[Federal Register Volume 82, Number 36 (Friday, February 24, 2017)]
[Notices]
[Pages 11574-11575]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-03650]


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FEDERAL MARITIME COMMISSION


Financial Responsibility for Indemnification of Passengers for 
Nonperformance of Transportation--Cap Adjustment

AGENCY: Federal Maritime Commission.

ACTION: Notice.

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DATES: The Adjusted Cap amount will be effective April 25, 2017.

FOR FURTHER INFORMATION CONTACT: Sandra L. Kusumoto, Director, Bureau 
of Certification and Licensing, 202-523-5787, [email protected].

SUPPLEMENTARY INFORMATION: In accordance with the Final Rule published 
in the Federal Register (FR) of February 27, 2013 (78 FR 13268), the 
Director, Bureau of Certification and Licensing is required to 
calculate the Adjusted Cap amount for Financial Responsibility for 
Indemnification of Passengers for Nonperformance of Transportation and 
transmit that information to the Commission's Office of the Secretary 
for publication on the Commission's Web site and in the Federal 
Register. The cap will automatically adjust every two years after the 
cap on required financial responsibility reaches $30 million, which it 
did on April 2, 2015, and will be rounded to the nearest $1 million 
based on changes in the U.S. Bureau of Labor Statistics's (BLS) 
Consumer Price Index for all Urban Consumers (CPI-U).
    The formula used to determine the percent change is as follows:
    [GRAPHIC] [TIFF OMITTED] TN24FE17.004
    
Based on the percent change calculated, the Escalation Formula for the 
cap adjustment is calculated. The formula uses a Base Cap of $30 
million set from April 2, 2015, as the cap upon which all subsequent 
cap adjustment calculations will be determined. The calculation for the 
Adjusted Cap is then rounded to the nearest $1 million. The following 
is the Escalation Formula used to determine the Adjusted Cap:

[[Page 11575]]

[GRAPHIC] [TIFF OMITTED] TN24FE17.005

    The index percent change for use in 2017 was calculated to be 1.26 
and the Adjusted Cap was calculated to be $30.4 million. The Adjusted 
Cap rounded to the nearest $1 million is $30 million. For 2017 and 
2018, the cap for Financial Responsibility for Indemnification of 
Passengers for Nonperformance of Transportation shall remain at $30 
million. The next adjustment will be conducted in 2019 and will 
continue to use $30 million as the Base Cap for adjustment.

Rachel E. Dickon,
Assistant Secretary.
[FR Doc. 2017-03650 Filed 2-23-17; 8:45 am]
 BILLING CODE 6731-AA-P