82 FR 7649 - Civil Penalties Inflation Adjustments; Annual Adjustments
DEPARTMENT OF THE INTERIOR
Bureau of Indian Affairs Federal Register Volume 82, Issue 13 (January 23, 2017)
Bureau of Indian Affairs
Federal Register Volume 82, Issue 13 (January 23, 2017)
| Page Range | 7649-7653 | |
| FR Document | 2017-01076 |
[Federal Register Volume 82, Number 13 (Monday, January 23, 2017)] [Rules and Regulations] [Pages 7649-7653] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2017-01076] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF THE INTERIOR Bureau of Indian Affairs 25 CFR Parts 140, 141, 211, 213, 225, 226, 227, 243, and 249 [178A2100DD/AAKC001030/A0A501010.999900253G] RIN 1076-AF35 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 January 23, 2017. FOR FURTHER INFORMATION CONTACT: Elizabeth Appel, Director, Office of Regulatory Affairs and Collaborative Action, Office of the Assistant Secretary--Indian Affairs; telephone (202) 273-4680, [email protected]. SUPPLEMENTARY INFORMATION: I. Background II. Calculation of Annual Adjustments III. Procedural Requirements A. Regulatory Planning and Review (E.O. 12866) B. Regulatory Flexibility Act C. Small Business Regulatory Enforcement Fairness Act D. Unfunded Mandates Reform Act E. Takings (E.O. 12630) F. Federalism (E.O. 13132) G. Civil Justice Reform (E.O. 12988) H. Consultation With Indian Tribes (E.O. 13175) I. Paperwork Reduction Act J. National Environmental Policy Act K. Effects on the Energy Supply (E.O. 13211) L. Clarity of This Regulation M. 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) 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 final rule adjusted the following civil monetary penalties, effective on August 1, 2016: ---------------------------------------------------------------------------------------------------------------- Catchup Current adjustment Adjusted CFR citation Description of penalty penalty penalty multiplier ---------------------------------------------------------------------------------------------------------------- 25 CFR 140.3........................... Penalty for trading in Indian $500 2.50000 $1,250 country without a license. 25 CFR 141.50.......................... Penalty for trading on Navajo, Hopi 500 2.50000 1,250 or Zuni reservations without a license. 25 CFR 211.55.......................... Penalty for violation of leases of 1,000 1.50245 1,502 Tribal land for mineral development, violation of part 211, or failure to comply with a notice of noncompliance or cessation order. 25 CFR 213.37.......................... Penalty for failure of lessee to 500 2.50000 1,250 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 225.37.......................... Penalty for violation of minerals 1,000 1.59089 1,591 agreement, regulations at part 225, other applicable laws or regulations, or failure to comply with a notice of noncompliance or cessation order. 25 CFR 226.42.......................... Penalty for violation of lease of 500 1.78156 891 Osage reservation lands for oil and gas mining or regulations at part 226, or noncompliance with the Superintendent's order. 25 CFR 226.43(a)....................... Penalty per day for failure to 50 1.78156 89 obtain permission to start operations. 25 CFR 226.43(b)....................... Penalty per day for failure to file 50 1.78156 89 records. 25 CFR 226.43(c)....................... Penalty for each well and tank 50 1.78156 89 battery for failure to mark wells and tank batteries. 25 CFR 226.43(d)....................... Penalty each day after operations 50 1.78156 89 are commenced for failure to construct and maintain pits. [[Page 7650]] 25 CFR 226.43(e)....................... Penalty for failure to comply with 100 1.78156 178 requirements regarding valve or other approved controlling device. 25 CFR 226.43(f)....................... Penalty for failure to notify 200 1.78156 356 Superintendent before drilling, redrilling, deepening, plugging, or abandoning any well. 25 CFR 226.43(g)....................... Penalty per day for failure to 500 1.78156 891 properly care for and dispose of deleterious fluids. 25 CFR 226.43(h)....................... Penalty per day for failure to file 50 1.78156 89 plugging and other required reports. 25 CFR 227.24.......................... Penalty for failure of lessee of 500 2.50000 1,250 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 243.8........................... Penalty for non-Native transferees 5,000 1.17858 5,893 of live Alaskan reindeer who violates part 243, takes reindeer without a permit, or fails to abide by permit terms.. 25 CFR 249.6(b)........................ Penalty for fishing in violation of 500 2.50000 1,250 regulations at part 249 (Off- Reservation Treaty Fishing).. ---------------------------------------------------------------------------------------------------------------- II. Calculation of 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, 2017. See December 16, 2016, Memorandum for the Heads of Executive Departments and Agencies, from Shaun Donovan, Director, Office of Management and Budget, re: Implementation of the 2017 annual adjustment pursuant to the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (M-17-11). The guidance states that the cost-of-living adjustment multiplier for 2017, based on the Consumer Price Index (CPI-U) for the month of October 2016, not seasonally adjusted, is 1.01636. (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 2017, OMB explains, October 2016 CPI-U (241.729)/October 2015 CPI-U (237.838) = 1.01636.) The guidance instructs agencies to complete the 2017 annual adjustment by multiplying each applicable penalty by the multiplier, 1.01636, and rounding to the nearest dollar. Further, agencies should apply the multiplier to the most recent penalty amount that includes the 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 2017 by multiplying 1.01636 (i.e., the cost-of-living adjustment multiplier for 2017) by each penalty amount as updated by the catch-up adjustment made in 2016: ---------------------------------------------------------------------------------------------------------------- Current penalty Annual Adjusted CFR citation Description of penalty including adjustment penalty catchup (multiplier) for 2017 adjustment ---------------------------------------------------------------------------------------------------------------- 25 CFR 140.3.......................... Penalty for trading in Indian $1,250 1.01636 $1,270 country without a license. 25 CFR 141.50......................... Penalty for trading on Navajo, 1,250 1.01636 1,270 Hopi or Zuni reservations without a license. 25 CFR 211.55......................... Penalty for violation of leases of 1,502 1.01636 1,527 Tribal land for mineral development, violation of part 211, or failure to comply with a notice of noncompliance or cessation order. 25 CFR 213.37......................... Penalty for failure of lessee to 1,250 1.01636 1,270 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 225.37......................... Penalty for violation of minerals 1,591 1.01636 1,617 agreement, regulations at part 225, other applicable laws or regulations, or failure to comply with a notice of noncompliance or cessation order. 25 CFR 226.42......................... Penalty for violation of lease of 891 1.01636 906 Osage reservation lands for oil and gas mining or regulations at part 226, or noncompliance with the Superintendent's order. 25 CFR 226.43(a)...................... Penalty per day for failure to 89 1.01636 90 obtain permission to start operations. 25 CFR 226.43(b)...................... Penalty per day for failure to 89 1.01636 90 file records. 25 CFR 226.43(c)...................... Penalty for each well and tank 89 1.01636 90 battery for failure to mark wells and tank batteries. 25 CFR 226.43(d)...................... Penalty each day after operations 89 1.01636 90 are commenced for failure to construct and maintain pits. 25 CFR 226.43(e)...................... Penalty for failure to comply with 178 1.01636 181 requirements regarding valve or other approved controlling device. 25 CFR 226.43(f)...................... Penalty for failure to notify 356 1.01636 362 Superintendent before drilling, redrilling, deepening, plugging, or abandoning any well. 25 CFR 226.43(g)...................... Penalty per day for failure to 891 1.01636 906 properly care for and dispose of deleterious fluids. 25 CFR 226.43(h)...................... Penalty per day for failure to 89 1.01636 90 file plugging and other required reports. 25 CFR 227.24......................... Penalty for failure of lessee of 1,250 1.01636 1,270 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 243.8.......................... Penalty for non-Native transferees 5,893 1.01636 5,989 of live Alaskan reindeer who violates part 243, takes reindeer without a permit, or fails to abide by permit terms.. 25 CFR 249.6(b)....................... Penalty for fishing in violation 1,250 1.01636 1,270 of regulations at part 249 (Off- Reservation Treaty Fishing).. ---------------------------------------------------------------------------------------------------------------- [[Page 7651]] Consistent with the Act, the adjusted penalty levels for 2017 will take effect immediately upon the effective date of the adjustment. The adjusted penalty levels for 2017 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 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. 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. C. 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. D. 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. E. 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. F. 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. G. 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. H. 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. I. 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. J. 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. K. 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. L. Clarity of This Regulation We are required by Executive Orders 12866 (section 1 (b)(12)), 12988 (section 3(b)(1)(B)), and 13563 (section 1(a)), and by the Presidential Memorandum of June 1, 1998, to write all rules in plain language. This means that each rule we publish must: (a) Be logically organized; (b) Use the active voice to address readers directly; (c) Use common, everyday words and clear language rather than jargon; (d) Be divided into short sections and sentences; and (e) Use lists and tables wherever possible. If you feel that we have not met these requirements, send us comments by one of the methods listed in the ADDRESSES section. To better help us revise the rule, your comments should be as specific as possible. For example, you should tell us the numbers of the sections or paragraphs that you find unclear, which sections or sentences are too long, the sections where you feel lists or tables would be useful, etc. [[Page 7652]] M. Administrative Procedure Act The Act requires agencies to publish annual inflation adjustments by no later than January 15, 2017, and by no later than January 15 each subsequent 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 2017 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, 2017, and not later than January 15 of every subsequent 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 140 Business and industry, Indians, Penalties. 25 CFR 141 Business and industry, Credit, Indians--business and finance, Penalties. 25 CFR 211 Geothermal energy, Indians--lands, Mineral resources, Mines, Oil and gas exploration, Reporting and recordkeeping requirements. 25 CFR 213 Indians--lands, Mineral resources, Mines, Oil and gas exploration, Reporting and recordkeeping requirements. 25 CFR 225 Geothermal energy, Indians--lands, Mineral resources, Mines, Oil and gas exploration, Penalties, Reporting and recordkeeping requirements, Surety bonds. 25 CFR 226 Indians--lands. 25 CFR 227 Indians--lands, Mineral resources, Mines, Oil and gas exploration, Reporting and recordkeeping requirements. 25 CFR 243 Indians, Livestock. 25 CFR 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. Title 25--Indians CHAPTER 1--BUREAU OF INDIAN AFFAIRS, DEPARTMENT OF THE INTERIOR PART 140--LICENSED INDIAN TRADERS 0 1. The authority citation for part 140 is revised 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 ``$1,250'' and add in its place ``$1,270''. PART 141--BUSINESS PRACTICES ON THE NAVAJO, HOPI AND ZUNI RESERVATIONS 0 3. The authority citation for part 141 is revised 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 ``$1,250'' and add in its place ``$1,270''. PART 211--LEASING OF TRIBAL LANDS FOR MINERAL DEVELOPMENT 0 5. The authority citation for part 211 is revised 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(a), remove ``$1,502'' and add in its place ``$1,527''. PART 213--LEASING OF RESTRICTED LANDS FOR MEMBERS OF FIVE CIVILIZED TRIBES, OKLAHOMA, FOR MINING 0 7. The authority citation for part 213 is revised 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 ``$1,250'' and add in its place ``$1,270''. PART 225--OIL AND GAS, GEOTHERMAL AND SOLID MINERALS AGREEMENTS 0 9. The authority citation for part 225 is revised 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(a), remove ``$1,591'' and add in its place ``$1,617''. [[Page 7653]] PART 226--LEASING OF OSAGE RESERVATION LANDS FOR OIL AND GAS MINING 0 9. The authority citation for part 226 is revised 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 10. In Sec. 226.42, remove ``$891'' and add in its place ``$906''. Sec. 226.43 [Amended] 0 11. In Sec. 226.43: 0 a. Remove ``$89'' each time it appears and add in each place ``$90'' wherever it appears in this section. 0 b. In paragraph (e), remove ``$178'' and add in its place ``$181''. 0 c. In paragraph (f), remove ``$356'' and add in its place ``$362''. 0 d. In paragraph (g), remove ``$891'' and add in its place ``$906''. PART 227--LEASING OF CERTAIN LANDS IN WIND RIVER INDIAN RESERVATION, WYOMING, FOR OIL AND GAS MINING 0 12. The authority citation for part 227 is revised 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 13. In Sec. 227.24, remove ``$1,250'' and add in its place ``$1,270''. PART 243--REINDEER IN ALASKA 0 14. The authority citation for part 243 is revised 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 15. In Sec. 243.8(a) introductory text, remove ``$5,893'' and add in its place ``$5,989''. PART 249--OFF-RESERVATION TREATY FISHING 0 16. The authority citation for part 249 is revised 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 17. In Sec. 249.6(b), remove ``$1,250'' and add in its place ``$1,270''. Dated: January 11, 2017. Lawrence S. Roberts, Principal Deputy Assistant Secretary--Indian Affairs. [FR Doc. 2017-01076 Filed 1-19-17; 8:45 am] BILLING CODE 4337-15-P
![Federal Register / Vol. 82, No. 13 / Monday, January 23, 2017 / Rules and Regulations 7649
21 CFR Part 74 Improvements Act of 2015 and Office of penalties and to further the policy goals
Color additives, Cosmetics, Drugs. Management and Budget (OMB) of the underlying statutes.
guidance. The Office of Management and Budget
Therefore, under the Federal Food, (OMB) issued guidance for Federal
Drug, and Cosmetic Act (21 U.S.C. 321, DATES: This rule is effective on January agencies on calculating the catch-up
341, 342, 343, 348, 351, 352, 355, 361, 23, 2017. adjustment. See February 24, 2016,
362, 371, 379e) and under authority FOR FURTHER INFORMATION CONTACT: Memorandum for the Heads of
delegated to the Commissioner of Food Elizabeth Appel, Director, Office of Executive Departments and Agencies,
and Drugs, and redelegated to the Regulatory Affairs and Collaborative from Shaun Donovan, Director, Office of
Director, Office of Food Additive Safety, Action, Office of the Assistant Management and Budget, re:
we are giving notice that no objections Secretary—Indian Affairs; telephone Implementation of the Federal Civil
or requests for a hearing were filed in (202) 273–4680, elizabeth.appel@ Penalties Inflation Adjustment Act
response to the November 1, 2016, final bia.gov. Improvements Act of 2015 (M–16–06).
rule. Accordingly, the amendments Under the guidance, the Department
issued thereby became effective SUPPLEMENTARY INFORMATION:
identified applicable civil monetary
December 2, 2016. I. Background penalties and calculated the catch-up
Dated: January 9, 2017. II. Calculation of Annual Adjustments adjustment. A civil monetary penalty is
Dennis M. Keefe, III. Procedural Requirements any assessment with a dollar amount
A. Regulatory Planning and Review (E.O.
Director, Office of Food Additive Safety, 12866)
that is levied for a violation of a Federal
Center for Food Safety and Applied Nutrition. B. Regulatory Flexibility Act civil statute or regulation, and is
[FR Doc. 2017–00534 Filed 1–19–17; 8:45 am] C. Small Business Regulatory Enforcement assessed or enforceable through a civil
BILLING CODE 4164–01–P Fairness Act action in Federal court or an
D. Unfunded Mandates Reform Act administrative proceeding. A civil
E. Takings (E.O. 12630) monetary penalty does not include a
F. Federalism (E.O. 13132) penalty levied for violation of a criminal
DEPARTMENT OF THE INTERIOR G. Civil Justice Reform (E.O. 12988) statute, or fees for services, licenses,
H. Consultation With Indian Tribes (E.O. permits, or other regulatory review. The
Bureau of Indian Affairs 13175)
I. Paperwork Reduction Act
calculated catch-up adjustment is based
25 CFR Parts 140, 141, 211, 213, 225, J. National Environmental Policy Act on the percent change between the
226, 227, 243, and 249 K. Effects on the Energy Supply (E.O. Consumer Price Index for all Urban
13211) Consumers (CPI0–U) for the month of
[178A2100DD/AAKC001030/
L. Clarity of This Regulation October in the year of the previous
A0A501010.999900253G]
M. Administrative Procedure Act adjustment (or in the year of
RIN 1076–AF35 establishment, if no adjustment has
I. Background
been made) and the October 2015 CPI–
Civil Penalties Inflation Adjustments; On November 2, 2015, the President U.
Annual Adjustments signed into law the Federal Civil The Bureau issued an interim final
AGENCY: Bureau of Indian Affairs, Penalties Inflation Adjustment Act rule providing for calculated catch-up
Interior. Improvements Act of 2015 (Sec. 701 of adjustments on June 30, 2016 (81 FR
ACTION: Final rule. Pub. L. 114–74) (‘‘the Act’’). The Act 42478) and requesting comments post-
requires Federal agencies to adjust the promulgation. The Bureau issued a final
SUMMARY: This rule provides for annual level of civil monetary penalties with an rule affirming the catch-up adjustments
adjustments to the level of civil initial ‘‘catch-up’’ adjustment through set forth in the interim final rule on
monetary penalties contained in Bureau rulemaking and then make subsequent December 2, 2016 (81 FR 86953). The
of Indian Affairs (Bureau) regulations to annual adjustments for inflation. The final rule adjusted the following civil
account for inflation under the Federal purpose of these adjustments is to monetary penalties, effective on August
Civil Penalties Inflation Adjustment Act maintain the deterrent effect of civil 1, 2016:
Catchup
Current Adjusted
CFR citation Description of penalty adjustment
penalty penalty
multiplier
25 CFR 140.3 ......... Penalty for trading in Indian country without a license ............................................ $500 2.50000 $1,250
25 CFR 141.50 ....... Penalty for trading on Navajo, Hopi or Zuni reservations without a license ........... 500 2.50000 1,250
25 CFR 211.55 ....... Penalty for violation of leases of Tribal land for mineral development, violation of 1,000 1.50245 1,502
part 211, or failure to comply with a notice of noncompliance or cessation
order.
25 CFR 213.37 ....... Penalty for failure of lessee to comply with lease of restricted lands of members 500 2.50000 1,250
of the Five Civilized Tribes in Oklahoma for mining, operating regulations at
part 213, or orders.
25 CFR 225.37 ....... Penalty for violation of minerals agreement, regulations at part 225, other appli- 1,000 1.59089 1,591
cable laws or regulations, or failure to comply with a notice of noncompliance
or cessation order.
mstockstill on DSK3G9T082PROD with RULES
25 CFR 226.42 ....... Penalty for violation of lease of Osage reservation lands for oil and gas mining or 500 1.78156 891
regulations at part 226, or noncompliance with the Superintendent’s order.
25 CFR 226.43(a) ... Penalty per day for failure to obtain permission to start operations ........................ 50 1.78156 89
25 CFR 226.43(b) ... Penalty per day for failure to file records ................................................................. 50 1.78156 89
25 CFR 226.43(c) ... Penalty for each well and tank battery for failure to mark wells and tank batteries 50 1.78156 89
25 CFR 226.43(d) ... Penalty each day after operations are commenced for failure to construct and 50 1.78156 89
maintain pits.
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![7652 Federal Register / Vol. 82, No. 13 / Monday, January 23, 2017 / Rules and Regulations
M. Administrative Procedure Act section 553 of the APA. Under the Authority: Sec. 5, 19 Stat. 200, sec. 1, 31
statutory framework and OMB guidance, Stat. 1066 as amended; 25 U.S.C. 261, 262;
The Act requires agencies to publish 94 Stat. 544, 18 U.S.C. 437; 25 U.S.C. 2 and
annual inflation adjustments by no later the new penalty levels take effect
immediately upon the effective date of 9; 5 U.S.C. 301; and Sec. 701, Pub. L. 114–
than January 15, 2017, and by no later 74, 129 Stat. 599, unless otherwise noted.
than January 15 each subsequent year, the adjustment. The statutory deadline
notwithstanding section 553 of the does not allow time to delay this rule’s § 140.3 [Amended]
Administrative Procedure Act (APA) (5 effective date beyond publication.
Moreover, an effective date after January ■ 2. In § 140.3, remove ‘‘$1,250’’ and
U.S.C. 553). OMB has interpreted this add in its place ‘‘$1,270’’.
direction to mean that the usual APA 15 would delay application of the new
public procedure for rulemaking— penalty levels, contrary to Congress’s
PART 141—BUSINESS PRACTICES ON
which includes public notice of a intent.
THE NAVAJO, HOPI AND ZUNI
proposed rule, an opportunity for public List of Subjects RESERVATIONS
comment, and a delay in the effective
date of a final rule—is not required 25 CFR 140 ■ 3. The authority citation for part 141
when agencies issue regulations to Business and industry, Indians, is revised to read as follows:
implement the annual adjustments to Penalties. Authority: 5 U.S.C. 301; 25 U.S.C. 2 and
civil penalties that the Act requires. 9; and Sec. 701, Pub. L. 114–74, 129 Stat.
Accordingly, we are issuing the 2017 25 CFR 141
599, unless otherwise noted.
annual adjustments as a final rule Business and industry, Credit,
without prior notice or an opportunity Indians—business and finance, § 141.50 [Amended]
for comment and with an effective date Penalties. ■ 4. In § 141.50, remove ‘‘$1,250’’ and
immediately upon publication in the add in its place ‘‘$1,270’’.
25 CFR 211
Federal Register.
Section 553(b) of the Administrative Geothermal energy, Indians—lands, PART 211—LEASING OF TRIBAL
Procedure Act (APA) provides that, Mineral resources, Mines, Oil and gas LANDS FOR MINERAL DEVELOPMENT
when an agency for good cause finds exploration, Reporting and
that ‘‘notice and public procedure . . . recordkeeping requirements. ■ 5. The authority citation for part 211
are impracticable, unnecessary, or 25 CFR 213 is revised to read as follows:
contrary to the public interest,’’ the Authority: Sec. 4, Act of May 11, 1938 (52
agency may issue a rule without Indians—lands, Mineral resources,
Stat. 347); Act of August 1, 1956 (70 Stat.
providing notice and an opportunity for Mines, Oil and gas exploration, 744); 25 U.S.C. 396a–g; 25 U.S.C. 2 and 9;
prior public comment. Under section Reporting and recordkeeping and Sec. 701, Pub. L. 114–74, 129 Stat. 599,
553(b), the Bureau finds that there is requirements. unless otherwise noted.
good cause to promulgate this rule 25 CFR 225
without first providing for public § 211.55 [Amended]
comment. It would not be possible to Geothermal energy, Indians—lands, ■ 6. In § 211.55(a), remove ‘‘$1,502’’ and
meet the deadlines imposed by the Act Mineral resources, Mines, Oil and gas add in its place ‘‘$1,527’’.
if we were to first publish a proposed exploration, Penalties, Reporting and
rule, allow the public sufficient time to recordkeeping requirements, Surety PART 213—LEASING OF RESTRICTED
submit comments, analyze the bonds. LANDS FOR MEMBERS OF FIVE
comments, and publish a final rule. 25 CFR 226 CIVILIZED TRIBES, OKLAHOMA, FOR
Also, the Bureau is promulgating this MINING
final rule to implement the statutory Indians—lands.
directive in the Act, which requires 25 CFR 227 ■ 7. The authority citation for part 213
agencies to publish a final rule and to is revised to read as follows:
Indians—lands, Mineral resources,
update the civil penalty amounts by Authority: Sec. 2, 35 Stat. 312; sec. 18, 41
Mines, Oil and gas exploration,
applying a specified formula. The Stat. 426; sec. 1, 45 Stat. 495; sec. 1, 47 Stat.
Reporting and recordkeeping
Bureau has no discretion to vary the 777; 25 U.S.C. 356; and Sec. 701, Pub. L.
requirements.
amount of the adjustment to reflect any 114–74, 129 Stat. 599. Interpret or apply secs.
views or suggestions provided by 25 CFR 243 3, 11, 35 Stat. 313, 316; sec. 8, 47 Stat. 779,
commenters. Accordingly, it would unless otherwise noted.
Indians, Livestock.
serve no purpose to provide an § 213.37 [Amended]
opportunity for public comment on this 25 CFR 249
rule prior to promulgation. Thus, ■ 8. In § 213.37, remove ‘‘$1,250’’ and
Fishing, Indians.
providing for notice and public add in its place ‘‘$1,270’’.
For the reasons given in the preamble,
comment is impracticable and
the Department of the Interior amends PART 225—OIL AND GAS,
unnecessary.
Furthermore, the Bureau finds under Chapter 1 of title 25 Code of Federal GEOTHERMAL AND SOLID MINERALS
section 553(d)(3) of the APA that good Regulations as follows. AGREEMENTS
cause exists to make this final rule Title 25—Indians
effective immediately upon publication ■ 9. The authority citation for part 225
CHAPTER 1—BUREAU OF INDIAN
mstockstill on DSK3G9T082PROD with RULES
in the Federal Register. In the Act, is revised to read as follows:
AFFAIRS, DEPARTMENT OF THE INTERIOR
Congress expressly required Federal Authority: 25 U.S.C. 2, 9, and 2101–2108;
agencies to publish annual inflation PART 140—LICENSED INDIAN and Sec. 701, Pub. L. 114–74, 129 Stat. 599.
adjustments to civil penalties in the TRADERS § 225.37 [Amended]
Federal Register by January 15, 2017,
and not later than January 15 of every ■ 1. The authority citation for part 140 ■ 10. In § 225.37(a), remove ‘‘$1,591’’
subsequent year, notwithstanding is revised to read as follows: and add in its place ‘‘$1,617’’.
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![Federal Register / Vol. 82, No. 13 / Monday, January 23, 2017 / Rules and Regulations 7653
PART 226—LEASING OF OSAGE Dated: January 11, 2017. I. Background
RESERVATION LANDS FOR OIL AND Lawrence S. Roberts,
Protecting Americans From Tax Hikes
GAS MINING Principal Deputy Assistant Secretary—Indian Act of 2015
Affairs.
■ 9. The authority citation for part 226 [FR Doc. 2017–01076 Filed 1–19–17; 8:45 am] On December 18, 2015, the President
is revised to read as follows: BILLING CODE 4337–15–P signed into law the Consolidated
Appropriations Act, 2016 (Pub. L. 114–
Authority: Sec. 3, 34 Stat. 543; secs. 1, 2,
45 Stat. 1478; sec. 3, 52 Stat. 1034, 1035; sec. 113). Division Q of this Act is titled the
2(a), 92 Stat. 1660; and Sec. 701, Pub. L. 114– Protecting Americans from Tax Hikes
74, 129 Stat. 599. DEPARTMENT OF THE TREASURY Act of 2015 (PATH Act). Section 335(a)
of the PATH Act amends the Internal
§ 226.42 [Amended] Alcohol and Tobacco Tax and Trade Revenue Code of 1986 (IRC) at 26 U.S.C.
■ 10. In § 226.42, remove ‘‘$891’’ and Bureau 5041 by modifying the definition of
add in its place ‘‘$906’’. hard cider for excise tax classification
27 CFR Parts 24 and 27 purposes. Pursuant to section 335(b) of
§ 226.43 [Amended] the PATH Act, the amended definition
[Docket No. TTB–2016–0014; T.D. TTB–147; of hard cider applies to such products
■ 11. In § 226.43:
Re: Notice No. 168] removed on or after January 1, 2017.
■ a. Remove ‘‘$89’’ each time it appears The PATH Act does not change the tax
and add in each place ‘‘$90’’ wherever rate applicable to wine eligible for the
it appears in this section. RIN 1513–AC31
hard cider tax rate; rather, it broadens
■ b. In paragraph (e), remove ‘‘$178’’ Implementation of Statutory the range of products to which the hard
and add in its place ‘‘$181’’. Amendments Requiring the cider tax rate applies. Among other
■ c. In paragraph (f), remove ‘‘$356’’ and Modification of the Definition of Hard things, the range of products to which
add in its place ‘‘$362’’. Cider the hard cider tax rate applies will
■ d. In paragraph (g), remove ‘‘$891’’ include certain sparkling and
and add in its place ‘‘$906’’. AGENCY: Alcohol and Tobacco Tax and carbonated products and certain
Trade Bureau, Treasury. products that are subject to the
PART 227—LEASING OF CERTAIN ACTION: Temporary rule; Treasury requirements of the Federal Alcohol
LANDS IN WIND RIVER INDIAN decision; cross reference to notice of Administration Act (FAA Act).
RESERVATION, WYOMING, FOR OIL proposed rulemaking. TTB Authority
AND GAS MINING
SUMMARY: This temporary rule amends The Alcohol and Tobacco Tax and
■ 12. The authority citation for part 227 the Alcohol and Tobacco Tax and Trade Trade Bureau (TTB) of the Department
is revised to read as follows: Bureau (TTB) regulations to implement of the Treasury administers chapter 51
Authority: Sec. 1, 39 Stat. 519; and Sec. changes made to the definition of ‘‘hard of the IRC, which sets forth the Federal
701, Pub. L. 114–74, 129 Stat. 599, unless cider’’ in the Internal Revenue Code of excise taxes on wine and related
otherwise noted. 1986 by the Protecting Americans from provisions, including provisions
Tax Hikes Act of 2015. The modified addressing the production and marking
§ 227.24 [Amended] of wine (see 26 U.S.C. chapter 51).
definition broadens the range of wines
■ 13. In § 227.24, remove ‘‘$1,250’’ and eligible for the hard cider tax rate. TTB Section 5041 of the IRC (26 U.S.C. 5041)
add in its place ‘‘$1,270’’. is amending its regulations to reflect the imposes six excise tax rates, including
modified definition of hard cider the hard cider tax rate, on wines. These
PART 243—REINDEER IN ALASKA effective for products removed on or tax rates are associated with six tax
after January 1, 2017, and to set forth classes that correspond to section
■ 14. The authority citation for part 243 new labeling requirements to identify 5041(b) subparagraphs (1) through (6),
is revised to read as follows: products to which the hard cider tax as follows:
Authority: Sec. 12, 50 Stat. 902; 25 U.S.C. rate applies. The new labeling • Section 5041(b)(1) imposes a tax of
500K; and Sec. 701, Pub. L. 114–74, 129 Stat. requirements include both a one-year $1.07 per wine gallon 1 on still wines
599. transitional rule and a new labeling containing not more than 14 percent
requirement that takes effect for alcohol by volume.
§ 243.8 [Amended]
products removed on or after January 1, • Section 5041(b)(2) imposes a tax of
■ 15. In § 243.8(a) introductory text, 2018. TTB is also soliciting comments $1.57 per wine gallon on still wines
remove ‘‘$5,893’’ and add in its place from all interested parties on these containing more than 14 percent and
‘‘$5,989’’. amendments through a notice of not exceeding 21 percent of alcohol by
proposed rulemaking published volume.
PART 249—OFF–RESERVATION elsewhere in this issue of the Federal • Section 5041(b)(3) imposes a tax of
TREATY FISHING Register. $3.15 per wine gallon on still wines
containing more than 21 percent and
■ 16. The authority citation for part 249 DATES: This temporary rule is effective not exceeding 24 percent of alcohol by
is revised to read as follows: January 23, 2017. volume.
• Section 5041(b)(4) imposes a tax of
mstockstill on DSK3G9T082PROD with RULES
Authority: 25 U.S.C. 2, and 9; 5 U.S.C. FOR FURTHER INFORMATION CONTACT: Kara
301; and Sec. 701, Pub. L. 114–74, 129 Stat. Fontaine, Regulations and Rulings $3.40 per wine gallon on champagne
599, unless otherwise noted. Division, Alcohol and Tobacco Tax and and other sparkling wines.
Trade Bureau, 1310 G Street NW., Box
§ 249.6 [Amended] 12, Washington, DC 20005; telephone 1 The TTB regulations in 27 CFR 24.10 define the
(202) 453–1039 ext. 103. term ‘‘wine gallon’’ as ‘‘a United States gallon of
■ 17. In § 249.6(b), remove ‘‘$1,250’’ and liquid measure equivalent to the volume of 231
add in its place ‘‘$1,270’’. SUPPLEMENTARY INFORMATION: cubic inches.’’
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Document Created: 2017-01-20 01:29:44
Document Modified: 2017-01-20 01:29:44
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Rules and Regulations | |
| Action | Final rule. | |
| Dates | This rule is effective on January 23, 2017. | |
| Contact | Elizabeth Appel, Director, Office of Regulatory Affairs and Collaborative Action, Office of the Assistant Secretary--Indian Affairs; telephone (202) 273-4680, [email protected] | |
| FR Citation | 82 FR 7649 | |
| RIN Number | 1076-AF35 | |
| CFR Citation | 25
CFR
140 25 CFR 141 25 CFR 211 25 CFR 213 25 CFR 225 25 CFR 226 25 CFR 227 25 CFR 243 25 CFR 249 |
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