2022-01-14 | 2022-00592

Added · Updated

Rules of Practice for Hearings

The Board of Governors of the Federal Reserve System issued a final rule amending 12 CFR Part 263 to adjust civil money penalties for inflation as mandated by the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015. The Board updated the maximum penalty amounts for violations occurring on or after November 2, 2015, with the new levels applying to penalties assessed on or after January 14, 2022. This administrative action was executed without prior notice and comment rulemaking because the 2015 Act exempts annual inflation adjustments from standard Administrative Procedure Act requirements.

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1Public Law 114–74, 129 Stat. 599 (2015) (codified at 28 U.S.C. 2461 note). 2 28 U.S.C. 2461 note, section 4(b)(1). 3 77 FR 68680 (Nov. 16, 2012). 4OMB Memorandum M–22–07, Implementation of Penalty Inflation Adjustments for 2022, Pursuant to the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (Dec. 15, 2021). 5Under the 2015 Act and implementing OMB guidance, agencies are not required to make an adjustment to a CMP if, during the 12 months preceding the required adjustment, such penalty increased due to a law other than the 2015 Act by an amount greater than the amount of the required adjustment. No other laws have adjusted the CMPs within the Board’s jurisdiction during the preceding 12 months. is not subject to the requirements of the Paperwork Reduction Act of 1995. XI. Congressional Review Act This final rule is a rule as defined in the Congressional Review Act (5 U.S.C. 801–808). However, the Office of Management and Budget has not found it to be a major rule as defined in the Congressional Review Act. List of Subjects 10 CFR Part 2 Administrative practice and procedure, Antitrust, Byproduct material, Classified information, Confidential business information, Freedom of information, Environmental protection, Hazardous waste, Nuclear energy, Nuclear materials, Nuclear power plants and reactors, Penalties, Reporting and recordkeeping requirements, Sex discrimination, Source material, Special nuclear material, Waste treatment and disposal. 10 CFR Part 13 Administrative practice and procedure, Claims, Fraud, Organization and function (Government agencies), Penalties. For the reasons set out in the preamble and under the authority of the Atomic Energy Act of 1954, as amended; the Energy Reorganization Act of 1974, as amended; 28 U.S.C. 2461 note; and 5 U.S.C. 552 and 553, the NRC is adopting the following amendments to 10 CFR parts 2 and 13: PART 2—AGENCY RULES OF PRACTICE AND PROCEDURE ■ 1. The authority citation for part 2 continues to read as follows: Authority: Atomic Energy Act of 1954, secs. 29, 53, 62, 63, 81, 102, 103, 104, 105, 161, 181, 182, 183, 184, 186, 189, 191, 234 (42 U.S.C. 2039, 2073, 2092, 2093, 2111, 2132, 2133, 2134, 2135, 2201, 2231, 2232, 2233, 2234, 2236, 2239, 2241, 2282); Energy Reorganization Act of 1974, secs. 201, 206 (42 U.S.C. 5841, 5846); Nuclear Waste Policy Act of 1982, secs. 114(f), 134, 135, 141 (42 U.S.C. 10134(f), 10154, 10155, 10161); Administrative Procedure Act (5 U.S.C. 552, 553, 554, 557, 558); National Environmental Policy Act of 1969 (42 U.S.C. 4332); 44 U.S.C. 3504 note. Section 2.205(j) also issued under 28 U.S.C. 2461 note. § 2.205 [Amended] ■ 2. In § 2.205, amend paragraph (j) by removing the amount ‘‘$307,058’’ and adding in its place the amount ‘‘$326,163’’. PART 13—PROGRAM FRAUD CIVIL REMEDIES ■ 3. The authority citation for part 13 continues to read as follows: Authority: 31 U.S.C. 3801 through 3812; 44 U.S.C. 3504 note. Section 13.3 also issued under 28 U.S.C. 2461 note. Section 13.13 also issued under 31 U.S.C. 3730. § 13.3 [Amended] ■ 4. In § 13.3, amend paragraphs (a)(1)(iv) and (b)(1)(ii) by removing the amount ‘‘$11,803’’ and adding in its place the amount ‘‘$12,537’’. Dated: December 22, 2021. For the Nuclear Regulatory Commission. Daniel H. Dorman, Executive Director for Operations. [FR Doc. 2022–00010 Filed 1–13–22; 8:45 am] BILLING CODE 7590–01–P FEDERAL RESERVE SYSTEM 12 CFR Part 263 [Docket No. R–1759] RIN 7100–AG22 Rules of Practice for Hearings AGENCY: Board of Governors of the Federal Reserve System. ACTION: Final rule. SUMMARY: The Board of Governors of the Federal Reserve System (the ‘‘Board’’) is issuing a final rule amending its rules of practice and procedure to adjust the amount of each civil money penalty (‘‘CMP’’) provided by law within its jurisdiction to account for inflation as required by the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015. DATES: This final rule is effective on January 14, 2022. FOR FURTHER INFORMATION CONTACT: Thomas O. Kelly, Senior Counsel (202– 974–7059), Legal Division, Board of Governors of the Federal Reserve System, 20th Street and Constitution Ave. NW, Washington, DC 20551. You may also contact us at https:// www.federalreserve.gov/apps/ ContactUs/feedback.aspx, choose Staff Group: Regulations. SUPPLEMENTARY INFORMATION: Federal Civil Penalties Inflation Adjustment Act The Federal Civil Penalties Inflation Adjustment Act of 1990, 28 U.S.C. 2461 note (‘‘FCPIA Act’’), requires federal agencies to adjust, by regulation, the CMPs within their jurisdiction to account for inflation. The Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (the ‘‘2015 Act’’) 1 amended the FCPIA Act to require federal agencies to make annual adjustments not later than January 15 of every year.2 The Board is now issuing a new final rule to set the CMP levels pursuant to the required annual adjustment for 2022. The Board will apply these adjusted maximum penalty levels to any penalties assessed on or after January 14, 2022, whose associated violations occurred on or after November 2, 2015. Penalties assessed for violations occurring prior to November 2, 2015 will be subject to the amounts set in the Board’s 2012 adjustment pursuant to the FCPIA Act.3 Under the 2015 Act, the annual adjustment to be made for 2022 is the percentage by which the Consumer Price Index for the month of October 2021 exceeds the Consumer Price Index for the month of October 2020. On December 15, 2021, as directed by the 2015 Act, the Office of Management and Budget (OMB) issued guidance to affected agencies on implementing the required annual adjustment which included the relevant inflation multiplier.4 Using OMB’s multiplier, the Board calculated the adjusted penalties for its CMPs, rounding the penalties to the nearest dollar.5 Administrative Procedure Act The 2015 Act states that agencies shall make the annual adjustment ‘‘notwithstanding section 553 of title 5, United States Code.’’ Therefore, this rule is not subject to the provisions of the Administrative Procedure Act (the ‘‘APA’’), 5 U.S.C. 553, requiring notice, public participation, and deferred effective date. Regulatory Flexibility Act The Regulatory Flexibility Act, 5 U.S.C. 601 et seq., requires a regulatory flexibility analysis only for rules for which an agency is required to publish

a general notice of proposed rulemaking. Because the 2015 Act states that agencies’ annual adjustments are to be made notwithstanding section 553 of title 5 of United States Code—the APA section requiring notice of proposed rulemaking—the Board is not publishing a notice of proposed rulemaking. Therefore, the Regulatory Flexibility Act does not apply. Paperwork Reduction Act There is no collection of information required by this final rule that would be subject to the Paperwork Reduction Act of 1995, 44 U.S.C. 3501 et seq. List of Subjects in 12 CFR Part 263 Administrative practice and procedure, Claims, Crime, Equal access to justice, Lawyers, Penalties. Authority and Issuance For the reasons set forth in the preamble, the Board amends 12 CFR part 263 as follows: PART 263—RULES OF PRACTICE FOR HEARINGS ■ 1. The authority citation for part 263 continues to read as follows: Authority: 5 U.S.C. 504, 554–557; 12 U.S.C. 248, 324, 334, 347a, 504, 505, 1464, 1467, 1467a, 1817(j), 1818, 1820(k), 1829, 1831o, 1831p–1, 1832(c), 1847(b), 1847(d), 1884, 1972(2)(F), 3105, 3108, 3110, 3349, 3907, 3909(d), 4717; 15 U.S.C. 21, 78l(i), 78o–4, 78o–5, 78u–2; 1639e(k); 28 U.S.C. 2461 note; 31 U.S.C. 5321; and 42 U.S.C. 4012a. ■ 2. Section 263.65 is revised to read as follows: § 263.65 Civil money penalty inflation adjustments. (a) Inflation adjustments. In accordance with the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015, which further amended the Federal Civil Penalties Inflation Adjustment Act of 1990, the Board has set forth in paragraph (b) of this section the adjusted maximum amounts for each civil money penalty provided by law within the Board’s jurisdiction. The authorizing statutes contain the complete provisions under which the Board may seek a civil money penalty. The adjusted civil money penalties apply only to penalties assessed on or after January 14, 2022, whose associated violations occurred on or after November 2, 2015. (b) Maximum civil money penalties. The maximum (or, in the cases of 12 U.S.C. 334 and 1832(c), fixed) civil money penalties as set forth in the referenced statutory sections are set forth in the table in this paragraph (b). TABLE 1 TO PARAGRAPH (b) Statute Adjusted civil money penalty 12 U.S.C. 324: Inadvertently late or misleading reports, inter alia ....................................................................................................................... $4,404 Other late or misleading reports, inter alia ................................................................................................................................... 44,043 Knowingly or reckless false or misleading reports, inter alia ....................................................................................................... 2,202,123 12 U.S.C. 334 ...................................................................................................................................................................................... 320 12 U.S.C. 374a .................................................................................................................................................................................... 320 12 U.S.C. 504: First Tier ....................................................................................................................................................................................... 11,011 Second Tier .................................................................................................................................................................................. 55,052 Third Tier ...................................................................................................................................................................................... 2,202,123 12 U.S.C. 505: First Tier ....................................................................................................................................................................................... 11,011 Second Tier .................................................................................................................................................................................. 55,052 Third Tier ...................................................................................................................................................................................... 2,202,123 12 U.S.C. 1464(v)(4) ........................................................................................................................................................................... 4,404 12 U.S.C. 1464(v)(5) ........................................................................................................................................................................... 44,043 12 U.S.C. 1464(v)(6) ........................................................................................................................................................................... 2,202,123 12 U.S.C. 1467a(i)(2) .......................................................................................................................................................................... 55,052 12 U.S.C. 1467a(i)(3) .......................................................................................................................................................................... 55,052 12 U.S.C. 1467a(r): First Tier ....................................................................................................................................................................................... 4,404 Second Tier .................................................................................................................................................................................. 44,043 Third Tier ...................................................................................................................................................................................... 2,202,123 12 U.S.C. 1817(j)(16): First Tier ....................................................................................................................................................................................... 11,011 Second Tier .................................................................................................................................................................................. 55,052 Third Tier ...................................................................................................................................................................................... 2,202,123 12 U.S.C. 1818(i)(2): First Tier ....................................................................................................................................................................................... 11,011 Second Tier .................................................................................................................................................................................. 55,052 Third Tier ...................................................................................................................................................................................... 2,202,123 12 U.S.C. 1820(k)(6)(A)(ii) ................................................................................................................................................................... 362,217 12 U.S.C. 1832(c) ................................................................................................................................................................................ 3,198 12 U.S.C. 1847(b) ................................................................................................................................................................................ 55,052 12 U.S.C. 1847(d): First Tier ....................................................................................................................................................................................... 4,404 Second Tier .................................................................................................................................................................................. 44,043 Third Tier ...................................................................................................................................................................................... 2,202,123 12 U.S.C. 1884 .................................................................................................................................................................................... 320 12 U.S.C. 1972(2)(F): First Tier ....................................................................................................................................................................................... 11,011 Second Tier .................................................................................................................................................................................. 55,052

1Public Law 101–410, 104 Stat. 890. 2Public Law 104–134, sec. 31001(s)(1), 110 Stat. 1321, 1321–373. 3Public Law 114–74, sec. 701, 129 Stat. 584, 599. 4Section 1301(a) of the Federal Reports Elimination Act of 1998, Public Law 105–362, 112 Stat. 3293, also amended the Inflation Adjustment Act by striking section 6, which contained annual reporting requirements, and redesignating section 7 as section 6, but did not alter the civil penalty adjustment requirements; 28 U.S.C. 2461 note. 5 81 FR 38569 (June 14, 2016). Although the Bureau was not obligated to solicit comments for the interim final rule, the Bureau invited public comment and received none. 6See 12 CFR 1083.1. 7 84 FR 517 (Jan. 31, 2019). 8 Inflation Adjustment Act section 4, codified at 28 U.S.C. 2461 note. As discussed in guidance issued by the Director of the Office of Management and Budget (OMB), the APA generally requires notice, an opportunity for comment, and a delay in effective date for certain rulemakings, but the Inflation Adjustment Act provides that these procedures are not required for agencies to issue regulations implementing the annual adjustment. See Memorandum for the Heads of Exec. Dep’ts & Agencies from Shalanda D. Young, Acting Director, Implementation of Penalty Inflation Adjustments for 2022, Pursuant to the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015, Off. of Mgmt. & Budget (Dec. 15, 2021), available at https://www.whitehouse.gov/wp￾content/uploads/2021/12/M-22-07.pdf. 9 82 FR 3601 (Jan. 12, 2017); 83 FR 1525 (Jan. 12, 2018); 84 FR 517 (Jan. 31, 2019); 85 FR 2012 (Jan. 14, 2020); 86 FR 3767 (Jan. 15, 2021). 10 Inflation Adjustment Act sections 4 and 5, codified at 28 U.S.C. 2461 note. TABLE 1 TO PARAGRAPH (b)—Continued Statute Adjusted civil money penalty Third Tier ...................................................................................................................................................................................... 2,202,123 12 U.S.C. 3110(a) ................................................................................................................................................................................ 50,326 12 U.S.C. 3110(c): First Tier ....................................................................................................................................................................................... 4,027 Second Tier .................................................................................................................................................................................. 40,259 Third Tier ...................................................................................................................................................................................... 2,013,008 12 U.S.C. 3909(d) ................................................................................................................................................................................ 2,739 15 U.S.C. 78u–2(b)(1): For a natural person ..................................................................................................................................................................... 10,360 For any other person .................................................................................................................................................................... 103,591 15 U.S.C. 78u–2(b)(2): For a natural person ..................................................................................................................................................................... 103,591 For any other person .................................................................................................................................................................... 517,955 15 U.S.C. 78u–2(b)(3): For a natural person ..................................................................................................................................................................... 207,183 For any other person .................................................................................................................................................................... 1,035,909 15 U.S.C. 1639e(k)(1) ......................................................................................................................................................................... 12,647 15 U.S.C. 1639e(k)(2) ......................................................................................................................................................................... 25,293 42 U.S.C. 4012a(f)(5) .......................................................................................................................................................................... 2,392 By order of the Board of Governors of the Federal Reserve System, acting through the Secretary of the Board under delegated authority. Ann Misback, Secretary of the Board. [FR Doc. 2022–00592 Filed 1–13–22; 8:45 am] BILLING CODE 6210–01–P

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