81 FR 96161 - Notice on Penalty Inflation Adjustments for Civil Monetary Penalties

SOCIAL SECURITY ADMINISTRATION

Federal Register Volume 81, Issue 250 (December 29, 2016)

The Social Security Administration is providing notice of its adjusted maximum civil monetary penalties. These amounts are effective beginning January 15, 2017. These figures represent an annual adjustment for inflation. The updated figures and notification are required by the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (the 2015 Act).\1\ ---------------------------------------------------------------------------

[Federal Register Volume 81, Number 250 (Thursday, December 29, 2016)]
[Notices]
[Pages 96161-96162]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-31423]


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SOCIAL SECURITY ADMINISTRATION

[Docket No. SSA 2016-0056]


Notice on Penalty Inflation Adjustments for Civil Monetary 
Penalties

AGENCY: Social Security Administration.

ACTION: Notice announcing updated penalty inflation adjustments for 
civil monetary penalties for 2017.

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SUMMARY: The Social Security Administration is providing notice of its 
adjusted maximum civil monetary penalties. These amounts are effective 
beginning January 15, 2017. These figures represent an annual 
adjustment for inflation. The updated figures and notification are 
required by the Federal Civil Penalties Inflation Adjustment Act 
Improvements Act of 2015 (the 2015 Act).\1\
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    \1\ See https://www.congress.gov/bill/114th-congress/house-bill/1314/text. See also https://www.regulations.gov/document?D=SSA-2016-0009-0001.

FOR FURTHER INFORMATION CONTACT: Joseph E. Gangloff, Chief Counsel to 
the Inspector General, Room 3-ME-1, 6401 Security Boulevard, Baltimore, 
MD 21235-6401, (410) 966-4440, both directly and for IPTTY. For 
information on eligibility or filing for benefits, call the Social 
Security Administration's national toll-free number, 1-800-772-1213 or 
TTY 1-800-325-0778, or visit the Social Security Administration's 
Internet site, Social Security Online, at http://
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www.socialsecurity.gov.

SUPPLEMENTARY INFORMATION: On June 27, 2016, we published an interim 
final rule to adjust the maximum level of civil monetary penalties 
(CMP) under sections 1129 and 1140 of the Social Security Act, 42 
U.S.C. 1320a-8 and 1320b-10, with an initial ``catch-up''

[[Page 96162]]

adjustment effective August 1, 2016.\2\ We announced in the interim 
final rule that for any future adjustments, we will publish a notice in 
the Federal Register with the new amounts. The annual inflation 
adjustment in subsequent years must be a cost-of-living adjustment 
based on any increases in the October Consumer Price Index for All 
Urban Consumers (CPI-U) (not seasonally adjusted) each year.\3\ In 
addition, inflation adjustment increases must be rounded to the nearest 
multiple of $1.\4\ Based on Office of Management and Budget (OMB) 
guidance, the information below serves as public notice of the new 
maximum penalty amounts for 2017. The adjustments result in the 
following new maximum penalties, which will be effective January 15, 
2017.
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    \2\ https://www.regulations.gov/document?D=SSA-2016-0009-0001.
    \3\ See OMB Memorandum, Implementation of the Federal Civil 
Penalties Inflation Adjustment Act Improvements Act of 2015, M-16-
06, p. 1 (February 24, 2016), https://www.whitehouse.gov/sites/default/files/omb/memoranda/2016/m-16-06.pdf. See also https://www.regulations.gov/document?D=SSA-2016-0009-0001.
    \4\ OMB Memorandum, Implementation of the Federal Civil 
Penalties Inflation Adjustment Act Improvements Act of 2015, M-16-
06, p. 3 (February 24, 2016), https://www.whitehouse.gov/sites/default/files/omb/memoranda/2016/m-16-06.pdf.
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    Section 1129 CMPs (42 U.S.C. 1320a-8):

    $7,500.00 (current maximum for fraud facilitators in a position 
of trust) x 1.01636 (OMB-issued inflationary adjustment multiplier) 
= $7,622.70. When rounded to the nearest dollar, the new maximum 
penalty is $7,623.00.
    $7,954.00 (current maximum for all other violators) x 1.01636 
(OMB-issued inflationary adjustment multiplier) = $8,084.13. When 
rounded to the nearest dollar, the new maximum penalty is $8,084.00.

    Section 1140 CMPs (42 U.S.C. 1320b-10):

    $49,467.00 (current maximum per broadcast, telecast, or 
dissemination, viewing, or accessing of an electronic and/or 
internet communication) x 1.01636 (OMB-issued inflationary 
adjustment multiplier) = $50,276.28. When rounded to the nearest 
dollar, the new maximum penalty is $50,276.00.
    $9,893.00 (current maximum for all other violations) x 1.01636 
(OMB-issued inflationary adjustment multiplier) = $10,054.85. When 
rounded to the nearest dollar, the new maximum penalty is 
$10,055.00.

    Dated: December 21, 2016.
Gale Stallworth Stone,
Acting Inspector General of Social Security.
[FR Doc. 2016-31423 Filed 12-28-16; 8:45 am]
BILLING CODE 4191-02-P