Inflation Adjustment of Civil Monetary Penalties, 4818-4820 [2024-01409]

Download as PDF 4818 Federal Register / Vol. 89, No. 17 / Thursday, January 25, 2024 / Rules and Regulations these approaches are relevant, feasible, and consistent with regulatory objectives. E.O. 13563 further emphasizes 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. However, BOEM is using neither science nor public participation in this rulemaking. Congress directed agencies to adjust the maximum daily civil penalty amounts using a particular equation without public participation. BOEM does not have discretion to use any other factor in the adjustment. BOEM has developed this rule in a manner consistent with the requirements in E.O. 13563 to the extent relevant and feasible given the limited discretion provided agencies under the Improvements Act. 3. Civil Justice Reform (E.O. 12988) This rule complies with the requirements of E.O. 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. khammond on DSKJM1Z7X2PROD with RULES 4. Federalism (E.O. 13132) Under the criteria in section 1 of E.O. 13132, this rule does not have sufficient federalism implications to warrant the preparation of a federalism summary impact statement. This rule merely adjusts the dollar amount of civil monetary penalties that BOEM may impose on oil and gas lessees, grant holders, and operators on the Outer Continental Shelf and has no effects on any action of State or local governments. Therefore, a federalism summary impact statement is not required. 5. Consultation and Coordination With Indian Tribal Governments (E.O. 13175) The Department of the Interior and BOEM strive to strengthen their government-to-government relationships with Indian Tribes through a commitment to consultation with Indian Tribes and recognition of the Tribes’ right to self-governance and Tribal sovereignty. BOEM evaluated this rule under the Department of the Interior’s consultation policy, Departmental Manual part 512 chapters 4 and 5, and E.O. 13175. BOEM determined that this rule has no substantial direct effects on federally recognized Indian Tribes or Alaska Native Claims Settlement Act VerDate Sep<11>2014 15:54 Jan 24, 2024 Jkt 262001 Corporations and that consultation under existing Department and BOEM policies is not required. 6. Actions Concerning Regulations That Significantly Affect Energy Supply, Distribution, or Use (E.O. 13211) This rule is not a ‘‘significant energy action’’ under the definition of that term found in E.O. 13211. Therefore, a statement of energy effects is not required. List of Subjects 30 CFR Part 550 Administrative practice and procedure, Continental shelf, Environmental impact statements, Environmental protection, Federal lands, Government contracts, Investigations, Mineral resources, Oil and gas exploration, Outer continental shelf, Penalties, Pipelines, Reporting and recordkeeping requirements, Rightsof-way, Sulfur. 30 CFR Part 553 Administrative practice and procedure, Continental shelf, Financial responsibility, Liability, Limit of liability, Oil and gas exploration, Oil pollution, Outer continental shelf, Penalties, Pipelines, Reporting and recordkeeping requirements, Rights-ofway, Surety bonds, Treasury securities. This action by the Deputy Assistant Secretary is taken pursuant to an existing delegation of authority. Steven H. Feldgus, Principal Deputy Assistant Secretary, Land and Minerals Management. For the reasons stated in the preamble, BOEM amends 30 CFR parts 550 and 553 as follows: PART 550—OIL AND GAS AND SULPHUR OPERATIONS IN THE OUTER CONTINENTAL SHELF 1. The authority citation for part 550 continues to read as follows: ■ Authority: 30 U.S.C. 1751; 31 U.S.C. 9701; 43 U.S.C. 1334. 2. Revise § 550.1403 to read as follows: ■ § 550.1403 penalty? What is the maximum civil The maximum civil penalty is $54,352 per day per violation. PART 553—OIL SPILL FINANCIAL RESPONSIBILITY FOR OFFSHORE FACILITIES 3. The authority citation for part 553 is amended to read as follows: ■ PO 00000 Frm 00020 Fmt 4700 Sfmt 4700 Authority: 33 U.S.C. 2704, 2716; 2716a; E.O. 12777, as amended. 4. Revise § 553.51(a) to read as follows: ■ § 553.51 What are the penalties for not complying with this part? (a) If you fail to comply with the financial responsibility requirements of OPA at 33 U.S.C. 2716 or with the requirements of this part, then you may be liable for a civil penalty of up to $57,617 per COF per day of violation (that is, each day a COF is operated without acceptable evidence of OSFR). * * * * * [FR Doc. 2024–01412 Filed 1–24–24; 8:45 am] BILLING CODE 4340–98–P DEPARTMENT OF THE TREASURY Office of the Secretary of the Treasury 31 CFR Parts 16, 27, and 50 Inflation Adjustment of Civil Monetary Penalties Departmental Offices Treasury. Final rule. AGENCY: ACTION: The Department of the Treasury (‘‘Department’’ or ‘‘Treasury’’) publishes this final rule to adjust its civil monetary penalties (‘‘CMPs’’) for inflation as mandated by the Federal Civil Penalties Inflation Adjustment Act of 1990, as amended by the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (collectively referred to herein as ‘‘the Act’’). DATES: Effective January 25, 2024. FOR FURTHER INFORMATION CONTACT: For information regarding the Terrorism Risk Insurance Program’s CMPs, contact Richard Ifft, Lead Management and Senior Insurance Policy Analyst, Terrorism Risk Insurance Program, Federal Insurance Office, Room 1410 MT, Department of the Treasury, 1500 Pennsylvania Avenue NW, Washington, DC 20220, at (202) 622–2922 (not a tollfree number), or Sherry Rowlett, Program Analyst, Federal Insurance Office, at (202) 622–1890 (not a toll free number). Persons who have difficulty hearing or speaking may access these numbers via TTY by calling the toll-free Federal Relay Service at (800) 877–8339. For information regarding the Treasury-wide CMPs, contact Richard Dodson, Senior Counsel, General Law, Ethics, and Regulation, 202–622–9949. SUPPLEMENTARY INFORMATION: SUMMARY: I. Background In order to improve the effectiveness of CMPs and to maintain their deterrent E:\FR\FM\25JAR1.SGM 25JAR1 Federal Register / Vol. 89, No. 17 / Thursday, January 25, 2024 / Rules and Regulations effect, the Federal Civil Penalties Inflation Adjustment Act of 1990, 28 U.S.C. 2461 note (‘‘the Inflation Adjustment Act’’), as amended by the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (Pub. L. 114–74) (‘‘the 2015 Act’’), requires Federal agencies to adjust each CMP provided by law within the jurisdiction of the agency. The 2015 Act requires agencies to adjust the level of CMPs with an initial ‘‘catch-up’’ adjustment through an interim final rulemaking and to make subsequent annual adjustments for inflation, without needing to provide notice and the opportunity for public comment required by 5 U.S.C. 553. This rule constitutes the Department’s 2024 annual adjustment. The 2015 Act provides that any increase in a CMP shall apply to CMPs that are assessed after the date the increase takes effect, regardless of whether the underlying violation predated such increase.1 khammond on DSKJM1Z7X2PROD with RULES II. Method of Calculation The method of calculating CMP adjustments applied in this final rule is required by the 2015 Act. Under the 2015 Act and the Office of Management and Budget guidance required by the 2015 Act, annual inflation adjustments subsequent to the initial catch-up adjustment are to be based on the percent change between the Consumer Price Index for all Urban Consumers (‘‘CPI–U’’) for the October preceding the date of the adjustment and the prior year’s October CPI–U. As set forth in Office of Management and Budget (OMB) Memorandum M–24–07 of December 19, 2023, the adjustment multiplier for 2024 is 1.03241. Under the 2015 Act, any increase in CMP must be rounded to the nearest multiple of $1. With regard to the CMPs assessed under 31 U.S.C. 3802(a), the penalty amount for 2023 ($9,399) is multiplied by 1.03241, resulting in a maximum penalty amount of $9,704 for 2024. With regard to the CMPs assessed under 31 U.S.C. 333(c), the first penalty under this section was adjusted to $9,399 in 2023. This amount is multiplied by 1.03241, resulting in a penalty of $9,704 for 2024. The second penalty under this section was adjusted to $46,989 in 2023. Multiplying this amount by 1.03241, results in a penalty of $48,512 for 2024. Finally, with regard to the CMP assessed under Section 104 of Title I, 1 However, the increased CMPs apply only with respect to underlying violations occurring after the date of enactment of the 2015 Act, i.e., after November 2, 2015. VerDate Sep<11>2014 15:54 Jan 24, 2024 Jkt 262001 Public Law 107–297, as amended, the penalty amount for 2023 ($1,643,738) is multiplied by 1.03241 resulting in a penalty of $1,697,012 for 2024. PART 16—REGULATIONS IMPLEMENTING THE PROGRAM FRAUD CIVIL REMEDIES ACT OF 1986 1. The authority citation for part 16 continues to read as follows: ■ Procedural Matters 1. Administrative Procedure Act The Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (Section 701(b)) requires agencies to make annual adjustments for inflation to CMPs, without needing to provide notice and the opportunity for public comment and a delayed effective date required by 5 U.S.C. 553. Additionally, the methodology used for adjusting CMPs for inflation is provided by statute, with no discretion provided to agencies regarding the substance of the adjustments for inflation to CMPs. The Department is charged only with performing ministerial computations to determine the dollar amount of adjustments for inflation to CMPs. Accordingly, prior public notice, an opportunity for public comment, and a delayed effective date are not required for this rule. 2. Regulatory Flexibility Act Because no notice of proposed rulemaking is required, the provisions of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) do not apply. 3. Executive Order 12866 This rule is not a significant regulatory action as defined in section 3.f of Executive Order 12866, as amended. 4. Paperwork Reduction Act The provisions of the Paperwork Reduction Act of 1995, Public Law 104– 13, 44 U.S.C. Chapter 35, and its implementing regulations, 5 CFR part 1320, do not apply to this rule because there are no new or revised recordkeeping or reporting requirements. List of Subjects 31 CFR Part 16 Administrative practice and procedure, Claims, Fraud, Penalties. 31 CFR Part 27 Administrative practice and procedure, Penalties. 31 CFR Part 50 Authority and Issuance For the reasons set forth in the preamble, parts 16, 27, and 50 of title 31 of the Code of Federal Regulations are amended as follows: Frm 00021 Fmt 4700 Sfmt 4700 Authority: 31 U.S.C. 3801–3812. 2. Amend § 16.3 by revising paragraphs (a)(1)(iv) and (b)(1)(ii) to read as follows: ■ § 16.3 Basis for civil penalties and assessments. (a) * * * (1) * * * (iv) Is for payment for the provision of property or services which the person has not provided as claimed, shall be subject, in addition to any other remedy that may be prescribed by law, to a civil penalty of not more than $9,704 (2024) for each such claim. * * * * * (b) * * * (1) * * * (ii) Includes or is accompanied by an express certification or affirmation of the truthfulness and accuracy of the content of the statement, shall be subject, in addition to any other remedy that may be prescribed by law, to a civil penalty of not more than $9,704 (2024) for each such statement. * * * * * PART 27—CIVIL PENALTY ASSESSMENT FOR MISUSE OF DEPARTMENT OF THE TREASURY NAMES, SYMBOLS, ETC. 3. The authority citation for part 27 continues to read as follows: ■ Authority: 31 U.S.C. 321, 333. 4. Amend § 27.3 by revising paragraph (c) to read as follows: ■ § 27.3 Assessment of civil penalties. * * * * * (c) Civil penalty. An assessing official may impose a civil penalty on any person who violates the provisions of paragraph (a) of this section. The amount of a civil monetary penalty shall not exceed $9,704 (2024) for each and every use of any material in violation of paragraph (a), except that such penalty shall not exceed $48,512 for each and every use if such use is in a broadcast or telecast. * * * * * PART 50—TERRORISM RISK INSURANCE PROGRAM Insurance, Terrorism. PO 00000 4819 5. The authority citation for part 50 is revised to read as follows: ■ Authority: 5 U.S.C. 301; 31 U.S.C. 321; Title I, Pub. L. 107–297, 116 Stat. 2322, as E:\FR\FM\25JAR1.SGM 25JAR1 4820 Federal Register / Vol. 89, No. 17 / Thursday, January 25, 2024 / Rules and Regulations amended by Pub. L. 109–144, 119 Stat. 2660, Pub. L. 110–160, 121 Stat. 1839, Pub. L. 114– 1, 129 Stat. 3, and Pub. L. 116–94, 133 Stat. 2534 (15 U.S.C. 6701 note); Pub. L. 114–74, 129 Stat. 601, Title VII (28 U.S.C. 2461 note). 6. Amend § 50.83 by revising paragraph (a) to read as follows: ■ § 50.83 Adjustment of civil monetary penalty amount. (a) Inflation adjustment. Any penalty under the Act and these regulations may not exceed the greater of $1,697,012 and, in the case of any failure to pay, charge, collect or remit amounts in accordance with the Act or these regulations such amount in dispute. * * * * * Kayla Arslanian, Executive Secretary. [FR Doc. 2024–01409 Filed 1–24–24; 8:45 am] BILLING CODE 4810–AK–P DEPARTMENT OF THE TREASURY Financial Crimes Enforcement Network 31 CFR Part 1010 Financial Crimes Enforcement Network; Inflation Adjustment of Civil Monetary Penalties Financial Crimes Enforcement Network (FinCEN), Treasury. ACTION: Final rule. AGENCY: FinCEN is publishing this final rule to reflect inflation adjustments to its civil monetary penalties as mandated by the Federal Civil Penalties Inflation Adjustment Act of 1990, as amended. This rule adjusts certain maximum civil monetary penalties within the jurisdiction of FinCEN to the amounts required by that Act. DATES: Effective January 25, 2024. FOR FURTHER INFORMATION CONTACT: The FinCEN Regulatory Support Section at 1–800–767–2825 or electronically at frc@fincen.gov. SUPPLEMENTARY INFORMATION: SUMMARY: khammond on DSKJM1Z7X2PROD with RULES I. Background To improve the effectiveness of civil monetary penalties (CMPs) and to maintain their deterrent effect, the Federal Civil Penalties Inflation Adjustment Act of 1990 (the Act) 1 requires Federal agencies to adjust for inflation each CMP provided by law within the jurisdiction of the agency. Under the Act, agencies are required to adjust CMPs annually and publish these 1 Public Law 101–410, as amended in 2015 by section 701 of Public Law 114–74 and codified as a note to 28 U.S.C. 2461. VerDate Sep<11>2014 15:54 Jan 24, 2024 Jkt 262001 adjustments in the Federal Register.2 Agencies are to make the adjustments without engaging in notice-andcomment rulemaking, and these adjustments may be immediately effective upon publication.3 The Act provides that any increase in a CMP shall apply to CMPs that are assessed after the date the increase takes effect, regardless of whether the underlying violation predated such increase.4 FinCEN publishes CMP inflation adjustments in its regulations at 31 CFR 1010.821. II. Method of Calculation The method of calculating CMP adjustments applied in this final rule is determined by the Act. Under the Act and Office of Management and Budget (OMB) guidance, annual inflation adjustments are to be based on the percent change between the Consumer Price Index for all Urban Consumers (CPI–U) for the October preceding the date of the adjustment and the prior year’s October CPI–U.5 As set forth in OMB Memorandum M–24–07 of December 19, 2023, the adjustment multiplier for 2024 is 1.03241. To complete the 2024 annual adjustment, each current FinCEN CMP is multiplied by the 2024 adjustment multiplier. Under the Act, any increase in CMP must be rounded to the nearest multiple of $1.6 This final rule lists adjusted CMPs associated with violations of the Corporate Transparency Act (CTA) 7 for the first time: specifically, the CMPs for beneficial ownership information (BOI) reporting violations (31 U.S.C. 5336(h)(3)(A)(i)) and for the unauthorized disclosure or use of BOI (31 U.S.C. 5336(h)(3)(B)(i)). These CMPs were established when the CTA became 2 Act, sec. 4(a). sec. 4(b)(2) (adjustments are to be made ‘‘notwithstanding’’ the rulemaking requirements of 5 U.S.C. 553 of the Administrative Procedure Act). 4 The increased CMPs, however, apply only with respect to underlying violations occurring after November 2, 2015, the date of enactment of the most recent amendment to the Act. Act, sec. 6. 5 Act, sec. 5; OMB Mem. M–24–07 (Dec. 19, 2023). 6 Act, sec. 5(a). FinCEN previously applied a catch-up adjustment for each penalty subject to the Act in 2016 based on the year and corresponding amount(s) for which the maximum penalty or range of minimum and maximum penalties was established or last adjusted, whichever is later. See Civil Monetary Penalty Adjustment and Table, 81 FR 42503, 42504 (June 30, 2016). Because the year of establishment or last adjustment is different for different penalties, penalties that were of the same size when each was promulgated can have different values today if promulgated at different times. 7 The CTA is Title LXIV of the William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021, Public Law 116–283 (Jan. 1, 2021). The CTA is codified at 31 U.S.C. 5336. 3 Act, PO 00000 Frm 00022 Fmt 4700 Sfmt 4700 law in 2021, but were not published with prior adjustments because FinCEN’s regulations implementing the CTA were then not yet effective.8 Because these CTA-associated CMPs will be effective in 2024, they are listed in this adjustment. As these CMPs were established in 2021, they were also subject to the CMP adjustments imposed in 2022 and 2023, even though they were not published with those adjustments; accordingly, this rule applies the 2022, 2023, and 2024 adjustment multipliers to the CMPs established by the CTA.9 Procedural Matters 1. Administrative Procedure Act Section 4(b) of the Act requires agencies, beginning in 2017, to make annual adjustments for inflation to CMPs notwithstanding the rulemaking requirements of 5 U.S.C. 553. Additionally, the methodology used for adjusting CMPs for inflation is provided by statute, with no discretion provided to agencies regarding the substance of the adjustments for inflation to CMPs. Accordingly, prior public notice and an opportunity for public comment and a delayed effective date are not required for this rule. 2. Regulatory Flexibility Act Because no notice of proposed rulemaking is required, the provisions of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) do not apply. 3. Executive Order 12866 This rule is not a significant regulatory action as defined in section 8 The CTA’s BOI reporting requirements are implemented by regulations effective January 1, 2024, and the CTA’s requirements regarding BOI access and safeguards are implemented by regulations effective February 20, 2024. See FinCEN, Beneficial Ownership Information Reporting Requirements, 87 FR 59498 (Sept. 30, 2022); FinCEN, Beneficial Ownership Information Access and Safeguards, 88 FR 88732 (Dec. 22, 2023). 9 Under section 5(b)(2)(B) of the Act, the adjustment is to ‘‘be applied to the amount of the civil monetary penalty as it was most recently established or adjusted under a provision of law other than [the Act].’’ This amount is the penalty ‘‘established (i.e., as originally enacted by Congress), or last adjusted (i.e., by Congress in statute, or by the agency through regulation), whichever is later, other than pursuant to [Act].’’ OMB Mem. M–16–06 (Feb. 24, 2016). Because the CTA-associated CMPs were established by Congress in 2021 and have not since been adjusted by statute or regulation, they were subject to the 2022 and 2023 adjustments required by the Act, as well as the 2024 adjustment. FinCEN applied an adjustment multiplier of 1.06222 in 2022 and of 1.07745 in 2023 to CMPs. FinCEN, Inflation Adjustment of Civil Monetary Penalties, 87 FR 3433, 3434 (Jan. 24, 2022); FinCEN, Inflation Adjustment of Civil Monetary Penalties, 88 FR 3311, 3312 (Jan. 19, 2023). E:\FR\FM\25JAR1.SGM 25JAR1

Agencies

DEPARTMENT OF THE TREASURY
Office of the Secretary of the Treasury

[Federal Register Volume 89, Number 17 (Thursday, January 25, 2024)]
[Rules and Regulations]
[Pages 4818-4820]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-01409]


=======================================================================
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DEPARTMENT OF THE TREASURY

Office of the Secretary of the Treasury

31 CFR Parts 16, 27, and 50


Inflation Adjustment of Civil Monetary Penalties

AGENCY: Departmental Offices Treasury.

ACTION: Final rule.

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

SUMMARY: The Department of the Treasury (``Department'' or 
``Treasury'') publishes this final rule to adjust its civil monetary 
penalties (``CMPs'') for inflation as mandated by the Federal Civil 
Penalties Inflation Adjustment Act of 1990, as amended by the Federal 
Civil Penalties Inflation Adjustment Act Improvements Act of 2015 
(collectively referred to herein as ``the Act'').

DATES: Effective January 25, 2024.

FOR FURTHER INFORMATION CONTACT: For information regarding the 
Terrorism Risk Insurance Program's CMPs, contact Richard Ifft, Lead 
Management and Senior Insurance Policy Analyst, Terrorism Risk 
Insurance Program, Federal Insurance Office, Room 1410 MT, Department 
of the Treasury, 1500 Pennsylvania Avenue NW, Washington, DC 20220, at 
(202) 622-2922 (not a toll-free number), or Sherry Rowlett, Program 
Analyst, Federal Insurance Office, at (202) 622-1890 (not a toll free 
number). Persons who have difficulty hearing or speaking may access 
these numbers via TTY by calling the toll-free Federal Relay Service at 
(800) 877-8339.
    For information regarding the Treasury-wide CMPs, contact Richard 
Dodson, Senior Counsel, General Law, Ethics, and Regulation, 202-622-
9949.

SUPPLEMENTARY INFORMATION:

I. Background

    In order to improve the effectiveness of CMPs and to maintain their 
deterrent

[[Page 4819]]

effect, the Federal Civil Penalties Inflation Adjustment Act of 1990, 
28 U.S.C. 2461 note (``the Inflation Adjustment Act''), as amended by 
the Federal Civil Penalties Inflation Adjustment Act Improvements Act 
of 2015 (Pub. L. 114-74) (``the 2015 Act''), requires Federal agencies 
to adjust each CMP provided by law within the jurisdiction of the 
agency. The 2015 Act requires agencies to adjust the level of CMPs with 
an initial ``catch-up'' adjustment through an interim final rulemaking 
and to make subsequent annual adjustments for inflation, without 
needing to provide notice and the opportunity for public comment 
required by 5 U.S.C. 553. This rule constitutes the Department's 2024 
annual adjustment. The 2015 Act provides that any increase in a CMP 
shall apply to CMPs that are assessed after the date the increase takes 
effect, regardless of whether the underlying violation predated such 
increase.\1\
---------------------------------------------------------------------------

    \1\ However, the increased CMPs apply only with respect to 
underlying violations occurring after the date of enactment of the 
2015 Act, i.e., after November 2, 2015.
---------------------------------------------------------------------------

II. Method of Calculation

    The method of calculating CMP adjustments applied in this final 
rule is required by the 2015 Act. Under the 2015 Act and the Office of 
Management and Budget guidance required by the 2015 Act, annual 
inflation adjustments subsequent to the initial catch-up adjustment are 
to be based on the percent change between the Consumer Price Index for 
all Urban Consumers (``CPI-U'') for the October preceding the date of 
the adjustment and the prior year's October CPI-U. As set forth in 
Office of Management and Budget (OMB) Memorandum M-24-07 of December 
19, 2023, the adjustment multiplier for 2024 is 1.03241. Under the 2015 
Act, any increase in CMP must be rounded to the nearest multiple of $1.
    With regard to the CMPs assessed under 31 U.S.C. 3802(a), the 
penalty amount for 2023 ($9,399) is multiplied by 1.03241, resulting in 
a maximum penalty amount of $9,704 for 2024.
    With regard to the CMPs assessed under 31 U.S.C. 333(c), the first 
penalty under this section was adjusted to $9,399 in 2023. This amount 
is multiplied by 1.03241, resulting in a penalty of $9,704 for 2024. 
The second penalty under this section was adjusted to $46,989 in 2023. 
Multiplying this amount by 1.03241, results in a penalty of $48,512 for 
2024.
    Finally, with regard to the CMP assessed under Section 104 of Title 
I, Public Law 107-297, as amended, the penalty amount for 2023 
($1,643,738) is multiplied by 1.03241 resulting in a penalty of 
$1,697,012 for 2024.

Procedural Matters

1. Administrative Procedure Act

    The Federal Civil Penalties Inflation Adjustment Act Improvements 
Act of 2015 (Section 701(b)) requires agencies to make annual 
adjustments for inflation to CMPs, without needing to provide notice 
and the opportunity for public comment and a delayed effective date 
required by 5 U.S.C. 553. Additionally, the methodology used for 
adjusting CMPs for inflation is provided by statute, with no discretion 
provided to agencies regarding the substance of the adjustments for 
inflation to CMPs. The Department is charged only with performing 
ministerial computations to determine the dollar amount of adjustments 
for inflation to CMPs. Accordingly, prior public notice, an opportunity 
for public comment, and a delayed effective date are not required for 
this rule.

2. Regulatory Flexibility Act

    Because no notice of proposed rulemaking is required, the 
provisions of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) do 
not apply.

3. Executive Order 12866

    This rule is not a significant regulatory action as defined in 
section 3.f of Executive Order 12866, as amended.

4. Paperwork Reduction Act

    The provisions of the Paperwork Reduction Act of 1995, Public Law 
104-13, 44 U.S.C. Chapter 35, and its implementing regulations, 5 CFR 
part 1320, do not apply to this rule because there are no new or 
revised recordkeeping or reporting requirements.

List of Subjects

31 CFR Part 16

    Administrative practice and procedure, Claims, Fraud, Penalties.

31 CFR Part 27

    Administrative practice and procedure, Penalties.

31 CFR Part 50

    Insurance, Terrorism.

Authority and Issuance

    For the reasons set forth in the preamble, parts 16, 27, and 50 of 
title 31 of the Code of Federal Regulations are amended as follows:

PART 16--REGULATIONS IMPLEMENTING THE PROGRAM FRAUD CIVIL REMEDIES 
ACT OF 1986

0
1. The authority citation for part 16 continues to read as follows:

    Authority:  31 U.S.C. 3801-3812.


0
2. Amend Sec.  16.3 by revising paragraphs (a)(1)(iv) and (b)(1)(ii) to 
read as follows:


Sec.  16.3  Basis for civil penalties and assessments.

    (a) * * *
    (1) * * *
    (iv) Is for payment for the provision of property or services which 
the person has not provided as claimed, shall be subject, in addition 
to any other remedy that may be prescribed by law, to a civil penalty 
of not more than $9,704 (2024) for each such claim.
* * * * *
    (b) * * *
    (1) * * *
    (ii) Includes or is accompanied by an express certification or 
affirmation of the truthfulness and accuracy of the content of the 
statement, shall be subject, in addition to any other remedy that may 
be prescribed by law, to a civil penalty of not more than $9,704 (2024) 
for each such statement.
* * * * *

PART 27--CIVIL PENALTY ASSESSMENT FOR MISUSE OF DEPARTMENT OF THE 
TREASURY NAMES, SYMBOLS, ETC.

0
3. The authority citation for part 27 continues to read as follows:

    Authority:  31 U.S.C. 321, 333.


0
4. Amend Sec.  27.3 by revising paragraph (c) to read as follows:


Sec.  27.3  Assessment of civil penalties.

* * * * *
    (c) Civil penalty. An assessing official may impose a civil penalty 
on any person who violates the provisions of paragraph (a) of this 
section. The amount of a civil monetary penalty shall not exceed $9,704 
(2024) for each and every use of any material in violation of paragraph 
(a), except that such penalty shall not exceed $48,512 for each and 
every use if such use is in a broadcast or telecast.
* * * * *

PART 50--TERRORISM RISK INSURANCE PROGRAM

0
5. The authority citation for part 50 is revised to read as follows:

    Authority: 5 U.S.C. 301; 31 U.S.C. 321; Title I, Pub. L. 107-
297, 116 Stat. 2322, as

[[Page 4820]]

amended by Pub. L. 109-144, 119 Stat. 2660, Pub. L. 110-160, 121 
Stat. 1839, Pub. L. 114-1, 129 Stat. 3, and Pub. L. 116-94, 133 
Stat. 2534 (15 U.S.C. 6701 note); Pub. L. 114-74, 129 Stat. 601, 
Title VII (28 U.S.C. 2461 note).


0
6. Amend Sec.  50.83 by revising paragraph (a) to read as follows:


Sec.  50.83  Adjustment of civil monetary penalty amount.

    (a) Inflation adjustment. Any penalty under the Act and these 
regulations may not exceed the greater of $1,697,012 and, in the case 
of any failure to pay, charge, collect or remit amounts in accordance 
with the Act or these regulations such amount in dispute.
* * * * *

Kayla Arslanian,
Executive Secretary.
[FR Doc. 2024-01409 Filed 1-24-24; 8:45 am]
BILLING CODE 4810-AK-P

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