2310 Federal Register / Vol. 87, No. 10 / Friday, January 14, 2022 / Rules and Regulations 

1Adjustment of Civil Penalties for Inflation (73 

FR 54671; Sept. 23, 2008); Adjustment of Civil 

Penalties for Inflation (69 FR 62393; Oct. 26, 2004); 

Adjustment of Civil Penalties for Inflation; 

Miscellaneous Administrative Changes (65 FR 

59270; Oct. 4, 2000); Adjustment of Civil Monetary 

Penalties for Inflation (61 FR 53554; Oct. 11, 1996). 

An adjustment was not performed in 2012 because 

the FCPIAA at the time required agencies to round 

their CMP amounts to the nearest multiple of 

$1,000 or $10,000, depending on the size of the 

CMP amount, and the 2012 percentages based on 

the statutory formula were small enough that no 

adjustment resulted. 

8.0—TABLE OF BASE CIVIL PENALTIES—Continued 

[Table A] 

g. Individuals who release safeguards information ............................................................................................................................. 8,000 

II. Paperwork Reduction Act Statement 

This policy statement does not 

contain any new or amended collection 

of information subject to the Paperwork 

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

et seq). Existing collections of 

information were approved by the 

Office of Management and Budget 

(OMB), approval numbers 3150–0010 

and 3150–0136. 

Public Protection Notification 

The NRC may not conduct or sponsor, 

and a person is not required to respond 

to, a collection of information unless the 

document requesting or requiring the 

collection displays a currently valid 

OMB control number. 

III. Congressional Review Act 

This action is a rule as defined in the 

Congressional Review Act (5 U.S.C. 

801–808). However, the Office of 

Management and Budget has 

determined that it is not a ‘‘major rule’’ 

as defined by the Congressional Review 

Act. 

Dated: December 22, 2021. 

For the Nuclear Regulatory Commission. 

Daniel H. Dorman, 

Executive Director for Operations. 

[FR Doc. 2022–00011 Filed 1–13–22; 8:45 am] 

BILLING CODE 7590–01–P 

NUCLEAR REGULATORY 

COMMISSION 

10 CFR Parts 2 and 13 

[NRC–2020–0032] 

RIN 3150–AK45 

Adjustment of Civil Penalties for 

Inflation for Fiscal Year 2022 

AGENCY: Nuclear Regulatory 

Commission. 

ACTION: Final rule. 

SUMMARY: The U.S. Nuclear Regulatory 

Commission (NRC) is amending its 

regulations to adjust the maximum civil 

monetary penalties it can assess under 

statutes enforced by the agency. These 

changes are mandated by the Federal 

Civil Penalties Inflation Adjustment Act 

of 1990, as amended by the Federal 

Civil Penalties Inflation Adjustment Act 

Improvements Act of 2015. The NRC is 

amending its regulations to adjust the 

maximum civil monetary penalty for a 

violation of the Atomic Energy Act of 

1954, as amended, or any regulation or 

order issued under the Atomic Energy 

Act from $307,058 to $326,163 per 

violation, per day. Additionally, the 

NRC is amending provisions concerning 

program fraud civil penalties by 

adjusting the maximum civil monetary 

penalty under the Program Fraud Civil 

Remedies Act from $11,803 to $12,537 

for each false claim or statement. 

DATES: This final rule is effective on 

January 14, 2022. 

ADDRESSES: Please refer to Docket ID 

NRC–2020–0032 when contacting the 

NRC about the availability of 

information for this action. You may 

obtain publicly available information 

related to this action by any of the 

following methods: 

• Federal Rulemaking website: Go to 

https://www.regulations.gov and search 

for Docket ID NRC–2020–0032. Address 

questions about NRC dockets to Dawn 

Forder; telephone: 301–415–3407; 

email: Dawn.Forder@nrc.gov. For 

technical questions, contact the 

individual listed in the FOR FURTHER

INFORMATION CONTACT section of this 

document. 

• NRC’s Agencywide Documents 

Access and Management System 

(ADAMS): You may obtain publicly 

available documents online in the 

ADAMS Public Documents collection at 

https://www.nrc.gov/reading-rm/ 

adams.html. To begin the search, select 

‘‘Begin Web-based ADAMS Search.’’ For 

problems with ADAMS, please contact 

the NRC’s Public Document Room (PDR) 

reference staff at 1–800–397–4209, 301– 

415–4737, or by email to pdr.resource@

nrc.gov. The ADAMS accession number 

for each document referenced (if it is 

available in ADAMS) is provided the 

first time that it is mentioned in the 

SUPPLEMENTARY INFORMATION section. 

• NRC’s PDR: You may examine and 

purchase copies of public documents, 

by appointment, at the NRC’s PDR, 

Room P1 B35, One White Flint North, 

11555 Rockville Pike, Rockville, 

Maryland 20852. To make an 

appointment to visit the PDR, please 

send an email to PDR.Resource@nrc.gov 

or call 1–800–397–4209 or 301–415– 

4737, between 8:00 a.m. and 4:00 p.m. 

(ET), Monday through Friday, except 

Federal holidays. 

FOR FURTHER INFORMATION CONTACT: Eric 

Michel, Office of the General Counsel, 

U.S. Nuclear Regulatory Commission, 

Washington, DC 20555–0001, telephone: 

301–415–0932; email: Eric.Michel2@

nrc.gov. 

SUPPLEMENTARY INFORMATION: 

Table of Contents 

I. Background 

II. Discussion 

III. Rulemaking Procedure 

IV. Section-by-Section Analysis 

V. Regulatory Analysis 

VI. Regulatory Flexibility Act 

VII. Backfitting and Issue Finality 

VIII. Plain Writing 

IX. National Environmental Policy Act 

X. Paperwork Reduction Act 

XI. Congressional Review Act 

I. Background 

Congress passed the Federal Civil 

Penalties Inflation Adjustment Act of 

1990 (FCPIAA) to allow for regular 

adjustment for inflation of civil 

monetary penalties (CMPs), maintain 

the deterrent effect of such penalties 

and promote compliance with the law, 

and improve the collection of CMPs by 

the Federal government (Pub. L. 101– 

410, 104 Stat. 890; 28 U.S.C. 2461 note). 

Pursuant to this authority, and as 

amended by the Debt Collection 

Improvement Act of 1996 (Pub. L. 104– 

34, 110 Stat. 1321–373), the NRC 

increased via rulemaking the CMP 

amounts for violations of the Atomic 

Energy Act of 1954, as amended (AEA) 

(codified at § 2.205 of title 10 of the 

Code of Federal Regulations (10 CFR), 

‘‘Civil penalties’’) and Program Fraud 

Civil Remedies Act (codified at § 13.3, 

‘‘Civil penalties and assessments’’) on 

four occasions between 1996 and 2008.1

On November 2, 2015, Congress 

amended the FCPIAA through the 

Federal Civil Penalties Inflation 

Adjustment Act Improvements Act of 

2015 (2015 Improvements Act) (Sec. 

701, Pub. L. 114–74, 129 Stat. 599). The 

2015 Improvements Act required that 

the head of each agency perform an 

initial ‘‘catch-up’’ adjustment via 


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Federal Register / Vol. 87, No. 10 / Friday, January 14, 2022 / Rules and Regulations 2311 

rulemaking, adjusting the CMPs 

enforced by that agency according to the 

percentage change in the Consumer 

Price Index (CPI) between the month of 

October 2015 and the month of October 

of the calendar year when the CMP 

amount was last established by 

Congress. The NRC published this 

catch-up rulemaking on July 1, 2016 (81 

FR 43019). 

The 2015 Improvements Act also 

requires that the head of each agency 

continue to adjust CMP amounts, 

rounded to the nearest dollar, on an 

annual basis. Specifically, each CMP is 

to be adjusted based on the percentage 

change between the CPI for the month 

of October, and the CPI for the month 

of October for the previous year. The 

NRC most recently adjusted its civil 

penalties for inflation according to this 

statutory formula on January 15, 2021 

(86 FR 3745). This year’s adjustment is 

based on the increase in the CPI from 

October 2020 to October 2021. 

II. Discussion 

Section 234 of the AEA limits civil 

penalties for violations of the AEA to 

$100,000 per day, per violation (42 

U.S.C. 2282). However, as discussed in 

Section I, ‘‘Background,’’ of this 

document, the NRC has increased this 

amount several times since 1996 per the 

FCPIAA, as amended. Using the formula 

in the 2015 Improvements Act, the 

$307,058 amount last established in 

January 2021 will increase by 6.222 

percent, resulting in a new CMP amount 

of $326,163. This is based on the 

increase in the CPI from October 2020 

(260.388) to October 2021 (276.589). 

Therefore, the NRC is amending § 2.205 

to reflect a new maximum CMP under 

the AEA in the amount of $326,163 per 

day, per violation. This represents an 

increase of $19,105. 

Monetary penalties under the Program 

Fraud Civil Remedies Act were 

established in 1986 at $5,000 per claim 

(Pub. L. 99–509, 100 Stat. 1938; 31 

U.S.C. 3802). The NRC also has adjusted 

this amount (currently set at $11,803) 

multiple times pursuant to the FCPIAA, 

as amended, since 1996. Using the 

formula in the 2015 Improvements Act, 

the $11,803 amount last established in 

January 2021 will also increase by 6.222 

percent, resulting in a new CMP amount 

of $12,537. Therefore, the NRC is 

amending § 13.3 to reflect a new 

maximum CMP amount of $12,537 per 

claim or statement. This represents an 

increase of $734. 

As permitted by the 2015 

Improvements Act, the NRC may apply 

these increased CMP amounts to any 

penalties assessed by the agency after 

the effective date of this final rule 

(January 14, 2022), regardless of 

whether the associated violation 

occurred before or after this date (Pub. 

L. 114–74, 129 Stat. 600; 28 U.S.C. 2461 

note). The NRC assesses civil penalty 

amounts for violations of the AEA based 

on the class of licensee and severity of 

the violation, in accordance with the 

NRC Enforcement Policy, which is 

available under ADAMS Accession No. 

ML21323A042. A corresponding update 

to the NRC Enforcement Policy is being 

published today in the Rules section of 

the Federal Register to reflect the 

updated CMP amount in § 2.205. 

III. Rulemaking Procedure 

The 2015 Improvements Act expressly 

exempts this final rule from the notice 

and comment requirements of the 

Administrative Procedure Act by 

directing agencies to adjust CMPs for 

inflation ‘‘notwithstanding section 553 

of title 5, United States Code’’ (Pub. L. 

114–74, 129 Stat. 599; 28 U.S.C. 2461 

note). As such, this final rule is being 

issued without prior public notice or 

opportunity for public comment, with 

an effective date of January 14, 2022. 

IV. Section-by-Section Analysis 

§ 2.205 Civil penalties. 

This final rule revises paragraph (j) by 

replacing ‘‘$307,058’’ with ‘‘$326,163.’’ 

§ 13.3 Basis for civil penalties and 

assessments. 

This final rule revises paragraphs 

(a)(1)(iv) and (b)(1)(ii) by replacing 

‘‘$11,803’’ with ‘‘$12,537.’’ 

V. Regulatory Analysis 

This final rule adjusts for inflation the 

maximum CMPs the NRC may assess 

under the AEA and under the Program 

Fraud Civil Remedies Act of 1986. The 

formula for determining the amount of 

the adjustment is mandated by Congress 

in the FCPIAA, as amended by the 2015 

Improvements Act (codified at 28 U.S.C. 

2461 note). Congress passed this 

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 diminishes 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. Therefore, 

these are the anticipated impacts of this 

rulemaking. Direct monetary impacts 

fall only upon licensees or other persons 

subjected to NRC enforcement for 

violations of the AEA and regulations 

and orders issued under the AEA 

(§ 2.205), or those licensees or persons 

subjected to liability pursuant to the 

provisions of the Program Fraud Civil 

Remedies Act of 1986 (31 U.S.C. 3801– 

3812) and the NRC’s implementing 

regulations (10 CFR part 13). 

VI. Regulatory Flexibility Act 

The Regulatory Flexibility Act does 

not apply to regulations for which a 

Federal agency is not required by law, 

including the rulemaking provisions of 

the Administrative Procedure Act, 5 

U.S.C 553(b), to publish a general notice 

of proposed rulemaking (5 U.S.C. 604). 

As discussed under Section III, 

‘‘Rulemaking Procedure,’’ of this 

document, this final rule is exempt from 

the requirements of 5 U.S.C. 553(b) and 

notice and comment need not be 

provided. Accordingly, the NRC also 

determines that the requirements of the 

Regulatory Flexibility Act do not apply 

to this final rule. 

VII. Backfit and Issue Finality 

The NRC has not prepared a backfit 

analysis for this final rule. This final 

rule does not involve any provision that 

would impose a backfit, nor is it 

inconsistent with any issue finality 

provision, as those terms are defined in 

10 CFR chapter I. As mandated by 

Congress, this final rule increases CMP 

amounts for violations of alreadyexisting NRC regulations and 

requirements. This final rule does not 

modify any licensee systems, structures, 

components, designs, approvals, or 

procedures required for the construction 

or operation of any facility. 

VIII. Plain Writing 

The Plain Writing Act of 2010 (Pub. 

L. 111–274) requires Federal agencies to 

write documents in a clear, concise, and 

well-organized manner. The NRC has 

written this document to be consistent 

with the Plain Writing Act as well as the 

Presidential Memorandum, ‘‘Plain 

Language in Government Writing,’’ 

published June 10, 1998 (63 FR 31885). 

IX. National Environmental Policy Act 

The NRC has determined that this 

final rule is the type of action described 

as a categorical exclusion in 

§ 51.22(c)(1). Therefore, neither an 

environmental impact statement nor an 

environmental assessment has been 

prepared for this final rule. 

X. Paperwork Reduction Act 

This final rule does not contain a 

collection of information as defined in 

the Paperwork Reduction Act of 1995 

(44 U.S.C. 3501 et seq.) and, therefore, 


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2312 Federal Register / Vol. 87, No. 10 / Friday, January 14, 2022 / Rules and Regulations 

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 


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