1740 Federal Register / Vol. 86, No. 6 / Monday, January 11, 2021 / Rules and Regulations 

1See Public Law 104–134, 110 Stat. 1321–358 

(codified at 31 U.S.C. 3701 et seq.). 

TABLE 2 TO PARAGRAPH (b)—Continued 

If the level of activity in the 

report was: And the report was filed late, the civil money penalty is: Or the report was not filed, the civil money penalty is: 

$5,000–$9,999.99 ................ [$141 + ($13 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$844 × [1 + (.25 × Number of previous violations)]. 

$10,000–24,999.99 .............. [$211 + ($13 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$1267 × [1 + (.25 × Number of previous violations)]. 

$25,000–49,999.99 .............. [$450 + ($36 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$1970 × [1 + (.25 × Number of previous violations)]. 

$50,000–74,999.99 .............. [$674 + ($113 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$4489 × [1 + (.25 × Number of previous violations)]. 

$75,000–99,999.99 .............. [$896 + ($151 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$5986 × [1 + (.25 × Number of previous violations)]. 

$100,000–149,999.99 .......... [$1347 + ($187 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$7482 × [1 + (.25 × Number of previous violations)]. 

$150,000–199,999.99 .......... [$1796 + ($224 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$8978 × [1 + (.25 × Number of previous violations)]. 

$200,000–249,999.99 .......... [$2245 + ($261 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$11,224 × [1 + (.25 × Number of previous violations)]. 

$250,000–349,999.99 .......... [$3367 + ($298 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$13,468 × [1 + (.25 × Number of previous violations)]. 

$350,000–449,999.99 .......... [$4489 + ($298 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$14,966 × [1 + (.25 × Number of previous violations)]. 

$450,000–549,999.99 .......... [$5612 + ($298 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$16,461 × [1 + (.25 × Number of previous violations)]. 

$550,000–649,999.99 .......... [$6735 + ($298 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$17,958 × [1 + (.25 × Number of previous violations)]. 

$650,000–749,999.99 .......... [$7857 + ($298 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$19,455 × [1 + (.25 × Number of previous violations)]. 

$750,000–849,999.99 .......... [$8978 + ($298 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$20,951 × [1 + (.25 × Number of previous violations)]. 

$850,000–949,999.99 .......... [$10,101 + ($298 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$22,446 × [1 + (.25 × Number of previous violations)]. 

$950,000 or over .................. [$11,224 + ($298 × Number of days late)] × [1 + (.25 × 

Number of previous violations)].

$23,944 × [1 + (.25 × Number of previous violations)]. 

1The civil money penalty for a respondent who does not have any previous violations will not exceed the level of activity in the report. 

(c) If the respondent fails to file a 

required report and the Commission 

cannot calculate the level of activity 

under paragraph (d) of this section, then 

the civil money penalty shall be $8,231. 

* * * * * 

§ 111.44 [Amended] 

■ 4. Amend § 111.44(a)(1) by removing 

‘‘$149’’ and adding in its place ‘‘$151’’. 

Dated: December 30, 2020. 

On behalf of the Commission. 

Ellen L. Weintraub, 

Commissioner, Federal Election Commission. 

[FR Doc. 2020–29184 Filed 1–8–21; 8:45 am] 

BILLING CODE 6715–01–P 

FEDERAL DEPOSIT INSURANCE 

CORPORATION 

12 CFR Part 313 

RIN 3064–AF25 

Collection of Civil Money Penalty Debt 

AGENCY: Federal Deposit Insurance 

Corporation. 

ACTION: Final rule. 

SUMMARY: The Federal Deposit 

Insurance Corporation (FDIC) is 

amending the FDIC’s Procedures for 

Corporate Debt Collection to include 

delinquent civil money penalties within 

the debt covered by those procedures. 

DATES: The final rule is effective on 

February 10, 2021. 

FOR FURTHER INFORMATION CONTACT: 

Graham N. Rehrig, Senior Attorney 

(202) 898–3829, grehrig@fdic.gov; 

Gabrielle A.J. Beam, Counsel (Team 

Leader) (816) 234–8503, gabeam@

fdic.gov; or Michael P. Farrell, Counsel 

(202) 898–3853, mfarrell@fdic.gov. 

SUPPLEMENTARY INFORMATION: 

I. Policy Objectives 

The Debt Collection Improvement Act 

of 1996 (DCIA) requires Federal 

agencies to collect debts owed to the 

United States in accordance with 

regulations that either adopt, or at least 

are consistent with, standards 

prescribed by the Department of Justice 

(DOJ) and Department of the Treasury 

(Treasury).1 Treasury has issued 

regulations applicable to collection 

under the DCIA, and these regulations, 

known as the Federal Claims Collection 

Standards (FCCS), became effective on 

December 22, 2000. The purpose of the 

DCIA is to enhance the efficiency and 

effectiveness of the Federal 

Government’s efforts to collect debt 

owed to the United States. A principal 

feature of the DCIA was the creation of 

the Treasury Offset Program (TOP), a 

Government-wide database of 

delinquent debtors that offsets (reduces) 

Federal payments to recipients who also 

owe delinquent debt to the United 

States and that remits the offset amount 

to the creditor agency. 

The FDIC is amending its regulations, 

in accordance with the DCIA, to add the 

collection of civil money penalty (CMP) 

debt to the FDIC’s existing debtcollection regulations found in 12 CFR 

part 313. Part 313 does not currently 

provide for collection of CMP debt. The 

amendments would allow the FDIC to 

refer debts arising from its enforcementrelated activities to Treasury for 

collection, thereby improving the 

effectiveness of the FDIC’s debtcollection efforts. 

II. Background 

In 2002, the FDIC, in compliance with 

the DCIA, promulgated 12 CFR part 313 


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2See 67 FR 48525 (July 25, 2002). 3 71 FR 75659 (Dec. 18, 2006). 

4 12 CFR 313.1(c)(1)–(2). 

5The FDIC assesses CMPs under the Federal 

Deposit Insurance Act, 12 U.S.C. 1818(i), and a 

variety of other statutes. See, e.g., 12 U.S.C. 

1972(2)(F) (authorizing the FDIC to impose CMPs 

for violations of the Bank Holding Company Act of 

1970 related to prohibited tying arrangements); 15 

U.S.C. 78u–2 (authorizing the FDIC to impose CMPs 

for violations of certain provisions of the Securities 

Exchange Act of 1934); and 42 U.S.C. 4012a(f) 

(authorizing the FDIC to impose CMPs for pattern 

or practice violations of the Flood Disaster 

Protection Act). 

6 12 CFR 313.1(c)(3). 

7 37 U.S.C. 3701(b)(1). 

governing the collection of certain debts 

owed to the FDIC in its corporate 

capacity by Federal employees, 

including FDIC employees, and certain 

third parties.2 The FDIC amended part 

313 in 2006 to include criminal 

restitution debt.3 Part 313, in its present 

form, applies only to debts owed to and 

payments made by the FDIC acting in its 

corporate capacity, and criminal 

restitution debt owed to the FDIC in 

either its corporate capacity or its 

receivership capacity.4

The DCIA authorizes the FDIC to 

collect delinquent CMP debts that arise 

from its supervision and enforcement 

functions,5 but the current part 313 does 

not apply—aside from criminal 

restitution debt noted above—to ‘‘debts 

owed to or payments made by the FDIC 

in connection with the FDIC’s 

liquidation, supervision, enforcement, 

or insurance responsibilities.’’ 6

III. Discussion of the Amendments to 

Part 313 

The rule amends FDIC regulations to 

provide for the collection of CMP debt. 

It will do so by adopting existing 

Treasury regulations concerning debtcollection procedures as to the 

collection of CMP debt. It will improve 

the effectiveness of the FDIC’s debtcollection efforts, primarily by allowing 

the FDIC to refer debts arising from its 

enforcement-related activities to 

Treasury for collection. The rule will 

not affect the FDIC’s existing authority 

under part 313 to collect other forms of 

debt, including debt owed to the FDIC 

in its corporate capacity or for the 

collection of criminal restitution debt. 

The legal authority for the 

amendments is found, in part, in the 

DCIA itself. The DCIA’s definition of 

‘‘debt’’ includes ‘‘any amount of funds 

or property that has been determined by 

an appropriate official of the Federal 

Government to be owed to the United 

States by a person, organization or 

entity other than another Federal 

agency.’’ 7 The FDIC is amending part 

313 in accordance with the FDIC’s 

authority under 12 U.S.C. 1819(a) to 

prescribe rules and regulations 

governing its operations. 

Accordingly, the FDIC is amending 

part 313 as follows: 

Section 313.1 (Scope) is revised to 

include CMP debt in part 313. This 

section also notes that subparts B 

through G of part 313 do not apply to 

the collection of CMP debt. 

Section 313.3 (Definitions) is 

amended to include CMP debtors among 

the list of debtors, under paragraph (u), 

to whom a creditor agency (the FDIC) 

may send a written notice that, among 

other statements, claims a debt and 

informs the debtor that the creditor 

agency intends to collect the debt by 

administrative offset. The rule makes a 

technical revision to paragraph (d) to 

substitute ‘‘the Bureau of the Fiscal 

Service’’ as the successor Treasury 

entity to ‘‘FMS’’ (Treasury’s former 

Financial Management Service) and to 

note that the FDIC has the statutory 

authority, under 12 U.S.C. 1818(i)(2)(F), 

to compromise, modify, or remit any 

CMP that the FDIC may assess or has 

already assessed under 12 U.S.C. 

1818(i)(2)(A)–(C). Section 313.3 is also 

revised at paragraphs (j), (m), (n), and 

(q) to include three divisions of the 

FDIC, as well as the directors of those 

divisions (or their designees), since the 

enforcement and supervisory activities 

of those divisions may result in the 

assessment of CMPs. 

Section 313.4 (Delegations of 

authority) contains technical 

amendments to clarify the following 

delegations: (1) Authority to collect 

debt, other than criminal restitution 

debt and CMP debt, on behalf of the 

FDIC in its corporate capacity is 

delegated to the Director of the Division 

of Administration or Director of the 

Division of Finance, as applicable, or to 

the applicable Director’s designee; and 

(2) authority to collect criminal 

restitution debt on behalf of the FDIC in 

either its receivership or corporate 

capacity is delegated to the Director of 

the Division of Resolutions and 

Receiverships, or to her or his designee. 

The rule creates a new part 313, 

subpart H, which concerns the 

collection of CMP debt. Section 313.181 

(Scope) states that subpart H establishes 

FDIC procedures for the collection of 

CMP debt. Section 313.182 (Purpose) 

notes that the purpose of subpart H is 

to implement Federal statutes and 

regulatory standards authorizing the 

FDIC to collect delinquent CMPs. 

Section 313.183 (Definitions) indicates 

that the definitions provided at section 

313.3 apply to subpart H to the extent 

they are applicable. 

Section 313.184 outlines how the 

FDIC will collect CMP debt. Paragraph 

(a) states that the FDIC will follow 

Treasury regulations set forth at 31 CFR 

part 285, as applicable and consistent 

with subpart H, for the collection of 

CMP debt, including centralized offset 

of Federal payments to collect non-tax 

debts that may be owed to the FDIC. 

Paragraph (b) notes that nothing in 

subpart H shall be construed to require 

the FDIC to provide duplicate notice or 

other procedural protections that have 

already been provided or afforded to a 

CMP debtor in the course of 

administrative or judicial litigation or 

otherwise. Paragraph (c) says that, for 

CMP debtors, and for purposes of 31 

U.S.C. 3716(b)(1), the FDIC adopts 

without change the regulations on 

collection by administrative offset set 

forth at 31 CFR 901.3 and other relevant 

sections of the FCCS applicable to such 

offset, to the extent those regulations are 

consistent with subpart H. Finally, 

paragraph (d) states that nothing in 

subpart H precludes the collection of 

debts through any other available means 

or precludes the FDIC from engaging in 

litigation or the compromise of debt as 

provided under 12 U.S.C. 1818(i) or any 

other applicable law or regulation. 

IV. Expected Effects 

The FDIC is amending part 313 in 

accordance with the FDIC’s authority 

under 12 U.S.C. 1819(a) to prescribe 

rules and regulations governing its 

operations. The rule would not directly 

affect any FDIC-supervised institutions. 

The rule could indirectly affect FDICinsured instructions and individuals 

who are delinquent with respect to 

CMPs that have been assessed against 

them by the FDIC. According to the 

FDIC’s information, the sum of 

delinquent CMPs owed to the FDIC 

amounts to approximately $1 million. 

The delinquent CMP funds represent a 

preexisting obligation owed by the 

individuals or institutions; therefore, 

the rule will have no effect on these 

obligations. However, the rule, as 

amended, could increase the portion of 

these obligations that is ultimately 

collected under part 313. 

V. Alternatives Considered 

As discussed previously, part 313 

does not currently apply to the 

collection of delinquent CMPs. The 

FDIC believes that it can increase the 

effectiveness of its delinquent CMP 

collection efforts through the use of 

administrative offset. The DCIA states 

that agencies, before collecting a claim 

by administrative offset, must either 

adopt the FCCS without change or 

prescribe agency regulations for 

collecting debts by administrative offset 

that are consistent with the FCCS. The 


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8 5 U.S.C. 553. 

9 5 U.S.C. 553(b)(A). 

10 5 U.S.C. 601 et seq. 

11Under regulations issued by the Small Business 

Administration, a small entity includes a depository 

institution, bank holding company, or savings and 

loan holding company with total assets of $600 

million or less and trust companies with total assets 

of $41.5 million or less. See 13 CFR 121.201. 

12 44 U.S.C. 3501–3521. 

13 12 U.S.C. 4802(a). 

14 Id. at 4802(b). 

15 5 U.S.C. 801 et seq. 

16 5 U.S.C. 804(2). 

17Public Law 106–102, section 722, 113 Stat. 

1338, 1471 (1999). 

FDIC has considered these two 

approaches and has decided to adopt 

the FCCS without change for the 

collection of delinquent CMPs. 

VI. Administrative Law Matters 

A. Administrative Procedure Act 

The FDIC is issuing this final rule 

without prior notice and the 

opportunity for public comment 

ordinarily prescribed by the 

Administrative Procedure Act (APA).8

Pursuant to section 553(b)(A) of the 

APA, general notice and the opportunity 

for public comment are not required 

with respect to a rule of ‘‘agency 

organization, procedure, or practice.’’ 9

As discussed above, this final rule 

amends the FDIC regulations to provide 

for the collection of CMP debt. It will do 

so by adopting existing Treasury 

regulations concerning debt-collection 

procedures as to the collection of CMP 

debt. These amendments relate solely to 

agency procedure and practice. For this 

reason, the FDIC finds that general 

notice and opportunity for public 

comment are not required under the 

APA. 

B. Regulatory Flexibility Act 

The Regulatory Flexibility Act 

(RFA) 10 requires an agency to consider 

whether the rules it proposes will have 

a significant economic impact on a 

substantial number of small entities.11

The RFA applies only to rules for which 

an agency publishes a general notice of 

proposed rulemaking pursuant to 5 

U.S.C. 553(b). As discussed previously, 

consistent with section 553(b)(A) of the 

APA, the FDIC has determined that 

general notice and opportunity for 

public comment is not required as the 

final rule is a rule of agency procedure 

and practice. Accordingly, the FDIC has 

concluded that the RFA’s requirements 

relating to initial and final regulatory 

flexibility analysis do not apply. 

C. Paperwork Reduction Act 

In accordance with the requirements 

of the Paperwork Reduction Act of 1995 

(PRA),12 the FDIC may not conduct or 

sponsor, and a respondent is not 

required to respond to, an information 

collection unless it displays a currentlyvalid Office of Management and Budget 

(OMB) control number. The final rule 

does not create new or modify existing 

information collection requirements. 

Accordingly, no submission to OMB 

will be made with respect to the final 

rule. 

D. Riegle Community Development and 

Regulatory Improvement Act of 1994 

Pursuant to section 302(a) of the 

Riegle Community Development and 

Regulatory Improvement Act 

(RCDRIA),13 in determining the effective 

date and administrative compliance 

requirements for new regulations that 

impose additional reporting, disclosure, 

or other requirements on insured 

depository institutions (IDIs), each 

Federal banking agency must consider, 

consistent with principles of safety and 

soundness and the public interest, any 

administrative burdens that such 

regulations would place on depository 

institutions, including small depository 

institutions, and customers of 

depository institutions, as well as the 

benefits of such regulations. In addition, 

section 302(b) of RCDRIA requires new 

regulations and amendments to 

regulations that impose additional 

reporting, disclosures, or other new 

requirements on IDIs generally to take 

effect on the first day of a calendar 

quarter that begins on or after the date 

on which the regulations are published 

in final form.14 Because the final rule 

does not impose any reporting, 

disclosure, or other new requirements 

on insured depository institutions, the 

requirements of RCDRIA do not apply. 

E. Congressional Review Act 

For purposes of the Congressional 

Review Act (CRA), OMB makes a 

determination as to whether a final rule 

constitutes a ‘‘major’’ rule.15 If a rule is 

deemed a ‘‘major rule’’ by the OMB, the 

CRA generally provides that the rule 

may not take effect until at least 60 days 

following its publication. 

The CRA defines a ‘‘major rule’’ as 

any rule that the Administrator of the 

Office of Information and Regulatory 

Affairs of the OMB finds has resulted in 

or is likely to result in (1) an annual 

effect on the economy of $100,000,000 

or more; (2) a major increase in costs or 

prices for consumers, individual 

industries, Federal, State, or local 

government agencies or geographic 

regions, or (3) significant adverse effects 

on competition, employment, 

investment, productivity, innovation, or 

on the ability of United States-based 

enterprises to compete with foreignbased enterprises in domestic and 

export markets.16

The OMB has determined that this 

final rule is not a major rule for 

purposes of the CRA. As required by the 

CRA, the FDIC will submit the final rule 

and other appropriate reports to 

Congress and the Government 

Accountability Office for review. 

F. Plain Language 

Section 722 of the Gramm-LeachBliley Act 17 requires each Federal 

banking agency to use plain language in 

all of its proposed and final rules 

published after January 1, 2000. The 

FDIC has sought to present the final rule 

in a simple and straightforward manner. 

List of Subjects in 12 CFR Part 313 

Administrative practice and 

procedure, Authority delegations 

(Government agencies), Claims, 

Government employees, Wages. 

Authority and Issuance 

For the reasons stated in the preamble 

and under the authority of 12 U.S.C. 

1819 (Seventh and Tenth), the FDIC 

amends 12 CFR part 313 as follows: 

PART 313—PROCEDURES FOR 

COLLECTION OF CORPORATE DEBT, 

CRIMINAL RESTITUTION DEBT, AND 

CIVIL MONEY PENALTY DEBT 

■ 1. Revise the authority citation for part 

313 to read as follows: 

Authority: 5 U.S.C. 5514; 12 U.S.C. 

1818(i), 1819(a); Pub. L. 104–134, 110 Stat. 

1321 (31 U.S.C. 3701, 3711, 3716). 

■ 2. Revise the heading for part 313 to 

read as set forth above. 

■ 3. Revise subpart A to read as follows: 

Subpart A—Scope, Purpose, Definitions, 

and Delegations of Authority 

Sec. 

313.1 Scope. 

313.2 Purpose. 

313.3 Definitions. 

313.4 Delegations of authority. 

313.5 through 313.19 [Reserved] 

Subpart A—Scope, Purpose, 

Definitions, and Delegations of 

Authority 

§ 313.1 Scope. 

This part establishes the Federal 

Deposit Insurance Corporation (FDIC) 

procedures for the collection of certain 

debts owed to the United States. 

(a) This part applies to collections by 

the FDIC from: 

(1) Federal employees who are 

indebted to the FDIC; 


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(2) Employees of the FDIC who are 

indebted to other agencies; 

(3) Other persons, organizations, or 

entities that are indebted to the FDIC, 

except those excluded in paragraph 

(b)(3) of this section; and 

(4) Civil money penalty debtors 

assessed civil money penalties by the 

FDIC. 

(b) This part does not apply: 

(1) To debts or claims arising under 

the Internal Revenue Code of 1986 (Title 

26, U.S. Code), the Social Security Act 

(42 U.S.C. 301 et seq.), or the tariff laws 

of the United States; 

(2) To a situation to which the 

Contract Disputes Act (41 U.S.C. 601 et 

seq.) applies; or 

(3) In any case where collection of a 

debt is explicitly provided for or 

prohibited by another statute. 

(c) This part applies only to: 

(1) Debts owed to and payments made 

by the FDIC acting in its corporate 

capacity, that is, in connection with 

employee matters such as travel-related 

claims and erroneous overpayments, 

contracting act ivities involving 

corporate operations, debts related to 

requests to the FDIC for documents 

under the Freedom of Information Act 

(FOIA), or where a request for an offset 

is received by the FDIC from another 

Federal agency; 

(2) Criminal restitution debt owed to 

the FDIC in either its corporate capacity 

or its receivership capacity; and 

(3) Civil money penalties arising out 

of the FDIC’s activities in its supervision 

or enforcement capacities. 

(4) With the exception of criminal 

restitution debt noted in paragraph 

(c)(2) of this section and civil money 

penalty debt noted in paragraph (c)(3) of 

this section, this part does not apply to 

debts owed to or payments made by the 

FDIC in connection with the FDIC’s 

liquidation, supervision, enforcement, 

or insurance responsibilities, nor does it 

limit or affect the FDIC’s authority with 

respect to debts or claims under 12 

U.S.C. 1819(a) and 1820(a). 

(d) Subparts B through G of this part 

do not apply to the collection of civil 

money penalty debt. 

(e) Nothing in this part precludes the 

compromise, suspension, or termination 

of collection actions, where appropriate, 

under: Standards implementing the 

Debt Collection Improvement Act 

(DCIA) (31 U.S.C. 3711 et seq.); the 

Federal Claims Collection Standards 

(FCCS) (31 CFR chapter IX); or any other 

applicable law. 

§ 313.2 Purpose. 

(a) The purpose of this part is to 

implement Federal statutes and 

regulatory standards authorizing the 

FDIC to collect debts owed to the United 

States. This part is consistent with the 

following Federal statutes and 

regulations: 

(1) DCIA at 31 U.S.C. 3711 (collection 

and compromise of claims); section 

3716 (administrative offset), section 

3717 (interest and penalty on claims), 

and section 3718 (contracts for 

collection services); 

(2) 5 U.S.C. 5514 (salary offset); 

(3) 5 U.S.C. 5584 (waiver of claims for 

overpayment); 

(4) 31 CFR chapter IX (Federal Claims 

Collection Standards); 

(5) 5 CFR part 550, subpart K (salary 

offset); 

(6) 31 U.S.C. 3720D and 31 CFR 

285.11 (administrative wage 

garnishment); 

(7) 26 U.S.C. 6402(d), 31 U.S.C. 

3720A, and 31 CFR 285.2 (tax refund 

offset); and 

(8) 5 CFR 831.1801 through 1808 (U.S. 

Office of Personnel Management (OPM) 

offset). 

(b) Collectively, the statutes and 

regulations in paragraph (a) of this 

section prescribe the manner in which 

Federal agencies should proceed to 

establish the existence and validity of 

debts owed to the Federal Government 

and describe the remedies available to 

agencies to offset valid debts. 

§ 313.3 Definitions. 

Except where the context clearly 

indicates otherwise or where the term is 

defined elsewhere in this subpart, the 

following definitions shall apply to this 

subpart. 

(a) Agency means a department, 

agency, court, court administrative 

office, or instrumentality in the 

executive, judicial, or legislative branch 

of Government, including Government 

corporations. 

(b) Board means the Board of 

Directors of the FDIC. 

(c) Centralized administrative offset 

means the mandatory referral to the 

Secretary of the Treasury by a creditor 

agency of a past due debt which is more 

than 180 days delinquent, for the 

purpose of collection under the 

Treasury’s centralized offset program. 

(d) Certification means a written 

statement transmitted from a creditor 

agency to a paying agency for purposes 

of administrative or salary offset, to 

Treasury’s Bureau of the Fiscal Service 

for offset or to the Secretary of the 

Treasury for centralized administrative 

offset. The certification confirms the 

existence and amount of the debt and 

verifies that required procedural 

protections have been afforded the 

debtor. Where the debtor requests a 

hearing on a claimed debt, the decision 

by a hearing official or administrative 

law judge constitutes a certification. 

(e) Chairman means the Chairman of 

the FDIC. 

(f) Compromise means the settlement 

or forgiveness of a debt under 31 U.S.C. 

3711 or 12 U.S.C. 1818(i)(2)(F) (for civil 

money penalties), in accordance with 

standards set forth in the FCCS and 

applicable Federal law. 

(g) Creditor agency means an agency 

of the Federal Government to which the 

debt is owed, or a debt collection center 

when acting on behalf of a creditor 

agency to collect a debt. 

(h) Debt means an amount owed to 

the United States from loans insured or 

guaranteed by the United States and all 

other amounts due the United States 

from fees, leases, rents, royalties, 

services, sales of real or personal 

property, overpayments, penalties, 

damages, interest, restitution, fines and 

forfeitures, and all other similar sources. 

For purposes of this part, a debt owed 

to the FDIC constitutes a debt owed to 

the United States. 

(i) Debt collection center means the 

Department of the Treasury or other 

Government agency or division 

designated by the Secretary of the 

Treasury with authority to collect debts 

on behalf of creditor agencies in 

accordance with 31 U.S.C. 3711(g). 

(j) Director means the Director of the 

Division of Finance (DOF), the Director 

of the Division of Administration 

(DOA), the Director of the Division of 

Resolutions and Receiverships (DRR), 

the Director of the Division of Risk 

Management Supervision (RMS), the 

Director of the Division of Depositor and 

Consumer Protection (DCP), or the 

Director of the Division of Complex 

Institution Supervision and Resolution 

(CISR), as applicable, or the applicable 

Director’s designee. 

(k) Disposable pay means that part of 

current adjusted basic pay, special pay, 

incentive pay, retired pay, retainer pay, 

and, in the case of an employee not 

entitled to adjusted basic pay, other 

authorized pay, remaining for each pay 

period after the deduction of any 

amount required by law to be withheld. 

The FDIC shall allow the following 

deductions in determining the amount 

of disposable pay that is subject to 

salary offset: 

(1) Federal employment taxes; 

(2) Federal, state, or local income 

taxes to the extent authorized or 

required by law, but no greater than 

would be the case if the employee 

claimed all dependents to which he or 

she is entitled and such additional 

amounts for which the employee 

presents evidence of a tax obligation 

supporting the additional withholding; 


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1744 Federal Register / Vol. 86, No. 6 / Monday, January 11, 2021 / Rules and Regulations 

(3) Medicare deductions; 

(4) Health insurance premiums; 

(5) Normal retirement contributions, 

including employee contributions to the 

Thrift Savings Plan or the FDIC 401(k) 

Plan; 

(6) Normal life insurance premiums 

(e.g., Serviceman’s Group Life Insurance 

and ‘‘Basic Life’’ Federal Employee’s 

Group Life Insurance premiums), not 

including amounts deducted for 

supplementary coverage; 

(7) Amounts mandatorily withheld for 

the United States Soldiers’ and 

Airmen’s Home; and 

(8) Fines and forfeiture ordered by a 

court-martial or by a commanding 

officer. 

(l) Division of Administration (DOA) 

means the Division of Administration of 

the FDIC, or any successor division of 

the FDIC. 

(m) Division of Complex Institution 

Supervision and Resolution (CISR) 

means the Division of Complex 

Institution Supervision and Resolution 

of the FDIC, or any successor division 

of the FDIC. 

(n) Division of Depositor and 

Consumer Protection (DCP) means the 

Division of Depositor and Consumer 

Protection of the FDIC, or any successor 

division of the FDIC. 

(o) Division of Finance (DOF) means 

the Division of Finance of the FDIC, or 

any successor division of the FDIC. 

(p) Division of Resolutions and 

Receiverships (DRR) means the Division 

of Resolutions and Receiverships of the 

FDIC, or any successor division of the 

FDIC. 

(q) Division of Risk Management 

Supervision (RMS) means the Division 

of Risk Management Supervision of the 

FDIC, or any successor division of the 

FDIC. 

(r) Federal Claims Collection 

Standards (FCCS) means standards 

published at 31 CFR chapter IX. 

(s) Garnishment means the process of 

withholding amounts from the 

disposable pay of a person employed 

outside the Federal Government, and 

the paying of those amounts to a 

creditor in satisfaction of a withholding 

order. 

(t) Hearing official means an 

administrative law judge or other 

individual authorized to conduct a 

hearing and issue a final decision in 

response to a debtor’s request for 

hearing. A hearing official may not be 

under the supervision or control of the 

Chairman or FDIC Board when the FDIC 

is the creditor agency. 

(u) Notice of Intent to Offset or Notice 

of Intent means a written notice from a 

creditor agency to an employee, 

organization, entity, restitution debtor, 

or civil money penalty debtor that 

claims a debt and informs the debtor 

that the creditor agency intends to 

collect the debt by administrative offset. 

The notice also informs the debtor of 

certain procedural rights with respect to 

the claimed debt and offset. 

(v) Notice of Salary Offset means a 

written notice from a paying agency to 

its employee informing the employee 

that salary offset to collect a debt due to 

the creditor agency will begin at the 

next officially established pay interval. 

The paying agency transmits this notice 

to its employee after receiving a 

certification from the creditor agency. 

(w) Paying agency means the agency 

of the Federal Government that employs 

the individual who owes a debt to an 

agency of the Federal Government. The 

same agency may be both the creditor 

agency and the paying agency. 

(x) Salary offset means an 

administrative offset to collect a debt 

under 5 U.S.C. 5514 by deduction(s) at 

one or more officially established pay 

intervals from the current pay account 

of an employee without his or her 

consent. 

(y) Waiver means the cancellation, 

remission, forgiveness or non-recovery 

of a debt allegedly owed by an employee 

to an agency, as authorized or required 

by 5 U.S.C. 5584 or any other law. 

(z) Withholding order means any 

order for withholding or garnishment of 

pay issued by an agency, or judicial or 

administrative body. For purposes of 

administrative wage garnishment, the 

terms ‘‘wage garnishment order’’ and 

‘‘garnishment order’’ have the same 

meaning as ‘‘withholding order.’’ 

§ 313.4 Delegations of authority. 

Authority to conduct the following 

activities is delegated as follows: 

Authority to collect debt, other than 

criminal restitution debt and civil 

money penalty debt, on behalf of the 

FDIC in its corporate capacity is 

delegated to the Director of DOA or 

Director of DOF, as applicable, or to the 

applicable Director’s designee; and 

authority to collect criminal restitution 

debt on behalf of the FDIC in either its 

receivership or corporate capacity is 

delegated to the Director of DRR, or to 

her or his designee. These individuals, 

under the delegations in this section, 

may do the following: 

(a) Initiate and carry out the debt 

collection process on behalf of the FDIC, 

in accordance with the FCCS; 

(b) Accept or reject compromise offers 

and suspend or terminate collection 

actions to the full extent of the FDIC’s 

legal authority under 12 U.S.C. 1819(a) 

and 1820(a), 31 U.S.C. 3711(a)(2), and 

any other applicable statute or 

regulation, provided, however, that no 

such claim shall be compromised or 

collection action terminated, except 

upon the concurrence of the FDIC 

General Counsel or his or her designee; 

(c) Report to consumer reporting 

agencies certain data pertaining to 

delinquent debts, where appropriate; 

(d) Use administrative offset 

procedures, including salary offset, to 

collect debts; and 

(e) Take any other action necessary to 

promptly and effectively collect debts 

owed to the United States in accordance 

with the policies contained herein and 

as otherwise provided by law. 

§§ 313.5 through 313.19 [Reserved] 

■ 4. Add subpart H to read as follows: 

Subpart H—Civil Money Penalty Debt 

Sec. 

313.181 Scope. 

313.182 Purpose. 

313.183 Definitions. 

313.184 Collection of civil money penalty 

debt. 

313.185 through 313.190 [Reserved] 

Subpart H—Civil Money Penalty Debt 

§ 313.181 Scope. 

This subpart establishes FDIC 

procedures for the collection of civil 

money penalty debt. 

§ 313.182 Purpose. 

The purpose of this subpart is to 

implement Federal statutes and 

regulatory standards authorizing the 

FDIC to collect delinquent civil money 

penalties. 

§ 313.183 Definitions. 

Except where the context clearly 

indicates otherwise or where the term is 

defined elsewhere in this subpart, the 

definitions provided at § 313.3 apply to 

this subpart. 

§ 313.184 Collection of civil money penalty 

debt. 

(a) The FDIC will follow Department 

of Treasury regulations set forth at 31 

CFR part 285, as applicable and 

consistent with this subpart, for the 

collection of civil money penalty debt, 

including centralized offset of Federal 

payments to collect non-tax debts that 

may be owed to the FDIC, under 31 CFR 

285.5. 

(b) Nothing in this subpart shall be 

construed to require the FDIC to provide 

duplicate notice or other procedural 

protections that have already been 

provided or afforded to a civil money 

penalty debtor in the course of 

administrative or judicial litigation or 

otherwise. 

(c) For civil money penalty debtors, 

and for purposes of 31 U.S.C. 3716(b)(1), 


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Federal Register / Vol. 86, No. 6 / Monday, January 11, 2021 / Rules and Regulations 1745 

1 28 U.S.C. 2461 note. 

the FDIC adopts without change the 

regulations on collection by 

administrative offset set forth at 31 CFR 

901.3 and other relevant sections of the 

Federal Claims Collection Standards 

applicable to such offset, to the extent 

those regulations are consistent with 

this subpart. 

(d) Nothing in this subpart precludes 

the collection of debts through any other 

available means or precludes the FDIC 

from engaging in litigation or the 

compromise of debt as provided under 

12 U.S.C. 1818(i) or any other applicable 

law or regulation. 

§§ 313.185 through 313.190 [Reserved] 

Federal Deposit Insurance Corporation. 

By order of the Board of Directors. 

Dated at Washington, DC, on December 15, 

2020. 

James P. Sheesley, 

Assistant Executive Secretary. 

[FR Doc. 2020–27955 Filed 1–8–21; 8:45 am] 

BILLING CODE 6714–01–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

14 CFR Part 13 

Office of the Secretary 

14 CFR Part 383 

Federal Aviation Administration 

14 CFR Part 406 

Saint Lawrence Seaway Development 

Corporation 

33 CFR Part 401 

Maritime Administration 

46 CFR Parts 221, 307, 340, and 356 

Pipeline and Hazardous Materials 

Safety Administration 

49 CFR Parts 107, 171, and 190 

Federal Railroad Administration 

49 CFR Parts 209, 213, 214, 215, 216, 

217, 218, 219, 220, 221, 222, 223, 224, 

225, 227, 228, 229, 230, 231, 232, 233, 

234, 235, 236, 237, 238, 239, 240, 241, 

242, 243, 244, and 272 

Federal Motor Carrier Safety 

Administration 

49 CFR Part 386 

National Highway Traffic Safety 

Administration 

49 CFR Part 578 

RIN 2105–AE90 

Revisions to Civil Penalty Amounts 

AGENCY: Department of Transportation 

(DOT or the Department). 

ACTION: Final rule. 

SUMMARY: In accordance with the 

Federal Civil Penalties Inflation 

Adjustment Act Improvements Act of 

2015, this final rule provides the 2020 

inflation adjustment to civil penalty 

amounts that may be imposed for 

violations of certain DOT regulations. In 

additional, this final rule makes 

conforming revisions to Federal Motor 

Carrier Safety Administration 

regulations to reflect inflationary 

adjustments to the statutorily-mandated 

civil penalties for violations of Federal 

law. 

DATES: Effective January 11, 2021. 

FOR FURTHER INFORMATION CONTACT: 

Analiese Marchesseault, AttorneyAdvisor, Office of the General Counsel, 

U.S. Department of Transportation, 1200 

New Jersey Ave. SE, Washington, DC 

20590, analiese.marchesseault@dot.gov. 

SUPPLEMENTARY INFORMATION: 

Authority for This Rulemaking 

This rule implements the Federal 

Civil Penalties Inflation Adjustment Act 

of 1990 (FCPIAA), Public Law 101–410, 

as amended by the Federal Civil 

Penalties Inflation Adjustment Act 

Improvements Act of 2015 (2015 Act), 

Public Law 114–74, 129 Stat. 599, 

codified at 28 U.S.C. 2461 note. The 

FCPIAA and the 2015 Act require 

Federal agencies to adjust minimum and 

maximum civil penalty amounts for 

inflation to preserve their deterrent 

impact. The 2015 Act amended the 

formula and frequency of inflation 

adjustments. It required an initial catchup adjustment in the form of an interim 

final rule, followed by annual 

adjustments of civil penalty amounts 

using a statutorily mandated formula. 

Section 4(b)(2) of the 2015 Act 

specifically directs that the annual 

adjustment be accomplished through 

final rule without notice and comment. 

This rule is effective immediately. 

This rule also implements the 

authority to assess civil penalties for 

violations concerning the Drug and 

Alcohol Clearinghouse, set forth in 

section 34202 of the Moving Ahead for 

Progress in the 21st Century Act (MAP– 

21), Public Law 112–141, 126 Stat. 405, 

codified at 49 U.S.C. 31306a(k)(1). 

The Department’s authorities over the 

specific civil penalty regulations being 

amended by this rule are provided in 

the preamble discussion below. 

I. Background 

On November 2, 2015, the President 

signed into law the 2015 Act, which 

amended the FCPIAA, to improve the 

effectiveness of civil monetary penalties 

and to maintain their deterrent effect. 

The 2015 Act requires Federal agencies 

to: (1) Adjust the level of civil monetary 

penalties with an initial ‘‘catch-up’’ 

adjustment through an interim final rule 

(IFR); and (2) make subsequent annual 

adjustments for inflation. 

The 2015 Act directed the Office of 

Management and Budget (OMB) to issue 

guidance on implementing the required 

annual inflation adjustment no later 

than December 15 of each year.1 On 

December 16, 2019, OMB released this 

required guidance, in OMB 

Memorandum M–20–05, which 

provides instructions on how to 


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