[Federal Register Volume 91, Number 9 (Wednesday, January 14, 2026)]
[Rules and Regulations]
[Pages 1447-1449]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2026-00535]


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SURFACE TRANSPORTATION BOARD

49 CFR Part 1022

[Docket No. EP 716 (Sub-No. 11)]


Civil Monetary Penalties--2026 Adjustment

AGENCY: Surface Transportation Board.

ACTION: Final rule.

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SUMMARY: The Surface Transportation Board (Board) is issuing a final 
rule to implement the annual inflationary adjustment to its civil 
monetary penalties, pursuant to the Federal Civil Penalties Inflation 
Adjustment Act Improvements Act of 2015.

DATES: This final rule is effective January 14, 2026.

FOR FURTHER INFORMATION CONTACT: Amanda Gorski at (202) 915-8453. If 
you require an accommodation under the Americans with Disabilities Act, 
please call (202) 245-0245.

SUPPLEMENTARY INFORMATION:

I. Background

    The Federal Civil Penalties Inflation Adjustment Act Improvements 
Act of 2015 (2015 Act), enacted as part of the Bipartisan Budget Act of 
2015, Public Law 114-74, 701, 129 Stat. 584, 599-601, requires agencies 
to adjust their civil penalties for inflation annually, beginning on 
July 1, 2016, and no later than January 15 of every year thereafter. In 
accordance with the 2015 Act, annual inflation adjustments are to be 
based on the percent change between the Consumer Price Index for all 
Urban Consumers (CPI-U) for October of the previous year and the 
October CPI-U of the year before that. Penalty level adjustments should 
be rounded to the nearest dollar. Due to the lapse in Federal 
government appropriations from October 1, 2025, through November 12, 
2025, the Bureau of Labor Statistics, which is responsible for 
production of the CPI-U, did not release a CPI-U for October 2025. 
Therefore, the Board is basing its annual inflation adjustment for 2026 
on the percent change between the CPI-U for November 2025 and the CPI-U 
for November 2024. Should additional guidance or data relevant to this 
calculation be released following the issuance of this decision, the 
Board will issue an amended decision, as appropriate.

II. Discussion

    The statutory definition of civil monetary penalty covers various 
civil penalty provisions under the Rail (Part A); Motor Carriers, Water 
Carriers, Brokers, and Freight Forwarders (Part B); and Pipeline 
Carriers (Part C) provisions of the Interstate Commerce Act, as 
amended. The Board's civil (and criminal) penalty authority related to 
rail transportation is codified at 49 U.S.C. 11901-11908. The Board's 
penalty authority related to motor carriers, water carriers, brokers, 
and freight forwarders appears at 49 U.S.C. 14901-14916. The Board's 
penalty authority related to pipeline carriers is codified at 49 U.S.C. 
16101-16106.\1\ The Board has regulations at 49 CFR part 1022 that 
codify the method set forth in the 2015 Act for annually adjusting for 
inflation the civil monetary penalties within the Board's jurisdiction.
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    \1\ The Board also has various criminal penalty authority, 
enforceable in a federal criminal court. Congress has not, however, 
authorized federal agencies to adjust statutorily prescribed 
criminal penalty provisions for inflation, and this rule does not 
address those provisions.
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    As set forth in this final rule, the Board is amending 49 CFR part 
1022 to make an annual inflation adjustment to the civil monetary 
penalties in conformance with the requirements of the 2015 Act. The 
adjusted penalties set forth in the rule will apply only to violations 
that occur after the effective date of this regulation.
    The annual adjustment adopted here is calculated by multiplying 
each current penalty by a cost-of-living adjustment factor of 1.02735, 
which reflects the percentage change between the November 2025 CPI-U 
(324.122) and the November 2024 CPI-U (315.493). The table at the end 
of this decision shows the statutory citation for each civil penalty, a 
description of the provision, the adjusted statutory civil penalty 
level for 2025, and the adjusted statutory civil penalty level for 
2026.

III. Final Rule

    The final rule set forth at the end of this decision is being 
issued without notice and comment pursuant to the

[[Page 1448]]

rulemaking provision of the Administrative Procedure Act (APA), 5 
U.S.C. 553(b)(B), which does not require that process ``when the agency 
for good cause finds'' that public notice and comment are 
``unnecessary.'' Here, Congress has mandated that the agency make an 
annual inflation adjustment to its civil monetary penalties. The Board 
has no discretion to set alternative levels of adjusted civil monetary 
penalties because the amount of the inflation adjustment must be 
calculated in accordance with the statutory formula.\2\ Given the 
absence of discretion, the Board has determined that there is good 
cause to promulgate this rule without soliciting public comment and to 
make this regulation effective immediately upon publication.
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    \2\ As noted above, the Board is using November CPI-U data 
because October CPI-U data for 2025 was not available by the January 
15 statutory deadline for this decision.
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IV. Regulatory Flexibility Statement

    The Regulatory Flexibility Act (RFA), as amended by the Small 
Business Regulatory Enforcement Fairness Act of 1996, 5 U.S.C. 601-612, 
generally requires an agency to prepare a regulatory flexibility 
analysis of any rule subject to notice and comment rulemaking 
requirements, unless the agency certifies that the rule will not have a 
significant economic impact on a substantial number of small entities. 
Because the Board has determined that notice and comment are not 
required under the APA for this rulemaking, the requirements of the RFA 
do not apply.

V. Congressional Review Act

    Pursuant to the Congressional Review Act, 5 U.S.C. 801-808, the 
Office of Information and Regulatory Affairs has designated this rule 
as a non-major rule, as defined by 5 U.S.C. 804(2).

VI. Paperwork Reduction Act

    This final rule does not contain a new or amended information 
collection requirement subject to the Paperwork Reduction Act of 1995, 
44 U.S.C. 3501-3521.
    It is ordered:
    1. The Board amends its rules as set forth in this decision. Notice 
of the final rule will be published in the Federal Register.
    2. This decision is effective on its date of publication in the 
Federal Register.
    Decided: January 9, 2026.
    By the Board, Board Members Fuchs, Hedlund, and Schultz.

List of Subjects in 49 CFR Part 1022

    Administrative practice and procedures, Brokers, Civil penalties, 
Freight forwarders, Motor carriers, Pipeline carriers, Rail carriers, 
Water carriers.

Jeffrey Herzig,
Clearance Clerk.

    For the reasons set forth in the preamble, part 1022 of title 49, 
chapter X, of the Code of Federal Regulations is amended as follows:

PART 1022--CIVIL MONETARY PENALTY INFLATION ADJUSTMENT

0
1. The authority citation for part 1022 continues to read as follows:

    Authority: 5 U.S.C. 551-557; 28 U.S.C. 2461 note; 49 U.S.C. 
11901, 14901, 14903, 14904, 14905, 14906, 14907, 14908, 14910, 
14915, 14916, 16101, 16103.


0
2. Revise Sec.  1022.4(b) to read as follows:


Sec.  1022.4   Cost-of-living adjustments of civil monetary penalties.

* * * * *
    (b) The cost-of-living adjustment required by the statute results 
in the following adjustments to the civil monetary penalties within the 
jurisdiction of the Board:

                                            Table 1 to Paragraph (b)
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                                                                               2025--Penalty     2026--Adjusted
                                                                                   amount        penalty amount
                U.S. Code citation                   Civil monetary penalty  -----------------        \1\
                                                          description            EP 716_10    ------------------
                                                                                   (2025)       EP 716_11 (2026)
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                                                  Rail Carrier
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49 U.S.C. 11901(a)...............................  Unless otherwise                     9,970             10,243
                                                    specified, maximum
                                                    penalty for each knowing
                                                    violation under this
                                                    part, and for each day.
49 U.S.C. 11901(b)...............................  For each violation under               998              1,025
                                                    sec. 11124(a)(2) or (b).
49 U.S.C. 11901(b)...............................  For each day violation                  51                 52
                                                    continues.
49 U.S.C. 11901(c)...............................  Maximum penalty for each             9,970             10,243
                                                    knowing violation under
                                                    secs. 10901-10906.
49 U.S.C. 11901(d)...............................  For each violation under           198-998          203-1,025
                                                    sec. 11123 or
                                                    11124(a)(1).
49 U.S.C. 11901(d)...............................  For each day violation                 100                103
                                                    continues.
49 U.S.C. 11901(e)(1), (4).......................  For each violation under               998              1,025
                                                    secs. 11141-11145, for
                                                    each day.
49 U.S.C. 11901(e)(2), (4).......................  For each violation under               198                203
                                                    sec. 11144(b)(1), for
                                                    each day.
49 U.S.C. 11901(e)(3)-(4)........................  For each violation of                  198                203
                                                    reporting requirements,
                                                    for each day.
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                                             Motor and Water Carrier
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49 U.S.C. 14901(a)...............................  Minimum penalty for each             1,365              1,402
                                                    violation and for each
                                                    day.
49 U.S.C. 14901(a)...............................  For each violation under            13,647             14,020
                                                    sec. 13901 or 13902(c).
49 U.S.C. 14901(a)...............................  For each violation                  34,116             35,049
                                                    related to
                                                    transportation of
                                                    passengers.
49 U.S.C. 14901(b)...............................  For each violation of the    27,293-54,586      28,039-56,079
                                                    hazardous waste rules
                                                    under sec. 3001 of the
                                                    Solid Waste Disposal Act.
49 U.S.C. 14901(d)(1)............................  Minimum penalty for each             1,992              2,046
                                                    violation of household
                                                    good regulations, and
                                                    for each day.
49 U.S.C. 14901(d)(2)............................  Minimum penalty for each            19,941             20,486
                                                    instance of
                                                    transportation of
                                                    household goods if
                                                    broker provides estimate
                                                    without carrier
                                                    agreement.
49 U.S.C. 14901(d)(3)............................  Minimum penalty for each            49,848             51,211
                                                    instance of
                                                    transportation of
                                                    household goods without
                                                    being registered.
49 U.S.C. 14901(e)...............................  Minimum penalty for each             3,988              4,097
                                                    violation of a
                                                    transportation rule.

[[Page 1449]]

 
49 U.S.C. 14901(e)...............................  Minimum penalty for each             9,970             10,243
                                                    additional violation.
49 U.S.C. 14903(a)...............................  Maximum penalty for                199,408            204,862
                                                    undercharge or
                                                    overcharge of tariff
                                                    rate, for each violation.
49 U.S.C. 14904(a)...............................  For first violation,                   398                409
                                                    rebates at less than the
                                                    rate in effect.
49 U.S.C. 14904(a)...............................  For all subsequent                     500                514
                                                    violations.
49 U.S.C. 14904(b)(1)............................  Maximum penalty for first              998              1,025
                                                    violation for
                                                    undercharges by freight
                                                    forwarders.
49 U.S.C. 14904(b)(1)............................  Maximum penalty for                  3,988              4,097
                                                    subsequent violations.
49 U.S.C. 14904(b)(2)............................  Maximum penalty for other              998              1,025
                                                    first violations under
                                                    sec. 13702.
49 U.S.C. 14904(b)(2)............................  Maximum penalty for                  3,988              4,097
                                                    subsequent violations..
49 U.S.C. 14905(a)...............................  Maximum penalty for each            19,941             20,486
                                                    knowing violation of
                                                    sec. 14103(a), and
                                                    knowingly authorizing,
                                                    consenting to, or
                                                    permitting a violation
                                                    of sec. 14103(a) or (b).
49 U.S.C. 14906..................................  Minimum penalty for first            2,730              2,805
                                                    attempt to evade
                                                    regulation.
49 U.S.C. 14906..................................  Minimum amount for each              6,823              7,010
                                                    subsequent attempt to
                                                    evade regulation.
49 U.S.C. 14907..................................  Maximum penalty for                  9,970             10,243
                                                    recordkeeping/reporting
                                                    violations.
49 U.S.C. 14908(a)(2)............................  Maximum penalty for                  3,988              4,097
                                                    violation of sec.
                                                    14908(a)(1).
49 U.S.C. 14910..................................  When another civil                     998              1,025
                                                    penalty is not specified
                                                    under this part, for
                                                    each violation, for each
                                                    day.
49 U.S.C. 14915(a)(1)-(2)........................  Minimum penalty for                 15,846             16,279
                                                    holding a household
                                                    goods shipment hostage,
                                                    for each day.
49 U.S.C. 14916(c)(1)............................  Maximum penalty for each            13,647             14,020
                                                    knowing violation under
                                                    sec. 14916(a) for
                                                    unlawful brokerage
                                                    activities.
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                                                Pipeline Carrier
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49 U.S.C. 16101(a)...............................  Maximum penalty for                  9,970             10,243
                                                    violation of this part,
                                                    for each day.
49 U.S.C. 16101(b)(1), (4).......................  For each recordkeeping                 998              1,025
                                                    violation under sec.
                                                    15722, each day.
49 U.S.C. 16101(b)(2), (4).......................  For each inspection                    198                203
                                                    violation liable under
                                                    sec. 15722, each day.
49 U.S.C. 16101(b)(3)-(4)........................  For each reporting                     198                203
                                                    violation under sec.
                                                    15723, each day.
49 U.S.C. 16103(a)...............................  Maximum penalty for                  1,992              2,046
                                                    improper disclosure of
                                                    information.
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\1\ Because October 2025 Consumer Price Index data was not available by the January 15 statutory deadline for
  publishing adjusted penalty amounts, the cost-of-living adjustment for 2026 reflects the percentage by which
  the November 2025 Consumer Price Index exceeds the November 2024 Consumer Price Index.

[FR Doc. 2026-00535 Filed 1-13-26; 8:45 am]
BILLING CODE 4915-01-P