[Federal Register Volume 84, Number 26 (Thursday, February 7, 2019)]
[Rules and Regulations]
[Pages 2459-2460]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-01429]


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FEDERAL MARITIME COMMISSION

46 CFR Part 506

[Docket No. 19-01]
RIN 3072-AC74


Inflation Adjustment of Civil Monetary Penalties

AGENCY: Federal Maritime Commission.

ACTION: Final rule.

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SUMMARY: The Commission is publishing its adjustments to inflation 
annually, pursuant to the Federal Civil Penalties Inflation Adjustment 
Act Improvements Act of 2015 (2015 Act). The 2015 Act requires that 
agencies adjust and publish their civil penalties by January 15 each 
year.

DATES: This rule is effective on February 7, 2019, and is applicable 
beginning January 15, 2019.

FOR FURTHER INFORMATION CONTACT: Tyler Wood, General Counsel, Federal 
Maritime Commission, 800 North Capitol Street NW, Room 1018, 
Washington, DC 20573; (202) 523-5740.

SUPPLEMENTARY INFORMATION: This rule adjusts the civil monetary 
penalties assessable by the Commission in accordance with the 2015 Act, 
which became effective on November 2, 2015, Sec.  701 of Public Law 
114-74. The 2015 Act further amended the Federal Civil Penalties 
Inflation Adjustment Act of 1990 (FCPIAA), Public Law 101-410, 104 
Stat. 890 (codified as amended at 28 U.S.C. 2461 note), in order to 
improve the effectiveness of civil monetary penalties and to maintain 
their deterrent effect.
    The 2015 Act requires agencies to adjust civil monetary penalties 
under their jurisdiction by January 15 each year, based on changes in 
the consumer price index (CPI-U) using data from October in the 
previous calendar year. On December 14, 2018, the Office of Management 
and Budget published guidance stating that the CPI-U multiplier for 
October 2018 is 1.02522.\1\ In order to complete the adjustment for 
January 2019, the Commission must multiply the most recent civil 
penalty amounts in 46 CFR part 506.
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    \1\ Office of Management and Budget, M-19-04, Implementation of 
Penalty Inflation Adjustments for 2019, Pursuant to the Federal 
Civil Penalties Inflation Adjustment Act Improvements Act of 2015, 
at 1 (Dec. 14, 2018) (M-19-04).
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Rulemaking Analyses and Notices

Notice and Effective Date

    Adjustments under the FCPIAA, as amended by the 2015 Act, are not 
subject to the procedural rulemaking requirements of the Administrative 
Procedure Act (APA) (5 U.S.C. 553), including the requirements for 
prior notice, an opportunity for comment, and a delay between the 
issuance of a final rule and its effective date.\2\ As noted above, the 
2015 Act requires that the Commission adjust its civil monetary 
penalties no later than January 15 of each year.
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    \2\ FCPIAA section 4(b)(2); M-19-04 at 4.
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Congressional Review Act

    The rule is not a ``major rule'' as defined by the Congressional 
Review Act, codified at 5 U.S.C. 801 et seq. The rule will not result 
in: (1) An annual effect on the economy of $100,000,000 or more; (2) a 
major increase in costs or prices; or (3) significant adverse effects 
on competition, employment, investment, productivity, innovation, or 
the ability of United States-based companies to compete with foreign-
based companies. 5 U.S.C. 804(2).

Regulatory Flexibility Act

    The Regulatory Flexibility Act (codified as amended at 5 U.S.C. 
601-612) provides that whenever an agency promulgates a final rule 
after being required to publish a notice of proposed rulemaking under 
the APA (5 U.S.C. 553), the agency must prepare and make available a 
final regulatory flexibility analysis (FRFA) describing the impact of 
the rule on small entities. 5 U.S.C. 604. As indicated above, this 
final rule is not subject to the APA's notice and comment requirements, 
and the Commission is not required to prepare

[[Page 2460]]

an FRFA in conjunction with this final rule.

Paperwork Reduction Act

    The Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3521) requires 
an agency to seek and receive approval from the Office of Management 
and Budget (OMB) before collecting information from the public. 44 
U.S.C. 3507. The agency must submit collections of information in rules 
to OMB in conjunction with the publication of the notice of proposed 
rulemaking. 5 CFR 1320.11. This final rule does not contain any 
collections of information, as defined by 44 U.S.C. 3502(3) and 5 CFR 
1320.3(c).

Regulation Identifier Number

    The Commission assigns a regulation identifier number (RIN) to each 
regulatory action listed in the Unified Agenda of Federal Regulatory 
and Deregulatory Actions (Unified Agenda). The Regulatory Information 
Service Center publishes the Unified Agenda in April and October of 
each year. You may use the RIN contained in the heading at the 
beginning of this document to find this action in the Unified Agenda, 
available at: http://www.reginfo.gov/public/do/eAgendaMain.

List of Subjects in 46 CFR Part 506

    Administrative practice and procedure, Penalties.

    For the reasons stated in the preamble, part 506 of title 46 of the 
Code of Federal Regulations is amended as follows:

PART 506--CIVIL MONETARY PENALTY INFLATION ADJUSTMENT

0
1. The authority citation for part 506 continues to read as follows:

    Authority:  28 U.S.C. 2461.


0
2. Amend Sec.  506.4 by revising paragraph (d) to read as follows:


Sec.  506.4  Cost of living adjustments of civil monetary penalties.

* * * * *
    (d) Inflation adjustment. Maximum Civil Monetary Penalties within 
the jurisdiction of the Federal Maritime Commission are adjusted for 
inflation as follows:

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                                                                             Maximum penalty    Maximum penalty
         United States code citation              Civil monetary penalty    as of January 15,  as of January 15,
                                                       description                 2018               2019
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46 U.S.C. 42304..............................  Adverse impact on U.S.               2,052,107          2,103,861
                                                carriers by foreign
                                                shipping practices.
46 U.S.C. 41107(a)...........................  Knowing and Willful                     58,562             60,039
                                                violation/Shipping Act of
                                                1984, or Commission
                                                regulation or order.
46 U.S.C. 41107(b)...........................  Violation of Shipping Act               11,712             12,007
                                                of 1984, Commission
                                                regulation or order, not
                                                knowing and willful.
46 U.S.C. 41108(b)...........................  Operating in foreign                   117,125            120,079
                                                commerce after tariff
                                                suspension.
46 U.S.C. 42104..............................  Failure to provide required              9,239              9,472
                                                reports, etc./Merchant
                                                Marine Act of 1920.
46 U.S.C. 42106..............................  Adverse shipping conditions/         1,847,663          1,894,261
                                                Merchant Marine Act of
                                                1920.
46 U.S.C. 42108..............................  Operating after tariff or               92,383             94,713
                                                service contract
                                                suspension/Merchant Marine
                                                Act of 1920.
46 U.S.C. 44102..............................  Failure to establish               23,335, 778        23,924, 798
                                                financial responsibility
                                                for non-performance of
                                                transportation.
46 U.S.C. 44103..............................  Failure to establish               23,335, 778        23,924, 798
                                                financial responsibility
                                                for death or injury.
31 U.S.C. 3802(a)(1).........................  Program Fraud Civil                     11,181             11,463
                                                Remedies Act/makes false
                                                claim.
31 U.S.C. 3802(a)(2).........................  Program Fraud Civil                     11,181             11,463
                                                Remedies Act/giving false
                                                statement.
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    By the Commission.
 Rachel Dickon,
Secretary.
[FR Doc. 2019-01429 Filed 2-6-19; 8:45 am]
 BILLING CODE 6731-AA-P