I

104TH CONGRESS

2D SESSION H. R. 3307

To amend title 5, United States Code, to provide for a limitation on sanctions

imposed by agencies and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

APRIL 24, 1996

Mr. GEKAS (for himself, Mr. MOORHEAD, Mr. SENSENBRENNER, Mr. COBLE,

Mr. SMITH of Texas, Mr. INGLIS of South Carolina, Mr. HOKE, Mr.

BONO, Mr. BRYANT of Tennessee, Mr. BARR of Georgia, Mr. TALENT,

Mr. TAUZIN, and Mr. ZELIFF) introduced the following bill; which was

referred to the Committee on the Judiciary

A BILL

To amend title 5, United States Code, to provide for a

limitation on sanctions imposed by agencies and for other

purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Regulatory Fair Warn5 ing Act’’.
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1 SEC. 2. LIMITATION ON IMPOSITION OF SANCTIONS BY

2 AGENCIES.

3 Section 558 of title 5, United States Code, is amend4 ed by adding at the end the following new subsection:

5 ‘‘(d)(1) No civil or criminal sanction shall be imposed

6 by an agency for a violation of a rule—

7 ‘‘(A) if the agency finds that the rule, other

8 general statements of policy, and related guidances

9 and policies published in the Federal Register by the

10 agency failed to give the defendant fair warning of

11 the conduct that the rule prohibits or requires; or

12 ‘‘(B) if the agency finds that the defendant—

13 ‘‘(i) prior to the violation reasonably and

14 in good faith determined, based upon the text

15 of the rule and other related guidances and

16 policies published by the agency, that the de17 fendant was in compliance with, exempt from,

18 or otherwise not subject to, the requirements of

19 the rule; or

20 ‘‘(ii) committed the violation in reasonable

21 reliance upon a written statement by a Federal

22 or State official authorized to implement or en23 sure compliance with the rule, made after dis24 closure by the defendant of all material facts,

25 that the defendant was in compliance with, ex-
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1 empt from, or otherwise not subject to, the re2 quirements of the rule.

3 ‘‘(2) In an action brought to impose a civil or crimi4 nal sanction for an alleged violation of a rule, an agency

5 shall not give deference to any interpretation of such rule

6 relied on by the agency that was not published in the Fed7 eral Register or was not otherwise available to the defend8 ant prior to the alleged violation.’’.

SEC. 3. LIMITATION ON IMPOSITION OF SANCTIONS BY

COURTS.

(a) IN GENERAL.—Chapter 111 of title 28, United

States Code, is amended by adding at the end the following new section:

‘‘§ 1660. Sanctions for violations of agency rules

‘‘(a) No civil or criminal sanction shall be imposed

by a court for a violation of a rule—

‘‘(1) if the court finds that the rule, other general statements of policy, and related guidances and

policies published in the Federal Register by the

agency which promulgated such rule, failed to give

the defendant fair warning of the conduct that the

rule prohibits or requires; or

‘‘(2) if the court finds that the defendant—

‘‘(A) prior to the violation, reasonably and

in good faith determined, based upon the text
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of the rule and other related guidances and

policies published by the agency, that the defendant was in compliance with, exempt from,

or otherwise not subject to, the requirements of

the rule; or

‘‘(B) committed the violation in reasonable

reliance upon a written statement by a Federal

or State official authorized to implement or ensure compliance with the rule, made after disclosure by the defendant of all material facts,

that the defendant was in compliance with, exempt from, or otherwise not subject to, the requirements of the rule.

‘‘(b) In an action brought to impose a civil or criminal sanction for an alleged violation of a rule, the court

shall not give deference to any interpretation of such rule

relied on by the agency that promulgated the rule that

was not published in the Federal Register or was not otherwise available to the defendant prior to the alleged violation.

‘‘(c) For purposes of this section, the term ‘rule’

shall have the meaning given that term by section 551

of title 5.’’.

(b) CLERICAL AMENDMENT.—The table of sections

at the beginning of chapter 111 of title 28, United States
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Code, is amended by adding after the item relating to

section 1659 the following new item:

‘‘1660. Sanctions for violations of agency rules.’’.

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