82 FR 4172 - Civil Penalties

DEPARTMENT OF TRANSPORTATION
Saint Lawrence Seaway Development Corporation

Federal Register Volume 82, Issue 9 (January 13, 2017)

This final rule updates the maximum civil penalty amounts for violations of statutes and regulations administered by SLSDC pursuant to the Federal Civil Penalties Inflation Adjustment Improvement Act of 2015. This final rule amends our regulations to reflect the new civil penalty amounts for violations of the Seaway Regulations and Rules under the authority of the Ports and Waterways Safety Act of 1972, as amended (PWSA).

[Federal Register Volume 82, Number 9 (Friday, January 13, 2017)]
[Rules and Regulations]
[Pages 4172-4173]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-32050]


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DEPARTMENT OF TRANSPORTATION

Saint Lawrence Seaway Development Corporation

33 CFR Part 401

RIN 2135-AA40


Civil Penalties

AGENCY: Saint Lawrence Seaway Development Corporation (SLSDC), 
Department of Transportation (DOT).

ACTION: Final rule.

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SUMMARY: This final rule updates the maximum civil penalty amounts for 
violations of statutes and regulations administered by SLSDC pursuant 
to the Federal Civil Penalties Inflation Adjustment Improvement Act of 
2015. This final rule amends our regulations to reflect the new civil 
penalty amounts for violations of the Seaway Regulations and Rules 
under the authority of the Ports and Waterways Safety Act of 1972, as 
amended (PWSA).

DATES: This rule is effective on January 15, 2017.

FOR FURTHER INFORMATION CONTACT:  Carrie Lavigne, Chief Counsel, SLSDC, 
telephone (315) 764-3231, 180 Andrews Street, Massena, NY 13362.

SUPPLEMENTARY INFORMATION: 

Background

    On November 2, 2015, the Federal Civil Penalties Inflation 
Adjustment Improvement Act (the 2015 Act), Public Law 114-74, was 
signed into law. The purpose of the 2015 Act is to improve the 
effectiveness of civil monetary penalties (CMPs) and to maintain their 
deterrent effect. The 2015 Act required agencies to make an initial 
catch up adjustment to the CMPs they administer through an interim 
final rule and then to make subsequent annual adjustments for inflation 
that shall take effect not later than January 15. The initial catch up 
adjustments for inflation to the SLSDC's CMP was published in the 
Federal Register on June 28, 2016 and as required, did not exceed 150 
percent of the amount of the CMP on the date of enactment of the 
Federal Civil Penalties Inflation Adjustment Act of 2015. The revised 
methodology for agencies for 2017 and each year thereafter provides for 
the improvement of the effectiveness of CMPs and to maintain their 
deterrent effect. Effective 2017, agencies annual adjustments for in 
inflation to CMPs apply only to CMPs with a dollar amount.
    The SLSDC's 2017 adjustments for inflation to the CMP set forth in 
this regulation were determined pursuant to the revised methodology 
prescribed by the Federal Civil Penalties Inflation Adjustment Act 
Improvements Act of 2015, which requires the maximum CMP to be 
increased by the cost-of-living adjustment. The term ``cost-of-living 
adjustment'' is defined by the Federal Civil Penalties Inflation 
Adjustment Act Improvements Act of 2015. For the 2017 adjustments for 
inflation to CMPs, the percentage for each CMP by which the Consumer 
Price Index for the month of October 2016 exceeds the Consumer Price 
Index for the month of October 2015.

Classification

    Pursuant to 5 U.S.C. 553(b)B, there is good cause to issue this 
rule without prior public notice or opportunity for public comment 
because it would be impracticable and unnecessary. The Federal Civil 
Penalties Inflation Adjustment Act of 2015 (Section 701(b)) requires 
agencies effective 2017, to make annual adjustments for inflation to 
CMPs notwithstanding section 553 of Title 5 United States Code. 
Additionally, the methodology used, effective 2017, for adjusting CMPs 
for inflation is given by statute, with no discretion provided to 
agencies regarding the substance of the adjustments for inflation to 
CMPs. The SLSDC is charged only with performing ministerial 
computations to determine the dollar amount of adjustments for 
inflation to CMPs. Accordingly, prior public notice and opportunity for 
public comment are not required for this rule.

Regulatory Analysis

E.O. 12866, Regulatory Review

    SLSDC has considered the impact of this rulemaking action under 
Executive Order 12866, Executive Order 13563, and the Department of 
Transportation's regulatory policies and procedures. This rulemaking 
document was not reviewed under Executive Order 12866 or Executive 
Order 13563. This action is limited to the adoption of adjustments of 
civil penalties under statutes that the agency enforces, and has been 
determined to be not ``significant'' under the Department of 
Transportation's regulatory policies and procedures and the policies of 
the Office of Management and Budget. Because this rulemaking does not 
change the number of entities that are subject to civil penalties, the 
impacts are limited.
    We also do not expect the increase in the civil penalty amount in 
33 CFR 401.102 to be economically significant. Since January 1, 2010 to 
the present, the SLSDC assessed a total of approximately $27,000 in 
civil fines and penalties.

[[Page 4173]]

Thus, increasing the current civil penalty amount would not result in 
an annual effect on the economy of $100 million or more.

Regulatory Flexibility Act

    We have also considered the impacts of this notice under the 
Regulatory Flexibility Act. I certify that this rule will not have a 
significant economic impact on a substantial number of small entities. 
The following provides the factual basis for this certification under 5 
U.S.C. 605(b). The St. Lawrence Seaway Regulations and Rules primarily 
relate to the activities of commercial users of the Seaway, the vast 
majority of whom are foreign vessel operators. Therefore, any resulting 
costs will be borne mostly by foreign vessels.

Executive Order 13132 (Federalism)

    Executive Order 13132 requires SLSDC to develop an accountable 
process to ensure ``meaningful and timely input by State and local 
officials in the development of regulatory policies that have 
federalism implications.'' ``Policies that have federalism 
implications'' is defined in the Executive Order to include regulations 
that have ``substantial direct effects on the States, on the 
relationship between the national government and the States, or on the 
distribution of power and responsibilities among the various levels of 
government.'' Under Executive Order 13132, the agency may not issue a 
regulation with Federalism implications, that imposes substantial 
direct compliance costs, and that is not required by statute, unless 
the Federal government provides the funds necessary to pay the direct 
compliance costs incurred by State and local governments, the agency 
consults with State and local governments, or the agency consults with 
State and local officials early in the process of developing the 
proposed regulation.
    This rule will not have substantial direct effects on the States, 
on the relationship between the national government and the States, or 
on the distribution of power and responsibilities among the various 
levels of government, as specified in Executive Order 13132.
    The reason is that this rule will generally apply to commercial 
users of the Seaway, the vast majority of whom are foreign vessel 
operators. Therefore, any resulting costs will be borne mostly by 
foreign vessels. Thus, the requirements of Section 6 of the Executive 
Order do not apply.

Unfunded Mandates Reform Act of 1995

    The Unfunded Mandates Reform Act of 1995, Public Law 104-4, 
requires agencies to prepare a written assessment of the cost, benefits 
and other effects of proposed or final rules that include a Federal 
mandate likely to result in the expenditure by State, local, or tribal 
governments, in the aggregate, or by the private sector, of more than 
$100 million annually. Because this rule will not have a $100 million 
effect, no Unfunded Mandates assessment will be prepared.

Executive Order 12778 (Civil Justice Reform)

    This rule does not have a retroactive or preemptive effect. 
Judicial review of a rule based on this proposal may be obtained 
pursuant to 5 U.S.C. 702. That section does not require that a petition 
for reconsideration be filed prior to seeking judicial review.

Paperwork Reduction Act

    In accordance with the Paperwork Reduction Act of 1980, we state 
that there are no requirements for information collection associated 
with this rulemaking action.

Privacy Act

    Please note that anyone is able to search the electronic form of 
all comments received into any of our dockets by the name of the 
individual submitting the comment (or signing the comment, if submitted 
on behalf of an association, business, labor union, etc.). You may 
review DOT's complete Privacy Act Statement in the Federal Register 
published on April 11, 2000 (Volume 65, Number 70; Pages 19477-78), or 
you may visit http://dms.dot.gov.

List of Subjects in 33 CFR Part 401

    Hazardous materials transportation, Navigation (water), Penalties, 
Radio, Reporting and recordkeeping requirements, Vessels, Waterways.

    Accordingly, the Saint Lawrence Seaway Development Corporation is 
amending 33 CFR part 401 as follows:

PART 401--SEAWAY REGULATIONS AND RULES

Subpart A--Regulations

0
1. The authority citation for subpart A of part 401 is amended to read 
as follows:

    Authority:  33 U.S.C. 981-990, 1231 and 1232, 49 CFR 1.52, 
unless otherwise noted.


0
2. In Sec.  401.102, paragraph (a) is revised to read as follows:


Sec.  401.101  Criminal penalty.

    (a) A person, as described in Sec.  401.101(b) who violates a 
regulation is liable to a civil penalty of not more than $90,063.
* * * * *

    Issued on December 30, 2016.
 Carrie Lavigne,
 Chief Counsel.
[FR Doc. 2016-32050 Filed 1-12-17; 8:45 am]
 BILLING CODE 4910-61-P