82_FR_9007 82 FR 8986 - Civil Monetary Penalties Annual Inflation Adjustments

82 FR 8986 - Civil Monetary Penalties Annual Inflation Adjustments

FEDERAL ELECTION COMMISSION

Federal Register Volume 82, Issue 21 (February 2, 2017)

Page Range8986-8989
FR Document2017-01431

As required by the Federal Civil Penalties Inflation Adjustment Act of 1990, the Federal Election Commission is adjusting for inflation the civil monetary penalties established under the Federal Election Campaign Act, the Presidential Election Campaign Fund Act, and the Presidential Primary Matching Payment Account Act. The civil monetary penalties being adjusted are those negotiated by the Commission or imposed by a court for certain statutory violations, and those imposed by the Commission for late filing of or failure to file certain reports required by the Federal Election Campaign Act. The adjusted civil monetary penalties are calculated according to a statutory formula and the adjusted amounts will apply to penalties assessed after the effective date of these rules.

Federal Register, Volume 82 Issue 21 (Thursday, February 2, 2017) 
[Federal Register Volume 82, Number 21 (Thursday, February 2, 2017)]
[Rules and Regulations]
[Pages 8986-8989]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-01431]


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FEDERAL ELECTION COMMISSION

11 CFR Part 111

[Notice 2017-01]


Civil Monetary Penalties Annual Inflation Adjustments

AGENCY: Federal Election Commission.

ACTION: Final rules.

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SUMMARY: As required by the Federal Civil Penalties Inflation 
Adjustment Act of 1990, the Federal Election Commission is adjusting 
for inflation the civil monetary penalties established under the 
Federal Election Campaign Act, the Presidential Election Campaign Fund 
Act, and the Presidential Primary Matching Payment Account Act. The 
civil monetary penalties being adjusted are those negotiated by the 
Commission or imposed by a court for certain statutory violations, and 
those imposed by the Commission for late filing of or failure to file 
certain reports required by the Federal Election Campaign Act. The 
adjusted civil monetary penalties are calculated according to a 
statutory formula and the adjusted amounts will apply to penalties 
assessed after the effective date of these rules.

DATES: The final rules are effective on February 2, 2017.

FOR FURTHER INFORMATION CONTACT: Mr. Neven F. Stipanovic, Acting 
Assistant General Counsel, or Mr. Eugene J. Lynch, Paralegal, Office of 
General Counsel, 999 E Street NW., Washington, DC 20463, (202) 694-1650 
or (800) 424-9530.

SUPPLEMENTARY INFORMATION: The Federal Civil Penalties Inflation 
Adjustment Act of 1990 (the ``Inflation Adjustment Act''),\1\ as 
amended by the Federal Civil Penalties Inflation Adjustment Act 
Improvements Act of 2015 (the ``2015 Act''),\2\ requires federal 
agencies, including the Commission, to adjust for inflation the civil 
monetary penalties within their jurisdiction according to prescribed 
formulas. A civil monetary penalty is ``any penalty, fine, or other 
sanction'' that (1) ``is for a specific amount'' or ``has a maximum 
amount'' under federal law; and (2) that a federal agency assesses or 
enforces ``pursuant to an administrative proceeding or a civil action'' 
in federal court.\3\ Under the Federal Election Campaign Act, 52 U.S.C. 
30101-46 (``FECA''), the Commission may seek and assess civil monetary 
penalties for violations of FECA, the Presidential Election Campaign 
Fund Act, 26 U.S.C. 9001-13, and the Presidential Primary Matching 
Payment Account Act, 26 U.S.C. 9031-42.
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    \1\ Public Law 101-410, 104 Stat. 890 (codified at 28 U.S.C. 
2461 note), amended by Debt Collection Improvement Act of 1996, 
Public Law 104-134, sec. 31001(s)(1), 110 Stat. 1321, 1373; Federal 
Reports Elimination Act of 1998, Public Law 105-362, sec. 1301, 112 
Stat. 3280.
    \2\ Public Law 114-74, section 701, 129 Stat. 584, 599.
    \3\ Inflation Adjustment Act, section 3(2).
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    As required by the 2015 Act,\4\ the Commission recently instituted 
a one-time ``catch-up'' inflation adjustment to its civil monetary 
penalties. Civil Monetary Penalties Inflation Adjustments, 81 FR 41196 
(June 24, 2016). Starting in 2017, the Inflation Adjustment Act 
requires federal agencies to adjust their civil penalties annually, and 
the adjustments must take effect no later than January 15 of every 
year.\5\ Pursuant to guidance issued by the Office of Management and 
Budget,\6\ the Commission is now adjusting its civil monetary penalties 
for 2017.\7\
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    \4\ Inflation Adjustment Act, section 4(b)(1).
    \5\ Inflation Adjustment Act, section 4(a).
    \6\ See Inflation Adjustment Act section 7(a) (requiring OMB to 
``issue guidance to agencies on implementing the inflation 
adjustments required under this Act''); see also Memorandum from 
Shaun Donovan, Director, Office of Management and Budget, to Heads 
of Executive Departments and Agencies, M-17-11 (Dec. 16, 2016), 
https://www.whitehouse.gov/sites/default/files/omb/memoranda/2016/m-16-06.pdf (``OMB Memorandum'').
    \7\ Inflation Adjustment Act, section 5.
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    The Commission must adjust for inflation its civil monetary 
penalties ``notwithstanding Section 553'' of the Administrative 
Procedures Act (``APA'').\8\ Thus, the APA's notice-and-comment and 
delayed effective date requirements in 5 U.S.C. 553(b)-(d) do not apply 
because Congress has specifically exempted agencies from these 
requirements.\9\
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    \8\ Inflation Adjustment Act, section 4(b)(2).
    \9\ See, e.g., Asiana Airlines v. FAA, 134 F.3d 393, 396-99 
(D.C. Cir. 1998) (finding APA ``notice and comment'' requirement not 
applicable where Congress clearly expressed intent to depart from 
normal APA procedures).
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    Furthermore, because the inflation adjustments made through these 
final rules are required by Congress and involve no Commission 
discretion or policy judgments, these rules do not need to be submitted 
to the Speaker of the House of Representatives or the President of the 
Senate under the Congressional Review Act, 5 U.S.C. 801 et seq. 
Moreover, because the APA's notice-and-comment procedures do not apply 
to these final rules, the Commission is not required to conduct a 
regulatory flexibility analysis under 5 U.S.C. 603 or 604. See 5 U.S.C. 
601(2), 604(a). Nor is the Commission required to submit these 
revisions for congressional review under FECA. See 5 U.S.C. 
30111(d)(1), (4) (providing for

[[Page 8987]]

congressional review when Commission ``prescribe[s]'' a ``rule of 
law'').
    The new penalty amounts will apply to civil monetary penalties that 
are assessed after the date the increase takes effect, even if the 
associated violation predated the increase.\10\
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    \10\ Inflation Adjustment Act, section 6.
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Explanation and Justification

    As amended by the 2015 Act, the Inflation Adjustment Act requires 
the Commission to annually adjust its civil monetary penalties for 
inflation by applying a cost-of-living-adjustment (``COLA'') ratio.\11\ 
The COLA ratio is the percentage that the Consumer Price Index 
(``CPI'') \12\ ``for the month of October preceding the date of the 
adjustment'' exceeds the CPI for October of the previous year.\13\ To 
calculate the adjusted penalty, the Commission must increase the most 
recent civil monetary penalty amount by the COLA ratio.\14\ According 
to the Office of Management and Budget, the COLA ratio for 2017 is 
0.01636, or 1.636%; thus, to calculate the new penalties, the 
Commission must multiply the most recent civil monetary penalties in 
force by 1.01636.\15\
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    \11\ The COLA ratio must be applied to the most recent civil 
monetary penalties, which include the recent catch-up adjustments. 
Inflation Adjustment Act, section 4(a); see also OMB Memorandum at 
2.
    \12\ The Inflation Adjustment Act, sec. 3, uses the CPI ``for 
all-urban consumers published by the Department of Labor.''
    \13\ Inflation Adjustment Act, section 5(b)(1).
    \14\ Inflation Adjustment Act, section 5(a), (b)(1).
    \15\ OMB Memorandum at 1.
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    The Commission assesses two types of civil monetary penalties that 
must be adjusted for inflation. First are penalties that are either 
negotiated by the Commission or imposed by a court for violations of 
FECA, the Presidential Election Campaign Fund Act, or the Presidential 
Primary Matching Payment Account Act. These civil monetary penalties 
are set forth at 11 CFR 111.24. Second are the civil monetary penalties 
assessed through the Commission's Administrative Fines Program for late 
filing or non-filing of certain reports required by FECA. See 52 U.S.C. 
30109(a)(4)(C) (authorizing Administrative Fines Program), 30104(a) 
(requiring political committee treasurers to report receipts and 
disbursements within certain time periods). The penalty schedules for 
these civil monetary penalties are set out at 11 CFR 111.43 and 111.44.

1. 11 CFR 111.24--Civil Penalties

    FECA establishes the civil monetary penalties for violations of 
FECA and the other statutes within the Commission's jurisdiction. See 
52 U.S.C. 30109(a)(5), (6), (12). Commission regulations in 11 CFR 
111.24 provide the current inflation-adjusted amount for each such 
civil monetary penalty. To calculate the adjusted civil monetary 
penalty, the Commission multiplies the most recent penalty amount by 
the COLA ratio and rounds that figure to the nearest dollar.
    The actual adjustment to each civil monetary penalty is shown in 
the chart below.

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                                                                    Most recent                      New civil
                             Section                               civil penalty       COLA           penalty
----------------------------------------------------------------------------------------------------------------
11 CFR 111.24(a)(1).............................................         $18,750         1.01636         $19,057
11 CFR 111.24(a)(2)(i)..........................................          40,000         1.01636          40,654
11 CFR 111.24(a)(2)(ii).........................................          65,593         1.01636          66,666
11 CFR 111.24(b)................................................           5,609         1.01636           5,701
11 CFR 111.24(b)................................................          14,023         1.01636          14,252
----------------------------------------------------------------------------------------------------------------

2. 11 CFR 111.43, 111.44--Administrative Fines

    FECA authorizes the Commission to assess civil monetary penalties 
for violations of the reporting requirements of 52 U.S.C. 30104(a) 
according to the penalty schedules ``established and published by the 
Commission.'' 52 U.S.C. 30109(a)(4)(C)(i). The Commission has 
established two such schedules: The schedule in 11 CFR 111.43(a) 
applies to reports that are not election sensitive, and the schedule in 
11 CFR 111.43(b) applies to reports that are election sensitive.\16\ 
Each schedule contains two columns of penalties, one for late-filed 
reports and one for non-filed reports, with penalties based on the 
level of financial activity in the report and, if late-filed, its 
lateness.\17\ In addition, 11 CFR 111.43(c) establishes a civil 
monetary penalty for situations in which a committee fails to file a 
report and the Commission cannot calculate the relevant level of 
activity. Finally, 11 CFR 111.44 establishes a civil monetary penalty 
for failure to file timely reports of contributions received less than 
20 days, but more than 48 hours, before an election. See 52 U.S.C. 
30104(a)(6).
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    \16\ Election sensitive reports are certain reports due shortly 
before an election. See 11 CFR 111.43(d)(1).
    \17\ A report is considered to be ``not filed'' if it is never 
filed or is filed more than a certain number of days after its due 
date. See 11 CFR 111.43(e).
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    To determine the adjusted civil monetary penalty amount for each 
level of activity, the Commission multiplies the most recent penalty 
amount by the COLA ratio and rounds that figure to the nearest dollar. 
The new civil monetary penalties are shown in the schedules in the rule 
text, below.

List of Subjects in 11 CFR Part 111

    Administrative practice and procedures, Elections, Law enforcement, 
Penalties.

    For the reasons set out in the preamble, the Federal Election 
Commission amends subchapter A of chapter I of title 11 of the Code of 
Federal Regulations as follows:

PART 111--COMPLIANCE PROCEDURE (52 U.S.C. 30109, 30107(a))

0
1. The authority citation for part 111 continues to read as follows:

    Authority: 52 U.S.C. 30102(i), 30109, 30107(a), 30111(a)(8); 28 
U.S.C. 2461 note; 31 U.S.C. 3701, 3711, 3716-3719, and 3720A, as 
amended; 31 CFR parts 285 and 900-904.


Sec.  111.24  [Amended]

0
2. In the table below for Sec.  111.24, for each paragraph indicated in 
the left column, remove the number indicated in the middle column, and 
add in its place the number indicated in the right column.

------------------------------------------------------------------------
                Paragraph                     Remove            Add
------------------------------------------------------------------------
(a)(1)..................................         $18,750         $19,057
(a)(2)(i)...............................          40,000          40,654
(a)(2)(ii)..............................          65,593          66,666
(b).....................................           5,609           5,701
(b).....................................          14,023          14,252
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0
3. Section 111.43 is amended by revising paragraphs (a), (b), and (c) 
to read as follows:


Sec.  111.43  What are the schedules of penalties?

    (a) The civil money penalty for all reports that are filed late or 
not filed, except election sensitive reports and pre-election reports 
under 11 CFR 104.5,

[[Page 8988]]

shall be calculated in accordance with the following schedule of 
penalties:

----------------------------------------------------------------------------------------------------------------
                                                 And the report was filed late,    Or the report was not filed,
  If the level of activity in the report was:     the civil money penalty is:      the civil money penalty is:
----------------------------------------------------------------------------------------------------------------
$1-4,999.99 \1\...............................  [$33 + ($6 x Number of days      $326 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$5,000-9,999.99...............................  [$65 + ($6 x Number of days      $392 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$10,000-24,999.99.............................  [$139 + ($6 x Number of days     $654 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$25,000-49,999.99.............................  [$277 + ($26 x Number of days    $1176 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$50,000-74,999.99.............................  [$417 + ($105 x Number of days   $3751 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$75,000-99,999.99.............................  [$556 + ($139 x Number of days   $4862 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$100,000-149,999.99...........................  [$833 + ($174 x Number of days   $6252 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$150,000-199,999.99...........................  [$1112 + ($208 x Number of days  $7641 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$200,000-249,999.99...........................  [$1389 + ($243 x Number of days  $9030 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$250,000-349,999.99...........................  [$2084 + ($277 x Number of days  $11,114 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$350,000-449,999.99...........................  [$2779 + ($277 x Number of days  $12,503 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$450,000-549,999.99...........................  [$3473 + ($277 x Number of days  $13,197 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$550,000-649,999.99...........................  [$4168 + ($277 x Number of days  $13,893 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$650,000-749,999.99...........................  [$4862 + ($277 x Number of days  $14,587 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$750,000-849,999.99...........................  [$5557 + ($277 x Number of days  $15,282 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$850,000-949,999.99...........................  [$6252 + ($277 x Number of days  $15,976 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$950,000 or over..............................  [$6946 + ($277 x Number of days  $16,671 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
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\1\ The civil money penalty for a respondent who does not have any previous violations will not exceed the level
  of activity in the report.

    (b) The civil money penalty for election sensitive reports that are 
filed late or not filed shall be calculated in accordance with the 
following schedule of penalties:

----------------------------------------------------------------------------------------------------------------
                                                 And the report was filed late,    Or the report was not filed,
  If the level of activity in the report was:     the civil money penalty is:      the civil money penalty is:
----------------------------------------------------------------------------------------------------------------
$1-$4,999.99 \1\..............................  [$65 + ($13 x Number of days     $654 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$5,000-$9,999.99..............................  [$131 + ($13 x Number of days    $784 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$10,000-24,999.99.............................  [$196 + ($13 x Number of days    $1176 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$25,000-49,999.99.............................  [$417 + ($33 x Number of days    $1829 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$50,000-74,999.99.............................  [$625 + ($105 x Number of days   $4168 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$75,000-99,999.99.............................  [$833 + ($139 x Number of days   $5557 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$100,000-149,999.99...........................  [$1250 + ($174 x Number of days  $6946 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$150,000-199,999.99...........................  [$1667 + ($208 x Number of days  $8335 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$200,000-249,999.99...........................  [$2084 + ($243 x Number of days  $10,420 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$250,000-349,999.99...........................  [$3126 + ($277 x Number of days  $12,503 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$350,000-449,999.99...........................  [$4168 + ($277 x Number of days  $13,893 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$450,000-549,999.99...........................  [$5210 + ($277 x Number of days  $15,282 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].

[[Page 8989]]

 
$550,000-649,999.99...........................  [$6252 + ($277 x Number of days  $16,671 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$650,000-749,999.99...........................  [$7293 + ($277 x Number of days  $18,061 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$750,000-849,999.99...........................  [$8335 + ($277 x Number of days  $19,449 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$850,000-949,999.99...........................  [$9378 + ($277 x Number of days  $20,838 x [1 + (.25 x Number of
                                                 late)] x [1 + (.25 x Number of   previous violations)].
                                                 previous violations)].
$950,000 or over..............................  [$10,420 + ($277 x Number of     $22,228 x [1 + (.25 x Number of
                                                 days late)] x [1 + (.25 x        previous violations)].
                                                 Number of previous
                                                 violations)].
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\1\ The civil money penalty for a respondent who does not have any previous violations will not exceed the level
  of activity in the report.

    (c) If the respondent fails to file a required report and the 
Commission cannot calculate the level of activity under paragraph (d) 
of this section, then the civil money penalty shall be $7,641.
* * * * *


Sec.  111.44  [Amended]

0
4. Amend paragraph (a)(1) of Sec.  111.44 by removing ``$137'' and 
adding, in its place, ``$139''.

    On behalf of the Commission.

    Dated: January 5, 2017.
Matthew S. Petersen,
Commissioner, Federal Election Commission.
[FR Doc. 2017-01431 Filed 2-1-17; 8:45 am]
BILLING CODE 6715-01-P

8986 Federal Register / Vol. 82, No. 21 / Thursday, February 2, 2017 / Rules and Regulations of the new Administration. In FEDERAL ELECTION COMMISSION Campaign Act, 52 U.S.C. 30101–46 implementation of one of the measures (‘‘FECA’’), the Commission may seek directed by that memorandum, the 11 CFR Part 111 and assess civil monetary penalties for United States Department of Energy [Notice 2017–01] violations of FECA, the Presidential (‘‘DOE’’) hereby temporarily postpones Election Campaign Fund Act, 26 U.S.C. the effective date of its final rule Civil Monetary Penalties Annual 9001–13, and the Presidential Primary amending the test procedures for Inflation Adjustments Matching Payment Account Act, 26 compressors published in the Federal U.S.C. 9031–42. AGENCY: Federal Election Commission. As required by the 2015 Act,4 the Register on January 4, 2017. See 82 FR ACTION: Final rules. Commission recently instituted a one- 1052. The January 4 rule establishes a time ‘‘catch-up’’ inflation adjustment to new test procedure for certain varieties SUMMARY: As required by the Federal its civil monetary penalties. Civil of compressors. Consistent with the Civil Penalties Inflation Adjustment Act Monetary Penalties Inflation memorandum, DOE is temporarily of 1990, the Federal Election Adjustments, 81 FR 41196 (June 24, postponing the effective date of the final Commission is adjusting for inflation 2016). Starting in 2017, the Inflation rule by 60 days, starting from January the civil monetary penalties established Adjustment Act requires federal 20, 2017. The temporary 60-day delay in under the Federal Election Campaign agencies to adjust their civil penalties effective date is necessary to give DOE Act, the Presidential Election Campaign annually, and the adjustments must take officials the opportunity for further Fund Act, and the Presidential Primary effect no later than January 15 of every review and consideration of new Matching Payment Account Act. The year.5 Pursuant to guidance issued by civil monetary penalties being adjusted the Office of Management and Budget,6 regulations, consistent with the Chief of are those negotiated by the Commission the Commission is now adjusting its Staff’s memorandum of January 20, or imposed by a court for certain civil monetary penalties for 2017.7 2017. statutory violations, and those imposed The Commission must adjust for To the extent that 5 U.S.C. 553 applies by the Commission for late filing of or inflation its civil monetary penalties to this action, it is exempt from notice failure to file certain reports required by ‘‘notwithstanding Section 553’’ of the and comment because it constitutes a the Federal Election Campaign Act. The Administrative Procedures Act rule of procedure under 5 U.S.C. adjusted civil monetary penalties are (‘‘APA’’).8 Thus, the APA’s notice-and- 553(b)(A). Alternatively, DOE’s calculated according to a statutory comment and delayed effective date implementation of this action without formula and the adjusted amounts will requirements in 5 U.S.C. 553(b)–(d) do opportunity for public comment, apply to penalties assessed after the not apply because Congress has effective immediately upon publication effective date of these rules. specifically exempted agencies from in the Federal Register, is based on the DATES: The final rules are effective on these requirements.9 good cause exceptions in 5 U.S.C. February 2, 2017. Furthermore, because the inflation 553(b)(B) and 553(d)(3). Pursuant to 5 FOR FURTHER INFORMATION CONTACT: Mr. adjustments made through these final U.S.C. 553(b)(B), DOE has determined Neven F. Stipanovic, Acting Assistant rules are required by Congress and that good cause exists to forego the General Counsel, or Mr. Eugene J. involve no Commission discretion or requirement to provide prior notice and Lynch, Paralegal, Office of General policy judgments, these rules do not an opportunity for public comment Counsel, 999 E Street NW., Washington, need to be submitted to the Speaker of thereon for this rule as such procedures DC 20463, (202) 694–1650 or (800) 424– the House of Representatives or the would be impracticable, unnecessary 9530. President of the Senate under the SUPPLEMENTARY INFORMATION: The Congressional Review Act, 5 U.S.C. 801 and contrary to the public interest. DOE Federal Civil Penalties Inflation et seq. Moreover, because the APA’s is temporarily postponing for 60 days Adjustment Act of 1990 (the ‘‘Inflation notice-and-comment procedures do not the effective date of this regulation apply to these final rules, the pursuant to the previously-noted Adjustment Act’’),1 as amended by the Federal Civil Penalties Inflation Commission is not required to conduct memorandum of the Chief of Staff and a regulatory flexibility analysis under 5 is exercising no discretion in Adjustment Act Improvements Act of 2015 (the ‘‘2015 Act’’),2 requires federal U.S.C. 603 or 604. See 5 U.S.C. 601(2), implementing this specific provision of 604(a). Nor is the Commission required agencies, including the Commission, to the memorandum. As a result, seeking to submit these revisions for adjust for inflation the civil monetary public comment on this delay is congressional review under FECA. See 5 penalties within their jurisdiction unnecessary and contrary to the public according to prescribed formulas. A U.S.C. 30111(d)(1), (4) (providing for interest. It is also impracticable given civil monetary penalty is ‘‘any penalty, that the memorandum was issued on fine, or other sanction’’ that (1) ‘‘is for 4 Inflation Adjustment Act, section 4(b)(1). 5 Inflation Adjustment Act, section 4(a). January 20, 2017, and the previous a specific amount’’ or ‘‘has a maximum 6 See Inflation Adjustment Act section 7(a) effective date of the rule at issue was amount’’ under federal law; and (2) that (requiring OMB to ‘‘issue guidance to agencies on February 3, 2017. For these same a federal agency assesses or enforces implementing the inflation adjustments required reasons DOE finds good cause to waive ‘‘pursuant to an administrative under this Act’’); see also Memorandum from the 30-day delay in effective date Shaun Donovan, Director, Office of Management proceeding or a civil action’’ in federal and Budget, to Heads of Executive Departments and provided for in 5 U.S.C. 553(d). court.3 Under the Federal Election Agencies, M–17–11 (Dec. 16, 2016), https:// Issued in Washington, DC, on January 26, www.whitehouse.gov/sites/default/files/omb/ 1 Public Law 101–410, 104 Stat. 890 (codified at memoranda/2016/m-16-06.pdf (‘‘OMB mstockstill on DSK3G9T082PROD with RULES 2017. 28 U.S.C. 2461 note), amended by Debt Collection Memorandum’’). John T. Lucas, Improvement Act of 1996, Public Law 104–134, sec. 7 Inflation Adjustment Act, section 5. Acting General Counsel. 31001(s)(1), 110 Stat. 1321, 1373; Federal Reports 8 Inflation Adjustment Act, section 4(b)(2). Elimination Act of 1998, Public Law 105–362, sec. 9 See, e.g., Asiana Airlines v. FAA, 134 F.3d 393, [FR Doc. 2017–02134 Filed 2–1–17; 8:45 am] 1301, 112 Stat. 3280. 396–99 (D.C. Cir. 1998) (finding APA ‘‘notice and 2 Public Law 114–74, section 701, 129 Stat. 584, BILLING CODE 6450–01–P comment’’ requirement not applicable where 599. Congress clearly expressed intent to depart from 3 Inflation Adjustment Act, section 3(2). normal APA procedures). VerDate Sep<11>2014 19:35 Feb 01, 2017 Jkt 241001 PO 00000 Frm 00002 Fmt 4700 Sfmt 4700 E:\FR\FM\02FER1.SGM 02FER1

Federal Register / Vol. 82, No. 21 / Thursday, February 2, 2017 / Rules and Regulations 8987 congressional review when Commission According to the Office of Management (requiring political committee treasurers ‘‘prescribe[s]’’ a ‘‘rule of law’’). and Budget, the COLA ratio for 2017 is to report receipts and disbursements The new penalty amounts will apply 0.01636, or 1.636%; thus, to calculate within certain time periods). The to civil monetary penalties that are the new penalties, the Commission must penalty schedules for these civil assessed after the date the increase takes multiply the most recent civil monetary monetary penalties are set out at 11 CFR effect, even if the associated violation penalties in force by 1.01636.15 111.43 and 111.44. predated the increase.10 The Commission assesses two types of 1. 11 CFR 111.24—Civil Penalties civil monetary penalties that must be Explanation and Justification adjusted for inflation. First are penalties FECA establishes the civil monetary As amended by the 2015 Act, the that are either negotiated by the penalties for violations of FECA and the Inflation Adjustment Act requires the Commission or imposed by a court for other statutes within the Commission’s Commission to annually adjust its civil violations of FECA, the Presidential jurisdiction. See 52 U.S.C. 30109(a)(5), monetary penalties for inflation by Election Campaign Fund Act, or the (6), (12). Commission regulations in 11 applying a cost-of-living-adjustment Presidential Primary Matching Payment CFR 111.24 provide the current (‘‘COLA’’) ratio.11 The COLA ratio is the Account Act. These civil monetary inflation-adjusted amount for each such percentage that the Consumer Price penalties are set forth at 11 CFR 111.24. civil monetary penalty. To calculate the Index (‘‘CPI’’) 12 ‘‘for the month of Second are the civil monetary penalties adjusted civil monetary penalty, the October preceding the date of the assessed through the Commission’s Commission multiplies the most recent adjustment’’ exceeds the CPI for October Administrative Fines Program for late penalty amount by the COLA ratio and of the previous year.13 To calculate the filing or non-filing of certain reports rounds that figure to the nearest dollar. adjusted penalty, the Commission must required by FECA. See 52 U.S.C. The actual adjustment to each civil increase the most recent civil monetary 30109(a)(4)(C) (authorizing monetary penalty is shown in the chart penalty amount by the COLA ratio.14 Administrative Fines Program), 30104(a) below. Most recent New civil Section COLA civil penalty penalty 11 CFR 111.24(a)(1) ................................................................................................................... $18,750 1.01636 $19,057 11 CFR 111.24(a)(2)(i) ................................................................................................................ 40,000 1.01636 40,654 11 CFR 111.24(a)(2)(ii) ............................................................................................................... 65,593 1.01636 66,666 11 CFR 111.24(b) ........................................................................................................................ 5,609 1.01636 5,701 11 CFR 111.24(b) ........................................................................................................................ 14,023 1.01636 14,252 2. 11 CFR 111.43, 111.44— days, but more than 48 hours, before an U.S.C. 3701, 3711, 3716–3719, and 3720A, as Administrative Fines election. See 52 U.S.C. 30104(a)(6). amended; 31 CFR parts 285 and 900–904. To determine the adjusted civil § 111.24 [Amended] FECA authorizes the Commission to monetary penalty amount for each level assess civil monetary penalties for of activity, the Commission multiplies ■ 2. In the table below for § 111.24, for violations of the reporting requirements the most recent penalty amount by the each paragraph indicated in the left of 52 U.S.C. 30104(a) according to the COLA ratio and rounds that figure to the column, remove the number indicated penalty schedules ‘‘established and nearest dollar. The new civil monetary in the middle column, and add in its published by the Commission.’’ 52 penalties are shown in the schedules in place the number indicated in the right U.S.C. 30109(a)(4)(C)(i). The the rule text, below. column. Commission has established two such schedules: The schedule in 11 CFR List of Subjects in 11 CFR Part 111 Paragraph Remove Add 111.43(a) applies to reports that are not Administrative practice and election sensitive, and the schedule in procedures, Elections, Law enforcement, (a)(1) ......... $18,750 $19,057 11 CFR 111.43(b) applies to reports that Penalties. (a)(2)(i) ...... 40,000 40,654 are election sensitive.16 Each schedule (a)(2)(ii) ..... 65,593 66,666 For the reasons set out in the (b) ............. 5,609 5,701 contains two columns of penalties, one preamble, the Federal Election (b) ............. 14,023 14,252 for late-filed reports and one for non- Commission amends subchapter A of filed reports, with penalties based on chapter I of title 11 of the Code of the level of financial activity in the Federal Regulations as follows: ■ 3. Section 111.43 is amended by report and, if late-filed, its lateness.17 In revising paragraphs (a), (b), and (c) to addition, 11 CFR 111.43(c) establishes a PART 111—COMPLIANCE read as follows: civil monetary penalty for situations in PROCEDURE (52 U.S.C. 30109, § 111.43 What are the schedules of which a committee fails to file a report 30107(a)) penalties? and the Commission cannot calculate the relevant level of activity. Finally, 11 ■ 1. The authority citation for part 111 (a) The civil money penalty for all CFR 111.44 establishes a civil monetary continues to read as follows: reports that are filed late or not filed, penalty for failure to file timely reports Authority: 52 U.S.C. 30102(i), 30109, except election sensitive reports and mstockstill on DSK3G9T082PROD with RULES of contributions received less than 20 30107(a), 30111(a)(8); 28 U.S.C. 2461 note; 31 pre-election reports under 11 CFR 104.5, 10 InflationAdjustment Act, section 6. 12 The Inflation Adjustment Act, sec. 3, uses the 16 Election sensitive reports are certain reports 11 The COLA ratio must be applied to the most CPI ‘‘for all-urban consumers published by the due shortly before an election. See 11 CFR recent civil monetary penalties, which include the Department of Labor.’’ 111.43(d)(1). 13 Inflation Adjustment Act, section 5(b)(1). 17 A report is considered to be ‘‘not filed’’ if it is recent catch-up adjustments. Inflation Adjustment 14 Inflation Adjustment Act, section 5(a), (b)(1). Act, section 4(a); see also OMB Memorandum at 2. never filed or is filed more than a certain number 15 OMB Memorandum at 1. of days after its due date. See 11 CFR 111.43(e). VerDate Sep<11>2014 19:35 Feb 01, 2017 Jkt 241001 PO 00000 Frm 00003 Fmt 4700 Sfmt 4700 E:\FR\FM\02FER1.SGM 02FER1

8988 Federal Register / Vol. 82, No. 21 / Thursday, February 2, 2017 / Rules and Regulations shall be calculated in accordance with the following schedule of penalties: If the level of activity in the And the report was filed late, the civil money penalty is: Or the report was not filed, the civil money penalty is: report was: $1–4,999.99 1 ....................... [$33 + ($6 × Number of days late)] × [1 + (.25 × Num- $326 × [1 + (.25 × Number of previous violations)]. ber of previous violations)]. $5,000–9,999.99 .................. [$65 + ($6 × Number of days late)] × [1 + (.25 × Num- $392 × [1 + (.25 × Number of previous violations)]. ber of previous violations)]. $10,000–24,999.99 .............. [$139 + ($6 × Number of days late)] × [1 + (.25 × Num- $654 × [1 + (.25 × Number of previous violations)]. ber of previous violations)]. $25,000–49,999.99 .............. [$277 + ($26 × Number of days late)] × [1 + (.25 × $1176 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $50,000–74,999.99 .............. [$417 + ($105 × Number of days late)] × [1 + (.25 × $3751 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $75,000–99,999.99 .............. [$556 + ($139 × Number of days late)] × [1 + (.25 × $4862 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $100,000–149,999.99 .......... [$833 + ($174 × Number of days late)] × [1 + (.25 × $6252 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $150,000–199,999.99 .......... [$1112 + ($208 × Number of days late)] × [1 + (.25 × $7641 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $200,000–249,999.99 .......... [$1389 + ($243 × Number of days late)] × [1 + (.25 × $9030 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $250,000–349,999.99 .......... [$2084 + ($277 × Number of days late)] × [1 + (.25 × $11,114 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $350,000–449,999.99 .......... [$2779 + ($277 × Number of days late)] × [1 + (.25 × $12,503 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $450,000–549,999.99 .......... [$3473 + ($277 × Number of days late)] × [1 + (.25 × $13,197 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $550,000–649,999.99 .......... [$4168 + ($277 × Number of days late)] × [1 + (.25 × $13,893 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $650,000–749,999.99 .......... [$4862 + ($277 × Number of days late)] × [1 + (.25 × $14,587 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $750,000–849,999.99 .......... [$5557 + ($277 × Number of days late)] × [1 + (.25 × $15,282 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $850,000–949,999.99 .......... [$6252 + ($277 × Number of days late)] × [1 + (.25 × $15,976 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $950,000 or over .................. [$6946 + ($277 × Number of days late)] × [1 + (.25 × $16,671 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. 1 The civil money penalty for a respondent who does not have any previous violations will not e×ceed the level of activity in the report. (b) The civil money penalty for accordance with the following schedule election sensitive reports that are filed of penalties: late or not filed shall be calculated in If the level of activity in the And the report was filed late, the civil money penalty is: Or the report was not filed, the civil money penalty is: report was: $1–$4,999.99 1 ..................... [$65 + ($13 × Number of days late)] × [1 + (.25 × Num- $654 × [1 + (.25 × Number of previous violations)]. ber of previous violations)]. $5,000–$9,999.99 ................ [$131 + ($13 × Number of days late)] × [1 + (.25 × $784 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $10,000–24,999.99 .............. [$196 + ($13 × Number of days late)] × [1 + (.25 × $1176 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $25,000–49,999.99 .............. [$417 + ($33 × Number of days late)] × [1 + (.25 × $1829 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $50,000–74,999.99 .............. [$625 + ($105 × Number of days late)] × [1 + (.25 × $4168 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $75,000–99,999.99 .............. [$833 + ($139 × Number of days late)] × [1 + (.25 × $5557 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $100,000–149,999.99 .......... [$1250 + ($174 × Number of days late)] × [1 + (.25 × $6946 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $150,000–199,999.99 .......... [$1667 + ($208 × Number of days late)] × [1 + (.25 × $8335 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $200,000–249,999.99 .......... [$2084 + ($243 × Number of days late)] × [1 + (.25 × $10,420 × [1 + (.25 × Number of previous violations)]. mstockstill on DSK3G9T082PROD with RULES Number of previous violations)]. $250,000–349,999.99 .......... [$3126 + ($277 × Number of days late)] × [1 + (.25 × $12,503 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $350,000–449,999.99 .......... [$4168 + ($277 × Number of days late)] × [1 + (.25 × $13,893 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $450,000–549,999.99 .......... [$5210 + ($277 × Number of days late)] × [1 + (.25 × $15,282 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. VerDate Sep<11>2014 19:35 Feb 01, 2017 Jkt 241001 PO 00000 Frm 00004 Fmt 4700 Sfmt 4700 E:\FR\FM\02FER1.SGM 02FER1

Federal Register / Vol. 82, No. 21 / Thursday, February 2, 2017 / Rules and Regulations 8989 If the level of activity in the And the report was filed late, the civil money penalty is: Or the report was not filed, the civil money penalty is: report was: $550,000–649,999.99 .......... [$6252 + ($277 × Number of days late)] × [1 + (.25 × $16,671 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $650,000–749,999.99 .......... [$7293 + ($277 × Number of days late)] × [1 + (.25 × $18,061 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $750,000–849,999.99 .......... [$8335 + ($277 × Number of days late)] × [1 + (.25 × $19,449 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $850,000–949,999.99 .......... [$9378 + ($277 × Number of days late)] × [1 + (.25 × $20,838 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. $950,000 or over .................. [$10,420 + ($277 × Number of days late)] × [1 + (.25 × $22,228 × [1 + (.25 × Number of previous violations)]. Number of previous violations)]. 1 The civil money penalty for a respondent who does not have any previous violations will not exceed the level of activity in the report. (c) If the respondent fails to file a bodies for testing for ASTM F963 Compliance and Field Operations, required report and the Commission pursuant to section 14(a)(3)(B)(vi) of the Consumer Product Safety Commission, cannot calculate the level of activity Consumer Product Safety Act (CPSA). 4330 East-West Highway, Bethesda, MD under paragraph (d) of this section, then DATES: The rule is effective on April 30, 20814–4408; telephone: 301–504–7607; the civil money penalty shall be $7,641. 2017, unless we receive significant email: cmanley@cpsc.gov. * * * * * adverse comment by March 6, 2017. If SUPPLEMENTARY INFORMATION: we receive timely significant adverse A. Background § 111.44 [Amended] comments, we will publish notification ■ 4. Amend paragraph (a)(1) of § 111.44 in the Federal Register, withdrawing Section 106 of the Consumer Product by removing ‘‘$137’’ and adding, in its this direct final rule before its effective Safety Improvement Act of 2008. place, ‘‘$139’’. date. The incorporation by reference of Section 106(a) of CPSIA mandated that the publication listed in this rule is beginning on February 10, 2009, ASTM On behalf of the Commission. approved by the Director of the Federal F963–07e1, Standard Consumer Safety Dated: January 5, 2017. Register as of April 30, 2017. Specifications for Toy Safety,1 shall be Matthew S. Petersen, considered a mandatory consumer Commissioner, Federal Election Commission. ADDRESSES: You may submit comments, identified by Docket No. CPSC–2017– product safety standard issued by the [FR Doc. 2017–01431 Filed 2–1–17; 8:45 am] CPSC. Public Law 110–314. Since 0010, by any of the following methods: BILLING CODE 6715–01–P Submit electronic comments in the ASTM F963 was first mandated in 2009, following way: there have been two revisions, ASTM Federal eRulemaking Portal: http:// F963–08 and ASTM F963–11. Currently, CONSUMER PRODUCT SAFETY www.regulations.gov. Follow the the provisions of ASTM F963–11 and COMMISSION instructions for submitting comments. section 4.27 of ASTM F963–07e1 (toy [Docket No. CPSC–2017–0010] To ensure timely processing of chests) are considered consumer comments, the Commission is no longer product safety standards issued by the 16 CFR Parts 1112 and 1250 accepting comments submitted by Commission under section 9 of the electronic mail (email), except through CPSA. Under section 106(g) of the Safety Standard Mandating ASTM F963 www.regulations.gov. CPSIA, if ASTM proposes revisions to for Toys Submit written submissions in the ASTM F963, ASTM must notify the following way: Commission. The revised standard shall AGENCY: Consumer Product Safety Mail/Hand delivery/Courier (for be considered to be a consumer product Commission. paper, disk, or CD–ROM submissions), safety standard issued by the CPSC ACTION: Direct final rule. under section 9 of the Consumer preferably in five copies, to: Office of the SUMMARY: Section 106 of the Consumer Secretary, Consumer Product Safety Product Safety Act (15 U.S.C. 2058), Product Safety Improvement Act Commission, Room 820, 4330 East-West effective 180 days after the date on (CPSIA) made ASTM F963–07e1, Highway, Bethesda, MD 20814; which ASTM notifies the Commission Standard Consumer Safety telephone (301) 504–7923. of the revision, unless, within 90 days Specification for Toy Safety, a Instructions: All submissions received after receiving that notice, the mandatory consumer product safety must include the agency name and Commission notifies ASTM that it has standard. That section also provides docket number for this notice. All determined that the proposed revision procedures for revisions to the standard. comments received may be posted does not improve the safety of toys. In accordance with these procedures, without change, including any personal Notification of Revisions. On the Commission (CPSC or Commission) identifiers, contact information, or other November 1, 2016, ASTM notified the recently allowed the update to ASTM personal information provided, to CPSC of ASTM’s approval and F963, ASTM F963–16, Standard http://www.regulations.gov. Do not publication of revisions to ASTM F963– Consumer Safety Specification for Toy submit confidential business 16 in a revised standard approved on Safety (ASTM F963–16), to become the information, trade secret information, or August 1, 2016, ASTM F963–16, mstockstill on DSK3G9T082PROD with RULES mandatory toy standard. This direct other sensitive or protected information Standard Consumer Safety final rule incorporates by reference electronically. Such information should Specification for Toy Safety. On January ASTM F963–16 and updates the be submitted in writing. 25, 2017, the Commission voted to existing notice of requirements (NOR) FOR FURTHER INFORMATION CONTACT: For 1 Except for section 4.2 and Annex 4 or any that provide the criteria and process for information related to the toy standard, provision that restates or incorporates an existing Commission acceptance of accreditation contact: Carolyn T. Manley, Lead mandatory standard or ban promulgated by the of third party conformity assessment Compliance Officer, Office of Commission or by statute. VerDate Sep<11>2014 19:35 Feb 01, 2017 Jkt 241001 PO 00000 Frm 00005 Fmt 4700 Sfmt 4700 E:\FR\FM\02FER1.SGM 02FER1


Document Created: 2017-02-02 00:55:28
Document Modified: 2017-02-02 00:55:28
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal rules.
DatesThe final rules are effective on February 2, 2017.
ContactMr. Neven F. Stipanovic, Acting Assistant General Counsel, or Mr. Eugene J. Lynch, Paralegal, Office of General Counsel, 999 E Street NW., Washington, DC 20463, (202) 694-1650 or (800) 424-9530.
FR Citation82 FR 8986 
CFR AssociatedAdministrative Practice and Procedures; Elections; Law Enforcement and Penalties
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