2144 Federal Register / Vol. 89, No. 9 / Friday, January 12, 2024 / Rules and Regulations 

PART 588—WESTERN BALKANS 

STABILIZATION REGULATIONS 

■ 52. The authority citation for part 588 

continues to read as follows: 

Authority: 3 U.S.C. 301; 31 U.S.C. 321(b); 

50 U.S.C. 1601–1651, 1701–1706; 22 U.S.C. 

287c; Pub. L. 101–410, 104 Stat. 890, as 

amended (28 U.S.C. 2461 note); E.O. 13219, 

66 FR 34777, 3 CFR, 2001 Comp., p. 778; E.O. 

13304, 68 FR 32315, 3 CFR, 2004 Comp., p. 

229; E.O. 14033, 86 FR 43905, 3 CFR, 2022 

Comp., p. 591. 

Subpart G—Penalties and Findings of 

Violation 

§ 588.701 [Amended] 

■ 53. In § 588.701, in paragraph (a)(2), 

remove ‘‘$356,579’’ and add in its place 

‘‘$368,136’’. 

PART 589—UKRAINE-/RUSSIARELATED SANCTIONS REGULATIONS 

■ 54. The authority citation for part 589 

continues to read as follows: 

Authority: 3 U.S.C. 301; 22 U.S.C. 8901– 

8910, 8921–8930; 31 U.S.C. 321(b); 50 U.S.C. 

1601–1651, 1701–1706; Pub. L. 101–410, 104 

Stat. 890, as amended (28 U.S.C. 2461 note); 

Pub. L. 115–44, 131 Stat. 886 (codified in 

scattered sections of 22 U.S.C.); E.O. 13660, 

79 FR 13493, 3 CFR, 2014 Comp., p. 226; E.O. 

13661, 79 FR 15535, 3 CFR, 2014 Comp., p. 

229; E.O. 13662, 79 FR 16169, 3 CFR, 2014 

Comp., p. 233; E.O. 13685, 79 FR 77357, 3 

CFR, 2014 Comp., p. 313. 

Subpart G—Penalties and Findings of 

Violation 

§ 589.701 [Amended] 

■ 55. In § 589.701, in paragraph (a)(2), 

remove ‘‘$356,579’’ and add in its place 

‘‘$368,136’’. 

PART 590—TRANSNATIONAL 

CRIMINAL ORGANIZATIONS 

SANCTIONS REGULATIONS 

■ 56. The authority citation for part 590 

continues to read as follows: 

Authority: 3 U.S.C. 301; 31 U.S.C. 321(b); 

50 U.S.C. 1601–1651, 1701–1706; Pub. L. 

101–410, 104 Stat. 890, as amended (28 

U.S.C. 2461 note); E.O. 13581, 76 FR 44757, 

3 CFR, 2011 Comp., p. 260; E.O. 13863, 84 

FR 10255, 3 CFR, 2019 Comp., p. 267. 

Subpart G—Penalties and Findings of 

Violation 

§ 590.701 [Amended] 

■ 57. In § 590.701, in paragraph (a)(2), 

remove ‘‘$356,579’’ and add in its place 

‘‘$368,136’’. 

PART 592—ROUGH DIAMONDS 

CONTROL REGULATIONS 

■ 58. The authority citation for part 592 

continues to read as follows: 

Authority: 3 U.S.C. 301; 19 U.S.C. 3901– 

3913; 31 U.S.C. 321(b); Pub. L. 101–410, 104 

Stat. 890, as amended (28 U.S.C. 2461 note); 

E.O. 13312, 68 FR 45151, 3 CFR, 2003 Comp., 

p. 246. 

Subpart F—Penalties 

§ 592.601 [Amended] 

■ 59. In § 592.601, in paragraph (a)(2), 

remove ‘‘$16,108’’ and add in its place 

‘‘$16,630’’. 

PART 594—GLOBAL TERRORISM 

SANCTIONS REGULATIONS 

■ 60. The authority citation for part 594 

is revised to read as follows: 

Authority: 3 U.S.C. 301; 22 U.S.C. 287c; 22 

U.S.C. 9404–9411; 31 U.S.C. 321(b); 50 U.S.C. 

1601–1651, 1701–1706; Pub. L. 101–410, 104 

Stat. 890, as amended (28 U.S.C. 2461 note); 

Pub. L. 114–102, 129 Stat. 2205, as amended 

(50 U.S.C. 1701 note); Pub. L. 115–348, 132 

Stat. 5055 (50 U.S.C. 1701 note); E.O. 13224, 

66 FR 49079, 3 CFR, 2001 Comp., p. 786; E.O. 

13268, 67 FR 44751, 3 CFR 2002 Comp., p. 

240; E.O. 13284, 68 FR 4075, 3 CFR, 2003 

Comp., p. 161; E.O. 13372, 70 FR 8499, 3 

CFR, 2006 Comp., p. 159; E.O. 13886, 84 FR 

48041, 3 CFR, 2019 Comp., p. 356. 

Subpart G—Penalties 

§ 594.701 [Amended] 

■ 61. In § 594.701, in paragraph (a)(2), 

remove ‘‘$356,579’’ and add in its place 

‘‘$368,136’’. 

PART 597—FOREIGN TERRORIST 

ORGANIZATIONS SANCTIONS 

REGULATIONS 

■ 62. The authority citation for part 597 

continues to read as follows: 

Authority: 8 U.S.C. 1189; 18 U.S.C. 2339B; 

31 U.S.C. 321(b); Pub. L. 101–410, 104 Stat. 

890, as amended (28 U.S.C. 2461 note). 

Subpart G—Penalties 

§ 597.701 [Amended] 

■ 63. In § 597.701, in paragraph (b)(3), 

remove ‘‘$94,127’’ and add in its place 

‘‘$97,178’’. 

PART 598—FOREIGN NARCOTICS 

KINGPIN SANCTIONS REGULATIONS 

■ 64. The authority citation for part 598 

continues to read as follows: 

Authority: 3 U.S.C. 301; 21 U.S.C. 1901– 

1908; 31 U.S.C. 321(b); Pub. L. 101–410, 104 

Stat. 890, as amended (28 U.S.C. 2461 note). 

Subpart G—Penalties 

§ 598.701 [Amended] 

■ 65. In § 598.701, in paragraph (a)(4), 

remove ‘‘$1,771,754’’ and add in its 

place ‘‘$1,829,177’’. 

Bradley T. Smith, 

Director, Office of Foreign Assets Control. 

[FR Doc. 2024–00594 Filed 1–11–24; 8:45 am] 

BILLING CODE 4810–AL–P 

DEPARTMENT OF DEFENSE 

Office of the Secretary 

32 CFR Part 269 

[Docket ID: DOD–2016–OS–0045] 

RIN 0790–AL72 

Civil Monetary Penalty Inflation 

Adjustment 

AGENCY: Office of the Under Secretary of 

Defense (Comptroller), Department of 

Defense (DoD). 

ACTION: Final rule. 

SUMMARY: The DoD is issuing this final 

rule to adjust each of its statutory civil 

monetary penalties (CMP) to account for 

inflation. The Federal Civil Penalties 

Inflation Adjustment Act of 1990, as 

amended by the Debt Collection 

Improvement Act of 1996 and the 

Federal Civil Penalties Inflation 

Adjustment Act Improvements Act of 

2015 (the 2015 Act), requires the head 

of each agency to adjust for inflation its 

CMP levels in effect as of November 2, 

2015, under a revised methodology that 

was effective for 2016 and for each year 

thereafter. 

DATES: This rule is effective January 15, 

2024. 

FOR FURTHER INFORMATION CONTACT: 

Dzenana Dzanic, 703–508–9277. 

SUPPLEMENTARY INFORMATION: 

Background Information 

The Federal Civil Penalties Inflation 

Adjustment Act of 1990, Public Law 

101–410, codified at 28 U.S.C. 2461, 

note, as amended, requires agencies to 

annually adjust the level of CMPs for 

inflation to improve their effectiveness 

and maintain their deterrent effect. 

Section 2461 requires that not later than 

July 1, 2016, and not later than January 

15 of every year thereafter, the head of 

each agency must adjust each CMP 

within its jurisdiction by the inflation 

adjustment set forth therein. The 

inflation adjustment is determined by 

increasing the maximum CMP or the 

range of minimum and maximum CMPs, 

as applicable, for each CMP by the costVerDate Sep<11>2014 15:08 Jan 11, 2024 Jkt 262001 PO 00000 Frm 00034 Fmt 4700 Sfmt 4700 E:\FR\FM\12JAR1.SGM 12JAR1

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Federal Register / Vol. 89, No. 9 / Friday, January 12, 2024 / Rules and Regulations 2145 

of-living adjustment, rounded to the 

nearest multiple of $1. The cost-ofliving adjustment is the percentage (if 

any) for each CMP by which the 

Consumer Price Index (CPI) for the 

month of October preceding the date of 

the adjustment exceeds the CPI for the 

month of October in the previous 

calendar year. 

The initial catch up adjustments for 

inflation to the DoD’s CMPs were 

published as an interim final rule in the 

Federal Register on May 26, 2016 (81 

FR 33389–33391) and became effective 

on that date. The interim final rule was 

published as a final rule without change 

on September 12, 2016 (81 FR 62629– 

62631), effective that date. The revised 

methodology for agencies for 2017 and 

each year thereafter provides for the 

improvement of the effectiveness of 

CMPs to maintain their deterrent effect. 

The DoD is adjusting the level of all 

civil monetary penalties under its 

jurisdiction by the Office of 

Management and Budget (OMB) 

directed cost-of-living adjustment 

multiplier for 2024 of 1.03241 

prescribed in OMB Memorandum M– 

24–07, ‘‘Implementation of Penalty 

Inflation Adjustments for 2024, 

Pursuant to the Federal Civil Penalties 

Inflation Adjustment Act Improvements 

Act of 2015.’’ The DoD’s 2024 

adjustments for inflation to CMPs apply 

only to those CMPs, including those 

whose associated violation predated 

such adjustment, which are assessed by 

the DoD after the effective date of the 

new CMP level. 

Statement of Authority and Costs and 

Benefits 

Pursuant to 5 U.S.C. 553(b)B, there is 

good cause to issue this rule without 

prior public notice or opportunity for 

public comment because it would be 

impracticable and unnecessary. The 

Federal Civil Penalties Inflation 

Adjustment Act Improvements Act of 

2015 (Section 2461) requires agencies, 

effective 2017, to make annual 

adjustments for inflation to CMPs 

notwithstanding 5 U.S.C. 553. 

Additionally, the methodology used, 

effective 2017, for adjusting CMPs for 

inflation is established in statute, with 

no discretion provided to agencies 

regarding the substance of the 

adjustments for inflation to CMPs. The 

DoD is charged only with performing 

ministerial computations to determine 

the dollar amount of adjustments for 

inflation to CMPs. Accordingly, prior 

public notice and an opportunity to 

comment are not required for this rule. 

For the same reasons, there is good 

cause under 5 U.S.C. 553(d)(3) to waive 

the 30-day delay in effective date. 

Further, there are no significant costs 

associated with the regulatory revisions 

that would impose any mandates on the 

DoD, Federal, State or local 

governments, or the private sector. 

Accordingly, prior public notice and an 

opportunity for public comment are not 

required for this rule. The benefit of this 

rule is the DoD anticipates that civil 

monetary penalty collections may 

increase in the future due to new 

penalty authorities and other changes in 

this rule. However, it is difficult to 

accurately predict the extent of any 

increase, if any, due to a variety of 

factors, such as budget and staff 

resources, the number and quality of 

civil penalty referrals or leads, and the 

length of time needed to investigate and 

resolve a case. 

Regulatory Procedures 

Executive Order 12866, ‘‘Regulatory 

Planning and Review’’ and Executive 

Order 13563, ‘‘Improving Regulation 

and Regulatory Review’’ 

Executive Order 14094, ‘‘Modernizing 

Regulatory Review,’’ supplements and 

reaffirms the principles, structures, and 

definitions governing contemporary 

regulatory review established in 

Executive Order 12866 of September 30, 

1993 (Regulatory Planning and Review), 

and Executive Order 13563 of January 

18, 2011 (Improving Regulation and 

Regulatory Review). In accordance with 

paragraph (b) of Executive Order 14094, 

section 3(f) of Executive Order 12866 is 

amended to read as follows: ‘‘Significant 

regulatory action’’ means any regulatory 

action that is likely to result in a rule 

that may: 

(1) Have an annual effect on the 

economy of $200 million or more 

(adjusted every 3 years by the 

Administrator of OIRA for changes in 

gross domestic product); or adversely 

affect in a material way the economy, a 

sector of the economy, productivity, 

competition, jobs, the environment, 

public health or safety, or State, local, 

territorial, or tribal governments or 

communities; 

(2) Create a serious inconsistency or 

otherwise interfere with an action taken 

or planned by another agency; 

(3) Materially alter the budgetary 

impact of entitlements, grants, user fees, 

or loan programs or the rights and 

obligations of recipients thereof; or 

(4) Raise legal or policy issues for 

which centralized review would 

meaningfully further the President’s 

priorities or the principles set forth in 

this Executive order, as specifically 

authorized in a timely manner by the 

Administrator of OIRA in each case. 

This rule has been designated ‘‘not 

significant,’’ under the amended section 

3(f) of Executive Order 12866. 

Congressional Review Act, 5 U.S.C. 

804(2) 

The Congressional Review Act, 5 

U.S.C. 801 et seq., generally provides 

that before a rule may take effect, the 

agency promulgating the rule must 

submit a rule report, which includes a 

copy of the rule, to each House of the 

Congress and to the Comptroller General 

of the United States. A major rule may 

take effect no earlier than 60 calendar 

days after Congress receives the rule 

report or the rule is published in the 

Federal Register, whichever is later. 

This rule is not a major rule, as defined 

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

Unfunded Mandates Reform Act (2 

U.S.C. Chapter 25) 

Section 202 of the Unfunded 

Mandates Reform Act of 1995 (UMRA) 

(2 U.S.C. 1532) requires agencies to 

assess anticipated costs and benefits 

before issuing any rule the mandates of 

which require spending in any year of 

$100 million in 1995 dollars, updated 

annually for inflation. This rule will not 

mandate any requirements for State, 

local, or tribal governments, nor will it 

affect private sector costs. 

Public Law 96–354, ‘‘Regulatory 

Flexibility Act’’ (5 U.S.C. Chapter 6) 

The Under Secretary of Defense 

(Comptroller) certified that this rule is 

not subject to the Regulatory Flexibility 

Act (5 U.S.C. 601) because it would not, 

if promulgated, have a significant 

economic impact on a substantial 

number of small entities. Therefore, the 

Regulatory Flexibility Act, as amended, 

does not require DoD to prepare a 

regulatory flexibility analysis. 

Public Law 96–511, ‘‘Paperwork 

Reduction Act’’ (44 U.S.C. Chapter 35) 

The Paperwork Reduction Act was 

enacted to minimize the paperwork 

burden for individuals; small 

businesses; educational and nonprofit 

institutions; Federal contractors; State, 

local and tribal governments; and other 

persons resulting from the collection of 

information by or for the Federal 

government. The Act requires agencies 

obtain approval from the OMB before 

using identical questions to collect 

information from ten or more persons. 

This rule does not impose reporting or 

recordkeeping requirements on the 

public. 

Executive Order 13132, ‘‘Federalism’’ 

Executive Order 13132 establishes 

certain requirements that an agency 


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2146 Federal Register / Vol. 89, No. 9 / Friday, January 12, 2024 / Rules and Regulations 

must meet when it promulgates a rule 

that imposes substantial direct 

requirement costs on State and local 

governments, preempts State law, or 

otherwise has Federalism implications. 

This final rule will not have a 

substantial effect on State and local 

governments. 

Executive Order 13175, ‘‘Consultation 

and Coordination With Indian Tribal 

Governments’’ 

It has been determined that this rule 

will not have a substantial effect on 

Indian tribal governments. This rule 

does not impose substantial direct 

compliance costs on one or more Indian 

tribes, preempt tribal law, or effect the 

distribution of power and 

responsibilities between the Federal 

government and Indian tribes. 

List of Subjects in 32 CFR Part 269 

Administrative practice and 

procedure, Penalties. 

Accordingly, 32 CFR part 269 is 

amended as follows. 

PART 269—CIVIL MONETARY 

PENALTY INFLATION ADJUSTMENT 

■ 1. The authority citation for 32 CFR 

part 269 continues to read as follows: 

Authority: 28 U.S.C. 2461 note. 

■ 2. In § 269.4, revise paragraph (d) to 

read as follows: 

§ 269.4 Cost of living adjustments of civil 

monetary penalties. 

* * * * * 

(d) Inflation adjustment. Maximum 

civil monetary penalties within the 

jurisdiction of the Department are 

adjusted for inflation as follows: 

TABLE 1 TO PARAGRAPH (d) 

United States Code Civil monetary penalty description 

Maximum 

penalty amount 

as of 2023 

($) 

New adjusted 

maximum 

penalty amount 

($) 

National Defense Authorization Act for FY 

2005, 10 U.S.C. 113, note.

Unauthorized Activities Directed at or Possession of Sunken 

Military Craft.

$156,108 $161,168 

10 U.S.C. 1094(c)(1) .................................. Unlawful Provision of Health Care .............................................. 13,707 14,152 

10 U.S.C. 1102(k) ...................................... Wrongful Disclosure—Medical Records: 

First Offense ................................................................................ 8,106 8,368 

Subsequent Offense ................................................................... 54,036 55,788 

10 U.S.C. 2674(c)(2) .................................. Violation of the Pentagon Reservation Operation and Parking 

of Motor Vehicles Rules and Regulations.

2,234 2,306 

31 U.S.C. 3802(a)(1) ................................. Violation Involving False Claim ................................................... 13,508 13,946 

31 U.S.C. 3802(a)(2) ................................. Violation Involving False Statement ............................................ 13,508 13,946 

42 U.S.C. 1320a–7a(a); 32 CFR 

200.210(a)(1).

False claims ................................................................................ 24,163 24,946 

42 U.S.C. 1320a–7a(a); 32 CFR 

200.210(a)(1).

Claims submitted with a false certification of physician license 24,163 24,946 

42 U.S.C. 1320a–7a(a); 32 CFR 

200.210(a)(2).

Claims presented by excluded party .......................................... 24,163 24,946 

42 U.S.C. 1320a–7a(a); 32 CFR 

200.210(a)(2); (b)(2)(ii).

Employing or contracting with an excluded individual ................ 24,163 24,946 

42 U.S.C. 1320a–7a(a); 32 CFR 

200.210(a)(1).

Pattern of claims for medically unnecessary services/supplies 24,163 24,946 

42 U.S.C. 1320a–7a(a); 32 CFR 

200.210(a)(2).

Ordering or prescribing while excluded ...................................... 24,163 24,946 

42 U.S.C. 1320a–7a(a); 32 CFR 

200.210(a)(5).

Known retention of an overpayment ........................................... 24,163 24,946 

42 U.S.C. 1320a–7a(a); 32 CFR 

200.210(a)(4).

Making or using a false record or statement that is material to 

a false or fraudulent claim.

120,816 124,731 

42 U.S.C. 1320a–7a(a); 32 CFR 

200.210(a)(6).

Failure to grant timely access to OIG for audits, investigations, 

evaluations, or other statutory functions of OIG.

36,245 37,420 

42 U.S.C. 1320a–7a(a); 32 CFR 

200.210(a)(3).

Making false statements, omissions, misrepresentations in an 

enrollment application.

120,816 124,731 

42 U.S.C. 1320a–7a(a); 32 CFR 

200.310(a).

Unlawfully offering, paying, soliciting, or receiving remuneration 

to induce or in return for the referral of business in violation 

of 1128B(b) of the Social Security Act.

120,816 124,731 

Dated: January 9, 2024. 

Aaron T. Siegel, 

Alternate OSD Federal Register Liaison 

Officer, Department of Defense. 

[FR Doc. 2024–00647 Filed 1–11–24; 8:45 am] 

BILLING CODE 6001–FR–P 


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