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contains regulatory documents having general

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are keyed to and codified in the Code of

Federal Regulations, which is published under

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Rules and Regulations Federal Register

62393

Vol. 69, No. 206

Tuesday, October 26, 2004

NUCLEAR REGULATORY 

COMMISSION 

10 CFR Part 2

RIN 3150–AH55

Adjustment of Civil Penalties for 

Inflation

AGENCY: Nuclear Regulatory 

Commission.

ACTION: Final rule.

SUMMARY: The Nuclear Regulatory 

Commission (NRC) is amending its 

regulations to adjust the maximum Civil 

Monetary Penalties (CMPs) it can assess 

under statutes within the jurisdiction of 

the NRC. These changes are mandated 

by Congress in the Federal Civil 

Penalties Inflation Adjustment Act of 

1990, as amended by the Debt 

Collection Improvement Act of 1996. 

The NRC’s Rules of Practice are 

amended by adjusting the maximum 

CMP for a violation of the Atomic 

Energy Act of 1954, as amended, (AEA) 

or any regulation or order issued under 

the AEA from $120,000 to $130,000 per 

violation per day.

EFFECTIVE DATE: November 26, 2004.

FOR FURTHER INFORMATION CONTACT:

Shelly D. Cole, Office of the General 

Counsel, U.S. Nuclear Regulatory 

Commission, Washington, DC 20555–

0001, telephone (301) 415–2549; e-mail 

SDC1@nrc.gov.

SUPPLEMENTARY INFORMATION: 

I. Background 

The Federal Civil Penalties Inflation 

Adjustment Act of 1990, as amended, 

requires that the head of each agency 

adjust by regulation the CMPs within 

the jurisdiction of the agency for 

inflation at least once every four years. 

The NRC’s last adjustment to the CMPs 

within its jurisdiction occurred on 

November 3, 2000 (See 65 FR 59270; 

October 4, 2000). Thus, another 

inflation adjustment must be made by 

November 3, 2004. 

The inflation adjustment is to be 

determined by increasing the maximum 

CMPs by the percentage that the 

Consumer Price Index (CPI) for the 

month of June of the calendar year 

preceding the adjustment exceeds the 

CPI for the month of June of the last 

calendar year in which the amount of 

such penalty was last adjusted. For the 

purposes of this adjustment, applying 

this formula results in a seven percent 

increase to the maximum CMPs. In the 

case of penalties greater than $1,000, but 

less than or equal to $10,000, inflation 

adjustment increases are to be rounded 

to the nearest multiple of $1,000. 

Increases are to be rounded to the 

nearest multiple of $10,000 in the case 

of penalties greater than $100,000 but 

less than or equal to $200,000. 

II. Discussion 

Section 234 of the AEA limits civil 

penalties for violations of the Atomic 

Energy Act to $100,000 per day per 

violation. In 1996, under the Debt 

Collection Improvement Act (DCIA), the 

NRC adjusted this figure to $110,000. 

The DCIA also amended the Federal 

Civil Penalties Inflation Adjustment Act 

of 1990 to require that the head of each 

agency adjust the CMPs within the 

jurisdiction of the agency for inflation at 

least once every four years. Therefore, in 

2000, the NRC adjusted the maximum 

CMPs to $120,000 per day per violation. 

The NRC is required to adjust the CMPs 

within its jurisdiction again this year. 

After this mandatory adjustment for 

inflation, the adjusted maximum CMP 

for a violation of the AEA or any 

regulation or order issued under the 

AEA will be $130,000 per day per 

violation (rounding the amount of the 

inflation adjustment increase to the 

nearest multiple of $10,000). Thus, the 

NRC is amending Title 10 of the Code 

of Federal Regulations (10 CFR) 2.205 to 

reflect a new maximum CMP under the 

AEA in the amount of $130,000 per day 

per violation. The amended maximum 

CMP applies only to violations that 

occur after the effective date of this 

regulation. 

Monetary penalties under the Program 

Fraud Civil Remedies Act, 31 United 

States Code (U.S.C.) 3801, 3802, and the 

NRC’s implementing regulations at 10 

CFR 13.3(a)(1) and (b)(1), are currently 

limited to $6,000. 

A seven percent increase, when 

rounded to the nearest multiple of 

$1000, as required by section 5 of the 

Federal Civil Penalties Inflation 

Adjustment Act of 1990, does not result 

in an adjustment to the maximum CMP. 

Thus, the maximum CMP will remain at 

$6,000 for each false statement or claim 

under the Program Fraud Civil 

Remedies Act. 

The Commission has no discretion to 

set alternative levels of adjusted civil 

penalties because the amount of 

inflation adjustment must be calculated 

by a formula established by statute. 

Conforming changes to the NRC 

Enforcement Policy (NUREG–1600) 

published in the Federal Register on 

May 1, 2000 (65 FR 25368), will be 

made and published in a notice 

accompanying this rule. 

III. Procedural Background 

This final rule has been issued 

without prior public notice or 

opportunity for public comment. The 

Administrative Procedure Act (5 U.S.C. 

553(b)(B)) does not require an agency to 

use the public notice and comment 

process ‘‘when the agency for good 

cause finds (and incorporates the 

finding and a brief statement of reasons 

therefor in the rules issued) that notice 

and public procedure thereon are 

impracticable, unnecessary, or contrary 

to the public interest.’’ In this instance, 

the NRC finds, for good cause, that 

solicitation of public comment on this 

final rule is unnecessary and 

impractical. Congress has required the 

NRC to adjust the CMPs within NRC 

jurisdiction for inflation at least once 

every four years, and provided no 

discretion regarding the substance of the 

amendments. The NRC is required only 

to perform ministerial computations to 

determine the inflation adjustment to 

the CMPs. 

IV. Voluntary Consensus Standards 

The National Technology Transfer 

and Advancement Act of 1995, Pub. L. 

104–113, requires that Federal agencies 

use technical standards developed by or 

adopted by voluntary consensus 

standards bodies unless the use of such 

a standard is inconsistent with 

applicable law or otherwise impractical. 

There are no consensus standards that 

apply to the inflation adjustment 

requirements in this final rule. Thus, the 

provisions of the Act do not apply to 

this rulemaking. 

62394 Federal Register / Vol. 69, No. 206 / Tuesday, October 26, 2004 / Rules and Regulations 

V. Environmental Impact: Categorical 

Exclusion 

The NRC has determined that this 

final rule is the type of action described 

as a categorical exclusion in 10 CFR 

51.22(c)(1) and (2). Therefore, neither an 

environmental impact statement nor an 

environmental assessment has been 

prepared for this regulation. This action 

involves no policy determinations. It 

merely adjusts monetary civil penalties 

for inflation as required by statute.

VI. Paperwork Reduction Act 

Statement 

This final rule does not contain new 

or amended information collection 

requirements subject to the Paperwork 

Reduction Act of 1995 (44 U.S.C. 3501 

et seq.). 

VII. Regulatory Analysis 

This final rule adjusts for inflation the 

maximum civil penalties under the 

AEA. The adjustments and the formula 

for determining the amount of the 

adjustment are mandated by Congress in 

the Federal Civil Penalties Inflation 

Adjustment Act of 1990 (Pub. L. 101–

410, 104 Stat. 890), as amended by the 

Debt Collection Improvement Act of 

1996, as amended (Pub. L. 104–134, 110 

Stat. 1321–358, 373, codified at 28 

U.S.C. 2461 note). Congress passed that 

legislation on the basis of its findings 

that the power to impose monetary civil 

penalties is important to deterring 

violations of Federal law and furthering 

the policy goals of Federal laws and 

regulations. Congress has also found 

that inflation has diminished the impact 

of these penalties and their effect. The 

principal purposes of this legislation are 

to provide for adjustment of civil 

monetary penalties for inflation, 

maintain the deterrent effect of civil 

monetary penalties, and promote 

compliance with the law. Thus, these 

are anticipated impacts of 

implementation of the mandatory 

provisions of the legislation. Direct 

monetary impacts fall only upon 

licensees or other persons subjected to 

NRC enforcement. 

VIII. Small Business Regulatory 

Enforcement Fairness Act 

In accordance with the Small 

Business Regulatory Enforcement 

Fairness Act of 1996, the NRC has 

determined that this action is not a 

major rule and has verified this 

determination with the Office of 

Information and Regulatory Affairs of 

OMB. 

IX. Backfit Analysis 

The NRC has determined that these 

amendments do not involve any 

provisions which would impose backfits 

as defined in 10 CFR Chapter 1; 

therefore, a backfit analysis need not be 

prepared.

List of Subjects in 10 CFR Part 2

Administrative practice and 

procedure, Antitrust, Byproduct 

material, Classified information, 

Environmental protection, Nuclear 

materials, Nuclear power plants and 

reactors, Penalties, Sex discrimination, 

Source material, Special nuclear 

material, Waste treatment and disposal.

■ For the reasons set out above and 

under the authority of the AEA; the 

Energy Reorganization Act of 1974, as 

amended; the Federal Civil Penalties 

Inflation Adjustment Act of 1990, as 

amended; and 5 U.S.C. 552 and 553; the 

NRC is adopting the following 

amendments to 10 CFR part 2.

PART 2—RULES OF PRACTICE FOR 

DOMESTIC LICENSING PROCEEDINGS 

AND ISSUANCES OF ORDERS

■ 1. The authority citation for Part 2 

continues to read as follows:

Authority: Secs. 161, 181, 68 Stat. 948, 

953, as amended (42 U.S.C. 2201, 2231); sec. 

191, as amended, Pub. L. 87–615, 76 Stat. 409 

(42 U.S.C. 2241); sec. 201, 88 Stat. 1242, as 

amended (42 U.S.C. 5841); 5 U.S.C. 552; sec. 

1704, 112 Stat. 2750 (44 U.S.C. 3504 note).

Section 2.101 also issued under secs. 53, 

62, 63, 81, 103, 104, 105, 68 Stat. 930, 932, 

933. 935, 936, 937, 938, as amended (42 

U.S.C. 2073, 2092, 2093, 2111, 2133, 2134, 

2135); sec. 114(f); Pub. L. 97–425, 96 Stat. 

2213, as amended (42 U.S.C. 10143(0); sec. 

102, Pub. L. 91–190, 83 Stat. 853, as amended 

(42 U.S.C. 4332); sec. 301, 88 Stat. 1248 (42 

U.S.C. 5871). Section 2.102, 2.103, 2.104, 

2.105, 2.321 also issued under secs. 102, 163, 

104, 105, 183i, 189, 68 Stat. 936, 937, 938, 

954, 955, as amended (42 U.S.C. 2132, 2133, 

2134, 2135, 2233, 2239). Section 2.105 also 

issued under Pub. L. 97–415, 96 Stat. 2073 

(42 U.S.C. 2239). Sections 2.200–2.206 also 

issued under secs. 161 b. i, o, 182, 186, 234, 

68 Stat. 948–951, 955, 83 Stat. 444, as 

amended (42 U.S.C. 2201(b), (i), (o), 2236, 

2282); sec. 206, 88 Stat. 1246 (42 U.S.C. 

5846). Section 2.205(j) also issued under Pub. 

L. 101–410, 104 Stat. 90, as amended by 

section 3100(s), Pub. L. 104–134, 110 Stat. 

1321–373 (28 U.S.C. 2461 note). Subpart C 

also issued under sec. 189, 68 Stat. 955 (42 

U.S.C. 2239). Sections 2.600–2.606 also 

issued under sec. 102, Pub. L. 91–190, 83 

Stat. 853, as amended (42 U.S.C. 4332). 

Section 2.700a also issued under 5 U.S.C. 

554. Sections 2.343, 2.346, 2.754, 2.712, also 

issued under 5 U.S.C. 557. Section 2.764 also 

issued under secs. 135, 141, Pub. L. 97–425, 

96 Stat. 2232, 2241 (42 U.S.C. 10155, 10161). 

Section 2.790 also issued under sec. 103, 68 

Stat. 936, as amended (42 U.S.C. 2133) and 

5 U.S.C. 552. Sections 2.800 and 2.808 also 

issued under 5 U.S.C. 553, Section 2.809 also 

issued under 5 U.S.C. 553, and sec. 29, Pub, 

L. 85–256, 71 Stat. 579, as amended (42 

U.S.C. 2039). Subpart K also issued under 

sec. 189, 68 Stat. 955 (42 U.S.C. 2239); sec. 

134, Pub. L. 97–425, 96 Stat. 2230 (42 U.S.C. 

10154). Subpart L also issued under sec. 189, 

68 Stat. 955 (42 U.S.C. 2239). Subpart M also 

issued under sec. 184 (42. U.S.C. 2234) and 

sec. 189, 68 Stat. 955 (42 U.S.C. 2239). 

Subpart N also issued under sec. 189, 68 Stat. 

955 (42 U.S.C. 2239). Appendix A also issued 

under sec. 6, Pub. L. 91–550, 84 Stat. 1473 

(42 U.S.C. 2135).

■ 2. In § 2.205 paragraph (j) is revised to 

read as follows:

§ 2.205 Civil Penalties.

* * * * *

(j) Amount. A civil monetary penalty 

imposed under Section 234 of the 

Atomic Energy Act of 1954, as amended, 

or any other statute within the 

jurisdiction of the Commission that 

provides for the imposition of a civil 

penalty in an amount equal to the 

amount set forth in Section 234, may 

not exceed $130,000 for each violation. 

If any violation is a continuing one, 

each day of such violation shall 

constitute a separate violation for the 

purpose of computing the applicable 

civil penalty.

Dated in Rockville, Maryland, this 12th 

day of October, 2004.

For the Nuclear Regulatory Commission. 

Luis A. Reyes, 

Executive Director for Operations.

[FR Doc. 04–23899 Filed 10–25–04; 8:45 am] 

BILLING CODE 7590–01–P

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration 

14 CFR Part 25

[Docket No. NM293, Special Conditions No. 

25–276–SC] 

Special Conditions: Gulfstream 

Aerospace Corporation Model G–1159, 

G–1159A, and G–1159B Series 

Airplanes; High Intensity Radiated 

Fields (HIRF)

AGENCY: Federal Aviation 

Administration (FAA), DOT.

ACTION: Final special conditions; request 

for comments. 

SUMMARY: These special conditions are 

issued for the Gulfstream Aerospace 

Corporation Model G–1159, G–1159A, 

and G–1159B series airplanes modified 

by Business Jet Technologies. These 

airplanes will have novel and unusual 

design features when compared to the 

state of technology envisioned in the 

airworthiness standards for transport 

category airplanes. The applicable 

airworthiness regulations do not contain