1552 Federal Register / Vol. 83, No. 9 / Friday, January 12, 2018 / Rules and Regulations 

18 5 U.S.C. 553(d)(3). 

VII. Effective Date and Congressional 

Notification 

15. For the same reasons the 

Commission has determined that public 

notice and comment are unnecessary, 

impractical, and contrary to the public 

interest, the Commission finds good 

cause to adopt an effective date that is 

less than 30 days after the date of 

publication in the Federal Register 

pursuant to the Administrative 

Procedure Act,18 and therefore, the 

regulation is effective upon publication 

in the Federal Register. 

16. The Commission has determined, 

with the concurrence of the 

Administrator of the Office of 

Information and Regulatory Affairs of 

the Office of Management and Budget, 

that this rule is not a ‘‘major rule’’ as 

defined in section 351 of the Small 

Business Regulatory Enforcement 

Fairness Act of 1996. This Final Rule is 

being submitted to the Senate, House, 

and Government Accountability Office. 

List of Subjects 

18 CFR Part 250 

Natural gas, Reporting and 

recordkeeping requirements. 

18 CFR Part 385 

Administrative practice and 

procedure, Electric power, Penalties, 

Pipelines, Reporting and recordkeeping 

requirements. 

By the Commission. 

Issued: January 8, 2018. 

Kimberly D. Bose, 

Secretary. 

In consideration of the foregoing, the 

Commission amends parts 250 and 385, 

chapter I, title 18, Code of Federal 

Regulations as follows: 

PART 250—FORMS 

■ 1. The authority citation for part 250 

continues to read as follows: 

Authority: 15 U.S.C. 717–717w, 3301– 

3432; 42 U.S.C. 7101–7352; 28 U.S.C. 2461 

note. 

■ 2. Amend § 250.16 by revising 

paragraph (e)(1) to read as follows: 

§ 250.16 Format of compliance plan 

transportation services and affiliate 

transactions. 

* * * * * 

(e) * * * (1) Any person who 

transports gas for others pursuant to 

subparts B or G of part 284 of this 

chapter and who knowingly violates the 

requirements of §§ 358.4 and 358.5, 

§ 250.16, or § 284.13 of this chapter will 

be subject, pursuant to sections 311(c), 

501, and 504(b)(6) of the Natural Gas 

Policy Act of 1978, to a civil penalty, 

which the Commission may assess, of 

not more than $1,238,271 for any one 

violation. 

* * * * * 

PART 385—RULES OF PRACTICE AND 

PROCEDURE 

■ 3. The authority citation for part 385 

continues to read as follows: 

Authority: 5 U.S.C. 551–557; 15 U.S.C. 

717–717w, 3301–3432; 16 U.S.C. 791a–825v, 

2601–2645; 28 U.S.C. 2461; 31 U.S.C 3701, 

9701; 42 U.S.C. 7101–7352, 16441, 16451– 

16463; 49 U.S.C. 60502; 49 App. U.S.C. 1–85 

(1988); 28 U.S.C. 2461 note (1990); 28 U.S.C. 

2461 note (2015). 

■ 4. Revise § 385.1504(a) to read as 

follows: 

§ 385.1504 Maximum civil penalty (Rule 

1504). 

(a) Except as provided in paragraph 

(b) of this section, the Commission may 

assess a civil penalty of up to $22,363 

for each day that the violation 

continues. 

* * * * * 

■ 5. Revise § 385.1602 to read as 

follows: 

§ 385.1602 Civil penalties, as adjusted 

(Rule 1602). 

The current inflation-adjusted civil 

monetary penalties provided by law 

within the jurisdiction of the 

Commission are: 

(a) 15 U.S.C. 3414(b)(6)(A)(i), Natural 

Gas Policy Act of 1978: $1,238,271. 

(b) 16 U.S.C. 823b(c), Federal Power 

Act: $22,363 per day. 

(c) 16 U.S.C. 825n(a), Federal Power 

Act: $2,852. 

(d) 16 U.S.C. 825o–1(b), Federal 

Power Act: $1,238,271 per day. 

(e) 15 U.S.C. 717t–1, Natural Gas Act: 

$1,238,271 per day. 

(f) 49 App. U.S.C. 6(10) (1988), 

Interstate Commerce Act: $1,296 per 

offense and $65 per day after the first 

day. 

(g) 49 App. U.S.C. 16(8) (1988), 

Interstate Commerce Act: $12,964 per 

day. 

(h) 49 App. U.S.C. 19a(k) (1988), 

Interstate Commerce Act: $1,296 per 

day. 

(i) 49 App. U.S.C. 20(7)(a) (1988), 

Interstate Commerce Act: $1,296 per 

day. 

[FR Doc. 2018–00415 Filed 1–11–18; 8:45 am] 

BILLING CODE 6717–01–P 

DEPARTMENT OF THE TREASURY 

Alcohol and Tobacco Tax and Trade 

Bureau 

27 CFR Part 16 

[Docket No. TTB–2018–0002; Notice No. 

171] 

Civil Monetary Penalty Inflation 

Adjustment—Alcoholic Beverage 

Labeling Act 

AGENCY: Alcohol and Tobacco Tax and 

Trade Bureau, Treasury. 

ACTION: Notification of civil monetary 

penalty adjustment. 

SUMMARY: This document informs the 

public that the maximum penalty for 

violations of the Alcoholic Beverage 

Labeling Act (ABLA) is being adjusted 

in accordance with the Federal Civil 

Penalties Inflation Adjustment Act of 

1990, as amended. Prior to the 

publication of this document, any 

person who violated the provisions of 

the ABLA was subject to a civil penalty 

of not more than $20,111, with each day 

constituting a separate offense. This 

document announces that this 

maximum penalty is being increased to 

$20,521. 

DATES: The new maximum civil penalty 

for violations of the ABLA takes effect 

on January 12, 2018 and applies to 

penalties that are assessed after that 

date. 

FOR FURTHER INFORMATION CONTACT: Rita 

D. Butler, Regulations and Rulings 

Division, Alcohol and Tobacco Tax and 

Trade Bureau, 1310 G Street NW, Box 

12, Washington, DC 20005; (202) 453– 

1039, ext. 101. 

SUPPLEMENTARY INFORMATION: 

Background 

Statutory Authority for Federal Civil 

Monetary Penalty Inflation Adjustments 

The Federal Civil Penalties Inflation 

Adjustment Act of 1990 (the Inflation 

Adjustment Act), Public Law 101–410, 

104 Stat. 890, 28 U.S.C. 2461 note, as 

amended by the Federal Civil Penalties 

Inflation Adjustment Act Improvements 

Act of 2015, Public Law 114–74, section 

701, 129 Stat. 584, requires the regular 

adjustment and evaluation of civil 

monetary penalties to maintain their 

deterrent effect and helps to ensure that 

penalty amounts imposed by the 

Federal Government are properly 

accounted for and collected. A ‘‘civil 

monetary penalty’’ is defined in the 

Inflation Adjustment Act as any penalty, 

fine, or other such sanction that is: (1) 

For a specific monetary amount as 

provided by Federal law, or has a 


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Federal Register / Vol. 83, No. 9 / Friday, January 12, 2018 / Rules and Regulations 1553 

maximum amount provided for by 

Federal law; (2) assessed or enforced by 

an agency pursuant to Federal law; and 

(3) assessed or enforced pursuant to an 

administrative proceeding or a civil 

action in the Federal courts. 

The Inflation Adjustment Act, as 

amended, requires agencies to adjust 

civil monetary penalties by the inflation 

adjustment described in section 5 of the 

Inflation Adjustment Act no later than 

January 15 of every year thereafter. The 

Act also provides that any increase in a 

civil monetary penalty shall apply only 

to civil monetary penalties, including 

those whose associated violation 

predated such an increase, which are 

assessed after the date the increase takes 

effect. 

The Inflation Adjustment Act, as 

amended, provides that the inflation 

adjustment does not apply to civil 

monetary penalties under the Internal 

Revenue Code of 1986 or the Tariff Act 

of 1930. 

Alcoholic Beverage Labeling Act 

The Alcohol and Tobacco Tax and 

Trade Bureau (TTB) administers the 

Federal Alcohol Administration Act 

(FAA Act) pursuant to section 1111(d) 

of the Homeland Security Act of 2002, 

codified at 6 U.S.C. 531(d). The 

Secretary has delegated various 

authorities through Treasury 

Department Order 120–01, dated 

December 10, 2013, (superseding 

Treasury Department Order 120–01, 

dated January 24, 2003), to the TTB 

Administrator to perform the functions 

and duties in the administration and 

enforcement of this law. 

The FAA Act contains the Alcoholic 

Beverage Labeling Act (ABLA) of 1988, 

Public Law 100–690, 27 U.S.C. 213– 

219a, which was enacted on November 

18, 1988. Section 204 of the ABLA, 

codified in 27 U.S.C. 215, requires that 

a health warning statement appear on 

the labels of all containers of alcoholic 

beverages manufactured, imported, or 

bottled for sale or distribution in the 

United States, as well as on containers 

of alcoholic beverages that are 

manufactured, imported, bottled, or 

labeled for sale, distribution, or 

shipment to members or units of the 

U.S. Armed Forces, including those 

located outside the United States. 

The health warning statement 

requirement applies to containers of 

alcoholic beverages manufactured, 

imported, or bottled for sale or 

distribution in the United States on or 

after November 18, 1989. The statement 

reads as follows: 

GOVERNMENT WARNING: (1) According 

to the Surgeon General, women should not 

drink alcoholic beverages during pregnancy 

because of the risk of birth defects. (2) 

Consumption of alcoholic beverages impairs 

your ability to drive a car or operate 

machinery, and may cause health problems. 

Section 204 of the ABLA also 

specifies that the Secretary of the 

Treasury shall have the power to ensure 

the enforcement of the provisions of the 

ABLA and issue regulations to carry out 

them out. In addition, section 207 of the 

ABLA, codified in 27 U.S.C. 218, 

provides that any person who violates 

the provisions of the ABLA is subject to 

a civil penalty of not more than $10,000, 

with each day constituting a separate 

offense. 

Most of the civil monetary penalties 

administered by TTB are imposed by 

the Internal Revenue Code of 1986, and 

thus are not subject to the inflation 

adjustment mandated by the Inflation 

Adjustment Act. The only civil 

monetary penalty enforced by TTB that 

is subject to the inflation adjustment is 

the penalty imposed by the ABLA at 27 

U.S.C. 218. 

TTB Regulations 

The TTB regulations implementing 

the ABLA are found in 27 CFR part 16, 

and the regulations implementing the 

Inflation Adjustment Act with respect to 

the ABLA penalty are found in 27 CFR 

16.33. This section indicates that the 

ABLA provides that any person who 

violates the provisions of this part shall 

be subject to a civil penalty of not more 

than $10,000, but also states that, 

pursuant to the provisions of the 

Federal Civil Penalties Inflation 

Adjustment Act of 1990, as amended, 

this civil penalty is subject to periodic 

cost-of-living adjustment. Accordingly, 

any person who violates the provisions 

of 27 CFR part 16 shall be subject to a 

civil penalty of not more than the 

amount listed at https://www.ttb.gov/ 

regulation_guidance/ablapenalty.html. 

Each day shall constitute a separate 

offense. 

To adjust the penalty, § 16.33(b) 

indicates that TTB will provide notice 

in the Federal Register and at the 

website mentioned above of cost-ofliving adjustments to the civil penalty 

for violations of 27 CFR part 16. 

Penalty Adjustment 

In this document, TTB is publishing 

its yearly adjustment to the maximum 

ABLA penalty, as required by the 

amended Inflation Adjustment Act. 

As mentioned earlier, the ABLA 

contains a maximum civil monetary 

penalty. For such penalties, Section 5 of 

the Inflation Adjustment Act indicates 

that the inflation adjustment shall be 

determined by increasing the maximum 

penalty by the cost-of-living adjustment. 

The cost-of-living adjustment means the 

percentage (if any) by which the 

Consumer Price Index for all-urban 

consumers (CPI–U) for the month of 

October preceding the date of the 

adjustment exceeds the CPI–U for the 

month of October 1 year before the 

month of October preceding the date of 

the adjustment. 

The CPI–U in October 2016 was 

241.729, and the CPI–U in October 2017 

was 246.663. The rate of inflation 

between October 2016 and October 2017 

is therefore 2.041 percent. When 

applied to the current ABLA penalty of 

$20,111, this rate of inflation yields a 

raw (unrounded) inflation adjustment of 

$410.46551. Rounded to the nearest 

dollar, the inflation adjustment is $410, 

meaning that the new maximum civil 

penalty for violations of the ABLA will 

be $20,521. 

The new maximum civil penalty will 

apply to all penalties that are assessed 

after January 12, 2018. TTB will also 

update its web page at https://

www.ttb.gov/regulation_guidance/ 

ablapenalty.html to reflect the adjusted 

penalty. 

Dated: January 8, 2018. 

Amy R. Greenberg, 

Director, Regulations and Rulings Division. 

[FR Doc. 2018–00417 Filed 1–11–18; 8:45 am] 

BILLING CODE 4810–31–P 

PENSION BENEFIT GUARANTY 

CORPORATION 

29 CFR Part 4022 

Benefits Payable in Terminated SingleEmployer Plans; Interest Assumptions 

for Paying Benefits 

AGENCY: Pension Benefit Guaranty 

Corporation. 

ACTION: Final rule. 

SUMMARY: This final rule amends the 

Pension Benefit Guaranty Corporation’s 

regulation on Benefits Payable in 

Terminated Single-Employer Plans to 

prescribe interest assumptions under 

the regulation for valuation dates in 

February 2018. The interest 

assumptions are used for paying 

benefits under terminating singleemployer plans covered by the pension 

insurance system administered by 

PBGC. 

DATES: Effective February 1, 2018. 

FOR FURTHER INFORMATION CONTACT: 

Daniel S. Liebman (liebman.daniel@

pbgc.gov), Acting Assistant General 

Counsel for Regulatory Affairs, Pension 

Benefit Guaranty Corporation, 1200 K 

Street NW, Washington, DC 20005, 202– 


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