[Federal Register Volume 61, Number 205 (Tuesday, October 22, 1996)]
[Rules and Regulations]
[Pages 54733-54734]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-27032]


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DEPARTMENT OF TRANSPORTATION

Saint Lawrence Seaway Development Corporation

33 CFR Part 401

RIN 2135-AA09


Seaway Regulations and Rules: Inflation Adjustment of Civil 
Monetary Penalty

AGENCY: Saint Lawrence Seaway Development Corporation, DOT.

ACTION: Final rule.

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SUMMARY: This final rule implements the Federal Civil Penalties 
Inflation Adjustment Act of 1990 as amended by the Debt Collection 
Improvement Act of 1996. The rule adjusts the amount of the statutory 
civil penalty for violation of the Seaway Regulations and Rules under 
the authority of the Ports and Waterways Safety Act of 1972, as amended 
(PWSA).

EFFECTIVE DATE: This rule is effective on October 22, 1996.

FOR FURTHER INFORMATION CONTACT:
Marc C. Owen, Chief Counsel, Saint Lawrence Seaway Development 
Corporation, 400 Seventh Street, S.W., Washington, D.C. 20590, (202) 
366-6823.

SUPPLEMENTARY INFORMATION: The Federal Civil Penalties Inflation 
Adjustment Act of 1990 (1990 Act), Public Law 101-410, 104 Stat. 890, 
28 U.S.C. 2461 NOTE, as amended by the Debt Collection Improvement Act 
of 1996 (Act), Public Law 104-134, April 26, 1996, requires the 
inflation adjustment of civil monetary penalties (CMP) to ensure that 
they continue to maintain their deterrent value. The Act requires that 
not later than 180 days after its enactment, October 23, 1996, and at 
least once every four years thereafter, the head of each agency shall, 
by regulation published in the Federal Register, adjust each CMP within 
its jurisdiction by the inflation adjustment described in the 1990 Act. 
The cost-of-living adjustment is the percentage (if any) for each CMP 
by which the Consumer Price Index for all urban consumers (CPI), 
published annually by the Department of Labor, for the month of June of 
the calendar year preceding the adjustment, exceeds the CPI for the 
month of June of the calendar year in which the amount of the CMP was 
last set or adjusted pursuant to law. Nevertheless, the first 
adjustment to a CMP may not exceed 10 percent of that penalty amount. 
Any increased penalties shall apply only to violations which occur 
after the date on which the increase takes effect.
    33 U.S.C. 1232(a) imposes a maximum $25,000 civil penalty for a 
violation of a regulation issued under the authority of the PWSA, which 
includes the Seaway Regulations and Rules in 33 CFR Part 401. The 
penalty was set in 1978. The CPI for June, 1978, was 195.3. The CPI for 
June, 1996, is 469.5. The inflation factor, therefore, is 469.5/195.3 
or 2.40. The maximum penalty amount after the increase and statutory 
rounding would be $60,000 (2.4 x 25,000). The new maximum penalty 
amount after applying the 10% limit on an initial increase is $27,500. 
Accordingly, paragraph (a) of Sec. 401.102 is being amended to change 
the amount of the penalty from $25,000 to $27,500.

Regulatory Evaluation

    This final rule is exempt from Office of Management and Budget 
review under Executive Order 12866 because it is limited to the 
adoption of statutory language, without interpretation. As stated 
above, the provisions contained in this final rulemaking set forth the 
inflation adjustment in compliance with the Act for a specific, 
applicable CMP under the authority of the Corporation. The great 
majority of individuals, organizations, and entities addressed through 
the Seaway Regulations and Rules do not commit violations and, as a 
result, we believe any aggregate economic impact of this revision will 
be minimal, affecting only those who violate the regulations. As such, 
the final rule and its inflation adjustment should have no effect on 
Federal and State expenditures. This final rule has also been evaluated 
under the Department of Transportation's Regulatory Policies and 
Procedures and the proposed regulation is not considered significant 
under those procedures and its economic impact is expected to be so 
minimal that a full economic evaluation is not warranted.

Regulatory Flexibility Act Determination

    The Saint Lawrence Seaway Development Corporation certifies that 
this final rule will not have a significant economic impact on a 
substantial number of small entities. The St. Lawrence Seaway 
Regulations and Rules primarily relate to the activities of commercial 
users of the Seaway, the vast majority of whom are foreign vessel 
operators. Therefore, any resulting costs will be borne mostly by 
foreign vessels.

Environmental Impact

    This final rule does not require an environmental impact statement 
under the National Environmental Policy Act (49 U.S.C. 4321, et seq.) 
because it is not a major federal action significantly affecting the 
quality of human environment.

Federalism

    The Corporation has analyzed this final rule under the principles 
and criteria in Executive Order 12612 and has determined that this 
final rule does not have sufficient federalism implications to warrant 
the preparation of a Federalism Assessment.

Notice and Public Comment

    Notice and an opportunity for public comment under the 
Administrative Procedure Act (APA) (5 U.S.C. 553) are waived. The APA 
provides an exception to the notice and comment procedures when an 
agency finds there is good cause for dispensing with those procedures 
because they are impracticable, unnecessary, or contrary to the public 
interest. The Corporation has determined under 5 U.S.C. 553(b)(3) that 
good cause exists for dispensing with the notice of proposed rulemaking 
and public comment procedures for this rule. Specifically, this 
rulemaking comports with the statutory authority in the Act with no 
issues of policy discretion. Accordingly, the Corporation finds that 
the opportunity for prior comment is unnecessary and contrary to the 
public interest and is issuing this revised regulation as a final rule 
that will apply to all future cases under this authority.

List of Subjects in 33 CFR Part 401

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

    Accordingly, the Saint Lawrence Seaway Development Corporation 
amends Part 401--Seaway Regulations and Rules (33 CFR Part 401) as 
follows:

PART 401--[AMENDED]

    1. The authority citation for Subpart B or 33 CFR part 401 is added 
to read as follows and the authority citations at the end of 
Secs. 401.101 and 401.102 are removed:


[[Page 54734]]


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


Sec. 401.102  [Amended]

    2. Paragraph (a) of Sec. 401.102 is amended by removing the number 
``$25,000'' and adding, in its place, the number ``$27,500''.

    Issued at Washington, D.C. on October 17, 1996.

    Saint Lawrence Seaway Development Corporation.
Gail McDonald,
Administrator.
[FR Doc. 96-27032 Filed 10-21-96; 8:45 am]
BILLING CODE 4910-61-M