Civil Monetary Penalties Inflation Adjustments for 2026
The United States Department of Agriculture (USDA) is issuing this notice to announce that civil monetary penalty (CMP) amounts assessed or enforced will not increase for calend...
The United States Department of Agriculture (USDA) is issuing this notice to announce that civil monetary penalty (CMP) amounts assessed or enforced will not increase for calendar year 2026. USDA is generally required by statute to amend its regulations annually to adjust for inflation the civil monetary penalties assessed or enforced by its components. However, in accordance with guidance from the Office of Management and Budget (“OMB”), USDA will continue to use the 2025 civil monetary penalty levels because there will be no cost-of-living adjustment for 2026.
FOR FURTHER INFORMATION CONTACT:
Mr. Michael Poe, Office of the General Counsel, USDA, 1400 Independence Avenue SW, Washington, DC 20250-1400, (202) 769-8247.
SUPPLEMENTARY INFORMATION:
I. Statutory Process for Implementing Annual Inflation Adjustments
In accordance with the Federal Civil Penalties Inflation Adjustment Act of 1990 (28 U.S.C. 2461 note), USDA is required to adjust civil monetary penalties periodically for inflation. The Bipartisan Budget Act of 2015 (Pub. L. 114-74) revised the methodology, requiring agencies to adjust penalties annually based on the Consumer Price Index for All Urban Consumers (CPI-U) for the month of October of the preceding year. USDA has issued annual inflation adjustments pursuant to this authority, most recently in its final rule on May 29, 2025 (90 FR 22607).
II. No Adjustments for 2026
The annual inflation adjustment is based on October CPI-U data. Due to the October-November 2025 lapse in appropriations, the Bureau of Labor Statistics did not produce October 2025 CPI-U data. The statute provides no alternative method for calculating the adjustment. On April 17, 2026, the Office of Management and Budget issued Memorandum M-26-11, instructing all Federal agencies to retain 2025 civil monetary penalty amounts for calendar year 2026. Accordingly, USDA will not make inflation adjustments for 2026.
Consistent with the guidance provided in M-26-11, USDA is not making any adjustments to civil money penalties under the Inflation Adjustment Act in 2026.
In 2027, USDA will undertake a thorough review of the civil penalties assessed or enforced by its components pursuant to the Inflation Adjustment Act and in accordance with guidance issued by the Office of Management and Budget.
Eric D. Still,
Associate Chief Financial Officer, Financial Policy and Planning, Office of the Chief Financial Officer.
28 U.S.C. 2461 note