ‘‘$976’’
and add in its place ‘‘$1,037’’.
■
■
[Amended]
4. In § 141.50, remove ‘‘$1,368’’ and
add in its place ‘‘$1,453’’.
■
PART 211—LEASING OF TRIBAL
LANDS FOR MINERAL DEVELOPMENT
5. The authority citation for part 211
continues to read as follows:
■
Authority: Sec. 4, Act of May 11, 1938 (52
Stat. 347); Act of August 1, 1956 (70 Stat.
744); 25 U.S.C. 396a-g; 25 U.S.C. 2 and 9; and
Sec. 701, Pub. L. 114–74, 129 Stat. 599,
unless otherwise noted.
PART 227—LEASING OF CERTAIN
LANDS IN WIND RIVER INDIAN
RESERVATION, WYOMING, FOR OIL
AND GAS MINING
14. The authority citation for part 227
continues to read as follows:
■
Authority: Sec. 1, 39 Stat. 519; and Sec.
701, Pub. L. 114–74, 129 Stat. 599, unless
otherwise noted.
[Amended]
6. In § 211.55, in paragraph (a),
remove ‘‘$1,645’’ and add in its place
‘‘$1,747’’.
■
jspears on DSK121TN23PROD with RULES1
[Amended]
§ 227.24
PART 213—LEASING OF RESTRICTED
LANDS FOR MEMBERS OF FIVE
CIVILIZED TRIBES, OKLAHOMA, FOR
MINING
[Amended]
15. In § 227.24, remove ‘‘$1,368’’ and
add in its place ‘‘$1,453’’.
■
PART 243—REINDEER IN ALASKA
■
16. The authority citation for part 243
continues to read as follows:
Authority: Sec. 2, 35 Stat. 312; sec. 18, 41
Stat. 426; sec. 1, 45 Stat. 495; sec. 1, 47 Stat.
Authority: Sec. 12, 50 Stat. 902; 25 U.S.C.
500K; and Sec. 701, Pub. L. 114–74, 129 Stat.
599.
■
7. The authority citation for part 213
continues to read as follows:
VerDate Sep<11>2014
16:24 Mar 08, 2022
PART 249—OFF–RESERVATION
TREATY FISHING
18. The authority citation for part 249
continues to read as follows:
■
Authority: 25 U.S.C. 2, and 9; 5 U.S.C.
301; and Sec. 701, Pub. L. 114–74, 129 Stat.
599, unless otherwise noted.
§ 249.6
[Amended]
19. In § 249.6, in paragraph (b),
remove ‘‘$1,368’’ and add in its place
‘‘$1,453’’.
■
Bryan Newland,
Assistant Secretary—Indian Affairs.
[FR Doc. 2022–04989 Filed 3–8–22; 8:45 am]
BILLING CODE 4337–15–P
DEPARTMENT OF THE TREASURY
■
■
§ 211.55
Authority: 25 U.S.C. 2, 9, and 2101–2108;
and Sec. 701, Pub. L. 114–74, 129 Stat. 599.
10. In § 225.37, in paragraph (a),
remove ‘‘$1,741’’ and add in its place
‘‘$1,849’’.
1. The authority citation for part 140
continues to read as follows:
§ 141.50
9. The authority citation for part 225
continues to read as follows:
■
■
■
§ 140.3
PART 225—OIL AND GAS,
GEOTHERMAL AND SOLID MINERALS
AGREEMENTS
§ 225.37
[Amended]
17. In § 243.8, in paragraph (a)
introductory text, remove ‘‘$6,451’’ and
add in its place ‘‘$6,852’’.
■
[Amended]
8. In § 213.37, remove ‘‘$1,368’’ and
add in its place ‘‘$1,453’’.
25 CFR Part 249
Fishing, Indians.
For the reasons given in the preamble,
the Department of the Interior amends
chapter 1 of title 25 Code of Federal
Regulations as follows.
§ 243.8
Jkt 256001
PO 00000
Frm 00040
Fmt 4700
Sfmt 4700
Alcohol and Tobacco Tax and Trade
Bureau
27 CFR Part 5
[Docket No. TTB–2018–0007; T.D. TTB–
176A; Ref: T.D. TTB–176]
RIN 1513–AB54
Modernization of the Labeling and
Advertising Regulations for Distilled
Spirits and Malt Beverages; Correction
Alcohol and Tobacco Tax and
Trade Bureau, Treasury.
ACTION: Final rule; Treasury decision;
correction.
AGENCY:
The Alcohol and Tobacco Tax
and Trade Bureau (TTB) recently
published a final rule amending certain
of its regulations governing the labeling
and advertising of distilled spirits and
malt beverages. That final rule, which
also reorganized the regulations,
appeared in the Federal Register of
February 9, 2022. This document
corrects several minor, non-substantive
errors in that final rule.
DATES: This final rule is effective March
11, 2022.
FOR FURTHER INFORMATION CONTACT:
Christopher M. Thiemann, Regulations
and Rulings Division, Alcohol and
Tobacco Tax and Trade Bureau, 1310 G
Street NW, Box 12, Washington, DC
20005; telephone 202–453–2265.
SUPPLEMENTARY INFORMATION: The
Alcohol and Tobacco Tax and Trade
Bureau (TTB) recently published a final
rule amending certain of its regulations
governing the labeling and advertising
SUMMARY:
E:\FR\FM\09MRR1.SGM
09MRR1
]]>Agencies
[Federal Register Volume 87, Number 46 (Wednesday, March 9, 2022)]
[Rules and Regulations]
[Pages 13153-13156]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-04989]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF THE INTERIOR
Bureau of Indian Affairs
25 CFR Parts 140, 141, 211, 213, 225, 226, 227, 243, 249
[223A2100DD/AAKC001030/A0A501010.999900253G]
RIN 1076-AF70
Civil Penalties Inflation Adjustments; Annual Adjustments
AGENCY: Bureau of Indian Affairs, Interior.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: This rule provides for annual adjustments to the level of
civil monetary penalties contained in Bureau of Indian Affairs (Bureau)
regulations to account for inflation under the Federal Civil Penalties
Inflation Adjustment Act Improvements Act of 2015 and Office of
Management and Budget (OMB) guidance.
DATES: This rule is effective on March 9, 2022.
FOR FURTHER INFORMATION CONTACT: Steven Mullen, Federal Register
Liaison, Office of Regulatory Affairs and Collaborative Action, Office
of the Assistant Secretary--Indian Affairs; telephone (202) 924-2650,
[email protected].
SUPPLEMENTARY INFORMATION:
I. Background
II. Calculation of Annual Adjustments
III. Procedural Requirements
A. Regulatory Planning and Review (E.O. 12866 and 13563)
B. Reducing Regulation and Controlling Regulatory Costs (E.O.
13771)
C. Regulatory Flexibility Act
D. Small Business Regulatory Enforcement Fairness Act
E. Unfunded Mandates Reform Act
F. Takings (E.O. 12630)
G. Federalism (E.O. 13132)
H. Civil Justice Reform (E.O. 12988)
I. Consultation With Indian Tribes (E.O. 13175)
J. Paperwork Reduction Act
K. National Environmental Policy Act
L. Effects on the Energy Supply (E.O. 13211)
M. Clarity of This Regulation
N. Administrative Procedure Act
I. Background
On November 2, 2015, the President signed into law the Federal
Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (Sec.
701 of Pub. L. 114-74) (``the Act''). The Act requires Federal agencies
to adjust the level of civil monetary penalties with an initial
``catch-up'' adjustment through rulemaking and then make subsequent
annual adjustments for inflation. The purpose of these adjustments is
to maintain the deterrent effect of civil penalties and to further the
policy goals of the underlying statutes.
The Office of Management and Budget (OMB) issued guidance for
Federal agencies on calculating the catch-up adjustment. See February
24, 2016, Memorandum for the Heads of Executive Departments and
Agencies, from Shaun Donovan, Director, Office of Management and
Budget, re: Implementation of the Federal Civil Penalties Inflation
Adjustment Act Improvements Act of 2015 (M-16-06). Under the guidance,
the Department identified applicable civil monetary penalties and
calculated the catch-up adjustment. A civil monetary penalty is any
assessment with a dollar amount that is levied for a violation of a
Federal civil statute or regulation, and is assessed or enforceable
through a civil action in Federal court or an administrative
proceeding. A civil monetary penalty does not include a penalty levied
for violation of a criminal statute, or fees for services, licenses,
permits, or other regulatory review. The calculated catch-up adjustment
is based on the percent change between the Consumer Price Index for all
Urban Consumers (CPI0-U) for the month of October in the year of the
previous adjustment (or in the year of establishment, if no adjustment
has been made) and the October 2015 CPI-U.
The Bureau issued an interim final rule providing for calculated
catch-up adjustments on June 30, 2016 (81 FR 42478) with an effective
date of August 1, 2016, and requesting comments post-promulgation. The
Bureau issued a final rule affirming the catch-up adjustments set forth
in the interim final rule on December 2, 2016 (81 FR 86953). The Bureau
then issued a final rule making the next scheduled annual inflation
adjustment for 2017 on January 23, 2017 (82 FR 7649), for 2018 on
February 6, 2018 (83 FR 5192), for 2019 on April 15, 2019 (84 FR
15098), for 2020 on February 19, 2020 (85 FR 9366), and for 2021 on
January 28, 2021 (86 FR 7344).
II. Calculation of 2022 Annual Adjustments
OMB recently issued guidance to assist Federal agencies in
implementing the annual adjustments required by the Act, which agencies
must complete by January 15, 2022. See December 15, 2021, Memorandum
for the Heads of Executive Departments and Agencies, from Shalanda D.
Young, Acting Director, Office of Management and Budget, re:
Implementation of Penalty Inflation Adjustments for 2022, Pursuant to
the Federal Civil Penalties Inflation Adjustment Act Improvements Act
of 2015 (M-21-10). The guidance states that the cost-of-living
adjustment multiplier for 2022, based on the Consumer Price Index (CPI-
U) for the month of October 2021, not seasonally adjusted, is 1.06222.
(The annual inflation adjustments are based on the percent change
between the October CPI-U preceding the date of the adjustment, and the
prior year's October CPI-U. For 2022, OMB explains, October 2021 CPI-U
(276.589))/October 2020 CPI-U (260.388)) = 1.06222.) The guidance
instructs agencies to complete the 2022 annual adjustment by
multiplying each applicable penalty by the multiplier, 1.06222, and
rounding to the nearest dollar. Further, agencies should apply the
multiplier to the most recent penalty amount that includes the initial
catch-up adjustment required by the Act.
The annual adjustment applies to all civil monetary penalties with
a dollar amount that are subject to the Act. This final rule adjusts
the following civil monetary penalties contained in the Bureau's
regulations for 2022 by multiplying 1.06222 (i.e., the cost-of-living
adjustment multiplier for 2022) by each penalty amount as updated by
the adjustment made in the prior year (2021):
----------------------------------------------------------------------------------------------------------------
Current
penalty Annual Adjusted
CFR citation Description of penalty including adjustment penalty
catchup (multiplier) for 2022
adjustment
----------------------------------------------------------------------------------------------------------------
25 CFR Sec. 140.3................... Penalty for trading in $1,368 1.06222 $1,453
Indian country without a
license.
[[Page 13154]]
25 CFR Sec. 141.50.................. Penalty for trading on 1,368 1.06222 1,453
Navajo, Hopi or Zuni
reservations without a
license.
25 CFR Sec. 211.55.................. Penalty for violation of 1,645 1.06222 1,747
leases of Tribal land for
mineral development,
violation of part 211, or
failure to comply with a
notice of noncompliance or
cessation order.
25 CFR Sec. 213.37.................. Penalty for failure of 1,368 1.06222 1,453
lessee to comply with lease
of restricted lands of
members of the Five
Civilized Tribes in
Oklahoma for mining,
operating regulations at
part 213, or orders.
25 CFR Sec. 225.37.................. Penalty for violation of 1,741 1.06222 1,849
minerals agreement,
regulations at part 225,
other applicable laws or
regulations, or failure to
comply with a notice of
noncompliance or cessation
order.
25 CFR Sec. 226.42.................. Penalty for violation of 976 1.06222 1,037
lease of Osage reservation
lands for oil and gas
mining or regulations at
part 226, or noncompliance
with the Superintendent's
order.
25 CFR Sec. 226.43(a)............... Penalty per day for failure 97 1.06222 103
to obtain permission to
start operations.
25 CFR Sec. 226.43(b)............... Penalty per day for failure 97 1.06222 103
to file records.
25 CFR Sec. 226.43(c)............... Penalty for each well and 97 1.06222 103
tank battery for failure to
mark wells and tank
batteries.
25 CFR Sec. 226.43(d)............... Penalty each day after 97 1.06222 103
operations are commenced
for failure to construct
and maintain pits.
25 CFR Sec. 226.43(e)............... Penalty for failure to 195 1.06222 207
comply with requirements
regarding valve or other
approved controlling device.
25 CFR Sec. 226.43(f)............... Penalty for failure to 390 1.06222 414
notify Superintendent
before drilling,
redrilling, deepening,
plugging, or abandoning any
well.
25 CFR Sec. 226.43(g)............... Penalty per day for failure 976 1.06222 1,037
to properly care for and
dispose of deleterious
fluids.
25 CFR Sec. 226.43(h)............... Penalty per day for failure 97 1.06222 103
to file plugging and other
required reports.
25 CFR Sec. 227.24.................. Penalty for failure of 1,368 1.06222 1,453
lessee of certain lands in
Wind River Indian
Reservation, Wyoming, for
oil and gas mining to
comply with lease
provisions, operating
regulations, regulations at
part 227, or orders.
25 CFR Sec. 243.8................... Penalty for non-Native 6,451 1.06222 6,852
transferees of live Alaskan
reindeer who violates part
243, takes reindeer without
a permit, or fails to abide
by permit terms.
25 CFR Sec. 249.6(b)................ Penalty for fishing in 1,368 1.06222 1,453
violation of regulations at
part 249 (Off-Reservation
Treaty Fishing).
----------------------------------------------------------------------------------------------------------------
Consistent with the Act, the adjusted penalty levels for 2022 will
take effect immediately upon the effective date of the adjustment. The
adjusted penalty levels for 2022 will apply to penalties assessed after
that date including, if consistent with agency policy, assessments
associated with violations that occurred on or after November 2, 2015
(the date of the Act). The Act does not, however, change previously
assessed penalties that the Bureau is collecting or has collected. Nor
does the Act change an agency's existing statutory authorities to
adjust penalties.
III. Procedural Requirements
A. Regulatory Planning and Review (E.O. 12866 and 13563)
Executive Order 12866 provides that the Office of Information and
Regulatory Affairs in the Office of Management and Budget will review
all significant rules. The Office of Information and Regulatory Affairs
has determined that this rule is not significant.
Executive Order 13563 reaffirms the principles of E.O. 12866 while
calling for improvements in the nation's regulatory system to promote
predictability, to reduce uncertainty, and to use the best, most
innovative, and least burdensome tools for achieving regulatory ends.
The executive order directs agencies to consider regulatory approaches
that reduce burdens and maintain flexibility and freedom of choice for
the public where these approaches are relevant, feasible, and
consistent with regulatory objectives. E.O. 13563 emphasizes further
that regulations must be based on the best available science and that
the rulemaking process must allow for public participation and an open
exchange of ideas. We have developed this rule in a manner consistent
with these requirements.
B. Reducing Regulation and Controlling Regulatory Costs (Executive
Order 13771)
This rule is not an E.O. 13771 regulatory action because this rule
is not significant under Executive Order 12866.
C. Regulatory Flexibility Act
This rule will not have a significant economic effect on a
substantial number of small entities under the Regulatory Flexibility
Act (5 U.S.C. 601 et seq.) because the rule makes adjustments for
inflation.
D. Small Business Regulatory Enforcement Fairness Act
This rule is not a major rule under 5 U.S.C. 804(2), the Small
Business Regulatory Enforcement Fairness Act. This rule:
(a) Does not have an annual effect on the economy of $100 million
or more.
(b) Will not cause a major increase in costs or prices for
consumers, individual industries, Federal, State, or local government
agencies, or geographic regions.
(c) Does not have significant adverse effects on competition,
employment, investment, productivity, innovation, or the ability of
U.S.-based enterprises to compete with foreign-based enterprises.
[[Page 13155]]
E. Unfunded Mandates Reform Act
This rule does not impose an unfunded mandate on State, local, or
tribal governments, or the private sector of more than $100 million per
year. The rule does not have a significant or unique effect on State,
local, or tribal governments or the private sector. A statement
containing the information required by the Unfunded Mandates Reform Act
(2 U.S.C. 1531 et seq.) is not required.
F. Takings (E.O. 12630)
This rule does not affect a taking of private property or otherwise
have taking implications under Executive Order 12630. A takings
implication assessment is not required.
G. Federalism (E.O. 13132)
Under the criteria in section 1 of Executive Order 13132, this rule
does not have sufficient federalism implications to warrant the
preparation of a federalism summary impact statement. A federalism
summary impact statement is not required.
H. Civil Justice Reform (E.O. 12988)
This rule complies with the requirements of Executive Order 12988.
Specifically, this rule: (a) Meets the criteria of section 3(a)
requiring that all regulations be reviewed to eliminate errors and
ambiguity and be written to minimize litigation; and (b) meets the
criteria of section 3(b)(2) requiring that all regulations be written
in clear language and contain clear legal standards.
I. Consultation With Indian Tribes (E.O. 13175 and Departmental Policy)
The Department of the Interior strives to strengthen its
government-to-government relationship with Indian tribes through a
commitment to consultation with Indian Tribes and recognition of their
right to self-governance and Tribal sovereignty. We have evaluated this
rule under the Department's consultation policy and under the criteria
in Executive Order 13175 and have determined that it has no substantial
direct effects on federally recognized Indian Tribes and that
consultation under the Department's Tribal consultation policy is not
required.
J. Paperwork Reduction Act
This rule does not contain information collection requirements, and
a submission to the Office of Management and Budget under the Paperwork
Reduction Act (44 U.S.C. 3501 et seq.) is not required. We may not
conduct or sponsor, and you are not required to respond to, a
collection of information unless it displays a currently valid OMB
control number.
K. National Environmental Policy Act
This rule does not constitute a major Federal action significantly
affecting the quality of the human environment. A detailed statement
under the National Environmental Policy Act of 1969 (NEPA) is not
required because the rule is covered by a categorical exclusion. This
rule is excluded from the requirement to prepare a detailed statement
because it is a regulation of an administrative nature. (For further
information see 43 CFR 46.210(i)). We have also determined that the
rule does not involve any of the extraordinary circumstances listed in
43 CFR 46.215 that would require further analysis under NEPA.
L. Effects on the Energy Supply (E.O. 13211)
This rule is not a significant energy action under the definition
in Executive Order 13211. A Statement of Energy Effects is not
required.
M. Administrative Procedure Act
The Act requires agencies to publish annual inflation adjustments
by no later than January 15, of each year, notwithstanding section 553
of the Administrative Procedure Act (APA) (5 U.S.C. 553). OMB has
interpreted this direction to mean that the usual APA public procedure
for rulemaking--which includes public notice of a proposed rule, an
opportunity for public comment, and a delay in the effective date of a
final rule--is not required when agencies issue regulations to
implement the annual adjustments to civil penalties that the Act
requires. Accordingly, we are issuing the annual adjustments as a final
rule without prior notice or an opportunity for comment and with an
effective date immediately upon publication in the Federal Register.
Section 553(b) of the Administrative Procedure Act (APA) provides
that, when an agency for good cause finds that ``notice and public
procedure . . . are impracticable, unnecessary, or contrary to the
public interest,'' the agency may issue a rule without providing notice
and an opportunity for prior public comment. Under section 553(b), the
Bureau finds that there is good cause to promulgate this rule without
first providing for public comment. It would not be possible to meet
the deadlines imposed by the Act if we were to first publish a proposed
rule, allow the public sufficient time to submit comments, analyze the
comments, and publish a final rule. Also, the Bureau is promulgating
this final rule to implement the statutory directive in the Act, which
requires agencies to publish a final rule and to update the civil
penalty amounts by applying a specified formula. The Bureau has no
discretion to vary the amount of the adjustment to reflect any views or
suggestions provided by commenters. Accordingly, it would serve no
purpose to provide an opportunity for public comment on this rule prior
to promulgation. Thus, providing for notice and public comment is
impracticable and unnecessary.
Furthermore, the Bureau finds under section 553(d)(3) of the APA
that good cause exists to make this final rule effective immediately
upon publication in the Federal Register. In the Act, Congress
expressly required Federal agencies to publish annual inflation
adjustments to civil penalties in the Federal Register by January 15 of
each year, notwithstanding section 553 of the APA. Under the statutory
framework and OMB guidance, the new penalty levels take effect
immediately upon the effective date of the adjustment. The statutory
deadline does not allow time to delay this rule's effective date beyond
publication. Moreover, an effective date after January 15 would delay
application of the new penalty levels, contrary to Congress's intent.
List of Subjects
25 CFR Part 140
Business and industry, Indians, Penalties.
25 CFR Part 141
Business and industry, Credit, Indians--business and finance,
Penalties.
25 CFR Part 211
Geothermal energy, Indians--lands, Mineral resources, Mines, Oil
and gas exploration, Reporting and recordkeeping requirements.
25 CFR Part 213
Indians--lands, Mineral resources, Mines, Oil and gas exploration,
Reporting and recordkeeping requirements.
25 CFR Part 225
Geothermal energy, Indians--lands, Mineral resources, Mines, Oil
and gas exploration, Penalties, Reporting and recordkeeping
requirements, Surety bonds.
25 CFR Part 226
Indians--lands.
[[Page 13156]]
25 CFR Part 227
Indians--lands, Mineral resources, Mines, Oil and gas exploration,
Reporting and recordkeeping requirements.
25 CFR Part 243
Indians, Livestock.
25 CFR Part 249
Fishing, Indians.
For the reasons given in the preamble, the Department of the
Interior amends chapter 1 of title 25 Code of Federal Regulations as
follows.
PART 140--LICENSED INDIAN TRADERS
0
1. The authority citation for part 140 continues to read as follows:
Authority: Sec. 5, 19 Stat. 200, sec. 1, 31 Stat. 1066 as
amended; 25 U.S.C. 261, 262; 94 Stat. 544, 18 U.S.C. 437; 25 U.S.C.
2 and 9; 5 U.S.C. 301; and Sec. 701, Pub. L. 114-74, 129 Stat. 599,
unless otherwise noted.
Sec. 140.3 [Amended]
0
2. In Sec. 140.3, remove ``$1,368'' and add in its place ``$1,453''.
PART 141--BUSINESS PRACTICES ON THE NAVAJO, HOPI AND ZUNI
RESERVATIONS
0
3. The authority citation for part 141 continues to read as follows:
Authority: 5 U.S.C. 301; 25 U.S.C. 2 and 9; and Sec. 701, Pub.
L. 114-74, 129 Stat. 599, unless otherwise noted.
Sec. 141.50 [Amended]
0
4. In Sec. 141.50, remove ``$1,368'' and add in its place ``$1,453''.
PART 211--LEASING OF TRIBAL LANDS FOR MINERAL DEVELOPMENT
0
5. The authority citation for part 211 continues to read as follows:
Authority: Sec. 4, Act of May 11, 1938 (52 Stat. 347); Act of
August 1, 1956 (70 Stat. 744); 25 U.S.C. 396a-g; 25 U.S.C. 2 and 9;
and Sec. 701, Pub. L. 114-74, 129 Stat. 599, unless otherwise noted.
Sec. 211.55 [Amended]
0
6. In Sec. 211.55, in paragraph (a), remove ``$1,645'' and add in its
place ``$1,747''.
PART 213--LEASING OF RESTRICTED LANDS FOR MEMBERS OF FIVE CIVILIZED
TRIBES, OKLAHOMA, FOR MINING
0
7. The authority citation for part 213 continues to read as follows:
Authority: Sec. 2, 35 Stat. 312; sec. 18, 41 Stat. 426; sec. 1,
45 Stat. 495; sec. 1, 47 Stat. 777; 25 U.S.C. 356; and Sec. 701,
Pub. L. 114-74, 129 Stat. 599. Interpret or apply secs. 3, 11, 35
Stat. 313, 316; sec. 8, 47 Stat. 779, unless otherwise noted.
Sec. 213.37 [Amended]
0
8. In Sec. 213.37, remove ``$1,368'' and add in its place ``$1,453''.
PART 225--OIL AND GAS, GEOTHERMAL AND SOLID MINERALS AGREEMENTS
0
9. The authority citation for part 225 continues to read as follows:
Authority: 25 U.S.C. 2, 9, and 2101-2108; and Sec. 701, Pub. L.
114-74, 129 Stat. 599.
Sec. 225.37 [Amended]
0
10. In Sec. 225.37, in paragraph (a), remove ``$1,741'' and add in its
place ``$1,849''.
PART 226--LEASING OF OSAGE RESERVATION LANDS FOR OIL AND GAS MINING
0
11. The authority citation for part 226 continues to read as follows:
Authority: Sec. 3, 34 Stat. 543; secs. 1, 2, 45 Stat. 1478;
sec. 3, 52 Stat. 1034, 1035; sec. 2(a), 92 Stat. 1660; and Sec. 701,
Pub. L. 114-74, 129 Stat. 599.
Sec. 226.42 [Amended]
0
12. In Sec. 226.42, remove ``$976'' and add in its place ``$1,037''.
Sec. 226.43 [Amended]
0
13. In Sec. 226.43:
0
a. Remove ``$97'' and add in each place ``$103'' wherever it appears;
0
b. In paragraph (e), remove ``$195'' and add in its place ``$207'';
0
c. In paragraph (f), remove ``$390'' and add in its place ``$414''; and
0
d. In paragraph (g), remove ``$976'' and add in its place ``$1,037''.
PART 227--LEASING OF CERTAIN LANDS IN WIND RIVER INDIAN
RESERVATION, WYOMING, FOR OIL AND GAS MINING
0
14. The authority citation for part 227 continues to read as follows:
Authority: Sec. 1, 39 Stat. 519; and Sec. 701, Pub. L. 114-74,
129 Stat. 599, unless otherwise noted.
Sec. 227.24 [Amended]
0
15. In Sec. 227.24, remove ``$1,368'' and add in its place ``$1,453''.
PART 243--REINDEER IN ALASKA
0
16. The authority citation for part 243 continues to read as follows:
Authority: Sec. 12, 50 Stat. 902; 25 U.S.C. 500K; and Sec. 701,
Pub. L. 114-74, 129 Stat. 599.
Sec. 243.8 [Amended]
0
17. In Sec. 243.8, in paragraph (a) introductory text, remove
``$6,451'' and add in its place ``$6,852''.
PART 249--OFF-RESERVATION TREATY FISHING
0
18. The authority citation for part 249 continues to read as follows:
Authority: 25 U.S.C. 2, and 9; 5 U.S.C. 301; and Sec. 701, Pub.
L. 114-74, 129 Stat. 599, unless otherwise noted.
Sec. 249.6 [Amended]
0
19. In Sec. 249.6, in paragraph (b), remove ``$1,368'' and add in its
place ``$1,453''.
Bryan Newland,
Assistant Secretary--Indian Affairs.
[FR Doc. 2022-04989 Filed 3-8-22; 8:45 am]
BILLING CODE 4337-15-P
