[Federal Register Volume 81, Number 126 (Thursday, June 30, 2016)]
[Rules and Regulations]
[Pages 42491-42503]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-15528]


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DEPARTMENT OF JUSTICE

28 CFR Parts 20, 22, 36, 68, 71, 76, and 85

[Docket No. OAG 148; AG Order No. 3690-2016]


Civil Monetary Penalties Inflation Adjustment

AGENCY: Department of Justice.

ACTION: Interim final rule with request for comments.

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SUMMARY: In accordance with the provisions of the Bipartisan Budget Act 
of 2015, the Department of Justice is adjusting for inflation civil 
monetary penalties assessed or enforced by components of the 
Department.

DATES: Effective date: This rule is effective August 1, 2016.
    Public comments: Written comments must be postmarked and electronic 
comments must be submitted on or before August 29, 2016. Commenters 
should be aware that the electronic Federal Docket Management System 
(FDMS) will accept comments submitted prior to Midnight Eastern Time on 
the last day of the comment period.

ADDRESSES: To ensure proper handling of comments, please reference 
``Docket No. OAG 148'' on all electronic and written correspondence. 
The Department encourages all comments be submitted electronically 
through http://www.regulations.gov using the electronic comment form 
provided on that site. An electronic copy of this document is also 
available at http://

[[Page 42492]]

www.regulations.gov for easy reference. Paper comments that duplicate 
the electronic submission are not necessary as all comments submitted 
to http://www.regulations.gov will be posted for public review and are 
part of the official docket record. Should you, however, wish to submit 
written comments via regular or express mail, they should be sent to 
Robert Hinchman, Senior Counsel, Office of Legal Policy, U.S. 
Department of Justice, Room 4252 RFK Building, 950 Pennsylvania Avenue 
NW., Washington, DC 20530.

FOR FURTHER INFORMATION CONTACT: Robert Hinchman, Senior Counsel, 
Office of Legal Policy, U.S. Department of Justice, Room 4252 RFK 
Building, 950 Pennsylvania Avenue NW., Washington, DC 20530, telephone 
(202) 514-8059 (not a toll-free number).

SUPPLEMENTARY INFORMATION: 

Posting of Public Comments

    Please note that all comments received are considered part of the 
public record and made available for public inspection online at http://www.regulations.gov. Such information includes personal identifying 
information (such as your name and address) voluntarily submitted by 
the commenter. You are not required to submit personal identifying 
information in order to comment on this rule. Nevertheless, if you want 
to submit personal identifying information (such as your name and 
address) as part of your comment, but do not want it to be posted 
online, you must include the phrase ``PERSONAL IDENTIFYING 
INFORMATION'' in the first paragraph of your comment.
    If you want to submit confidential business information as part of 
your comment but do not want it to be posted online, you must include 
the phrase ``CONFIDENTIAL BUSINESS INFORMATION'' in the first paragraph 
of your comment. Personal identifying information and confidential 
business information identified as set forth above will be placed in 
the agency's public docket file, but not posted online. If you wish to 
inspect the agency's public docket file in person by appointment, 
please see the paragraph above entitled FOR FURTHER INFORMATION 
CONTACT.

Background

A. Prior Statutory Provisions for Inflation Adjustments

    The Federal Civil Monetary Penalties Inflation Adjustment Act of 
1990, Public Law 101-410, 28 U.S.C. 2461 note (2014) (``Inflation 
Adjustment Act''), provided for the regular evaluation and adjustment 
for inflation of civil monetary penalties to, among other things, 
ensure that they continue to maintain their deterrent effect and that 
penalty amounts due the Federal Government are properly accounted for 
and collected. Section 31001(s)(1) of the Omnibus Consolidated 
Rescissions and Appropriations Act of 1996, Public Law 104-134, also 
known as the Debt Collection Improvement Act of 1996 (``Improvement 
Act''), amended section 4 of the Inflation Adjustment Act to require 
the head of each agency to adjust periodically each civil monetary 
penalty provided by law within the jurisdiction of the Federal agency 
by regulation and to publish each such regulation in the Federal 
Register. Subsection (s)(1) also added a new section to the Inflation 
Adjustment Act providing that any increase in a civil monetary penalty 
made under the Act shall apply only to violations that occur after the 
date the increase takes effect. Subsection (s)(2) of the Improvement 
Act provided that the first adjustment of a civil monetary penalty made 
pursuant to the amendment in subsection (s)(1) may not exceed 10 
percent of such penalty.
    The amounts of the adjustments were determined according to a 
formula set forth in the Inflation Adjustment Act, which used 
applicable ``rounders'' (or increments) for calculations based on the 
amount of the current penalty along with the statutorily defined cost-
of-living adjustment. See 28 CFR 85.2 (2015); Public Law 101-410, sec. 
5. For example, the applicable ``rounder'' for a current $15,000 civil 
penalty amount was $5,000, which meant that there would be no inflation 
adjustment if the raw inflation adjustment calculation showed an 
increase of less than $2,500, but the civil penalty amount would be 
increased by the full $5,000 increment if the raw inflation adjustment 
was above the rounding threshold. See id.

B. Past Inflation Adjustment Rules

    In compliance with the prior statutory requirements, the Department 
of Justice published a rule on February 12, 1999 (64 FR 7066-03) 
adjusting the immigration-related civil monetary penalties assessed or 
enforced by the Executive Office for Immigration Review's (EOIR) Office 
of the Chief Administrative Hearing Officer (OCAHO). On August 30, 1999 
(64 FR 47099), the Department published a rule adjusting the other 
civil monetary penalties assessed or enforced by it.
    On February 26, 2008 (73 FR 10130-01), the Department of Homeland 
Security (DHS) and the Department of Justice published a rule adjusting 
for inflation the immigration-related civil monetary penalties assessed 
or enforced by those two Departments under sections 274A, 274B, and 
274C of the Immigration and Nationality Act (INA).\1\ On March 28, 2014 
(79 FR 17434-01), the Department published a rule adjusting for 
inflation the civil monetary penalties assessed or enforced by the 
Civil Rights Division.
---------------------------------------------------------------------------

    \1\ The former Immigration and Naturalization Service (INS) was 
part of the Department of Justice when the 1999 inflation 
adjustments rules for civil monetary penalties were adopted. 
However, Congress abolished the former INS effective March 1, 2003, 
and transferred its functions to DHS pursuant to the Homeland 
Security Act, Public Law 107-296 (Nov. 25, 2002). EOIR was a 
separate component at that time, and it remains within the 
Department of Justice under the authority of the Attorney General.
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C. Revised Statutory Process for Implementing Annual Inflation 
Adjustments

    Section 701 of the Bipartisan Budget Act of 2015, Public Law 114-74 
(Nov. 2, 2015), titled the Federal Civil Penalties Inflation Adjustment 
Act Improvements Act of 2015 (``2015 Amendments''), 28 U.S.C. 2461 
note, substantially revised the prior provisions of the Inflation 
Adjustment Act and substituted a different statutory formula for 
calculating inflation adjustments on an annual basis.
    The 2015 Amendments set forth a different method of calculation for 
the initial adjustment following the 2015 Amendments than for 
subsequent adjustments. For the initial adjustment, the ``cost-of-
living adjustment,'' which sets the amount by which the maximum civil 
monetary penalty or the range of minimum and maximum civil monetary 
penalties, as applicable, would be increased, is defined as ``the 
percentage (if any) for each civil monetary penalty by which the 
Consumer Price Index for the month of October, 2015 exceeds the 
Consumer Price Index for the month of October of the calendar year 
during which the amount of such civil monetary penalty was established 
or adjusted under a provision of law other than this Act.'' Public Law 
114-74, sec. 701(b)(2)(B) (amending section 5(b) of the Inflation 
Adjustment Act). This adjustment is to be applied to ``the amount of 
the civil monetary penalty as it was most recently established or 
adjusted under a provision of law other than this Act,'' and ``shall 
not exceed 150 percent of the amount of that civil monetary penalty on 
the date of enactment of'' the 2015 Amendments. Id. For adjustments 
other than the initial adjustment, the ``cost-of-living adjustment'' is 
defined as ``the percentage (if any) for each civil monetary penalty by 
which--(A) the

[[Page 42493]]

Consumer Price Index for the month of October preceding the date of the 
adjustment, exceeds (B) the Consumer Price Index 1 year before the 
month of October referred to in subparagraph (A).'' Id.
    In short, the 2015 Amendments tie the inflation adjustments for the 
initial adjustment to an index reflecting the cost of living increases 
between 2015 and the year in which each civil penalty was established 
or adjusted by a provision of law other than the Inflation Adjustment 
Act. For subsequent adjustments, however, the adjustment will be 
determined by the difference in the Consumer Price Index between the 
October preceding the new adjustment and the October the year before. 
In addition, instead of using the larger ``rounders'' under the old 
formula, the resulting new civil penalty amounts adjusted under the 
2015 Amendments are rounded to the nearest $1.
    The 2015 Amendments removed the 10 percent cap on the first-time 
inflation adjustment for each penalty, and, as noted above, provided 
that the initial adjustment following the 2015 Amendments ``shall not 
exceed 150 percent of the amount of that civil monetary penalty on the 
date of enactment of'' the 2015 Amendments. See Public Law 114-74, sec. 
701(c) (repealing section 31001(s)(2) of the Improvement Act); id. sec. 
701(b)(2)(B) (amending section 5(b) of the Inflation Adjustment Act). 
Effectively, this means that the adjusted civil penalty under this 
rule--which sets forth the initial inflation adjustment following the 
2015 Amendments--cannot be more than 2.5 times the amount of the 
current penalty, including prior inflation adjustments under the 
Inflation Adjustment Act. As shown in Table A of this preamble 
indicating the calculation of inflation adjustments, this statutory cap 
affects only six of the civil penalties being adjusted under this rule, 
because of prior inflation adjustments implemented since 1999. Although 
the statute authorizes the Department, with the concurrence of the 
Director of the Office of Management and Budget, to make a 
determination in certain circumstances to increase a civil penalty by 
less than the otherwise required amount, the Department is not invoking 
that authority in this rule. See Public Law 114-74, sec. 701(b)(1)(D) 
(adding section 4(c) to Inflation Adjustment Act).
    The 2015 Amendments also amended section 6 of the Inflation 
Adjustment Act to provide that ``[a]ny increase under this Act in a 
civil monetary penalty shall apply only to civil monetary penalties, 
including those whose associated violation predated such increase, 
which are assessed after the date the increase takes effect.''

Adjustments Made in This Rule for Civil Monetary Penalties

    In accordance with the 2015 Amendments, the adjustments made by 
this rule are based on the Bureau of Labor Statistics' Consumer Price 
Index for October 2015. The inflation factors used in Table A were 
provided to all federal agencies in the OMB Memorandum for the Heads of 
Executive Departments and Agencies M-16-06 (Feb. 24, 2016). https://www.whitehouse.gov/sites/default/files/omb/memoranda/2016/m-16-06.pdf 
(last visited June 3, 2016).
    Table A provides the calculations upon which the current inflation 
adjustments are being made. As summarized above, the key factors for 
these calculations are (1) the year in which each civil penalty amount 
was established or adjusted under a provision of law other than the 
Inflation Adjustment Act; (2) the amount of each civil penalty as so 
established or adjusted; (3) the inflationary adjustment factor (as 
determined according to the chart prepared by OMB) for the year of the 
most recent establishment or adjustment of the amount of the penalty; 
and (4) the resulting amount of the new adjusted civil penalty. For 
example, for a civil penalty that was most recently established by law 
at the amount of $1,000 in the year 1996, applying the inflationary 
adjustment factor of 1.50245 for that year, the adjusted penalty as 
determined under this rule is $1,502, as rounded to the nearest $1. The 
only departures from this straightforward calculation are for those 
civil penalties whose amount was set decades ago and not previously 
adjusted; in those few cases, the civil penalty amount is capped at 2.5 
times the civil penalty amount currently in effect, as noted by the 
footnotes in Table A.

[[Page 42494]]



                                                                                             Table A
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                                                                                                             Last year
                                                                                                     Year     adjusted   Penalty (Non IAA)                 DOJ Penalty as of    New DOJ penalty
              U.S.C. Citation                 Name/Description             CFR Citation            enacted      (Non            ($)           Multiplier    11/2/15 ($) \1\           \2\
                                                                                                                IAA)
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                               ATF
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
18 U.S.C. 922(t)(5)........................  Brady Law--Nat'l    ...............................       1993       1993  5,000..............      1.63238  5,000.............  8,162
                                              Instant Criminal
                                              Check System;
                                              Transfer of
                                              firearm without
                                              checking NICS.
18 U.S.C. 924(p)...........................  Child Safety Lock   ...............................       2005       2005  2,500..............      1.19397  2,500.............  2,985
                                              Act; Secure gun
                                              storage or safety
                                              device, violation.
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                                                                                         Civil Division
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
12 U.S.C. 1833a(b)(1)......................  Financial           28 CFR 85.3(a)(6)..............       1989       1989  1,000,000..........      1.89361  1,100,000.........  1,893,610
                                              Institutions
                                              Reform, Recovery,
                                              and Enforcement
                                              Act (FIRREA)
                                              Violation.
12 U.S.C. 1833a(b)(2)......................  FIRREA Violation    28 CFR 85.3(a)(7)..............       1989       1989  1,000,000..........      1.89361  1,100,000.........  1,893,610
                                              (continuing) (per
                                              day).
12 U.S.C. 1833a(b)(2)......................  FIRREA Violation    28 CFR 85.3(a)(7)..............       1989       1989  5,000,000..........      1.89361  5,500,000.........  9,468,050
                                              (continuing).
22 U.S.C. 2399b(a)(3)(A)...................  Foreign Assistance  28 CFR 85.3(a)(8)..............       1968       1968  2,000..............      6.73762  2,200.............  5,500 **
                                              Act; Fraudulent
                                              Claim for
                                              Assistance (per
                                              act).
31 U.S.C. 3729(a)..........................  False Claims Act;   28 CFR 85.3(a)(9)..............       1986       1986  Min. 5,000.........      2.15628  Min, 5,500........  Min. 10,781
                                              \3\ Violations.                                                           Max. 10,000........               Max. 11,000.......  Max. 21,563
31 U.S.C. 3802(a)(1).......................  Program Fraud       28 CFR 71.3(a).................       1986       1986  5,000..............      2.15628  5,500.............  10,781
                                              Civil Remedies
                                              Act; Violations
                                              Involving False
                                              Claim (per claim).
31 U.S.C. 3802(a)(2).......................  Program Fraud       28 CFR 71.3(f).................       1986       1986  5,000..............      2.15628  5,500.............  10,781
                                              Civil Remedies
                                              Act; Violation
                                              Involving False
                                              Statement (per
                                              statement).
40 U.S.C. 123(a)(1)(A).....................  Federal Property    28 CFR 85.3(a)(12).............       1949       1949  2,000..............     10.03536  2,200.............  5,500 **
                                              and
                                              Administrative
                                              Services Act;
                                              Violation
                                              Involving Surplus
                                              Government
                                              Property (per
                                              act).
41 U.S.C. 8706(a)(1)(B)....................  Anti-Kickback Act;  28 CFR 85.3(a)(13).............       1986       1986  10,000.............      2.15628  11,000............  21,563
                                              Violation
                                              Involving
                                              Kickbacks \4\
                                              (per occurrence).
18 U.S.C. 2723(b)..........................  Driver's Privacy    ...............................       1994       1994  5,000..............      1.59089  5,000.............  7,954
                                              Protection Act of
                                              1994; Prohibition
                                              on Release and
                                              Use of Certain
                                              Personal
                                              Information from
                                              State Motor
                                              Vehicle Records--
                                              Substantial Non-
                                              compliance (per
                                              day).
18 U.S.C. 216(b)...........................  Ethics Reform Act   28 CFR 85.3(c).................       1989       1989  50,000.............      1.89361  55,000............  94,681
                                              of 1989;
                                              Penalties for
                                              Conflict of
                                              Interest Crimes
                                              \5\ (per
                                              violation).
41 U.S.C. 2105(b)(1).......................  Office of Federal   ...............................       1988       1988  50,000.............      1.97869  50,000............  98,935
                                              Procurement
                                              Policy Act; \6\
                                              Violation by an
                                              individual (per
                                              violation).
41 U.S.C. 2105(b)(2).......................  Office of Federal   ...............................       1988       1988  500,000............      1.97869  500,000...........  989,345
                                              Procurement
                                              Policy Act; \6\
                                              Violation by an
                                              organization (per
                                              violation).
42 U.S.C. 5157(d)..........................  Disaster Relief     ...............................       1974       1974  5,000..............      4.65436  5,000.............  12,500 **
                                              Act of 1974; \7\
                                              Violation (per
                                              violation).
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[[Page 42495]]

 
                                                                 Civil Rights Division (excluding immigration-related penalties)
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18 U.S.C. 248(c)(2)(B)(i)..................  Freedom of Access   28 CFR 85.3(b)(1)(i)...........       1994       1994  10,000.............      1.59089  16,000............  15,909
                                              to Clinic
                                              Entrances Act of
                                              1994 (``FACE
                                              Act'');
                                              Nonviolent
                                              physical
                                              obstruction,
                                              first violation.
18 U.S.C. 248(c)(2)(B)(ii).................  FACE Act;           28 CFR 85.3(b)(1)(ii)..........       1994       1994  15,000.............      1.59089  16,500............  23,863
                                              Nonviolent
                                              physical
                                              obstruction,
                                              subsequent
                                              violation.
18 U.S.C. 248(c)(2)(B)(i)..................  FACE Act;           28 CFR 85.3(b)(2)(i)...........       1994       1994  15,000.............      1.59089  16,500............  23,863
                                              Violation other
                                              than a nonviolent
                                              physical
                                              obstruction,
                                              first violation.
18 U.S.C. 248(c)(2)(B)(ii).................  FACE Act;           28 CFR 85.3(b)(2)(ii)..........       1994       1994  25,000.............      1.59089  37,500............  39,772
                                              Violation other
                                              than a nonviolent
                                              physical
                                              obstruction,
                                              subsequent
                                              violation.
42 U.S.C. 3614(d)(1)(C)(i).................  Fair Housing Act    28 CFR 85.3(b)(3)(i)...........       1988       1988  50,000.............      1.97869  75,000............  98,935
                                              of 1968; first
                                              violation.
42 U.S.C. 3614(d)(1)(C)(ii)................  Fair Housing Act    28 CFR 85.3(b)(3)(ii)..........       1988       1988  100,000............      1.97869  150,000...........  197,869
                                              of 1968;
                                              subsequent
                                              violation.
42 U.S.C. 12188(b)(2)(C)(i)................  Americans With      28 CFR 36.504(a)(3)(i).........       1990       1990  50,000.............      1.78156  75,000............  89,078
                                              Disabilities Act;
                                              Public
                                              accommodations
                                              for individuals
                                              with
                                              disabilities,
                                              first violation.
42 U.S.C. 12188(b)(2)(C)(ii)...............  Americans With      28 CFR 36.504(a)(3)(ii)........       1990       1990  100,000............      1.78156  150,000...........  178,156
                                              Disabilities Act;
                                              Public
                                              accommodations
                                              for individuals
                                              with
                                              disabilities,
                                              subsequent
                                              violation.
50 U.S.C. App. 597(b)(3)...................  Servicemembers      28 CFR 85.3(b)(4)(i)...........       2010       2010  55,000.............      1.08745  60,000............  59,810
                                              Civil Relief Act
                                              of 2003; first
                                              violation.
50 U.S.C. App. 597(b)(3)...................  Servicemembers      28 CFR 85.3(b)(4)(ii)..........       2010       2010  110,000............      1.08745  120,000...........  119,620
                                              Civil Relief Act
                                              of 2003;
                                              subsequent
                                              violation.
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                                                                                        Criminal Division
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
18 U.S.C. 983(h)(1)........................  Civil Asset         ...............................       2000       2000  Min. 250...........      1.36689  Min. 250..........  Min. 342
                                              Forfeiture Reform                                                         Max. 5,000.........               Max. 5,000........  Max. 6,834
                                              Act of 2000;
                                              Penalty for
                                              Frivolous
                                              Assertion of
                                              Claim.
18 U.S.C. 1956(b)..........................  Money Laundering    ...............................       1986       1986  10,000.............      2.15628  10,000............  21,563
                                              Control Act of
                                              1986; Violation
                                              \8\.
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                                                                                               DEA
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
21 U.S.C. 844a(a)..........................  Anti-Drug Abuse     28 CFR 76.3(a).................       1988       1988  10,000.............      1.97869  11,000............  19,787
                                              Act of 1988;
                                              Possession of
                                              small amounts of
                                              controlled
                                              substances (per
                                              violation).
21 U.S.C. 961(1)...........................  Controlled          28 CFR 85.3(d).................       1970       1970  25,000.............      6.03650  27,500............  68,750 **
                                              Substance Import
                                              Export Act; Drug
                                              abuse, import or
                                              export.
21 U.S.C. 842(c)(1)(A).....................  Controlled          ...............................       1970       1970  25,000.............      6.03650  25,000............  62,500 **
                                              Substances Act
                                              (``CSA'');
                                              Violations of
                                              842(a)--other
                                              than (5), (10)
                                              and (16)--
                                              Prohibited acts
                                              re: controlled
                                              substances (per
                                              violation).
21 U.S.C. 842(c)(1)(B).....................  CSA; Violations of  ...............................       1998       1998  10,000.............      1.45023  10,000............  14,502
                                              842(a)(5) and
                                              (10)--Prohibited
                                              acts re:
                                              controlled
                                              substances.
21 U.S.C. 842(c)(1)(C).....................  CSA; Violation of   ...............................       2014       2014  500,000............      1.00171  500,000...........  500,855
                                              825(e) by
                                              importer,
                                              exporter,
                                              manufacturer, or
                                              distributor--Fals
                                              e labeling of
                                              anabolic steroids
                                              (per violation).
21 U.S.C. 842(c)(1)(D).....................  CSA; Violation of   ...............................       2014       2014  1,000..............      1.00171  1,000.............  1,002
                                              825(e) at the
                                              retail level--
                                              False labeling of
                                              anabolic steroids
                                              (per violation).

[[Page 42496]]

 
21 U.S.C. 842(c)(2)(C).....................  CSA; Violation of   ...............................       1996       1996  250,000............      1.50245  250,000...........  375,613
                                              842(a)(11) by a
                                              business--Distrib
                                              ution of
                                              laboratory supply
                                              with reckless
                                              disregard.\9\
21 U.S.C. 856(d)...........................  Illicit Drug Anti-  ...............................       2003       2003  250,000............      1.28561  250,000...........  321,403
                                              Proliferation Act
                                              of 2003;
                                              Maintaining drug-
                                              involved
                                              premises.\10\
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                                                                                  Immigration-Related Penalties
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
8 U.S.C. 1324a(e)(4)(A)(i).................  Immigration Reform  28 CFR 68.52(c)(1)(i)..........       1986       1986  Min. 250...........      2.15628  Min. 375..........  Min. 539
                                              and Control Act                                                           Max. 2,000.........               Max. 3,200........  Max. 4,313
                                              of 1986
                                              (``IRCA'');
                                              Unlawful
                                              employment of
                                              aliens, first
                                              order (per
                                              unauthorized
                                              alien).
8 U.S.C. 1324a(e)(4)(A)(ii)................  IRCA; Unlawful      28 CFR 68.52(c)(1)(ii).........       1986       1986  Min. 2,000.........      2.15628  Min. 3,200........  Min. 4,313
                                              employment of                                                             Max. 5,000.........               Max. 6,500........  Max. 10,781
                                              aliens, second
                                              order (per such
                                              alien).
8 U.S.C. 1324a(e)(4)(A)(iii)...............  IRCA; Unlawful      28 CFR 68.52(c)(1)(iii)........       1986       1986  Min. 3,000.........      2.15628  Min. 4,300........  Min. 6,469
                                              employment of                                                             Max. 10,000........               Max. 16,000.......  Max. 21,563
                                              aliens,
                                              subsequent order
                                              (per such alien).
8 U.S.C. 1324a(e)(5).......................  IRCA; Paperwork     28 CFR 68.52(c)(5).............       1986       1986  Min. 100...........      2.15628  Min. 110..........  Min. 216
                                              violation (per                                                            Max. 1,000.........               Max. 1,100........  Max. 2,156
                                              relevant
                                              individual).
8 U.S.C. 1324a (note)......................  IRCA; Violation     28 CFR 68.52(c)(6).............       1996       1996  Min. 500...........      1.50245  Min. 550..........  Min. 751
                                              relating to                                                               Max. 1,000.........               Max. 1,100........  Max. 1,502
                                              participating
                                              employer's
                                              failure to notify
                                              of final
                                              nonconfirmation
                                              of employee's
                                              employment
                                              eligibility (per
                                              relevant
                                              individual).
8 U.S.C. 1324a(g)(2).......................  IRCA; Violation/    28 CFR 68.52(c)(7).............       1986       1986  1,000..............      2.15628  1,100.............  2,156
                                              prohibition of
                                              indemnity bonds
                                              (per violation).
8 U.S.C. 1324b(g)(2)(B)(iv)(I).............  IRCA; Unfair        28 CFR 68.52(d)(1)(viii).......       1990       1990  Min. 250...........      1.78156  Min, 375..........  Min. 445
                                              immigration-                                                              Max. 2,000.........               Max. 3,200........  Max. 3,563
                                              related
                                              employment
                                              practices, first
                                              order (per
                                              individual
                                              discriminated
                                              against).
8 U.S.C. 1324b(g)(2)(B)(iv)(II)............  IRCA; Unfair        28 CFR 68.52(d)(1)(ix).........       1990       1990  Min. 2,000.........      1.78156  Min. 3,200........  Min. 3,563
                                              immigration-                                                              Max. 5,000.........               Max. 6,500........  Max. 8,908
                                              related
                                              employment
                                              practices, second
                                              order (per
                                              individual
                                              discriminated
                                              against).
8 U.S.C. 1324b(g)(2)(B)(iv)(III)...........  IRCA; Unfair        28 CFR 68.52(d)(1)(x)..........       1990       1990  Min. 3,000.........      1.78156  Min. 4,300........  Min. 5,345
                                              immigration-                                                              Max. 10,000........               Max. 16,000.......  Max. 17,816
                                              related
                                              employment
                                              practices,
                                              subsequent order
                                              (per individual
                                              discriminated
                                              against).
8 U.S.C. 1324b(g)(2)(B)(iv)(IV)............  IRCA; Unfair        28 CFR 68.52(d)(1)(xii)........       1990       1990  Min. 100...........      1.78156  Min. 110..........  Min. 178
                                              immigration-                                                              Max. 1,000.........               Max. 1,100........  Max. 1,782
                                              related
                                              employment
                                              practices,
                                              document abuse
                                              (per individual
                                              discriminated
                                              against).
8 U.S.C. 1324c(d)(3)(A)....................  IRCA; Document      28 CFR 68.52(e)(1)(i)..........       1990       1990  Min. 250...........      1.78156  Min. 375..........  Min. 445
                                              fraud, first                                                              Max. 2,000.........               Max. 3,200........  Max. 3,563
                                              order--for
                                              violations
                                              described in
                                              U.S.C.
                                              1324c(a)(1)-(4)
                                              (per document).
8 U.S.C. 1324c(d)(3)(B)....................  IRCA; Document      28 CFR 68.52(e)(1)(iii)........       1990       1990  Min. 2,000.........      1.78156  Min. 3,200........  Min. 3,563
                                              fraud, subsequent                                                         Max. 5,000.........               Max. 6,500........  Max. 8,908
                                              order--for
                                              violations
                                              described in
                                              U.S.C.
                                              1324c(a)(1)-(4)
                                              (per document).
8 U.S.C. 1324c(d)(3)(A)....................  IRCA; Document      28 CFR 68.52(e)(1)(ii).........       1996       1996  Min. 250...........      1.50245  Min. 275..........  Min. 376
                                              fraud, first                                                              Max. 2,000.........               Max. 2,200........  Max. 3,005
                                              order--for
                                              violations
                                              described in
                                              U.S.C.
                                              1324c(a)(5)-(6)
                                              (per document).
8 U.S.C. 1324c(d)(3)(B)....................  IRCA; Document      28 CFR 68.52(e)(1)(iv).........       1996       1996  Min. 2,000.........      1.50245  Min. 2,200........  Min. 3,005
                                              fraud, subsequent                                                         Max. 5,000.........               Max. 5,500........  Max. 7,512
                                              order--for
                                              violations
                                              described in
                                              U.S.C.
                                              1324c(a)(5)-(6)
                                              (per document).

[[Page 42497]]

 
                                                                                               FBI
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
49 U.S.C. 30505(a).........................  National Motor      ...............................       1994       1994  1,000..............      1.59089  1,000.............  1,591
                                              Vehicle Title
                                              Identification
                                              System; Violation
                                              (per violation).
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                   Office of Justice Programs
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
42 U.S.C. 3789g(d).........................  Confidentiality of  28 CFR 20.25...................       1979       1979  10,000.............      3.16274  11,000............  27,500 **
                                              information;
                                              State and Local
                                              Criminal History
                                              Record
                                              Information
                                              Systems--Right to
                                              Privacy Violation.
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
** Adjusted penalty capped at 2.5 times the penalty amount in effect on November 2, 2015, the date of enactment of the Federal Civil Penalties Inflation Adjustment Act Improvements Act of
  2015, Public Law 114-74, sec. 701 (``2015 Amendments''). See id. Sec.   701(b)(2) (amending section 5(b)(2)(C) of the Federal Civil Penalties Inflation Adjustment Act of 1990 (28 U.S.C. 2461
  note) to provide that the amount of the first inflation adjustment after the date of enactment of the 2015 Amendments ``shall not exceed 150 percent of the amount of that civil monetary
  penalty on the date of enactment of the [2015 Amendments].'').
\1\ The figures set forth in this column represent the penalty as last adjusted by Department of Justice regulation or statute as of November 2, 2015.
\2\ All figures set forth in this table are maximum penalties, unless otherwise indicated.
\3\ Section 3729(a)(1) of Title 31 states that any person who violates this section ``is liable to the United States Government for a civil penalty of not less than $5,000 and not more than
  $10,000, as adjusted by the Federal Civil Penalties Inflation Adjustment Act of 1990, plus 3 times the amount of damages which the Government sustains because of the act of that person.'' 31
  U.S.C. 3729(a)(1) (2012) (citation omitted). Section 3729(a)(2) permits the court to reduce the damages under certain circumstances to ``not less than 2 times the amount of damages which the
  Government sustains because of the act of that person.'' Id. Sec.   3729(a)(2). The adjustment made by this regulation is only applicable to the specific statutory penalty amounts stated in
  subsection (a)(1), which is only one component of the civil penalty imposed under section 3729(a)(1).
\4\ Section 8706(a)(1) of Title 41 states that ``[t]he Federal Government in a civil action may recover from a person--(1) that knowingly engages in conduct prohibited by section 8702 of this
  title a civil penalty equal to--(A) twice the amount of each kickback involved in the violation; and (B) not more than $10,000 for each occurrence of prohibited conduct . . . .'' 41 U.S.C.
  8706(a)(1) (2012). The adjustment made by this regulation is only applicable to the specific statutory penalty amount stated in subsection (a)(1)(B), which is only one component of the civil
  penalty imposed under section 8706.
\5\ Section 216(b) of Title 18 states the civil penalty should be no ``more than $50,000 for each violation or the amount of compensation which the person received or offered for the
  prohibited conduct, whichever amount is greater.'' 18 U.S.C. 216(b) (2012). Therefore, the adjustment made by this regulation is only applicable to the specific statutory penalty amount
  stated in subsection (b), which is only one aspect of the possible civil penalty imposed under Sec.   216(b).
\6\ Section 2105(b) of Title 41 states, ``(b) Civil penalties.--The Attorney General may bring a civil action in an appropriate district court of the United States against a person that
  engages in conduct that violates section 2102, 2103, or 2104 of this title. On proof of that conduct by a preponderance of the evidence--(1) an individual is liable to the Federal Government
  for a civil penalty of not more than $50,000 for each violation plus twice the amount of compensation that the individual received or offered for the prohibited conduct; and (2) an
  organization is liable to the Federal Government for a civil penalty of not more than $500,000 for each violation plus twice the amount of compensation that the organization received or
  offered for the prohibited conduct.'' 41 U.S.C. 2105(b) (2012). The adjustments made by this regulation are only applicable to the specific statutory penalty amounts stated in subsections
  (b)(1) and (b)(2), which are each only one component of the civil penalties imposed under sections 2105(b)(1) and (b)(2).
\7\ The Attorney General has authority to bring a civil action when a person has violated or is about to violate a provision under this statute. 42 U.S.C. 5157(b) (2012)). The Federal
  Emergency Management Agency has promulgated regulations regarding this statute and has adjusted the penalty in its regulation. 44 CFR 206.14(d) (2015). The Department of Health and Human
  Services (HHS) has also promulgated a regulation regarding the penalty under this statute. 42 CFR 38.8 (2015).
\8\ Section 1956(b)(1) of Title 18 states that ``[w]hoever conducts or attempts to conduct a transaction described in subsection (a)(1) or (a)(3), or section 1957, or a transportation,
  transmission, or transfer described in subsection (a)(2), is liable to the United States for a civil penalty of not more than the greater of--(A) the value of the property, funds, or
  monetary instruments involved in the transaction; or (B) $10,000.'' 18 U.S.C. 1956(b)(1) (2012). The adjustment made by this regulation is only applicable to the specific statutory penalty
  amount stated in subsection (b)(1)(B), which is only one aspect of the possible civil penalty imposed under section 1956(b).
\9\ Section 842(c)(2)(C) of Title 21 states that ``[i]n addition to the penalties set forth elsewhere in this subchapter or subchapter II of this chapter, any business that violates paragraph
  (11) of subsection (a) of this section shall, with respect to the first such violation, be subject to a civil penalty of not more than $250,000, but shall not be subject to criminal
  penalties under this section, and shall, for any succeeding violation, be subject to a civil fine of not more than $250,000 or double the last previously imposed penalty, whichever is
  greater.'' 21 U.S.C. 842(c)(2)(C) (2012). The adjustment made by this regulation regarding the penalty for a succeeding violation is only applicable to the specific statutory penalty amount
  stated in subsection (c)(2)(C), which is only one aspect of the possible civil penalty for a succeeding violation imposed under section 842(c)(2)(C).
\10\ Section 856(d)(1) of Title 21 states that ``(1) Any person who violates subsection (a) of this section shall be subject to a civil penalty of not more than the greater of--(A) $250,000;
  or (B) 2 times the gross receipts, either known or estimated, that were derived from each violation that is attributable to the person.'' 21 U.S.C. 856(d)(1) (2012). The adjustment made by
  this regulation is only applicable to the specific statutory penalty amount stated in subsection (d)(1)(A), which is only one aspect of the possible civil penalty imposed under section
  856(d)(1).


[[Page 42498]]

    Currently, 28 CFR 85.3 provides for inflation adjustments of a 
number of civil penalties enforced by the Department, pursuant to the 
former inflation adjustment statutory provisions. This rule revises 
Sec.  85.3 to provide that the inflation adjustments set forth in that 
section will continue to apply to violations occurring on or before 
November 2, 2015, the date of enactment of the 2015 Amendments, as well 
as to assessments made before August 1, 2016, whose associated 
violations occurred after November 2, 2015. Other existing Department 
regulations provide for inflation adjustments of other civil penalties 
under prior law, such as the civil penalties under certain provisions 
of the immigration laws in 28 CFR 68.52. Those other existing 
regulations are also being revised to provide that the existing 
regulatory inflation adjustments will continue to apply to violations 
occurring on or before November 2, 2015, as well as to assessments made 
before August 1, 2016, whose associated violations occurred after 
November 2, 2015.
    A new regulatory provision, Sec.  85.5, includes a comprehensive 
table setting forth the penalty amounts for civil penalties assessed 
after August 1, 2016, whose associated violations occurred after 
November 2, 2015. The table in Sec.  85.5 is the same as Table A in 
this preamble, except that it only includes the first three descriptive 
columns for each civil penalty provision, and the last two columns 
setting forth the penalty amounts in effect on November 2, 2015 (the 
date of enactment of the 2015 Amendments) and the new adjusted civil 
penalty amounts taking effect for civil penalties assessed after August 
1, 2016, whose associated violations occurred after November 2, 2015. 
(The other columns in Table A, which show how the adjusted civil 
penalty amounts are calculated, are provided for informational purposes 
in this preamble, but are not being codified in the Code of Federal 
Regulations.) Those instances where the civil penalty amount for the 
initial adjustment is capped at 2.5 times the civil penalty amount 
currently in effect, as provided in the 2015 Amendments, are noted by 
footnote in the table in Sec.  85.5.\2\
---------------------------------------------------------------------------

    \2\ In rare instances, the adjusted civil penalty amount under 
this rule is less than the penalty amount currently in effect, 
because, in these cases, the use of rounders under the former law 
increased a particular penalty by an increment exceeding the actual 
rate of inflation. For example, in 2014, the Department published a 
rule increasing the $55,000 civil penalty for a first violation of 
the Servicemembers Civil Relief Act, 50 U.S.C. 4041(b)(3), by an 
increment of $5,000 to $60,000. 79 FR 17434-01 (Mar. 28, 2014). 
Under this rule, taking account of the actual rate of inflation 
since enactment, the civil penalty amount is adjusted slightly lower 
to $59,810.
---------------------------------------------------------------------------

    This rule adjusts for inflation civil monetary penalties within the 
jurisdiction of the Justice Department for purposes of the Inflation 
Adjustment Act, as amended. Other agencies are responsible for the 
inflation adjustments of certain other civil monetary penalties that 
the Department's litigating components bring suit to collect. The 
reader should consult the regulations of those other agencies for 
inflation adjustments to those penalties.

Effective Date of Adjusted Civil Penalty Amounts

    In this rule, the adjusted civil penalty amounts are applicable 
only to civil penalties assessed after August 1, 2016, whose associated 
violations occurred after November 2, 2015, the date of enactment of 
the 2015 Amendments. Therefore, violations occurring on or before 
November 2, 2015, and assessments made prior to August 1, 2016, whose 
associated violations occurred after November 2, 2015, will continue to 
be subject to the civil monetary penalty amounts set forth in the 
Department's existing regulations in 28 CFR parts 20, 22, 36, 68, 71, 
76 and 85 (or as set forth by statute if the amount has not yet been 
adjusted by regulation).

Statutory and Regulatory Analyses

Administrative Procedure Act, 5 U.S.C. 553

    The Attorney General is publishing this rule as an interim final 
rule, without prior notice and comment, as authorized by the 2015 
Amendments. The Department is providing a 60-day period for public 
comment after publication of this rule and welcomes public comment on 
the changes made to reflect the revised process for calculating 
inflation adjustments under the Inflation Adjustment Act, as amended by 
the 2015 Amendments.

Regulatory Flexibility Act

    Only those entities that are determined to have violated Federal 
law and regulations would be affected by the increase in the civil 
penalty amounts made by this rule. A Regulatory Flexibility Act 
analysis is not required for this rule because publication of a notice 
of proposed rulemaking is not required. See 5 U.S.C. 603(a).

Executive Orders 12866 and 13563--Regulatory Review

    This regulation has been drafted and reviewed in accordance with 
Executive Order 12866, ``Regulatory Planning and Review'' section 1(b), 
The Principles of Regulation, and in accordance with Executive Order 
13563, ``Improving Regulation and Regulatory Review'' section 1, 
General Principles of Regulation.
    The Department of Justice has determined that this rule is not a 
``significant regulatory action'' under Executive Order 12866, 
Regulatory Planning and Review, section 3(f), and accordingly this rule 
has not been reviewed by the Office of Management and Budget.
    Both Executive Orders 12866 and 13563 direct agencies, in certain 
circumstances, 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, distributive impacts, 
and equity). As stated above, the statute authorizes the Department, 
with the concurrence of the Director of the Office of Management and 
Budget, to make a determination in certain circumstances to increase a 
civil penalty by less than the otherwise required amount. However, the 
Department is not invoking that authority in this rule. The adjustments 
to existing civil monetary penalties set forth in this rule are 
calculated pursuant to the statutory formula.

Executive Order 13132--Federalism

    This rule will not have substantial direct effects on the States, 
on the relationship between the national government and the States, or 
on the distribution of power and responsibilities among the various 
levels of government. Therefore, in accordance with Executive Order 
13132, it is determined that this rule does not have sufficient 
federalism implications to warrant the preparation of a Federalism 
Assessment.

Executive Order 12988--Civil Justice Reform

    This regulation meets the applicable standards set forth in 
sections 3(a) and 3(b)(2) of Executive Order 12988.

Unfunded Mandates Reform Act of 1995

    This rule will not result in the expenditure by State, local, and 
tribal governments, in the aggregate, or by the private sector, of $100 
million or more in any one year, and it will not significantly or 
uniquely affect small governments. Therefore, no actions were deemed 
necessary under the provisions

[[Page 42499]]

of the Unfunded Mandates Reform Act of 1995.

Congressional Review Act

    This rule is not a major rule as defined by the Congressional 
Review Act, 5 U.S.C. 804. It will not result in an annual effect on the 
economy of $100 million or more; a major increase in costs or prices 
for consumers, individual industries, Federal, State, or local 
government agencies, or geographic regions; or significant adverse 
effects on competition, employment, investment, productivity, 
innovation, or on the ability of United States-based enterprises to 
compete with foreign-based enterprises in domestic and export markets.

List of Subjects

28 CFR Part 20

    Classified information, Crime, Intergovernmental relations, 
Investigations, Law Enforcement, Penalties, Privacy, Research, and 
Statistics.

28 CFR Part 22

    Crime, Juvenile delinquency, Penalties, Privacy, Research, and 
Statistics.

28 CFR Part 36

    Administrative practice and procedure, Alcoholism, Americans with 
disabilities, Buildings and facilities, Business and industry, Civil 
rights, Consumer protection, Drug abuse, Handicapped, Historic 
preservation, Individuals with disabilities, Penalties, Reporting and 
recordkeeping requirements.

28 CFR Part 68

    Administrative practice and procedure, Aliens, Citizenship and 
naturalization, Civil rights, Discrimination in employment, Employment, 
Equal employment opportunity, Immigration, Nationality, Non-
discrimination.

28 CFR Part 71

    Administrative practice and procedure, Claims, Fraud, Organization 
and function (Government agencies), Penalties.

28 CFR Part 76

    Administrative practice and procedure, Drug abuse, Drug traffic 
control, Penalties.

28 CFR Part 85

    Administrative practice and procedure, Penalties.

    Accordingly, for the reasons set forth in the preamble, chapter I 
of Title 28 of the Code of Federal Regulations is amended as follows:

PART 20--CRIMINAL JUSTICE INFORMATION SYSTEMS

0
1. The authority citation for part 20 continues to read as follows:

    Authority: 28 U.S.C. 534; Pub. L. 92-544, 86 Stat. 1115; 42 
U.S.C. 3711, et seq.; Pub. L. 99-169, 99 Stat. 1002, 1008-1011, as 
amended by Pub. L. 99-569, 100 Stat. 3190, 3196; Pub. L. 101-410, 
104 Stat. 890, as amended by Pub. L. 104-134, 110 Stat. 1321.


0
2. In Sec.  20.25, add after the first sentence a new sentence to read 
as follows:


Sec.  20.25  Penalties.

    * * * For civil penalties assessed after August 1, 2016, whose 
associated violations occurred after November 2, 2015, see the civil 
penalty amount as provided in 28 CFR 85.5. * * *

PART 22--CONFIDENTIALITY OF IDENTIFIABLE RESEARCH AND STATISTICAL 
INFORMATION

0
3. The authority citation for part 22 continues to read as follows:

    Authority: Secs. 801(a), 812(a), Omnibus Crime Control and Safe 
Streets Act of 1968, 42 U.S.C. 3701, et seq., as amended (Pub. L. 
90-351, as amended by Pub. L. 93-83, Pub. L. 93-415, Pub. L. 94-430, 
Pub. L. 94-503, Pub. L. 95-115, Pub. L. 96-157, and Pub. L. 98-473); 
secs. 262(b), 262(d), Juvenile Justice and Delinquency Prevention 
Act of 1974, 42 U.S.C. 5601, et seq., as amended (Pub. L. 93-415, as 
amended by Pub. L. 94-503, Pub. L. 95-115, Pub. L. 99-509, and Pub. 
L. 98-473); and secs. 1407(a) and 1407(d) of the Victims of Crime 
Act of 1984, 42 U.S.C. 10601, et seq., Pub. L. 98-473; Pub. L. 101-
410, 104 Stat. 890, as amended by Pub. L. 104-134, 110 Stat. 1321.


0
4. In Sec.  22.29 add a new sentence at the end to read as follows:


Sec.  22.29  Sanctions.

    * * * For civil penalties assessed after August 1, 2016, whose 
associated violations occurred after November 2, 2015, see the civil 
penalty amount as provided in 28 CFR 85.5.

PART 36--NONDISCRIMINATION ON THE BASIS OF DISABILITY BY PUBLIC 
ACCOMMODATIONS AND IN COMMERCIAL FACILITIES

0
5. The authority citation for part 36 continues to read as follows:

    Authority: 5 U.S.C. 301; 28 U.S.C. 509, 510; 42 U.S.C. 12188(b); 
Pub. L. 101-410, 104 Stat. 890, as amended by Pub. L. 104-134, 110 
Stat. 1321.


0
6. In Sec.  36.504, revise paragraphs (a)(3)(i) and (a)(3)(ii), to read 
as follows:


Sec.  36.504  Relief.

    (a) * * *
    (3) * * *
    (i) Not exceeding $50,000 for a first violation occurring before 
September 29, 1999, and not exceeding $55,000 for a first violation 
occurring on or after September 29, 1999, and before April 28, 2014, 
and not exceeding $75,000 for a first violation occurring on or after 
April 28, 2014, except that, for civil penalties assessed after August 
1, 2016, for a first violation occurring after November 2, 2015, the 
civil penalty shall not exceed the applicable amount set forth in 28 
CFR 85.5.
    (ii) Not exceeding $100,000 for any subsequent violation occurring 
before September 29, 1999, and not exceeding $110,000 for any 
subsequent violation occurring on or after September 29, 1999, and 
before April 28, 2014, and not exceeding $150,000 for any subsequent 
violation occurring on or after April 28, 2014, except that, for civil 
penalties assessed after August 1, 2016, for any subsequent violation 
occurring after November 2, 2015, the civil penalty shall not exceed 
the applicable amount set forth in 28 CFR 85.5.
* * * * *

PART 68--RULES OF PRACTICE AND PROCEDURE FOR ADMINISTRATIVE 
HEARINGS BEFORE ADMINISTRATIVE LAW JUDGES IN CASES INVOLVING 
ALLEGATIONS OF UNLAWFUL EMPLOYMENT OF ALIENS, UNFAIR IMMIGRATION-
RELATED EMPLOYMENT PRACTICES, AND DOCUMENT FRAUD

0
7. The authority citation for part 68 continues to read as follows:

    Authority:  5 U.S.C. 301, 554; 8 U.S.C. 1103, 1324a, 1324b, and 
1324c.


0
8. In Sec.  68.52, revise paragraphs (c)(8), (d)(2), and (e)(3), to 
read as follows:


Sec.  68.52  Final order of the Administrative Law Judge.

* * * * *
    (c) * * *
    (8) Civil penalties assessed after August 1, 2016. For civil 
penalties assessed after August 1, 2016, whose associated violations 
described in paragraph (c) of this section occurred after November 2, 
2015, the applicable civil penalty amounts are set forth in 28 CFR 
85.5.
* * * * *
    (d) * * *
    (2) Civil penalties assessed after August 1, 2016. For civil 
penalties assessed after August 1, 2016, whose associated violations 
described in paragraph (d) of this section occurred

[[Page 42500]]

after November 2, 2015, the applicable civil penalty amounts are set 
forth in 28 CFR 85.5.
* * * * *
    (e) * * *
    (3) Civil penalties assessed after August 1, 2016. For civil 
penalties assessed after August 1, 2016, whose associated violations 
described in paragraph (e) of this section occurred after November 2, 
2015, the applicable civil penalty amounts are set forth in 28 CFR 
85.5.
* * * * *

PART 71--IMPLEMENTATION OF THE PROVISIONS OF THE PROGRAM FRAUD 
CIVIL REMEDIES ACT OF 1986

0
9. The authority citation for part 71 continues to read as follows:

    Authority:  5 U.S.C. 301; 28 U.S.C. 509, 510; 31 U.S.C. 3801-
3812; Pub. L. 101-410, 104 Stat. 890, as amended by Pub. L. 104-134, 
110 Stat. 1321.


0
10. In Sec.  71.3, paragraph (a) introductory text and paragraph (f) 
introductory text are revised, to read as follows:


Sec.  71.3  Basis for civil penalties and assessments.

    (a) Any person shall be subject, in addition to any other remedy 
that may be prescribed by law, to a civil penalty of not more than 
$5,000 for each claim listed in paragraphs (a)(1) through (a)(4) of 
this section made before September 29, 1999, and not more than $5,500 
for each such claim made on or after September 29, 1999, and not more 
than the applicable amount as provided in 28 CFR 85.5 for civil 
penalties assessed after August 1, 2016, for each such claim made after 
November 2, 2015, if that person makes a claim that the person knows or 
has reason to know:
* * * * *
    (f) Any person shall be subject, in addition to any other remedy 
that may be prescribed by law, to a civil penalty of not more than 
$5,000 for each statement listed in paragraphs (f)(1) and (f)(2) of 
this section made before September 29, 1999, and not more than $5,500 
for each such statement made on or after September 29, 1999, and not 
more than the applicable amount as provided in 28 CFR 85.5 for civil 
penalties assessed after August 1, 2016 for each such statement made 
after November 2, 2015, if that person makes a written statement that:
* * * * *

PART 76--RULES OF PROCEDURE FOR ASSESSMENT OF CIVIL PENALTIES FOR 
POSSESSION OF CERTAIN CONTROLLED SUBSTANCES

0
11. The authority citation for part 76 continues to read as follows:

    Authority:  5 U.S.C. 301; 21 U.S.C. 844a, 875, 876; 28 U.S.C. 
509, 510; Pub. L. 101-410, 104 Stat. 890, as amended by Pub. L. 104-
134, 110 Stat. 1321.


0
12. In Sec.  76.3 add a new sentence at the end of paragraph (a) to 
read as follows:


Sec.  76.3  Basis for civil penalty.

    (a) * * * For civil penalties assessed after August 1, 2016, whose 
associated violations occurred after November 2, 2015, see the civil 
penalty amount as provided in 28 CFR 85.5.
* * * * *

PART 85--CIVIL MONETARY PENALTIES INFLATION ADJUSTMENT

0
13. The authority citation for part 85 is revised to read as follows:

    Authority: 5 U.S.C. 301, 28 U.S.C. 503; Pub. L. 101-410, 104 
Stat. 890, as amended by Pub. L. 104-134, 110 Stat. 1321; Pub. L. 
114-74, section 701, 28 U.S.C. 2461 note.


0
14. Revise Sec.  85.1 to read as follows:


Sec.  85.1  In general.

    (a) For violations occurring on or before November 2, 2015, and for 
civil penalties assessed before August 1, 2016, whose associated 
violations occurred after November 2, 2015, the civil monetary 
penalties provided by law within the jurisdiction of the Department of 
Justice and listed in section 85.3 are adjusted as set forth in that 
section, in accordance with the requirements of the Federal Civil 
Penalties Inflation Adjustment Act of 1990, Public Law 104-410, 104 
Stat. 890, in effect prior to November 2, 2015.
    (b) For civil penalties assessed after August 1, 2016, whose 
associated violations occurred after November 2, 2015, the civil 
monetary penalties provided by law within the jurisdiction of the 
Department of Justice are adjusted as set forth in section 85.5, in 
accordance with the requirements of the Bipartisan Budget Act of 2015, 
Public Law 114-74, section 701 (Nov. 2, 2015), 28 U.S.C. 2461 note.

Sec.  85.2  [Removed and reserved]

0
15. Remove and reserve Sec.  85.2.


0
16. In Sec.  85.3, revise the heading and the introductory text to read 
as follows:


Sec.  85.3  Adjustments to penalties for violations occurring on or 
before November 2, 2015.

    For all violations occurring on or before November 2, 2015, and for 
assessments made before August 1, 2016, for violations occurring after 
November 2, 2015, the civil monetary penalties provided by law within 
the jurisdiction of the respective components of the Department, as set 
forth in paragraphs (a) through (d) of this section, are adjusted as 
provided in this section in accordance with the inflation adjustment 
procedures prescribed in section 5 of the Federal Civil Penalties 
Inflation Adjustment Act of 1990, Public Law 101-410, as in effect 
prior to November 2, 2015. The adjusted penalties set forth in 
paragraphs (a), (c), and (d) of this section are effective for 
violations occurring on or after September 29, 1999, and on or before 
November 2, 2015, and for assessments made before August 1, 2016, for 
violations occurring after November 2, 2015. For civil penalties 
assessed after August 1, 2016, whose associated violations occurred 
after November 2, 2015, see the adjusted penalty amounts in section 
85.5.
* * * * *


0
17. Add Sec.  85.5 to read as follows:


Sec.  85.5  Adjustments to penalties for violations occurring after 
November 2, 2015.

    For civil penalties assessed after August 1, 2016, whose associated 
violations occurred after November 2, 2015, the civil monetary 
penalties provided by law within the jurisdiction of the Department are 
adjusted as set forth in the following table.

----------------------------------------------------------------------------------------------------------------
                                                                         DOJ Penalty as of 11/2/ New DOJ penalty
        U.S.C. Citation            Name/Description      CFR Citation          15  ($) \1\             \2\
----------------------------------------------------------------------------------------------------------------
                                                       ATF
----------------------------------------------------------------------------------------------------------------
18 U.S.C. 922(t)(5)...........  Brady Law--Nat'l       ................  5,000.................  8,162
                                 Instant Criminal
                                 Check System;
                                 Transfer of firearm
                                 without checking
                                 NICS.

[[Page 42501]]

 
18 U.S.C. 924(p)..............  Child Safety Lock      ................  2,500.................  2,985
                                 Act; Secure gun
                                 storage or safety
                                 device, violation.
----------------------------------------------------------------------------------------------------------------
                                                 Civil Division
----------------------------------------------------------------------------------------------------------------
12 U.S.C. 1833a(b)(1).........  Financial              28 CFR            1,100,000.............  1,893,610
                                 Institutions Reform,   85.3(a)(6).
                                 Recovery, and
                                 Enforcement Act
                                 (FIRREA) Violation.
12 U.S.C. 1833a(b)(2).........  FIRREA Violation       28 CFR            1,100,000.............  1,893,610
                                 (continuing) (per      85.3(a)(7).
                                 day).
12 U.S.C. 1833a(b)(2).........  FIRREA Violation       28 CFR            5,500,000.............  9,468,050
                                 (continuing).          85.3(a)(7).
22 U.S.C. 2399b(a)(3)(A)......  Foreign Assistance     28 CFR            2,200.................  5,500 **
                                 Act; Fraudulent        85.3(a)(8).
                                 Claim for Assistance
                                 (per act).
31 U.S.C. 3729(a).............  False Claims Act; \3\  28 CFR            Min, 5,500............  Min. 10,781
                                 Violations.            85.3(a)(9).
                                                                         Max. 11,000...........  Max. 21,563
31 U.S.C. 3802(a)(1)..........  Program Fraud Civil    28 CFR 71.3(a)..  5,500.................  10,781
                                 Remedies Act;
                                 Violations Involving
                                 False Claim (per
                                 claim).
31 U.S.C. 3802(a)(2)..........  Program Fraud Civil    28 CFR 71.3(f)..  5,500.................  10,781
                                 Remedies Act;
                                 Violation Involving
                                 False Statement (per
                                 statement).
40 U.S.C. 123(a)(1)(A)........  Federal Property and   28 CFR            2,200.................  5,500 **
                                 Administrative         85.3(a)(12).
                                 Services Act;
                                 Violation Involving
                                 Surplus Government
                                 Property (per act).
41 U.S.C. 8706(a)(1)(B).......  Anti-Kickback Act;     28 CFR            11,000................  21,563
                                 Violation Involving    85.3(a)(13).
                                 Kickbacks \4\ (per
                                 occurrence).
18 U.S.C. 2723(b).............  Driver's Privacy       ................  5,000.................  7,954
                                 Protection Act of
                                 1994; Prohibition on
                                 Release and Use of
                                 Certain Personal
                                 Information from
                                 State Motor Vehicle
                                 Records--Substantial
                                 Non-compliance (per
                                 day).
18 U.S.C. 216(b)..............  Ethics Reform Act of   28 CFR 85.3(c)..  55,000................  94,681
                                 1989; Penalties for
                                 Conflict of Interest
                                 Crimes \5\ (per
                                 violation).
41 U.S.C. 2105(b)(1)..........  Office of Federal      ................  50,000................  98,935
                                 Procurement Policy
                                 Act; \6\ Violation
                                 by an individual
                                 (per violation).
41 U.S.C. 2105(b)(2)..........  Office of Federal      ................  500,000...............  989,345
                                 Procurement Policy
                                 Act; \6\ Violation
                                 by an organization
                                 (per violation).
42 U.S.C. 5157(d).............  Disaster Relief Act    ................  5,000.................  12,500 **
                                 of 1974;\7\
                                 Violation (per
                                 violation).
----------------------------------------------------------------------------------------------------------------
                         Civil Rights Division (excluding immigration-related penalties)
----------------------------------------------------------------------------------------------------------------
18 U.S.C. 248(c)(2)(B)(i).....  Freedom of Access to   28 CFR            16,000................  15,909
                                 Clinic Entrances Act   85.3(b)(1)(i).
                                 of 1994 (``FACE
                                 Act''); Nonviolent
                                 physical
                                 obstruction, first
                                 violation.
18 U.S.C. 248(c)(2)(B)(ii)....  FACE Act; Nonviolent   28 CFR            16,500................  23,863
                                 physical               85.3(b)(1)(ii).
                                 obstruction,
                                 subsequent violation.
18 U.S.C. 248(c)(2)(B)(i).....  FACE Act; Violation    28 CFR            16,500................  23,863
                                 other than a           85.3(b)(2)(i).
                                 nonviolent physical
                                 obstruction, first
                                 violation.
18 U.S.C. 248(c)(2)(B)(ii)....  FACE Act; Violation    28 CFR            37,500................  39,772
                                 other than a           85.3(b)(2)(ii).
                                 nonviolent physical
                                 obstruction,
                                 subsequent violation.
42 U.S.C. 3614(d)(1)(C)(i)....  Fair Housing Act of    28 CFR            75,000................  98,935
                                 1968; first            85.3(b)(3)(i).
                                 violation.
42 U.S.C. 3614(d)(1)(C)(ii)...  Fair Housing Act of    28 CFR            150,000...............  197,869
                                 1968; subsequent       85.3(b)(3)(ii).
                                 violation.
42 U.S.C. 12188(b)(2)(C)(i)...  Americans With         28 CFR            75,000................  89,078
                                 Disabilities Act;      36.504(a)(3)(i).
                                 Public
                                 accommodations for
                                 individuals with
                                 disabilities, first
                                 violation.
42 U.S.C. 12188(b)(2)(C)(ii)..  Americans With         28 CFR            150,000...............  178,156
                                 Disabilities Act;      36.504(a)(3)(ii
                                 Public                 ).
                                 accommodations for
                                 individuals with
                                 disabilities,
                                 subsequent violation.
50 U.S.C. App. 597(b)(3)......  Servicemembers Civil   28 CFR            60,000................  59,810
                                 Relief Act of 2003;    85.3(b)(4)(i).
                                 first violation.
50 U.S.C. App. 597(b)(3)......  Servicemembers Civil   28 CFR            120,000...............  119,620
                                 Relief Act of 2003;    85.3(b)(4)(ii).
                                 subsequent violation.
----------------------------------------------------------------------------------------------------------------
                                                Criminal Division
----------------------------------------------------------------------------------------------------------------
18 U.S.C. 983(h)(1)...........  Civil Asset            ................  Min. 250..............  Min. 342
                                 Forfeiture Reform
                                 Act of 2000; Penalty
                                 for Frivolous
                                 Assertion of Claim.
                                                                         Max. 5,000............  Max. 6,834
18 U.S.C. 1956(b).............  Money Laundering       ................  10,000................  21,563
                                 Control Act of 1986;
                                 Violation \8\.
----------------------------------------------------------------------------------------------------------------
                                                       DEA
----------------------------------------------------------------------------------------------------------------
21 U.S.C. 844a(a).............  Anti-Drug Abuse Act    28 CFR 76.3(a)..  11,000................  19,787
                                 of 1988; Possession
                                 of small amounts of
                                 controlled
                                 substances (per
                                 violation).
21 U.S.C. 961(1)..............  Controlled Substance   28 CFR 85.3(d)..  27,500................  68,750 **
                                 Import Export Act;
                                 Drug abuse, import
                                 or export.

[[Page 42502]]

 
21 U.S.C. 842(c)(1)(A)........  Controlled Substances  ................  25,000................  62,500 **
                                 Act (``CSA'');
                                 Violations of
                                 842(a)--other than
                                 (5), (10) and (16)--
                                 Prohibited acts re:
                                 controlled
                                 substances (per
                                 violation).
21 U.S.C. 842(c)(1)(B)........  CSA; Violations of     ................  10,000................  14,502
                                 842(a)(5) and (10)--
                                 Prohibited acts re:
                                 controlled
                                 substances.
21 U.S.C. 842(c)(1)(C)........  CSA; Violation of      ................  500,000...............  500,855
                                 825(e) by importer,
                                 exporter,
                                 manufacturer, or
                                 distributor--False
                                 labeling of anabolic
                                 steroids (per
                                 violation).
21 U.S.C. 842(c)(1)(D)........  CSA; Violation of      ................  1,000.................  1,002
                                 825(e) at the retail
                                 level--False
                                 labeling of anabolic
                                 steroids (per
                                 violation).
21 U.S.C. 842(c)(2)(C)........  CSA; Violation of      ................  250,000...............  375,613
                                 842(a)(11) by a
                                 business--Distributi
                                 on of laboratory
                                 supply with reckless
                                 disregard \9\.
21 U.S.C. 856(d)..............  Illicit Drug Anti-     ................  250,000...............  321,403
                                 Proliferation Act of
                                 2003; Maintaining
                                 drug-involved
                                 premises \10\.
----------------------------------------------------------------------------------------------------------------
                                          Immigration-Related Penalties
----------------------------------------------------------------------------------------------------------------
8 U.S.C. 1324a(e)(4)(A)(i)....  Immigration Reform     28 CFR            Min. 375..............  Min. 539
                                 and Control Act of     68.52(c)(1)(i).
                                 1986 (``IRCA'');
                                 Unlawful employment
                                 of aliens, first
                                 order (per
                                 unauthorized alien).
                                                                         Max 3,200.............  Max. 4,313
8 U.S.C. 1324a(e)(4)(A)(ii)...  IRCA; Unlawful         28 CFR            Min. 3,200............  Min. 4,313
                                 employment of          68.52(c)(1)(ii).
                                 aliens, second order
                                 (per such alien).
                                                                         Max. 6,500............  Max. 10,781
8 U.S.C. 1324a(e)(4)(A)(iii)..  IRCA; Unlawful         28 CFR            Min. 4,300............  Min. 6,469
                                 employment of          68.52(c)(1)(iii
                                 aliens, subsequent     ).
                                 order (per such
                                 alien).
                                                                         Max. 16,000...........  Max. 21,563
8 U.S.C. 1324a(e)(5)..........  IRCA; Paperwork        28 CFR            Min. 110..............  Min. 216
                                 violation (per         68.52(c)(5).
                                 relevant individual).
                                .....................  ................  Max. 1,100............  Max. 2,156
8 U.S.C. 1324a (note).........  IRCA; Violation        28 CFR            Min. 550..............  Min. 751
                                 relating to            68.52(c)(6).
                                 participating
                                 employer's failure
                                 to notify of final
                                 nonconfirmation of
                                 employee's
                                 employment
                                 eligibility (per
                                 relevant individual).
                                                                         Max. 1,100............  Max. 1,502
8 U.S.C. 1324a(g)(2)..........  IRCA; Violation/       28 CFR            1,100.................  2,156
                                 prohibition of         68.52(c)(7).
                                 indemnity bonds (per
                                 violation).
8 U.S.C. 1324b(g)(2)(B)(iv)(I)  IRCA; Unfair           28 CFR            Min, 375..............  Min. 445
                                 immigration-related    68.52(d)(1)(vii
                                 employment             i).
                                 practices, first
                                 order (per
                                 individual
                                 discriminated
                                 against).
                                                                         Max. 3,200............  Max. 3,563
8 U.S.C.                        IRCA; Unfair           28 CFR            Min. 3,200............  Min. 3,563
 1324b(g)(2)(B)(iv)(II).         immigration-related    68.52(d)(1)(ix).
                                 employment
                                 practices, second
                                 order (per
                                 individual
                                 discriminated
                                 against).
                                                                         Max. 6,500............  Max. 8,908
8 U.S.C.                        IRCA; Unfair           28 CFR            Min. 4,300............  Min. 5,345
 1324b(g)(2)(B)(iv)(III).        immigration-related    68.52(d)(1)(x).
                                 employment
                                 practices,
                                 subsequent order
                                 (per individual
                                 discriminated
                                 against).
                                                                         Max. 16,000...........  Max. 17,816
8 U.S.C.                        IRCA; Unfair           28 CFR            Min. 110..............  Min. 178
 1324b(g)(2)(B)(iv)(IV).         immigration-related    68.52(d)(1)(xii
                                 employment             ).
                                 practices, document
                                 abuse (per
                                 individual
                                 discriminated
                                 against).
                                                                         Max. 1,100............  Max. 1,782
8 U.S.C. 1324c(d)(3)(A).......  IRCA; Document fraud,  28 CFR            Min. 375..............  Min. 445
                                 first order--for       68.52(e)(1)(i).
                                 violations described
                                 in U.S.C.
                                 1324c(a)(1)-(4) (per
                                 document).
                                                                         Max. 3,200............  Max. 3,563
8 U.S.C. 1324c(d)(3)(B).......  IRCA; Document fraud,  28 CFR            Min. 3,200............  Min. 3,563
                                 subsequent order--     68.52(e)(1)(iii
                                 for violations         ).
                                 described in U.S.C.
                                 1324c(a)(1)-(4) (per
                                 document).
                                                                         Max. 6,500............  Max. 8,908
8 U.S.C. 1324c(d)(3)(A).......  IRCA; Document fraud,  28 CFR            Min. 275..............  Min. 376
                                 first order--for       68.52(e)(1)(ii).
                                 violations described
                                 in U.S.C.
                                 1324c(a)(5)-(6) (per
                                 document).
                                                                         Max. 2,200............  Max. 3,005
8 U.S.C. 1324c(d)(3)(B).......  IRCA; Document fraud,  28 CFR            Min. 2,200............  Min. 3,005
                                 subsequent order--     68.52(e)(1)(iv).
                                 for violations
                                 described in U.S.C.
                                 1324c(a)(5)-(6) (per
                                 document).
                                                                         Max. 5,500............  Max. 7,512
----------------------------------------------------------------------------------------------------------------
                                                       FBI
----------------------------------------------------------------------------------------------------------------
49 U.S.C. 30505(a)............  National Motor         ................  1,000.................  1,591
                                 Vehicle Title
                                 Identification
                                 System; Violation
                                 (per violation).
----------------------------------------------------------------------------------------------------------------

[[Page 42503]]

 
                                           Office of Justice Programs
----------------------------------------------------------------------------------------------------------------
42 U.S.C. 3789g(d)............  Confidentiality of     28 CFR 20.25....  11,000................  27,500 **
                                 information; State
                                 and Local Criminal
                                 History Record
                                 Information Systems--
                                 Right to Privacy
                                 Violation.
----------------------------------------------------------------------------------------------------------------
** Adjusted penalty capped at 2.5 times the penalty amount in effect on November 2, 2015, the date of enactment
  of the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015, Public Law 114-74, sec. 701
  (``2015 Amendments''). See id. Sec.   701(b)(2) (amending section 5(b)(2)(C) of the Federal Civil Penalties
  Inflation Adjustment Act of 1990 (28 U.S.C. 2461 note) to provide that the amount of the first inflation
  adjustment after the date of enactment of the 2015 Amendments ``shall not exceed 150 percent of the amount of
  that civil monetary penalty on the date of enactment of the [2015 Amendments].'').
\1\ The figures set forth in this column represent the penalty as last adjusted by Department of Justice
  regulation or statute as of November 2, 2015.
\2\ All figures set forth in this table are maximum penalties, unless otherwise indicated.
\3\ Section 3729(a)(1) of Title 31 states that any person who violates this section ``is liable to the United
  States Government for a civil penalty of not less than $5,000 and not more than $10,000, as adjusted by the
  Federal Civil Penalties Inflation Adjustment Act of 1990, plus 3 times the amount of damages which the
  Government sustains because of the act of that person.'' 31 U.S.C. 3729(a)(1) (2012) (citation omitted).
  Section 3729(a)(2) permits the court to reduce the damages under certain circumstances to ``not less than 2
  times the amount of damages which the Government sustains because of the act of that person.'' Id. Sec.
  3729(a)(2). The adjustment made by this regulation is only applicable to the specific statutory penalty
  amounts stated in subsection (a)(1), which is only one component of the civil penalty imposed under section
  3729(a)(1).
\4\ Section 8706(a)(1) of Title 41 states that ``[t]he Federal Government in a civil action may recover from a
  person--(1) that knowingly engages in conduct prohibited by section 8702 of this title a civil penalty equal
  to--(A) twice the amount of each kickback involved in the violation; and (B) not more than $10,000 for each
  occurrence of prohibited conduct . . . .'' 41 U.S.C. 8706(a)(1) (2012). The adjustment made by this regulation
  is only applicable to the specific statutory penalty amount stated in subsection (a)(1)(B), which is only one
  component of the civil penalty imposed under section 8706.
\5\ Section 216(b) of Title 18 states the civil penalty should be no ``more than $50,000 for each violation or
  the amount of compensation which the person received or offered for the prohibited conduct, whichever amount
  is greater.'' 18 U.S.C. 216(b) (2012). Therefore, the adjustment made by this regulation is only applicable to
  the specific statutory penalty amount stated in subsection (b), which is only one aspect of the possible civil
  penalty imposed under Sec.   216(b).
\6\ Section 2105(b) of Title 41 states, ``(b) Civil penalties.--The Attorney General may bring a civil action in
  an appropriate district court of the United States against a person that engages in conduct that violates
  section 2102, 2103, or 2104 of this title. On proof of that conduct by a preponderance of the evidence--(1) an
  individual is liable to the Federal Government for a civil penalty of not more than $50,000 for each violation
  plus twice the amount of compensation that the individual received or offered for the prohibited conduct; and
  (2) an organization is liable to the Federal Government for a civil penalty of not more than $500,000 for each
  violation plus twice the amount of compensation that the organization received or offered for the prohibited
  conduct.'' 41 U.S.C. 2105(b) (2012). The adjustments made by this regulation are only applicable to the
  specific statutory penalty amounts stated in subsections (b)(1) and (b)(2), which are each only one component
  of the civil penalties imposed under sections 2105(b)(1) and (b)(2).
\7\ The Attorney General has authority to bring a civil action when a person has violated or is about to violate
  a provision under this statute. 42 U.S.C. 5157(b) (2012)). The Federal Emergency Management Agency has
  promulgated regulations regarding this statute and has adjusted the penalty in its regulation. 44 CFR
  206.14(d) (2015). The Department of Health and Human Services (HHS) has also promulgated a regulation
  regarding the penalty under this statute. 42 CFR 38.8 (2015).
\8\ Section 1956(b)(1) of Title 18 states that ``[w]hoever conducts or attempts to conduct a transaction
  described in subsection (a)(1) or (a)(3), or section 1957, or a transportation, transmission, or transfer
  described in subsection (a)(2), is liable to the United States for a civil penalty of not more than the
  greater of--(A) the value of the property, funds, or monetary instruments involved in the transaction; or (B)
  $10,000.'' 18 U.S.C. 1956(b)(1) (2012). The adjustment made by this regulation is only applicable to the
  specific statutory penalty amount stated in subsection (b)(1)(B), which is only one aspect of the possible
  civil penalty imposed under section 1956(b).
\9\ Section 842(c)(2)(C) of Title 21 states that ``[i]n addition to the penalties set forth elsewhere in this
  subchapter or subchapter II of this chapter, any business that violates paragraph (11) of subsection (a) of
  this section shall, with respect to the first such violation, be subject to a civil penalty of not more than
  $250,000, but shall not be subject to criminal penalties under this section, and shall, for any succeeding
  violation, be subject to a civil fine of not more than $250,000 or double the last previously imposed penalty,
  whichever is greater.'' 21 U.S.C. 842(c)(2)(C) (2012). The adjustment made by this regulation regarding the
  penalty for a succeeding violation is only applicable to the specific statutory penalty amount stated in
  subsection (c)(2)(C), which is only one aspect of the possible civil penalty for a succeeding violation
  imposed under section 842(c)(2)(C).
\10\ Section 856(d)(1) of Title 21 states that ``(1) Any person who violates subsection (a) of this section
  shall be subject to a civil penalty of not more than the greater of--(A) $250,000; or (B) 2 times the gross
  receipts, either known or estimated, that were derived from each violation that is attributable to the
  person.'' 21 U.S.C. 856(d)(1) (2012). The adjustment made by this regulation is only applicable to the
  specific statutory penalty amount stated in subsection (d)(1)(A), which is only one aspect of the possible
  civil penalty imposed under section 856(d)(1).


    Dated: June 24, 2016.
Loretta E. Lynch,
Attorney General.
[FR Doc. 2016-15528 Filed 6-29-16; 8:45 am]
 BILLING CODE 4410-19-P