[Federal Register Volume 84, Number 80 (Thursday, April 25, 2019)]
[Notices]
[Page 17410]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-08374]
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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 June 24, 2019.
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 website and in the Federal
Register. The cap automatically adjusts every two years after the date
the cap reached $30 million (April 2, 2015), based on changes in the
U.S. Bureau of Labor Statistics' (BLS) Consumer Price Index for all
Urban Consumers (CPI-U), and is rounded to the nearest $1 million.
The formula used to determine the percent change is as follows:
[GRAPHIC] [TIFF OMITTED] TN25AP19.024
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:
[GRAPHIC] [TIFF OMITTED] TN25AP19.025
The index percent change for use in 2019 was calculated to be 5.945
and the Adjusted Cap was calculated to be $31.8 million. The Adjusted
Cap rounded to the nearest $1 million is $32 million. The current cap
of $30 million remains in effect until the Adjusted Cap of $32 million
becomes effective. Thereafter and until the next adjustment, the cap
for financial responsibility for indemnification of passengers for
nonperformance of transportation shall increase to $32 million. The
next adjustment will be conducted in 2021.
Rachel Dickon,
Secretary.
[FR Doc. 2019-08374 Filed 4-24-19; 8:45 am]
BILLING CODE 6731-AA-P