[Federal Register Volume 67, Number 80 (Thursday, April 25, 2002)]
[Proposed Rules]
[Pages 20461-20466]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-10106]


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FEDERAL ELECTION COMMISSION

11 CFR Part 111

[Notice 2002-5]


Administrative Fines

AGENCY: Federal Election Commission.

ACTION: Notice of proposed rulemaking.

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SUMMARY: The Commission is proposing amendments to its administrative 
fines regulations to reduce the civil money penalties for those who 
file reports late or who do not file them at all. The amendments also 
create additional levels-of-activity brackets and broaden others within 
the current schedules of penalties, clarify the Commission's rules on 
notifying respondents of reason to believe findings and final 
determinations, and make certain technical amendments to its rules. The 
Commission is also seeking public comments on: whether it should revise 
its current method of calculating civil money penalties to exclude some 
or all non-federal receipts and disbursements from the level of 
activity that forms the basis for the civil money penalties; and 
whether it should revise the rules to clarify what will be considered 
unacceptable defenses to reason to believe determinations. Further 
information is provided in the supplementary information that follows.

DATES: Comments must be received on or before May 28, 2002.

ADDRESSES: All comments should be addressed to Ms. Rosemary C. Smith, 
Assistant General Counsel, and must be submitted in either written or 
electronic form. Written comments should be sent to the Federal 
Election Commission, 999 E Street, N.W., Washington, DC 20463. Faxed 
comments should be sent to (202) 219-3923, with printed copy follow-up 
to insure legibility. Electronic mail comments should be sent to 
[email protected]. Persons sending comments by electronic mail 
must include their full name, electronic mail address and postal 
service address within the text of their comments. Comments that do not 
contain the full name, electronic mail address and postal service 
address of the commenter will not be considered.

FOR FURTHER INFORMATION CONTACT:  Ms. Rosemary C. Smith, Assistant 
General Counsel, or Ms. Dawn M. Odrowski, Staff Attorney, 999 E Street, 
N.W., Washington, D.C. 20463, (202) 694-1650 or (800) 424-9530.

SUPPLEMENTARY INFORMATION: The Commission is seeking public comments on 
proposed revisions to 11 CFR part 111, subpart B, which would: (1) 
Reduce the levels of civil money penalties in the fine schedules set 
forth in 11 CFR 111.43(a) and (b); (2) create additional levels-of-
activity brackets and broaden some existing brackets within those 
schedules; (3) clarify that all notifications and other communications 
to respondents in the administrative fines program will be made by 
mailing them to a political committee's address as listed in the 
committee's most recently filed Statement of Organization or amendment 
thereto; and (4) change the citations to the U.S. Department of 
Treasury and Department of Justice regulations governing debt 
collection procedures to conform with amendments made to those 
regulations

[[Page 20462]]

after the final administrative fines rules were promulgated. The 
Commission also seeks public comments on (1) whether it should revise 
its current method of calculating civil money penalties so some types 
of receipts and disbursements are not included in the level of activity 
to which the penalty schedules apply, and (2) whether it should revise 
11 CFR 111.35 to clarify what will be considered unacceptable defenses 
to reason to believe determinations.

I. Background

    The Commission issued final rules on May 19, 2000 (which included a 
new subpart B of 11 CFR Part 111, and technical amendments to 11 CFR 
104.5, 111.8, 111.20, and 111.24) to establish the administrative fines 
program that Congress authorized in amendments to section 437g(a)(4) of 
the Federal Election Campaign Act of 1971, as amended. See 65 Federal 
Register 31787 (May 19, 2000). These amendments were enacted as part of 
the Treasury and General Government Appropriations Act, 2000, Pub. L. 
No. 106-58, 106th Cong., Sec. 640, 113 Stat. 430, 476-77 (1999). 
Subsequently, section 642 of the Treasury and General Government 
Appropriations Act, 2002, extended the sunset date of the 
administrative fines program to include all reports that cover activity 
between January 1, 2000 and December 31, 2003. Consequently, the 
Commission revised its regulations to extend the administrative fines 
sunset date in accordance with that statutory amendment. See 66 FR 
59680 (Nov. 30, 2001) and 11 CFR 111.30.
    Under 2 U.S.C. 434, treasurers of political committees are required 
to file reports with the Commission by specified deadlines. The purpose 
of the administrative fines program is to enable the Commission to 
adjudicate reporting violations of 2 U.S.C. 434(a) without using the 
traditional enforcement and conciliation procedures set out at 2 U.S.C. 
437g that are used for more serious violations.

II. Proposed Changes to Civil Money Penalty Schedules in 11 CFR 
111.43

    The Commission proposes to lower the civil money penalties in the 
schedules set forth in 11 CFR 111.43(a), applicable to non-election 
sensitive reports and 11 CFR 111.43(b), applicable to election-
sensitive reports.
    The current civil money penalty schedules for late filers have two 
components: a base amount that increases with the level of activity 
reflected in a report, and an additional per day charge. Similarly, the 
current schedules for nonfilers consist of a base amount that increases 
with the level of activity. Both late filers and nonfilers are subject 
to a recidivist escalator that increases the penalty by 25% for each 
previous violation. Election sensitive reports are considered not filed 
if they are not filed prior to four days before an election. Non-
election sensitive reports are deemed not filed if they are filed more 
than 30 days late or not filed at all.
    Based on its experience with the administrative fine program to 
date, the Commission is concerned that fines for committees with lower 
levels of activity, generally below $50,000 in a reporting period, may 
be too high. Committees with activity below $50,000 are often those of 
candidates who have lost an election and fail to continue filing the 
required disclosure reports after the loss but before they are eligible 
to terminate. Fines for these committees can be relatively high due to 
their failure to file because the civil money penalties are calculated 
using the estimated level of activity from previously filed reports. 
Therefore, the fines may create a hardship for some committees and 
their treasurers, since many losing candidates lack fundraising ability 
and their treasurers, who are sometimes volunteers, are legally liable 
for the fines. Given the current level of civil money penalties, it may 
be possible to lower the fines at the lower levels of activity without 
significantly reducing the incentive to file reports. More generally, 
the Commission is concerned that the overall civil money penalty 
schedules may result in fines that are substantial compared with civil 
penalties for other types of FECA violations approved in enforcement 
conciliation agreements. This concern is exacerbated given that the 25% 
recidivist factor is beginning to take effect for repeat violations now 
that the administrative fine program has been operating since July 
2000.
    The proposed revisions to 11 CFR 111.43(a) and (b) would change the 
civil money penalty schedules in the following ways: (1) By reducing 
either the base amount or the per day charge in each activity bracket 
for late filers and nonfilers on both the non-election and election 
sensitive schedules; (2) by splitting the existing brackets covering 
levels of activity between $1 to $24,999.99 into three brackets, so 
that civil money penalties at the lowest levels of activity would be 
further reduced; and (3) by creating broader brackets for levels of 
activity of $200,000 and above and reducing the number of brackets for 
levels of activity over $600,000 from five to three. The Commission 
does not propose to alter the 25% recidivist factor for each prior 
violation under the penalty schedules in 11 CFR 111.43(a) and (b).
    On the proposed fine schedule for non-election sensitive reports 
that are filed late, the per day charge would be reduced for all report 
activity up to $600,000. For report activity from $600,000 through 
$749,999, the per day charge would remain at the current $200. For 
activity between $750,000 through $999,999, the per day charge would 
increase from $200 to $225, and for activity of $1,000,000 or greater 
the per day charge would increase from $200 to $250. The base penalties 
for all levels of activity on non-election sensitive reports that are 
filed late would be reduced except for levels of activity between 
$10,000 through $49,999 which would remain the same. The base penalties 
for levels of activity below $10,000 would be reduced between $50 and 
$75. The base penalties for levels of activity between $50,000 and 
$499,999 would be reduced between $50 and $1,250. The base penalties 
for levels of activity of $500,000 and above would be reduced between 
$1,000 and $3,000. The proposed revisions would reduce the civil money 
penalties for non-election sensitive reports between 11.4% and 79.4%.
    Similarly, on the proposed fine schedule for election-sensitive 
reports that are filed late, the per day late charge would be reduced 
for all activity brackets up to $400,000. For financial activity from 
$400,000 through $499,999, the per day charge would remain at the 
current $200. From $500,000 through $599,999, the per day charge would 
increase from $200 to $225; from $600,000 through $749,999, it would 
increase from $200 to $250; from $750,000 through $999,999 it would 
increase from $200 to $275; and for activity of $1,000,000 or greater 
the per day charge would increase from $200 to $300. The base penalties 
for all levels of activity on election-sensitive reports that are filed 
late would be reduced except for levels of activity between $10,000 
through $99,999 which would remain the same. The base penalties for 
levels of activity below $10,000 would be reduced between $50 and $100. 
The base penalties for levels of activity between $100,000-$499,999 
would be reduced between $100 and $2,000. The base penalties for levels 
of activity of $500,000 and above would be reduced between $1,750 and 
$5,000. These proposed revisions would reduce the civil money penalties 
for election-sensitive reports between 4.3% and 65.7%.

[[Page 20463]]

    In the case of nonfilers, the base penalties would be reduced for 
all non-election sensitive and election-sensitive reports. The 
reductions in base penalties for non-election sensitive reports would 
range from $400 for reports with activity of $10,000 through $24,999 to 
$4,000 for reports with activity of $250,000 through $299,999 and 
$350,000 through $399,999. These proposed revisions would reduce the 
civil money penalties for non-filed non-election sensitive reports 
between 16.7% and 72.2%. The reduction in base penalties for non-filed 
election-sensitive reports would range from $100 for reports with 
activity between $10,000 through $24,999 to $4,000 for reports with 
activity between $950,000 through $999,999. These proposed revisions 
would reduce the civil money penalties for non-filed election-sensitive 
reports between 8.3% and 50%.
    The proposed schedules also include adjustments to some of the 
levels of activity. The fines for committees with under $25,000 in 
activity in a reporting period would be reduced by the introduction of 
additional brackets at the lowest levels of activity. The existing $1 
to $24,999.99 bracket would be split into three brackets: $1 to 
$4,999.99, $5,000 to $9,999.99, and $10,000 to $24,999.99. As a result 
of creating these additional brackets, penalties for late-filed non-
election sensitive reports would be reduced between 12% and 79.4% and 
penalties for late-filed election sensitive reports would be reduced 
between 8.6% and 65.7%. Similarly, creating these additional brackets 
would reduce penalties for non-filed, non-election sensitive reports 
between 66.7% and 72.2%, and between 10% and 50% for non-filed, 
election sensitive reports.
    Finally, the proposed schedules would also alter some of the 
current level-of-activity brackets, although the total number of 
brackets would remain at fifteen. The schedules would create three 
broader brackets for levels of activity above $200,000, and the number 
of brackets for levels of activity of $600,000 and above would be 
reduced from five brackets to three. The bracketing for levels of 
activity between $25,000 and $199,999.99 would not change. The 
consolidation of brackets for reports with activity of $600,000 and 
above would reduce penalties for all non-election sensitive reports 
between 11.4% and 57.2%. For all election-sensitive reports, the 
consolidation of brackets for reports with activity above $600,000 
would reduce penalties between 7.1% and 64%.
    The Commission requests comments as to whether these substantial 
reductions in penalties for political committees with levels of 
activity below $50,000 would still provide sufficient incentive for 
committees to file their reports in a timely manner. Given that the 
proposed schedules would also reduce the level of civil money penalties 
for levels of activity above $50,000 as well, the Commission seeks 
comments as to whether these reduced penalties would substantially 
diminish or eliminate political committees' incentives to file in a 
timely manner, and thus become merely the cost of doing business. The 
Commission also seeks comments as to whether these reductions would 
affect committees' decisions to challenge reason to believe findings 
and proposed civil money penalties.
    As an alternative to reducing the civil money penalty schedules at 
all levels of activity, the Commission seeks comment as to whether it 
should reduce the fines only for levels of activity below $50,000. 
Another alternative may be to reduce the civil money penalty schedule 
for only non-election sensitive reports and to retain the current civil 
money penalty schedule for election-sensitive reports. Please note that 
these alternatives are not reflected in the draft rules that follow.

III. Possible Revisions to Civil Money Penalty Calculations

    The Commission is considering revising the administrative fines 
regulations to change the way it defines the level of activity used to 
calculate civil money penalties. Please note that no draft language on 
this issue has been included in the proposed rules that follow.
    Currently, the Commission calculates civil money penalties by 
applying the fine schedules at 11 CFR 111.43 to a political committee's 
``level of activity'' defined at 11 CFR 111.43(d) as the total receipts 
and disbursements for the reporting period covered by a late or non-
filed disclosure report. The ``level of activity'' is the Commission's 
interpretation of the statutory requirement in 2 U.S.C. 437g(a)(4)(C) 
that civil money penalties take into account ``the amount of the 
violation involved'' since under 2 U.S.C. 434 political committees are 
required to disclose in their reports all receipts and disbursements. 
See Explanation and Justification for Final Rules on Administrative 
Fines, 65 FR 31792 (May 19, 2000). In some cases, using total receipts 
and disbursements as the basis for the penalty calculation results in 
higher fines for political committees who finance non-federal activity 
through their federal accounts. For example, unauthorized committees 
that finance activities in connection with both federal and non-federal 
elections must allocate disbursements for those activities between 
their federal and non-federal accounts and must pay for those expenses 
through their federal accounts or separate federal allocation accounts. 
Non-federal funds must be transferred into the federal accounts to pay 
for the non-federal activity, thereby resulting in higher total 
receipts and disbursements for those committees than for political 
committees that do not have allocable activity.
    The Commission requests comments as to whether the level of 
activity on which civil money penalties are based should exclude all 
receipts or disbursements of a political committee to the extent they 
finance activity or programs that are not for the purpose of 
influencing a Federal election. For example: Should the civil money 
penalty calculation exclude the disbursements of a principal campaign 
committee (or other authorized committee) that are made to influence 
the election of a candidate for State or local office? Should the civil 
money penalty calculation exclude the disbursements of a principal 
campaign committee (or other authorized committee) that are made to the 
non-federal account of another political committee? Should the civil 
money penalty calculation exclude the disbursements of a principal 
campaign committee (or other authorized committee) that are made to 
defray the expenses of supporting the Federal candidate's duties as a 
holder of Federal office; that is, as a Member of Congress?
    Similarly, should the civil money penalty calculation exclude the 
disbursements of a party committee, separate segregated fund or non-
connected committee that are made to pay the non-federal share of the 
committee's allocable administrative expenses, generic voter drive 
costs, fundraising expenses and, in the case of party committees, 
exempt activities expenditures under 11 CFR 106.5 and 106.6? Should the 
calculation similarly exclude the receipts of an unauthorized committee 
that are set aside for payment of its allocable non-federal 
expenditures? Should the calculation exclude the committee's reported 
disbursements to candidates for non-federal offices if made to 
influence the payee's election to a non-federal office?

[[Page 20464]]

IV. Notification to Respondents of Commission Reason To Believe 
Findings and Final Determinations and Communications From the 
Reviewing Officer--11 CFR 111.32, 111.34, 111.36 and 111.37

    The Commission proposes to amend 11 CFR 111.32, 111.34, 111.36 and 
111.37 to make clear in the administrative fines regulations its 
current practice with respect to notifying political committees and 
their treasurers of its actions under Subpart B of Part 111. 
Notification of Commission reason to believe findings and proposed 
civil penalties under 11 CFR 111.32 and Commission final determinations 
under 11 CFR 111.34 would continue to be mailed to political committees 
and their treasurers at the political committee's address listed in its 
most recent Statement of Organization, or amendment thereto, on file 
with the Commission at the time of the notification. Notification of 
Commission final determinations and other actions under 11 CFR 111.37 
and any communication under 11 CFR 111.36 between the administrative 
fines reviewing officer and respondent political committees and their 
treasurers will be sent to the political committee's address listed in 
its most recent Statement of Organization, or amendment thereto, on 
file with the Commission at the time of the notification, unless a 
statement designating counsel has been filed in accordance with 11 CFR 
111.23. Section 102.2 of the regulations requires that treasurers of 
political committees file a Statement of Organization with the 
Commission disclosing, among other things, the address of the 
committee. Any changes or corrections to the information appearing in 
the Statement of Organization are required to be reported no later than 
ten days following the change or correction. If a treasurer does not 
promptly notify the Commission of a committee address change, the 
treasurer and the committee may not receive timely notice of Commission 
actions. Clarifying the Commission's notification policy in the 
regulations is intended to ensure that all political committees have 
notice of how the Commission intends to fulfill its obligation to 
provide political committees and their treasurers with notice of 
actions taken under Subpart B of Part 111. These proposed amendments 
are also intended to encourage treasurers to file any address changes 
for their committees with the Commission in a timely manner.
    The Commission notes that similar notification issues can arise 
under Subpart A of Part 111. This rulemaking is not intended to address 
those issues.

V. Technical Changes to 11 CFR 111.45

    The Commission is proposing a technical amendment to 11 CFR 111.45 
to correct citations to regulations establishing the Federal Claims 
Collection Standards. After the Commission's administrative fines rules 
were promulgated, the Department of Justice and the Department of 
Treasury, in place of the General Accounting Office, revised and 
recodified the Federal Claims Collection Standards at 31 CFR parts 900 
through 904. The proposed amendment to 11 CFR 111.45 would replace the 
former regulatory citations with the new citations.

VI. Possible Revisions To Clarify the Extraordinary Circumstances 
Defense to Reason To Believe Findings

    Currently, 11 CFR 111.35 sets out the requirements for written 
responses challenging Commission reason to believe findings in the 
administrative fines program. Written responses must include the 
reasons why respondents are challenging the Commission's finding and/or 
the proposed civil money penalty, which may consist of factual errors, 
improper calculation of the penalty, and the existence of extraordinary 
circumstances beyond the respondents' control that were for a duration 
of at least 48 hours and prevented them from timely filing the report. 
Section 111.35(b)(4) currently provides four broad examples of 
circumstances that will not be considered extraordinary circumstances. 
During the operation of the administrative fines program, however, 
respondents have sought to raise a number of defenses that the 
Commission has determined do not constitute extraordinary 
circumstances. Two of the most common defenses raised in challenges 
are: (1) The unavailability of the treasurer and committee staff, 
sometimes due to the illness or death of the treasurer, committee staff 
or their relatives; and (2) the inexperience of the treasurer or 
committee staff resulting from vacancies or turnover in these 
positions.
    The Commission seeks comments on whether Section 111.35 should be 
revised to more specifically state the kinds of circumstances that will 
not be considered acceptable defenses. Please note that draft language 
on this issue has not been included in the proposed rules that follow.

Certification of No Effect Pursuant to 5 U.S.C. 605(b) (Regulatory 
Flexibility Act)

    The attached proposed rules would not, if promulgated, have a 
significant economic impact on a substantial number of small entities. 
The basis for this certification is that the attached proposed rules, 
if promulgated, would impose civil money penalties that are lower than 
those currently imposed and would be scaled to better take into account 
the amount of financial activity on reports filed by political 
committees. Thus, committees with lower levels of financial activity 
would be subject to lower fines than political committees with higher 
amounts. Therefore, the attached proposed rules, if promulgated, will 
not have a significant economic impact on a substantial number of small 
entities.

List of Subjects in 11 CFR Part 111

    Administrative practice and procedures, Elections, Law enforcement.

    For the reasons set forth in the preamble, the Federal Election 
Commission proposes to amend subchapter A of chapter I of title 11 of 
the Code of Federal Regulations as follows:

PART 111--COMPLIANCE PROCEDURES (2 U.S.C. 437g, 437d(a))

    1. The authority citation for part 111 would continue to read as 
follows:

    Authority: 2 U.S.C. 437g, 437d(a), 438(a)(8).

    2. Section 111.32 would be amended by revising the introductory 
text to read as follows:


Sec. 111.32  How will the Commission notify respondents of a reason to 
believe finding and a proposed civil penalty?

    If the Commission determines, by an affirmative vote of at least 
four (4) of its members, that it has reason to believe that a 
respondent has violated 2 U.S.C. 434(a), the Chairman or Vice-Chairman 
shall notify such respondent of the Commission's finding. The 
Commission will notify the respondent political committee and its 
treasurer of the reason to believe finding by mailing the notification 
to the political committee and its treasurer at the political 
committee's address as listed in its most recent Statement of 
Organization, or amendment thereto, filed with the Commission in 
accordance with 11 CFR 102.2. The written notification shall set forth 
the following:
* * * * *
    3. Section 111.34 would be amended by revising paragraph (b) to 
read as follows:

[[Page 20465]]

Sec. 111.34  If the respondent decides to pay the civil money penalty 
and not to challenge the reason to believe finding, what should the 
respondent do?

* * * * *
    (b) Upon receipt of the respondent's payment, the Commission shall 
send the respondent a final determination that the respondent has 
violated the statute or regulations and the amount of the civil money 
penalty and an acknowledgment of the respondent's payment. The 
Commission will notify the respondent political committee and its 
treasurer of the final determination by mailing the notification to the 
political committee and its treasurer at the political committee's 
address as listed in the most recent Statement of Organization, or 
amendment thereto, filed with the Commission in accordance with 11 CFR 
102.2.
    4. Section 111.36 would be amended by adding a new paragraph (g) to 
read as follows:


Sec. 111.36  Who will review the respondent's written response?

* * * * *
    (g) Unless a statement designating counsel has been filed in 
accordance with 11 CFR 111.23, the reviewing officer will send all 
communications to the respondent political committee and its treasurer 
to the political committee's address as listed in the most recent 
Statement of Organization, or amendment thereto, filed with the 
Commission in accordance with 11 CFR 102.2.
    5. Section 111.37 would be amended by adding a new paragraph (e) to 
read as follows:


Sec. 111.37  What will the Commission do once it receives the 
respondent's written response and the reviewing officer's 
recommendation?

* * * * *
    (e) Unless a statement designating counsel has been filed in 
accordance with 11 CFR 111.23, the Commission will notify the 
respondent political committee and its treasurer of the final 
determination or other action by mailing the notification to the 
political committee and its treasurer at the political committee's 
address as listed in the most recent Statement of Organization, or 
amendment thereto, filed with the Commission in accordance with 11 CFR 
102.2.
    6. Section 111.43 would be amended by revising paragraphs (a) and 
(b) 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, shall be calculated in accordance with the 
following schedule of penalties:

------------------------------------------------------------------------
                               And the report was
 If the level of activity in     filed late, the      Or the report was
       the report was:         civil money penalty  not filed, the civil
                                       is:            money penalty is:
------------------------------------------------------------------------
$1-4,999.99 \a\.............  [$25 + ($5  x         $250  x  [1 + (.25
                               Number of days        x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)]..
$5,000-9,999.99.............  [$50 + ($5  x         $300  x  [1 + (.25
                               Number of days        x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$10,000--24,999.99..........  [$100 + ($5  x        $500  x  [1 + (.25
                               Number of days        x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$25,000--49,999.99..........  [$200 + ($20  x       $900  x  [1 + (.25
                               Number of days        x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$50,000--74,999.99..........  [$250 + ($35  x       $1,400  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$75,000--99,999.99..........  [$350 + ($50  x       $2,000  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$100,000--149,999.99........  [$400 + ($65  x       $2,500  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$150,000--199,999.99........  [$600 + ($75  x       $3,000  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$200,000--299,999.99........  [$800 + ($100  x      $4,000  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$300,000--399,999.99........  [$1,000 + ($125  x    $5,000  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$400,000--499,999.99........  [$1,250 + ($150  x    $6,000  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$500,000--599,999.99........  [$1,500 + ($175  x    $7,000  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$600,000--749,999.99........  [$1,750 + ($200  x    $8,000  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$750,000--999,999.99........  [$2,000 + ($225  x    $9,000  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$1,000,000 or over..........  [$2,250 + ($250  x    $10,000  x  [1 +
                               Number of days        (.25  x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
------------------------------------------------------------------------
\a\ 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
 If the level of activity in     filed late, the      Or the report was
       the report was:         civil money penalty  not filed, the civil
                                       is:            money penalty is:
------------------------------------------------------------------------
$1-$4,999.99 a..............  [$50 + ($10  x        $500  x  [1 + (.25
                               Number of days        x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].

[[Page 20466]]

 
$5,000-$9,999.99............  [$100 + ($10  x       $600  x  [1 + (.25
                               Number of days        x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$10,000-24,999.99...........  [$150 + ($10  x       $900  x  [1 + (.25
                               Number of days        x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$25,000-49,999.99...........  [$300 + ($25  x       $1,400  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$50,000-74,999.99...........  [$450 + ($50  x       $2,400  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$75,000-99,999.99...........  [$600 + ($70  x       $3,100  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$100,000-149,999.99.........  [$800 + ($100  x      $4,200  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$150,000-199,999.99.........  [$1,000 + ($125  x    $5,500  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$200,000-299,999.99.........  [$1,250 + ($150  x    $6,500  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$300,000-399,999.99.........  [$1,500 + ($175  x    $7,500  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$400,000-499,999.99.........  [$1,750 + ($200  x    $8,500  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$500,000-599,999.99.........  [$2,000 + ($225  x    $9,500  x  [1 + (.25
                               Number of days         x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$600,000-749,999.99.........  [$2,250 + ($250  x    $10,500  x  [1 +
                               Number of days        (.25  x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$750,000-999,999.99.........  [$2,500 + ($275  x    $12,000  x  [1 +
                               Number of days        (.25  x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
$1,000,000 or over..........  [$3,000 + ($300  x    $14,000  x  [1 +
                               Number of days        (.25  x  Number of
                               late)]  x  [1 +       previous
                               (.25  x  Number of    violations)]
                               previous
                               violations)].
------------------------------------------------------------------------
a The civil money penalty for a respondent who does not have any
  previous violations will not exceed the level of activity in the
  report.

* * * * *


Sec. 111.45  [Amended]

    7. Section 111.45 would be amended by removing in the second 
sentence ``4 CFR parts 101 through 105'' and by adding in its place 
``31 CFR parts 900 through 904,'' and by removing ``Government 
Accounting Office'' and adding in its place ``the U.S. Department of 
the Treasury.''

    Dated: April 19, 2002.
David M. Mason,
Chairman, Federal Election Commission.
[FR Doc. 02-10106 Filed 4-24-02; 8:45 am]
BILLING CODE 6715-01-P