2902 Federal Register / Vol. 83, No. 14 / Monday, January 22, 2018 / Rules and Regulations 

1 16 CFR 1.98. 

2Public Law 114–74, section 701, 129 Stat. 599 

(2015). The Act amends the Federal Civil Penalties 

Inflation Adjustment Act (‘‘FCPIAA’’), Public Law 

101–410, 104 Stat. 890 (codified at 28 U.S.C. 2461 

note). 

3 81 FR 42476 (June 30, 2016). 

4 82 FR 8135 (Jan. 24, 2017). 

5 28 U.S.C. 2461 note (4). 

6 Id. (3), (5)(b); Office of Management and Budget, 

Memorandum M–18–03, Implementation of Penalty 

Inflation Adjustments for 2018, Pursuant to the 

Federal Civil Penalties Inflation Adjustment Act 

Improvements Act of 2015, at 4 (December 15, 

2017), available at https://www.whitehouse.gov/wpcontent/uploads/2017/11/M-18-03.pdf. 

Issued in Renton, Washington, on January 

9, 2018. 

John P. Piccola, Jr., 

Acting Director, System Oversight Division, 

Aircraft Certification Service. 

[FR Doc. 2018–00950 Filed 1–19–18; 8:45 am] 

BILLING CODE 4910–13–P 

FEDERAL TRADE COMMISSION 

16 CFR Part 1 

Adjustments to Civil Penalty Amounts 

AGENCY: Federal Trade Commission. 

ACTION: Final rule. 

SUMMARY: The Federal Trade 

Commission (‘‘FTC’’ or ‘‘Commission’’) 

is implementing adjustments to the civil 

penalty amounts within its jurisdiction 

to account for inflation, as required by 

law. 

DATES: Effective date: January 22, 2018. 

FOR FURTHER INFORMATION CONTACT: 

Kenny A. Wright, Attorney, Office of the 

General Counsel, FTC, 600 

Pennsylvania Avenue NW, Washington, 

DC 20580, (202) 326–2907, kwright@

ftc.gov. 

SUPPLEMENTARY INFORMATION: 

Commission Rule 1.98 sets forth civil 

penalty amounts for violations of certain 

laws enforced by the Commission.1 As 

mandated by the Federal Civil Penalties 

Inflation Adjustment Act Improvements 

Act of 2015,2 the Commission adjusted 

the maximum civil penalty amounts 

under its jurisdiction through an Interim 

Final Rulemaking in June 2016 3 and a 

subsequent annual inflation adjustment 

in January 2017.4

Following the initial catch-up 

adjustment, the FCPIAA, as amended, 

directs agencies to adjust their civil 

penalties for inflation every January 

thereafter. Accordingly, the Commission 

is increasing these maximum civil 

penalty amounts to address inflation 

since the January 2017 adjustment. The 

following adjusted amounts will take 

effect on January 22, 2018: 

• Section 7A(g)(1) of the Clayton Act, 

15 U.S.C. 18a(g)(1) (premerger filing 

notification violations under the HartScott-Rodino Improvements Act)— 

Increase from $40,654 to $41,484; 

• Section 11(l) of the Clayton Act, 15 

U.S.C. 21(l) (violations of cease and 

desist orders issued under Clayton Act 

section 11(b))—Increase from $21,598 to 

$22,039; 

• Section 5(l) of the FTC Act, 15 

U.S.C. 45(l) (unfair or deceptive acts or 

practices)—Increase from $40,654 to 

$41,484; 

• Section 5(m)(1)(A) of the FTC Act, 

15 U.S.C. 45(m)(1)(A) (unfair or 

deceptive acts or practices)—Increase 

from $40,654 to $41,484; 

• Section 5(m)(1)(B) of the FTC Act, 

15 U.S.C. 45(m)(1)(B) (unfair or 

deceptive acts or practices)—Increase 

from $40,654 to $41,484; 

• Section 10 of the FTC Act, 15 U.S.C. 

50 (failure to file required reports)— 

Increase from $534 to $545; 

• Section 5 of the Webb-Pomerene 

(Export Trade) Act, 15 U.S.C. 65 (failure 

by associations engaged solely in export 

trade to file required statements)— 

Increase from $534 to $545; 

• Section 6(b) of the Wool Products 

Labeling Act, 15 U.S.C. 68d(b) (failure 

by wool manufacturers to maintain 

required records)—Increase from $534 

to $545; 

• Section 3(e) of the Fur Products 

Labeling Act, 15 U.S.C. 69a(e) (failure to 

maintain required records regarding fur 

products)—Increase from $534 to $545; 

• Section 8(d)(2) of the Fur Products 

Labeling Act, 15 U.S.C. 69f(d)(2) (failure 

to maintain required records regarding 

fur products)—Increase from $534 to 

$545; 

• Section 333(a) of the Energy Policy 

and Conservation Act, 42 U.S.C. 6303(a) 

(knowing violations of EPCA section 

332, including labeling violations)— 

Increase from $440 to $449; 

• Section 525(a) of the Energy Policy 

and Conservation Act, 42 U.S.C. 6395(a) 

(recycled oil labeling violations)— 

Increase from $21,598 to $22,039; 

• Section 525(b) of the Energy Policy 

and Conservation Act, 42 U.S.C. 6395(b) 

(willful violations of recycled oil 

labeling requirements)—Increase from 

$40,654 to $41,484; 

• Section 621(a)(2) of the Fair Credit 

Reporting Act, 15 U.S.C. 1681s(a)(2) 

(knowing violations of the Fair Credit 

Reporting Act)—Increase from $3,817 to 

$3,895; 

• Section 1115(a) of the Medicare 

Prescription Drug Improvement and 

Modernization Act of 2003, Public Law 

108–173, 21 U.S.C. 355 note (failure to 

comply with filing requirements)— 

Increase from $14,373 to $14,666; and 

• Section 814(a) of the Energy 

Independence and Security Act of 2007, 

42 U.S.C. 17304 (violations of 

prohibitions on market manipulation 

and provision of false information to 

federal agencies)—Increase from 

$1,156,953 to $1,180,566. 

Calculation of Inflation Adjustments 

The FCPIAA, as amended, directs 

federal agencies to adjust each civil 

monetary penalty under their 

jurisdiction for inflation in January of 

each year pursuant to a cost-of-living 

adjustment.5 The cost-of-living 

adjustment is based on the percent 

change between the U.S. Department of 

Labor’s Consumer Price Index for allurban consumers (‘‘CPI–U’’) for the 

month of October preceding the date of 

the adjustment, and the CPI–U for 

October of the prior year.6 Based on that 

formula, the cost-of-living adjustment 

multiplier for 2018 is 1.02041. The 

FCPIAA also directs that these penalty 

level adjustments should be rounded to 

the nearest dollar. Agencies do not have 

discretion over whether to adjust a 

maximum civil penalty, or the method 

used to determine the adjustment. 

The following chart illustrates the 

application of these adjustments to the 

civil monetary penalties under the 

Commission’s jurisdiction. 

CALCULATION OF ADJUSTMENTS TO MAXIMUM CIVIL MONETARY PENALTIES

Citation Description 

Current 

penalty 

(2017) 

Adjustment 

multiplier 

Adjusted 

penalty 

16 CFR 1.98(a): 15 U.S.C. 18a(g)(1) ............. Premerger filing notification violations ........... $40,654 1.02041 $41,484 

16 CFR 1.98(b): 15 U.S.C. 21(l) ..................... Violations of cease and desist orders ............ 21,598 1.02041 22,039 

16 CFR 1.98(c): 15 U.S.C. 45(l) ..................... Unfair or deceptive acts or practices ............. 40,654 1.02041 41,484 

16 CFR 1.98(d): 15 U.S.C. 45(m)(1)(A) ......... Unfair or deceptive acts or practices ............. 40,654 1.02041 41,484 


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Federal Register / Vol. 83, No. 14 / Monday, January 22, 2018 / Rules and Regulations 2903 

7 28 U.S.C. 2461 note (6). 

8A regulatory flexibility analysis under the RFA 

is required only when an agency must publish a 

notice of proposed rulemaking for comment. See 5 

U.S.C. 603. 

CALCULATION OF ADJUSTMENTS TO MAXIMUM CIVIL MONETARY PENALTIES—Continued 

Citation Description 

Current 

penalty 

(2017) 

Adjustment 

multiplier 

Adjusted 

penalty 

16 CFR 1.98(e): 15 U.S.C. 45(m)(1)(B) ......... Unfair or deceptive acts or practices ............. 40,654 1.02041 41,484 

16 CFR 1.98(f): 15 U.S.C. 50 ......................... Failure to file required reports ........................ 534 1.02041 545 

16 CFR 1.98(g): 15 U.S.C. 65 ........................ Failure to file required statements ................. 534 1.02041 545 

16 CFR 1.98(h): 15 U.S.C. 68d(b) ................. Failure to maintain required records .............. 534 1.02041 545 

16 CFR 1.98(i): 15 U.S.C. 69a(e) ................... Failure to maintain required records .............. 534 1.02041 545 

16 CFR 1.98(j): 15 U.S.C. 69f(d)(2) ............... Failure to maintain required records .............. 534 1.02041 545 

16 CFR 1.98(k): 42 U.S.C. 6303(a) ................ Knowing violations ......................................... 440 1.02041 449 

16 CFR 1.98(l): 42 U.S.C. 6395(a) ................. Recycled oil labeling violations ...................... 21,598 1.02041 22,039 

16 CFR 1.98(l): 42 U.S.C. 6395(b) ................. Willful violations .............................................. 40,654 1.02041 41,484 

16 CFR 1.98(m): 15 U.S.C. 1681s(a)(2) ........ Knowing violations ......................................... 3,817 1.02041 3,895 

16 CFR 1.98(n): 21 U.S.C. 355 note .............. Non-compliance with filing requirements ....... 14,373 1.02041 14,666 

16 CFR 1.98(o): 42 U.S.C. 17304 .................. Market manipulation or provision of false information to federal agencies.1,156,953 1.02041 1,180,566 

Effective Dates of New Penalties 

These new penalty levels apply to 

civil penalties assessed after the 

effective date of the applicable 

adjustment, including civil penalties 

whose associated violation predated the 

effective date.7 These adjustments do 

not retrospectively change previously 

assessed or enforced civil penalties that 

the FTC is actively collecting or has 

collected. 

Procedural Requirements 

The FCPIAA, as amended, directs 

agencies to adjust civil monetary 

penalties through rulemaking and to 

publish the required inflation 

adjustments in the Federal Register, 

notwithstanding section 553 of title 5, 

United States Code. Pursuant to this 

congressional mandate, prior public 

notice and comment under the APA and 

a delayed effective date are not required. 

For this reason, the requirements of the 

Regulatory Flexibility Act (‘‘RFA’’) also 

do not apply.8 Further, this rule does 

not contain any collection of 

information requirements as defined by 

the Paperwork Reduction Act of 1995 as 

amended. 44 U.S.C. 3501 et seq. 

List of Subjects for 16 CFR Part 1 

Administrative practice and 

procedure, Penalties, Trade practices. 

Text of Amendments 

For the reasons set forth in the 

preamble, the Federal Trade 

Commission amends title 16, chapter I, 

subchapter A, of the Code of Federal 

Regulations, as follows: 

PART 1—GENERAL PROCEDURES 

Subpart L—Civil Penalty Adjustments 

Under the Federal Civil Penalties 

Inflation Adjustment Act of 1990, as 

Amended 

■ 1. The authority citation for part 1, 

subpart L continues to read as follows: 

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

■ 2. Revise § 1.98 to read as follows: 

§ 1.98 Adjustment of civil monetary 

penalty amounts. 

This section makes inflation 

adjustments in the dollar amounts of 

civil monetary penalties provided by 

law within the Commission’s 

jurisdiction. The following maximum 

civil penalty amounts apply only to 

penalties assessed after January 22, 

2018, including those penalties whose 

associated violation predated January 

22, 2018. 

(a) Section 7A(g)(1) of the Clayton 

Act, 15 U.S.C. 18a(g)(1)—$41,484; 

(b) Section 11(l) of the Clayton Act, 15 

U.S.C. 21(l)—$22,039; 

(c) Section 5(l) of the FTC Act, 15 

U.S.C. 45(l)—$41,484; 

(d) Section 5(m)(1)(A) of the FTC Act, 

15 U.S.C. 45(m)(1)(A)—$41,484; 

(e) Section 5(m)(1)(B) of the FTC Act, 

15 U.S.C. 45(m)(1)(B)—$41,484; 

(f) Section 10 of the FTC Act, 15 

U.S.C. 50—$545; 

(g) Section 5 of the Webb-Pomerene 

(Export Trade) Act, 15 U.S.C. 65—$545; 

(h) Section 6(b) of the Wool Products 

Labeling Act, 15 U.SC. 68d(b)—$545; 

(i) Section 3(e) of the Fur Products 

Labeling Act, 15 U.S.C. 69a(e)—$545; 

(j) Section 8(d)(2) of the Fur Products 

Labeling Act, 15 U.S.C. 69f(d)(2)—$545; 

(k) Section 333(a) of the Energy Policy 

and Conservation Act, 42 U.S.C. 

6303(a)—$449; 

(l) Sections 525(a) and (b) of the 

Energy Policy and Conservation Act, 42 

U.S.C. 6395(a) and (b), respectively— 

$22,039 and $41,484, respectively; 

(m) Section 621(a)(2) of the Fair 

Credit Reporting Act, 15 U.S.C. 

1681s(a)(2)—$3,895; 

(n) Section 1115(a) of the Medicare 

Prescription Drug Improvement and 

Modernization Act of 2003, Public Law 

108–173, 21 U.S.C. 355 note—$14,666; 

(o) Section 814(a) of the Energy 

Independence and Security Act of 2007, 

42 U.S.C. 17304—$1,180,566; and 

(p) Civil monetary penalties 

authorized by reference to the Federal 

Trade Commission Act under any other 

provision of law within the jurisdiction 

of the Commission—refer to the 

amounts set forth in paragraphs (c), (d), 

(e) and (f) of this section, as applicable. 

By direction of the Commission. 

Donald S. Clark, 

Secretary. 

[FR Doc. 2018–00979 Filed 1–19–18; 8:45 am] 

BILLING CODE 6750–01–P 

NATIONAL INDIAN GAMING 

COMMISSION 

25 CFR Part 514 

Fees 

AGENCY: National Indian Gaming 

Commission. 

ACTION: Final rule. 

SUMMARY: The National Indian Gaming 

Commission is amending its fee 

regulations. The rule amends the 

regulations that describe when the 

Commission adopts annual fee rates, 

defines the fiscal year of the gaming 

operation that will be used for 

calculating the fee payments, and 

includes additional revisions clarifying 

the fee calculation and submission 

process for gaming operations. 


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