83 FR 3077 - Civil Monetary Penalty Inflation Adjustment

DEPARTMENT OF DEFENSE
Office of the Secretary

Federal Register Volume 83, Issue 15 (January 23, 2018)

Page Range		3077-3079
FR Document		2018-01168

The Department of Defense is issuing this final rule to adjust each of its statutory civil monetary penalties (CMP) to account for inflation. The Federal Civil Penalties Inflation Adjustment Act of 1990, as amended by the Debt Collection Improvement Act of 1996 and the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (the 2015 Act), requires the head of each agency to adjust for inflation its CMP levels in effect as of November 2, 2015, under a revised methodology that was effective for 2016 and for each year thereafter.

Federal Register, Volume 83 Issue 15 (Tuesday, January 23, 2018)

[Federal Register Volume 83, Number 15 (Tuesday, January 23, 2018)]
[Rules and Regulations]
[Pages 3077-3079]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-01168]


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DEPARTMENT OF DEFENSE

Office of the Secretary

32 CFR Part 269

[Docket ID: DOD-2016-OS-0045]
RIN 0790-AK09


Civil Monetary Penalty Inflation Adjustment

AGENCY: Under Secretary of Defense (Comptroller), Department of 
Defense.

ACTION: Final rule.

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

SUMMARY: The Department of Defense is issuing this final rule to adjust 
each of its statutory civil monetary penalties (CMP) to account for 
inflation. The Federal Civil Penalties Inflation Adjustment Act of 
1990, as amended by the Debt Collection Improvement Act of 1996 and the 
Federal Civil Penalties Inflation Adjustment Act Improvements Act of 
2015 (the 2015 Act), requires the head of each agency to adjust for 
inflation its CMP levels in effect as of November 2, 2015, under a 
revised methodology that was effective for 2016 and for each year 
thereafter.

DATES: This rule is effective January 23, 2018 and is applicable 
beginning on January 12, 2018.

FOR FURTHER INFORMATION CONTACT: Brian Banal, 703-571-1652.

SUPPLEMENTARY INFORMATION: 

Background Information

    The Federal Civil Penalties Inflation Adjustment Act of 1990, 
Public Law 101-410, 104 Stat. 890 (28 U.S.C. 2461, note), as amended by 
the Debt Collection Improvement Act of 1996, Public Law 104-134, April 
26, 1996, and further amended by the Federal Civil Penalties Inflation 
Adjustment Act Improvements Act of 2015 (the 2015 Act), Public Law 114-
74, November 2, 2015, required agencies to annually adjust the level of 
CMPs for inflation to improve their effectiveness and maintain their 
deterrent effect. The 2015 Act required that not later than July 1, 
2016, and not later than January 15 of every year thereafter, the head 
of each agency must adjust each CMP within its jurisdiction by the 
inflation adjustment described in the 2015 Act. The inflation 
adjustment is determined by increasing the maximum CMP or the range of 
minimum and maximum CMPs, as applicable, for each CMP by the cost-of-
living adjustment, rounded to the nearest multiple of $1. The cost-of-
living adjustment is the percentage (if any) for each CMP by which the 
Consumer Price Index (CPI) for the month of October preceding the date 
of the adjustment (January 15), exceeds the CPI for the month of 
October in the previous calendar year.
    The initial catch up adjustments for inflation to the Department of 
Defense's CMPs were published as an interim final rule in the Federal 
Register on May 26, 2016 (81 FR 33389-33391) and became effective on 
that date. The interim final rule was published as a final rule without 
change on September 12, 2016 (81 FR 62629-62631), effective that date. 
The revised methodology for agencies for 2018 and each year thereafter 
provides for the improvement of the effectiveness of CMPs and to 
maintain their deterrent effect. Effective 2018, agencies' annual 
adjustments for inflation to CMPs shall take effect not later than 
January 15. The Department of Defense is adjusting the level of all 
civil monetary penalties under its jurisdiction by the Office of 
Management and Budget (OMB) directed cost-of-living adjustment 
multiplier for 2018 of 1.02041 prescribed in OMB Memorandum M-18-03, 
``Implementation of Penalty Inflation Adjustments for 2018, pursuant to 
the Federal Civil Penalties Inflation Adjustment Act Improvements Act 
of 2015,'' dated December 15, 2017. The Department of Defense's 2018 
adjustments for inflation to CMPs apply only to those CMPs, including 
those whose associated violation predated such adjustment, which are 
assessed by the Department of Defense after the effective date of the 
new CMP level.

Statement of Authority and Costs and Benefits

    Pursuant to 5 U.S.C. 553(b)B, there is good cause to issue this 
rule without prior public notice or opportunity for public comment 
because it would be impracticable and unnecessary. The Federal Civil 
Penalties Inflation Adjustment Act Improvements Act of 2015 (Section 
701(b)) requires agencies, effective 2017, to make annual adjustments 
for inflation to CMPs notwithstanding section 553 of title 5, United 
States Code. Additionally, the methodology used, effective 2017, for 
adjusting CMPs for inflation is established in statute, with no 
discretion provided to agencies regarding the substance of the 
adjustments for inflation to CMPs. The Department of Defense is charged 
only with performing ministerial computations to determine the dollar 
amount of adjustments for inflation to CMPs.
    Further, there are no significant costs associated with the 
regulatory revisions that would impose any mandates on the Department 
of Defense, Federal, State or local governments, or the private sector. 
Accordingly, prior public notice and an opportunity for public comment 
are not required for this rule. The benefit of this rule is the 
Department of Defense anticipates that civil monetary penalty 
collections may increase in the future due to new penalty authorities 
and other changes in this rule. However, it is difficult to accurately 
predict the extent of any increase, if any, due to a variety of 
factors, such as budget and staff resources, the number and quality of 
civil penalty referrals or leads, and the length of time needed to 
investigate and resolve a case.

[[Page 3078]]

Regulatory Procedures

Executive Order 12866, ``Regulatory Planning and Review'' and Executive 
Order 13563, ``Improving Regulation and Regulatory Review''

    Executive Orders 13563 and 12866 direct agencies to assess all 
costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, distribute impacts, and equity). Executive 
Order 13563 emphasizes the importance of quantifying both costs and 
benefits, of reducing costs, of harmonizing rules, and of promoting 
flexibility. This rule has not been designated a ``significant 
regulatory action,'' because it does not: (1) Have an annual effect on 
the economy of $100 million or more or adversely affect in a material 
way the economy; a section of the economy; productivity; competition; 
jobs; the environment; public health or safety; or State, local, or 
tribal governments or communities; (2) create a serious inconsistency 
or otherwise interfere with an action taken or planned by another 
Agency; (3) materially alter the budgetary impact of entitlements, 
grants, user fees, or loan programs, or the rights and obligations of 
recipients thereof; or (4) raise novel legal or policy issues arising 
out of legal mandates, the President's priorities, or the principles 
set forth in these Executive Orders.

Executive Order 13771, ``Reducing Regulation and Controlling Regulatory 
Costs''

    Executive Order 13771 requires that for every significant 
regulation promulgated, an agency must identify two for elimination and 
offset its costs. This rule is exempt from these requirements because 
it has been deemed not significant by the Office of Management and 
Budget.

Unfunded Mandates Reform Act (2 U.S.C. Chapter 25)

    Section 202 of the Unfunded Mandates Reform Act of 1995 (UMRA) (2 
U.S.C. 1532) requires agencies to assess anticipated costs and benefits 
before issuing any rule the mandates of which require spending in any 
year of $100 million in 1995 dollars, updated annually for inflation. 
In 2016, that threshold is approximately $146 million. This rule will 
not mandate any requirements for State, local, or tribal governments, 
nor will it affect private sector costs.

Public Law 96-354, ``Regulatory Flexibility Act'' (5 U.S.C. Chapter 6)

    Because notice of proposed rulemaking and opportunity for comment 
are not required pursuant to 5 U.S.C. 553, or any other law, the 
analytical requirements of the Regulatory Flexibility Act (5 U.S.C. 
601, et seq.) are inapplicable. Therefore, a regulatory flexibility 
analysis is not required and has not been prepared.

Public Law 96-511, ``Paperwork Reduction Act'' (44 U.S.C. Chapter 35)

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

Executive Order 13132, ``Federalism''

    Executive Order 13132 establishes certain requirements that an 
agency must meet when it promulgates a rule that imposes substantial 
direct requirement costs on State and local governments, preempts State 
law, or otherwise has Federalism implications. This final rule will not 
have a substantial effect on State and local governments.

List of Subjects in 32 CFR Part 269

    Administrative practice and procedure, Penalties.

    Accordingly, 32 CFR part 269 is amended as follows.

PART 269--[AMENDED]

0
1. The authority citation for 32 CFR part 269 continues to read as 
follows:

    Authority:  28 U.S.C. 2461 note.


0
2. Revise Sec.  269.4(d) to read as follows:


Sec.  269.4   Cost of living adjustments of civil monetary penalties.

* * * * *
    (d) Inflation adjustment. Maximum civil monetary penalties within 
the jurisdiction of the Department are adjusted for inflation as 
follows:

----------------------------------------------------------------------------------------------------------------
                                                                                      Maximum      New adjusted
             United States Code               Civil monetary penalty description  penalty amount      maximum
                                                                                  as of 01/15/17  penalty amount
----------------------------------------------------------------------------------------------------------------
National Defense Authorization Act for FY    Unauthorized Activities Directed at        $126,626        $129,211
 2005, 10 U.S.C. 113, note.                   or Possession of Sunken Military
                                              Craft.
10 U.S.C. 1094(c)(1).......................  Unlawful Provision of Health Care..          11,119          11,346
10 U.S.C. 1102(k)..........................  Wrongful Disclosure--Medical
                                              Records:
                                               First Offense                               6,575           6,709
                                               Subsequent Offense                         43,832          44,726
10 U.S.C. 2674(c)(2).......................  Violation of the Pentagon                     1,811           1,848
                                              Reservation Operation and Parking
                                              of Motor Vehicles Rules and
                                              Regulations.
31 U.S.C. 3802(a)(1).......................  Violation Involving False Claim....          10,957          11,181
31 U.S.C. 3802(a)(2).......................  Violation Involving False Statement          10,957          11,181
----------------------------------------------------------------------------------------------------------------



[[Page 3079]]

    Dated: January 18, 2018.
Aaron Siegel,
Alternate OSD Federal Register Liaison Officer, Department of Defense.
[FR Doc. 2018-01168 Filed 1-22-18; 8:45 am]
 BILLING CODE 5001-06-P

3078 Federal Register / Vol. 83, No. 15 / Tuesday, January 23, 2018 / Rules and Regulations

Regulatory Procedures Executive Order 13771, ‘‘Reducing Paperwork Reduction Act of 1995,
Regulation and Controlling Regulatory Public Law 104–13, 44 U.S.C. Chapter
Executive Order 12866, ‘‘Regulatory Costs’’ 35, and its implementing regulations, 5
Planning and Review’’ and Executive
Executive Order 13771 requires that CFR part 1320, do not apply to this rule
Order 13563, ‘‘Improving Regulation
for every significant regulation because there are no new or revised
and Regulatory Review’’
promulgated, an agency must identify recordkeeping or reporting
Executive Orders 13563 and 12866 two for elimination and offset its costs. requirements.
direct agencies to assess all costs and This rule is exempt from these
requirements because it has been Executive Order 13132, ‘‘Federalism’’
benefits of available regulatory
alternatives and, if regulation is deemed not significant by the Office of Executive Order 13132 establishes
necessary, to select regulatory Management and Budget. certain requirements that an agency
approaches that maximize net benefits Unfunded Mandates Reform Act must meet when it promulgates a rule
(including potential economic, (2 U.S.C. Chapter 25) that imposes substantial direct
environmental, public health and safety Section 202 of the Unfunded requirement costs on State and local
effects, distribute impacts, and equity). Mandates Reform Act of 1995 (UMRA) governments, preempts State law, or
Executive Order 13563 emphasizes the (2 U.S.C. 1532) requires agencies to otherwise has Federalism implications.
importance of quantifying both costs assess anticipated costs and benefits This final rule will not have a
and benefits, of reducing costs, of before issuing any rule the mandates of substantial effect on State and local
harmonizing rules, and of promoting which require spending in any year of governments.
flexibility. This rule has not been $100 million in 1995 dollars, updated
List of Subjects in 32 CFR Part 269
designated a ‘‘significant regulatory annually for inflation. In 2016, that
action,’’ because it does not: (1) Have an threshold is approximately $146 Administrative practice and
annual effect on the economy of $100 million. This rule will not mandate any procedure, Penalties.
million or more or adversely affect in a requirements for State, local, or tribal
material way the economy; a section of governments, nor will it affect private Accordingly, 32 CFR part 269 is
the economy; productivity; competition; sector costs. amended as follows.
jobs; the environment; public health or Public Law 96–354, ‘‘Regulatory PART 269—[AMENDED]
safety; or State, local, or tribal Flexibility Act’’ (5 U.S.C. Chapter 6)
governments or communities; (2) create Because notice of proposed ■ 1. The authority citation for 32 CFR
a serious inconsistency or otherwise rulemaking and opportunity for part 269 continues to read as follows:
interfere with an action taken or comment are not required pursuant to 5
planned by another Agency; (3) Authority: 28 U.S.C. 2461 note.
U.S.C. 553, or any other law, the
materially alter the budgetary impact of analytical requirements of the ■ 2. Revise § 269.4(d) to read as follows:
entitlements, grants, user fees, or loan Regulatory Flexibility Act (5 U.S.C. 601,
programs, or the rights and obligations et seq.) are inapplicable. Therefore, a § 269.4 Cost of living adjustments of civil
of recipients thereof; or (4) raise novel regulatory flexibility analysis is not monetary penalties.
legal or policy issues arising out of legal required and has not been prepared. * * * * *
mandates, the President’s priorities, or
Public Law 96–511, ‘‘Paperwork (d) Inflation adjustment. Maximum
the principles set forth in these Reduction Act’’ (44 U.S.C. Chapter 35) civil monetary penalties within the
Executive Orders.
The Department of Defense jurisdiction of the Department are
determined that provisions of the adjusted for inflation as follows:

Maximum New adjusted
penalty maximum
United States Code Civil monetary penalty description amount penalty
as of 01/15/17 amount

National Defense Authorization Act Unauthorized Activities Directed at or Possession of Sunken Military $126,626 $129,211
for FY 2005, 10 U.S.C. 113, note. Craft.
10 U.S.C. 1094(c)(1) ....................... Unlawful Provision of Health Care ............................................................ 11,119 11,346
10 U.S.C. 1102(k) ............................ Wrongful Disclosure—Medical Records:
First Offense .......................................................................................... 6,575 6,709
Subsequent Offense .............................................................................. 43,832 44,726
10 U.S.C. 2674(c)(2) ....................... Violation of the Pentagon Reservation Operation and Parking of Motor 1,811 1,848
Vehicles Rules and Regulations.
31 U.S.C. 3802(a)(1) ....................... Violation Involving False Claim ................................................................. 10,957 11,181
31 U.S.C. 3802(a)(2) ....................... Violation Involving False Statement .......................................................... 10,957 11,181
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Federal Register / Vol. 83, No. 15 / Tuesday, January 23, 2018 / Rules and Regulations 3079

Dated: January 18, 2018. of Subsistence Management website • A Chair appointed by the Secretary
Aaron Siegel, (https://www.doi.gov/subsistence). The of the Interior with concurrence of the
Alternate OSD Federal Register Liaison comments received in response to the Secretary of Agriculture;
Officer, Department of Defense. proposed rule are available on • The Alaska Regional Director, U.S.
[FR Doc. 2018–01168 Filed 1–22–18; 8:45 am] www.regulations.gov in Docket No. Fish and Wildlife Service;
BILLING CODE 5001–06–P FWS–R7–SM–2015–0003. • The Alaska Regional Director,
FOR FURTHER INFORMATION CONTACT:
National Park Service;
Chair, Federal Subsistence Board, c/o • The Alaska State Director, Bureau
DEPARTMENT OF AGRICULTURE U.S. Fish and Wildlife Service, of Land Management;
Attention: Eugene R. Peltola, Jr., Office • The Alaska Regional Director,
Forest Service of Subsistence Management; (907) 786– Bureau of Indian Affairs;
3888 or subsistence@fws.gov. For • The Alaska Regional Forester,
36 CFR Part 242 questions specific to National Forest USDA Forest Service; and
System lands, contact Thomas Whitford, • Two public members appointed by
DEPARTMENT OF THE INTERIOR Regional Subsistence Program Leader, the Secretary of the Interior with
USDA, Forest Service, Alaska Region; concurrence of the Secretary of
Fish and Wildlife Service (907) 743–9461 or twhitford@fs.fed.us. Agriculture.
Through the Board, these agencies
50 CFR Part 100 SUPPLEMENTARY INFORMATION: participate in the development of
Background regulations for subparts C and D, which,
[Docket No. FWS–R7–SM–2015–0003;
FXFR13350700640–167–FF07J00000; among other things, set forth program
FBMS#4500096963]
Under Title VIII of the Alaska eligibility and specific harvest seasons
National Interest Lands Conservation and limits.
RIN 1018–BA76 Act (ANILCA) (16 U.S.C. 3111–3126), In administering the program, the
the Secretary of the Interior and the Secretaries divided Alaska into 10
Subsistence Management Regulations Secretary of Agriculture (Secretaries) subsistence resource regions, each of
for Public Lands in Alaska—2017–18 jointly implement the Federal which is represented by a Federal
and 2018–19 Subsistence Taking of Subsistence Management Program. This Subsistence Regional Advisory Council
Fish Regulations program provides a preference for take (Council). The Councils provide a forum
AGENCY: Forest Service, Agriculture; of fish and wildlife resources for for rural residents with personal
Fish and Wildlife Service, Interior. subsistence uses on Federal public knowledge of local conditions and
ACTION: Final rule. lands and waters in Alaska. The resource requirements to have a
Secretaries published temporary meaningful role in the subsistence
SUMMARY: This final rule establishes regulations to carry out this program in management of fish and wildlife on
regulations for seasons, harvest limits, the Federal Register on June 29, 1990 Federal public lands in Alaska. The
methods, and means related to taking of (55 FR 27114), and published final Council members represent varied
fish for subsistence uses in Alaska regulations in the Federal Register on geographical, cultural, and user interests
during the 2017–2018 and 2018–2019 May 29, 1992 (57 FR 22940). The within each region.
regulatory years. The Federal Program managers have subsequently The Board addresses customary and
Subsistence Board (Board) completes amended these regulations a number of traditional use determinations during
the biennial process of revising times. Because this program is a joint the applicable biennial cycle. Section
subsistence hunting and trapping effort between Interior and Agriculture, ll.24 (customary and traditional use
regulations in even-numbered years and these regulations are located in two determinations) was originally
subsistence fishing and shellfish titles of the Code of Federal Regulations published in the Federal Register on
regulations in odd-numbered years; (CFR): Title 36, ‘‘Parks, Forests, and May 29, 1992 (57 FR 22940). The
public proposal and review processes Public Property,’’ and Title 50, regulations at 36 CFR 242.4 and 50 CFR
take place during the preceding year. ‘‘Wildlife and Fisheries,’’ at 36 CFR 100.4 define ‘‘customary and traditional
The Board also addresses customary and 242.1–242.28 and 50 CFR 100.1–100.28, use’’ as ‘‘a long-established, consistent
traditional use determinations during respectively. The regulations contain pattern of use, incorporating beliefs and
the applicable biennial cycle. This rule subparts as follows: Subpart A, General customs which have been transmitted
also revises fish customary and Provisions; Subpart B, Program from generation to generation. . . .’’
traditional use determinations. Structure; Subpart C, Board Since 1992, the Board has made a
DATES: This rule is effective January 23, Determinations; and Subpart D, number of customary and traditional
2018. Subsistence Taking of Fish and Wildlife. use determinations at the request of
ADDRESSES: The Board meeting Consistent with subpart B of these affected subsistence users. Those
transcripts are available for review at regulations, the Secretaries established a modifications, along with some
the Office of Subsistence Management, Federal Subsistence Board to administer administrative corrections, were
1011 East Tudor Road, Mail Stop 121, the Federal Subsistence Management published in the Federal Register as
Anchorage, AK 99503, or on the Office Program. The Board comprises: follows:

MODIFICATIONS TO § ll.24
sradovich on DSK3GMQ082PROD with RULES

Rule made changes to the
Federal Register citation Date of publication following provisions
of ll.24

59 FR 27462 .................................................................... May 27, 1994 ................................................................... Wildlife and Fish/Shellfish.
59 FR 51855 .................................................................... October 13, 1994 ............................................................. Wildlife and Fish/Shellfish.
60 FR 10317 .................................................................... February 24, 1995 ........................................................... Wildlife and Fish/Shellfish.

VerDate Sep<11>2014 15:56 Jan 22, 2018 Jkt 244001 PO 00000 Frm 00021 Fmt 4700 Sfmt 4700 E:\FR\FM\23JAR1.SGM 23JAR1

Document Created: 2018-01-23 01:08:26
Document Modified: 2018-01-23 01:08:26

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 January 23, 2018 and is applicable beginning on January 12, 2018.
Contact		Brian Banal, 703-571-1652.
FR Citation		83 FR 3077
RIN Number		0790-AK09
CFR Associated		Administrative Practice and Procedure and Penalties

83 FR 3077 - Civil Monetary Penalty Inflation Adjustment

DEPARTMENT OF DEFENSEOffice of the Secretary

Federal Register Volume 83, Issue 15 (January 23, 2018)

DEPARTMENT OF DEFENSE
Office of the Secretary