[Federal Register Volume 89, Number 67 (Friday, April 5, 2024)]
[Rules and Regulations]
[Pages 23908-23911]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-07205]


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DEPARTMENT OF THE INTERIOR

Office of Surface Mining Reclamation and Enforcement

30 CFR Parts 723, 724, 845, and 846

RIN 1029-AC86
[Docket ID: OSM 2024-0001; S1D1S SS08011000 SX064A000 245S180110; 
S2D2SSS08011000 SX064A00 24XS501520]


Civil Monetary Penalty Inflation Adjustments

AGENCY: Office of Surface Mining Reclamation and Enforcement, Interior.

ACTION: Final rule.

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SUMMARY: Pursuant to the Federal Civil Penalties Inflation Adjustment 
Act Improvements Act of 2015 (2015 Act), which further amended the 
Federal Civil Penalties Inflation Adjustment Act of 1990 (1990 Act), 
and Office of Management and Budget guidance, this rule adjusts for 
inflation the level of civil monetary penalties assessed under the 
Surface Mining Control and Reclamation Act of 1977 (SMCRA) and its 
implementing regulations.

DATES: Effective April 5, 2024.

FOR FURTHER INFORMATION CONTACT: Khalia A. Boyd, Office of Surface 
Mining Reclamation and Enforcement, 1849 C Street NW, Mail Stop 4558, 
Washington, DC 20240; Telephone (202) 208-2823. Email: [email protected].

SUPPLEMENTARY INFORMATION:

Table of Contents

I. Background
    A. The Federal Civil Penalties Inflation Adjustment Act 
Improvements Act of 2015
    B. Calculation of Adjustments
    C. Effect of the Rule in Federal Program States and on Indian 
Lands
    D. Effect of the Rule on Approved State Programs
II. Procedural Matters
    A. Regulatory Planning and Review (Executive Orders 14094, 12866 
and 13563)
    B. Regulatory Flexibility Act
    C. Congressional Review Act
    D. Unfunded Mandates Reform Act
    E. Takings (Executive Order 12630)
    F. Federalism (Executive Order 13132)
    G. Civil Justice Reform (Executive Order 12988)
    H. Consultation With Indian Tribes (Executive Order 13175 and 
Departmental Policy)
    I. Paperwork Reduction Act
    J. National Environmental Policy Act
    K. Effects on Energy Supply, Distribution, and Use (Executive 
Order 13211)
    L. Administrative Procedure Act
    M. National Technology Transfer and Advancement Act
    N. Protection of Children From Environmental Health Risks and 
Safety Risks (Executive Order 13045)

I. Background

A. The Federal Civil Penalties Inflation Adjustment Act Improvements 
Act of 2015

    Section 518 of SMCRA, 30 U.S.C. 1268, authorizes the Secretary of 
the Interior to assess civil monetary penalties (CMPs) for violations 
of SMCRA. The Federal regulations implementing the CMP provisions of 
section 518 are located in 30 CFR parts 723, 724, 845, and 846. The 
Office of Surface Mining Reclamation and Enforcement (OSMRE) is 
adjusting CMPs in six sections: 30 CFR 723.14, 723.15, 724.14, 845.14, 
845.15, and 846.14.
    On November 2, 2015, the President signed the 2015 Act into law 
(Sec. 701 of Pub. L. 114-74). The 2015 Act, which amended the 1990 Act 
(Pub. L. 101-410), requires Federal agencies to promulgate rules to 
adjust the level of CMPs to account for inflation. The 2015 Act 
requires agencies to publish annual inflation adjustments. These 
adjustments are aimed at maintaining the deterrent effect of civil 
penalties and furthering the policy goals of the statutes that 
authorize the penalties.

B. Calculation of Adjustments

    The Office of Management and Budget (OMB) issued guidance on the 
2024 annual adjustments for inflation. December 19, 2023, Memorandum 
for the Heads of Executive Departments and Agencies (M-24-07), 
Implementation of Penalty Inflation Adjustments for 2024, Pursuant to 
the Federal Civil Penalties Inflation Adjustment Act Improvements Act 
of 2015 (OMB Memorandum). The OMB Memorandum notes that the 1990 Act 
defines ``civil monetary penalty'' as ``any penalty, fine, or other 
sanction that . . . is for a specific monetary amount as provided by 
Federal law; or . . . has a maximum amount provided for by Federal law; 
and . . . is assessed or enforced by an agency pursuant to Federal law; 
and . . . is assessed or enforced pursuant to an administrative 
proceeding or a civil action in the Federal courts . . . .'' Id. at 2. 
It further instructs that agencies ``are to adjust `the maximum civil 
monetary penalty or the range of minimum and maximum civil monetary 
penalties, as applicable, for each civil monetary penalty by the cost-
of-living adjustment.' '' Id. The 1990 Act, as amended by the 2015 Act, 
and the OMB Memorandum specify that the annual inflation adjustments 
are based on the percent change between the Consumer Price Index for 
all Urban Consumers (the CPI-U) published by the Department of Labor 
for the month of October in the year of the previous adjustment, and 
the October CPI-U for the preceding year. The recent OMB Memorandum 
specified that the cost-of-living adjustment multiplier for 2024, not 
seasonally adjusted, is 1.03241 (the October 2023 CPI-U (307.671) 
divided by the October 2022 CPI-U (298.012) = 1.03241). OSMRE used this 
guidance to identify applicable CMPs and calculate the required 
inflation adjustments. The 1990 Act, as amended by the 2015 Act, 
specifies that any resulting increases in CMPs must be rounded 
according to a stated rounding formula and that the increased CMPs 
apply only to CMP assessments that occur after the date that the 
increases take effect.
    Generally, OSMRE assigns points to a violation as described in 30 
CFR 723.13 and 845.13. The CMP owed is based on the number of points 
received, ranging

[[Page 23909]]

from one point to 70 points. For example, under our existing 
regulations in 30 CFR 845.14, a violation totaling 70 points would 
amount to a $19,815 CMP. To adjust this amount, OSMRE multiplied 
$19,815 by the 2023 inflation factor of 1.03241, resulting in a raw 
adjusted amount of $20,457.20. Because the 2015 Act requires rounding 
any increase in the CMP amount to the nearest dollar, in this case a 
violation of 70 points would amount to a new CMP of $20,457. Pursuant 
to the 2015 Act, the increases in this Final Rule apply to CMPs 
assessed after the date the increases take effect, even if the 
associated violation predates the applicable increase.
    There are no points associated with 30 CFR 723.15(b), 30 CFR 
724.14(b), 30 CFR 845.15(b), and 30 CFR 846.14(b) because those 
regulatory provisions do not set forth numbers of points, only dollar 
amounts.

C. Effect of the Rule in Federal Program States and on Indian Lands

    OSMRE directly regulates surface coal mining and reclamation 
operations within a State or on Indian lands if the State or Tribe does 
not obtain its own approved program pursuant to sections 503 or 710(j) 
of SMCRA, 30 U.S.C. 1253 or 1300(j). The increases in CMPs contained in 
this rule will apply to the following Federal program States: Arizona, 
California, Georgia, Idaho, Massachusetts, Michigan, North Carolina, 
Oregon, Rhode Island, South Dakota, Tennessee, and Washington. The 
Federal programs for those States appear at 30 CFR parts 903, 905, 910, 
912, 921, 922, 933, 937, 939, 941, 942, and 947, respectively. Under 30 
CFR 750.18, the increases in CMPs also apply to Indian lands under the 
Federal program for Indian lands.

D. Effect of the Rule on Approved State Programs

    As a result of litigation, State regulatory programs are not 
required to mirror all of the penalty provisions of our regulations. 
See In re Permanent Surface Mining Regul. Litig., No. 79-1144, 1980 
U.S. Dist. LEXIS 17722, at *21-23 (D.D.C. Feb. 26, 1980); 1980 U.S. 
Dist. LEXIS 17660, at *87-88 (D.D.C. May 16, 1980). Thus, this rule has 
no effect on CMPs in States with SMCRA primacy.

II. Procedural Matters

A. Regulatory Planning and Review (Executive Orders 12866, 13563, and 
14094)

    Executive Order (E.O.) 14094 reaffirms the principles of E.O. 12866 
and E.O. 13563 and states that regulatory analysis should facilitate 
agency efforts to develop regulations that serve the public interest, 
advance statutory objectives, and are consistent with E.O. 12866, E.O. 
13563, and the Presidential Memorandum of January 20, 2021 (Modernizing 
Regulatory Review). E.O. 12866, as reaffirmed by E.O. 13563 and E.O. 
14094, provides that the Office of Information and Regulatory Affairs 
(OIRA) within OMB will review all significant rules. OIRA has 
determined that agency regulations exclusively implementing the annual 
inflation adjustments and that are consistent with the OMB Memorandum, 
such as this rule, are not significant.

B. Regulatory Flexibility Act

    The Regulatory Flexibility Act (RFA) requires an agency to prepare 
a regulatory flexibility analysis for all rules unless the agency 
certifies that the rule will not have a significant economic impact on 
a substantial number of small entities. The RFA applies only to rules 
for which an agency is required to first publish a proposed rule. See 5 
U.S.C. 603(a) and 604(a). The Federal Civil Penalties Inflation 
Adjustment Act Improvements Act of 2015 requires agencies to adjust 
civil penalties annually for inflation ``notwithstanding section 553 
[of the Administrative Procedure Act].'' Thus, no proposed rule will be 
published, and the RFA does not apply to this rulemaking.

C. Congressional Review Act

    This rule is not a major rule under 5 U.S.C. 804(2), the 
Congressional Review Act. This rule:
    (a) Will not have an annual effect on the economy of $100 million 
or more.
    (b) Will not cause a major increase in costs or prices for 
consumers, individual industries, Federal, State, or local government 
agencies, or geographic regions.
    (c) Will not have significant adverse effects on competition, 
employment, investment, productivity, innovation, or the ability of 
United States-based enterprises to compete with foreign-based 
enterprises.

D. Unfunded Mandates Reform Act

    This rule does not impose an unfunded mandate on State, local, or 
Tribal governments, or the private sector, of more than $100 million 
per year. The rule does not have a significant or unique effect on 
State, local, or Tribal governments, or the private sector. A statement 
containing the information required by the Unfunded Mandates Reform Act 
(2 U.S.C. 1531 et seq.) is not required.

E. Takings (Executive Order 12630)

    This rule does not effect a taking of private property or otherwise 
have takings implications under E.O. 12630. A takings implication 
assessment is not required.

F. Federalism (Executive Order 13132)

    Under the criteria in section 1 of E.O. 13132, this rule does not 
have sufficient federalism implications to warrant the preparation of a 
federalism summary impact statement. A federalism summary impact 
statement is not required.

G. Civil Justice Reform (Executive Order 12988)

    This rule complies with the requirements of E.O. 12988. 
Specifically, this rule:
    (a) Meets the criteria of section 3(a) requiring that all 
regulations be reviewed to eliminate errors and ambiguity and be 
written to minimize litigation; and
    (b) Meets the criteria of section 3(b)(2) requiring that all 
regulations be written in clear language and contain clear legal 
standards.

H. Consultation With Indian Tribes (Executive Order 13175 and 
Departmental Policy)

    The Department of the Interior strives to strengthen its 
government-to-government relationship with Tribes through a commitment 
to consultation with Tribes and recognition of their right to self-
governance and Tribal sovereignty. OSMRE has evaluated this rule under 
the Department's consultation policy, under Departmental Manual Part 
512, Chapters 4, 5, 6, and 7 and under the criteria in E.O. 13175 and 
has determined that it has no substantial direct effects on Federally-
recognized Tribes or Alaska Native Claims Settlement Act (ANCSA) 
Corporations, and that consultation under the Department's Tribal and 
ANCSA consultation policies is not required.

I. Paperwork Reduction Act

    This rule does not contain information collection requirements, and 
a submission to OMB under the Paperwork Reduction Act (44 U.S.C. 3501 
et seq.) is not required. OSMRE may not conduct or sponsor, and you are 
not required to respond to, a collection of information unless it 
displays a currently valid OMB control number.

[[Page 23910]]

J. National Environmental Policy Act

    This rule does not constitute a major Federal action under the 
National Environmental Policy Act of 1969 (NEPA) because of the non-
discretionary nature of the civil penalty adjustment as required by law 
(see 40 CFR 1508.1(q)(1)(ii)). The 2015 Act requires OSMRE to annually 
adjust the amounts of its civil penalties to account for inflation as 
measured by the Department of Labor's Consumer Price Index. 
Accordingly, OSMRE has no discretion in the execution of the civil 
penalty adjustments reflected in this final rule. Because this rule is 
not a major Federal action, it is therefore not subject to the 
requirements of NEPA. Even if this were a discretionary action subject 
to NEPA, which it is not, a detailed statement under NEPA would 
nevertheless not be required because, as a regulation of an 
administrative nature, this rule would otherwise be covered by a 
categorical exclusion (see 43 CFR 46.210(i)). OSMRE has determined that 
the rule does not implicate any of the extraordinary circumstances 
listed in 43 CFR 46.215 that would prevent reliance on the categorical 
exclusion. Therefore, a detailed statement under NEPA is not required.

K. Effects on Energy Supply, Distribution, and Use (Executive Order 
13211)

    This rule is not a significant energy action under the definition 
in E.O. 13211. A Statement of Energy Effects is not required.

L. Administrative Procedure Act

    OSMRE is issuing this final rule without prior public notice or 
opportunity for public comment. The 2015 Act requires agencies to 
publish adjusted penalties annually. Under the 2015 Act, the public 
procedure that the Administrative Procedure Act generally requires--
notice, an opportunity for comment, and a delay in the effective date--
is not required for agencies to issue regulations implementing the 
annual adjustments required by the 2015 Act. See OMB Memorandum, M-24-
07, at 3-4.

M. National Technology Transfer and Advancement Act

    Section 12(d) of the National Technology Transfer and Advancement 
Act (NTTAA) (15 U.S.C. 3701 et seq.) directs Federal agencies to use 
voluntary consensus standards when implementing regulatory activities 
unless to do so would be inconsistent with applicable law or otherwise 
impractical. This final rule is not subject to the requirements of 
section 12(d) of the NTTAA because application of those requirements 
would be inconsistent with SMCRA, and the requirements would not be 
applicable to this final rulemaking.

N. Protection of Children From Environmental Health Risks and Safety 
Risks (Executive Order 13045)

    E.O. 13045 requires that environmental and related rules separately 
evaluate the potential impact to children. However, E.O. 13045 is 
inapplicable to this rulemaking because this is not a substantive 
rulemaking, and a notice of proposed rulemaking was neither required 
nor prepared. See sections 2-202 and 5-501 of E.O. 13045.

List of Subjects

30 CFR Part 723

    Administrative practice and procedure, Penalties, Surface mining, 
Underground mining.

30 CFR Part 724

    Administrative practice and procedure, Penalties, Surface mining, 
Underground mining.

30 CFR Part 845

    Administrative practice and procedure, Law enforcement, Penalties, 
Reporting and recordkeeping requirements, Surface mining, Underground 
mining.

30 CFR Part 846

    Administrative practice and procedure, Penalties, Surface mining, 
Underground mining.

Delegation of Signing Authority

    The action taken herein is pursuant to an existing delegation of 
authority.

Steven H. Feldgus,
Principal Deputy Assistant Secretary, Land and Minerals Management.

    For the reasons given in the preamble, the Department of the 
Interior amends 30 CFR parts 723, 724, 845, and 846 as set forth below.

PART 723--CIVIL PENALTIES

0
1. The authority citation for Part 723 continues to read as follows:

    Authority: 28 U.S.C. 2461, 30 U.S.C. 1201 et seq., and 31 U.S.C. 
3701.


0
2. Amend Sec.  723.14 by revising table 1 to read as follows:


Sec.  723.14  Determination of amount of penalty.

* * * * *

                        Table 1 to Sec.   723.14
------------------------------------------------------------------------
                           Points                              Dollars
------------------------------------------------------------------------
1..........................................................           82
2..........................................................          164
3..........................................................          246
4..........................................................          327
5..........................................................          410
6..........................................................          491
7..........................................................          573
8..........................................................          651
9..........................................................          736
10.........................................................          819
11.........................................................          899
12.........................................................          982
13.........................................................        1,061
14.........................................................        1,145
15.........................................................        1,230
16.........................................................        1,309
17.........................................................        1,391
18.........................................................        1,475
19.........................................................        1,555
20.........................................................        1,636
21.........................................................        1,720
22.........................................................        1,801
23.........................................................        1,882
24.........................................................        1,963
25.........................................................        2,045
26.........................................................        2,455
27.........................................................        2,864
28.........................................................        3,271
29.........................................................        3,527
30.........................................................        4,091
31.........................................................        4,499
32.........................................................        4,910
33.........................................................        5,319
34.........................................................        5,729
35.........................................................        6,137
36.........................................................        6,547
37.........................................................        6,956
38.........................................................        7,365
39.........................................................        7,773
40.........................................................        8,182
41.........................................................        8,594
42.........................................................        9,002
43.........................................................        9,408
44.........................................................        9,819
45.........................................................       10,228
46.........................................................       10,638
47.........................................................       11,046
48.........................................................       11,457
49.........................................................       11,864
50.........................................................       12,273
51.........................................................       12,681
52.........................................................       13,093
53.........................................................       13,502
54.........................................................       13,912
55.........................................................       14,322
56.........................................................       14,730
57.........................................................       15,137
58.........................................................       15,546
59.........................................................       15,957
60.........................................................       16,365
61.........................................................       16,774
62.........................................................       17,183
63.........................................................       17,593
64.........................................................       18,002
65.........................................................       18,410
66.........................................................       18,821
67.........................................................       19,230
68.........................................................       19,637
69.........................................................       20,047
70.........................................................       20,457
------------------------------------------------------------------------


[[Page 23911]]


0
3. Amend Sec.  723.15 by revising paragraph (b) introductory text to 
read as follows:


Sec.  723.15  Assessment of separate violations for each day.

* * * * *
    (b) In addition to the civil penalty provided for in paragraph (a) 
of this section, whenever a violation contained in a notice of 
violation or cessation order has not been abated within the abatement 
period set in the notice or order or as subsequently extended pursuant 
to section 521(a) of the Act, 30 U.S.C. 1271(a), a civil penalty of not 
less than $3,068 will be assessed for each day during which such 
failure to abate continues, except that:
* * * * *

PART 724--INDIVIDUAL CIVIL PENALTIES

0
4. The authority citation for Part 724 continues to read as follows:

    Authority: 28 U.S.C. 2461, 30 U.S.C. 1201 et seq., and 31 U.S.C. 
3701.


0
5. In Sec.  724.14, revise the first sentence of paragraph (b) to read 
as follows:


Sec.  724.14  Amount of individual civil penalty.

* * * * *
    (b) The penalty will not exceed $20,457 for each violation. * * *

PART 845--CIVIL PENALTIES

0
6. The authority citation for Part 845 continues to read as follows:

    Authority: 28 U.S.C. 2461, 30 U.S.C. 1201 et seq., 31 U.S.C. 
3701, Pub. L. 100-202, and Pub. L. 100-446.


0
7. Amend Sec.  845.14 by revising table 1 to read as follows:


Sec.  845.14  Determination of amount of penalty.

* * * * *

                        Table 1 to Sec.   854.14
------------------------------------------------------------------------
                           Points                              Dollars
------------------------------------------------------------------------
1..........................................................           82
2..........................................................          164
3..........................................................          246
4..........................................................          327
5..........................................................          410
6..........................................................          491
7..........................................................          573
8..........................................................          651
9..........................................................          736
10.........................................................          819
11.........................................................          899
12.........................................................          982
13.........................................................        1,061
14.........................................................        1,145
15.........................................................        1,230
16.........................................................        1,309
17.........................................................        1,391
18.........................................................        1,475
19.........................................................        1,555
20.........................................................        1,636
21.........................................................        1,720
22.........................................................        1,801
23.........................................................        1,882
24.........................................................        1,963
25.........................................................        2,045
26.........................................................        2,455
27.........................................................        2,864
28.........................................................        3,271
29.........................................................        3,527
30.........................................................        4,091
31.........................................................        4,499
32.........................................................        4,910
33.........................................................        5,319
34.........................................................        5,729
35.........................................................        6,137
36.........................................................        6,547
37.........................................................        6,956
38.........................................................        7,365
39.........................................................        7,773
40.........................................................        8,182
41.........................................................        8,594
42.........................................................        9,002
43.........................................................        9,408
44.........................................................        9,819
45.........................................................       10,228
46.........................................................       10,638
47.........................................................       11,046
48.........................................................       11,457
49.........................................................       11,864
50.........................................................       12,273
51.........................................................       12,681
52.........................................................       13,093
53.........................................................       13,502
54.........................................................       13,912
55.........................................................       14,322
56.........................................................       14,730
57.........................................................       15,137
58.........................................................       15,546
59.........................................................       15,957
60.........................................................       16,365
61.........................................................       16,774
62.........................................................       17,183
63.........................................................       17,593
64.........................................................       18,002
65.........................................................       18,410
66.........................................................       18,821
67.........................................................       19,230
68.........................................................       19,637
69.........................................................       20,047
70.........................................................       20,457
------------------------------------------------------------------------


0
8. Amend Sec.  845.15 by revising paragraph (b) introductory text to 
read as follows:


Sec.  845.15  Assessment of separate violations for each day.

* * * * *
    (b) In addition to the civil penalty provided for in paragraph (a) 
of this section, whenever a violation contained in a notice of 
violation or cessation order has not been abated within the abatement 
period set in the notice or order or as subsequently extended pursuant 
to section 521(a) of the Act, 30 U.S.C. 1271(a), a civil penalty of not 
less than $3,068 will be assessed for each day during which such 
failure to abate continues, except that:
* * * * *

PART 846--INDIVIDUAL CIVIL PENALTIES

0
9. The authority citation for Part 846 continues to read as follows:

    Authority:  28 U.S.C. 2461, 30 U.S.C. 1201 et seq., and 31 
U.S.C. 3701.


0
10. In Sec.  846.14, revise the first sentence of paragraph (b) to read 
as follows:


Sec.  846.14  Amount of individual civil penalty.

* * * * *
    (b) The penalty will not exceed $20,457 for each violation. * * *

[FR Doc. 2024-07205 Filed 4-4-24; 8:45 am]
BILLING CODE 4310-05-P