Federal Register / Vol. 90, No. 8 / Tuesday, January 14, 2025 / Rules and Regulations 3041 

1The Board also has various criminal penalty 

authority, enforceable in a federal criminal court. 

Congress has not, however, authorized federal 

agencies to adjust statutorily prescribed criminal 

penalty provisions for inflation, and this rule does 

not address those provisions. 

By the Commission. 

David Eng, 

Secretary. 

[FR Doc. 2025–00630 Filed 1–13–25; 8:45 am] 

BILLING CODE 6730–02–P 

SURFACE TRANSPORTATION BOARD 

49 CFR Part 1022 

[Docket No. EP 716 (Sub-No. 10)] 

Civil Monetary Penalties—2025 

Adjustment 

AGENCY: Surface Transportation Board. 

ACTION: Final rule. 

SUMMARY: The Surface Transportation 

Board (Board) is issuing a final rule to 

implement the annual inflationary 

adjustment to its civil monetary 

penalties, pursuant to the Federal Civil 

Penalties Inflation Adjustment Act 

Improvements Act of 2015. 

DATES: This final rule is effective 

January 14, 2025. 

FOR FURTHER INFORMATION CONTACT: 

Sarah Fancher at (202) 245–0355. If you 

require an accommodation under the 

Americans with Disabilities Act, please 

call (202) 245–0245. 

SUPPLEMENTARY INFORMATION: 

I. Background 

The Federal Civil Penalties Inflation 

Adjustment Act Improvements Act of 

2015 (2015 Act), enacted as part of the 

Bipartisan Budget Act of 2015, Public 

Law 114–74, sec. 701, 129 Stat. 584, 

599–601, requires agencies to adjust 

their civil penalties for inflation 

annually, beginning on July 1, 2016, and 

no later than January 15 of every year 

thereafter. In accordance with the 2015 

Act, annual inflation adjustments are to 

be based on the percent change between 

the Consumer Price Index for all Urban 

Consumers (CPI–U) for October of the 

previous year and the October CPI–U of 

the year before that. Penalty level 

adjustments should be rounded to the 

nearest dollar. 

II. Discussion 

The statutory definition of civil 

monetary penalty covers various civil 

penalty provisions under the Rail (Part 

A); Motor Carriers, Water Carriers, 

Brokers, and Freight Forwarders (Part 

B); and Pipeline Carriers (Part C) 

provisions of the Interstate Commerce 

Act, as amended. The Board’s civil (and 

criminal) penalty authority related to 

rail transportation is codified at 49 

U.S.C. 11901–11908. The Board’s 

penalty authority related to motor 

carriers, water carriers, brokers, and 

freight forwarders appears at 49 U.S.C. 

14901–14916. The Board’s penalty 

authority related to pipeline carriers is 

codified at 49 U.S.C. 16101–16106.1 The 

Board has regulations at 49 CFR part 

1022 that codify the method set forth in 

the 2015 Act for annually adjusting for 

inflation the civil monetary penalties 

within the Board’s jurisdiction. 

As set forth in this final rule, the 

Board is amending 49 CFR part 1022 to 

make an annual inflation adjustment to 

the civil monetary penalties in 

conformance with the requirements of 

the 2015 Act. The adjusted penalties set 

forth in the rule will apply only to 

violations that occur after the effective 

date of this regulation. 

In accordance with the 2015 Act, the 

annual adjustment adopted here is 

calculated by multiplying each current 

penalty by the cost-of-living adjustment 

factor of 1.02598, which reflects the 

percentage change between the October 

2024 CPI–U (315.664) and the October 

2023 CPI–U (307.671). The table at the 

end of this decision shows the statutory 

citation for each civil penalty, a 

description of the provision, the 

adjusted statutory civil penalty level for 

2024, and the adjusted statutory civil 

penalty level for 2025. 

III. Final Rule 

The final rule set forth at the end of 

this decision is being issued without 

notice and comment pursuant to the 

rulemaking provision of the 

Administrative Procedure Act (APA), 5 

U.S.C. 553(b)(B), which does not require 

that process ‘‘when the agency for good 

cause finds’’ that public notice and 

comment are ‘‘unnecessary.’’ Here, 

Congress has mandated that the agency 

make an annual inflation adjustment to 

its civil monetary penalties. The Board 

has no discretion to set alternative 

levels of adjusted civil monetary 

penalties, because the amount of the 

inflation adjustment must be calculated 

in accordance with the statutory 

formula. Given the absence of 

discretion, the Board has determined 

that there is good cause to promulgate 

this rule without soliciting public 

comment and to make this regulation 

effective immediately upon publication. 

IV. Regulatory Flexibility Statement 

The Regulatory Flexibility Act (RFA), 

as amended by the Small Business 

Regulatory Enforcement Fairness Act of 

1996, 5 U.S.C. 601–612, generally 

requires an agency to prepare a 

regulatory flexibility analysis of any rule 

subject to notice and comment 

rulemaking requirements, unless the 

agency certifies that the rule will not 

have a significant economic impact on 

a substantial number of small entities. 

Because the Board has determined that 

notice and comment are not required 

under the APA for this rulemaking, the 

requirements of the RFA do not apply. 

V. Congressional Review Act 

Pursuant to the Congressional Review 

Act, 5 U.S.C. 801–808, the Office of 

Information and Regulatory Affairs has 

designated this rule as a non-major rule, 

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

VI. Paperwork Reduction Act 

This final rule does not contain a new 

or amended information collection 

requirement subject to the Paperwork 

Reduction Act of 1995, 44 U.S.C. 3501– 

3521. 

It is ordered: 

1. The Board amends its rules as set 

forth in this decision. Notice of the final 

rule will be published in the Federal 

Register. 

2. This decision is effective on its date 

of publication in the Federal Register. 

Decided: January 7, 2025. 

By the Board, Board Members Fuchs, 

Hedlund, Primus, and Schultz. Board 

Member Primus concurred with a 

separate expression. 

BOARD MEMBER PRIMUS, concurring: 

For the past couple years when the 

Board adjusted its civil monetary 

penalties, I wrote separately to express 

concern about the adequacy of the 

penalties afforded by statute. Civ. 

Monetary Penalties—2024 Adjustment, 

EP 716 (Sub-No. 9) (STB served Jan. 12, 

2024), slip op. at 3 (Member Primus 

concurring); Civ. Monetary Penalties— 

2023 Adjustment, EP 716 (Sub-No. 8) 

(STB served Jan. 13, 2023), slip op. at 

3–4 (Member Primus concurring). My 

concern remains today. The Board’s 

decision, consistent with the Federal 

Civil Penalties Inflation Adjustment Act 

Improvements Act of 2015, makes minor 

adjustments to its civil penalties—for 

example, increasing the penalty in 49 

U.S.C. 11901(a) from $9,718 to $9,970. 

For the reasons I have stated previously, 

those penalties are unlikely to provide 

the deterrent effect intended by 

Congress, and Congress should address 

this inadequacy. 

List of Subjects in 49 CFR Part 1022 

Administrative practice and 

procedures, Brokers, Civil penalties, 

Freight forwarders, Motor carriers, 


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3042 Federal Register / Vol. 90, No. 8 / Tuesday, January 14, 2025 / Rules and Regulations 

Pipeline carriers, Rail carriers, Water 

carriers. 

Eden Besera, 

Clearance Clerk. 

For the reasons set forth in the 

preamble, part 1022 of title 49, chapter 

X, of the Code of Federal Regulations is 

amended as follows: 

PART 1022—CIVIL MONETARY 

PENALTY INFLATION ADJUSTMENT 

■ 1. The authority citation for part 1022 

continues to read as follows: 

Authority: 5 U.S.C. 551–557; 28 U.S.C. 

2461 note; 49 U.S.C. 11901, 14901, 14903, 

14904, 14905, 14906, 14907, 14908, 14910, 

14915, 14916, 16101, 16103. 

■ 2. Revise § 1022.4(b) to read as 

follows: 

§ 1022.4 Cost-of-living adjustments of civil 

monetary penalties. 

* * * * * 

(b) The cost-of-living adjustment 

required by the statute results in the 

following adjustments to the civil 

monetary penalties within the 

jurisdiction of the Board: 

TABLE 1 TO PARAGRAPH (b) 

U.S. Code citation Civil monetary penalty description 

2024— 

penalty 

amount 

2025— 

adjusted penalty 

amount 

EP 716_9 

(2024) EP 716_10 (2025) 

Rail Carrier 

49 U.S.C. 11901(a) ................... Unless otherwise specified, maximum penalty for each knowing violation under this part, and for each day.$9,718 $9,970 

49 U.S.C. 11901(b) ................... For each violation under sec. 11124(a)(2) or (b) .................................... 973 998 

49 U.S.C. 11901(b) ................... For each day violation continues ............................................................ 50 51 

49 U.S.C. 11901(c) .................... Maximum penalty for each knowing violation under secs. 10901– 

10906.

9,718 9,970 

49 U.S.C. 11901(d) ................... For each violation under sec. 11123 or 11124(a)(1) .............................. 193–973 198–998 

49 U.S.C. 11901(d) ................... For each day violation continues ............................................................ 97 100 

49 U.S.C. 11901(e)(1), (4) ........ For each violation under secs. 11141–11145, for each day .................. 973 998 

49 U.S.C. 11901(e)(2), (4) ........ For each violation under sec. 11144(b)(1), for each day ....................... 193 198 

49 U.S.C. 11901(e)(3)–(4) ......... For each violation of reporting requirements, for each day .................... 193 198 

Motor and Water Carrier 

49 U.S.C. 14901(a) ................... Minimum penalty for each violation and for each day ............................ 1,330 1,365

49 U.S.C. 14901(a) ................... For each violation under secs. 13901 or 13902(c) ................................. 13,301 13,647 

49 U.S.C. 14901(a) ................... For each violation related to transportation of passengers .................... 33,252 34,116 

49 U.S.C. 14901(b) ................... For each violation of the hazardous waste rules under sec. 3001 of 

the Solid Waste Disposal Act.

26,602–53,204 27,293–54,586 

49 U.S.C. 14901(d)(1) ............... Minimum penalty for each violation of household good regulations, and 

for each day.

1,942 1,992 

49 U.S.C. 14901(d)(2) ............... Minimum penalty for each instance of transportation of household 

goods if broker provides estimate without carrier agreement.

19,436 19,941 

49 U.S.C. 14901(d)(3) ............... Minimum penalty for each instance of transportation of household 

goods without being registered.

48,586 49,848 

49 U.S.C. 14901(e) ................... Minimum penalty for each violation of a transportation rule ................... 3,887 3,988 

49 U.S.C. 14901(e) ................... Minimum penalty for each additional violation ........................................ 9,718 9,970 

49 U.S.C. 14903(a) ................... Maximum penalty for undercharge or overcharge of tariff rate, for each 

violation.

194,359 199,408 

49 U.S.C. 14904(a) ................... For first violation, rebates at less than the rate in effect ........................ 388 398 

49 U.S.C. 14904(a) ................... For all subsequent violations ................................................................... 487 500 

49 U.S.C. 14904(b)(1) ............... Maximum penalty for first violation for undercharges by freight forwarders.973 998 

49 U.S.C. 14904(b)(1) ............... Maximum penalty for subsequent violations ........................................... 3,887 3,988 

49 U.S.C. 14904(b)(2) ............... Maximum penalty for other first violations under sec. 13702 ................. 973 998 

49 U.S.C. 14904(b)(2) ............... Maximum penalty for subsequent violations ........................................... 3,887 3,988 

49 U.S.C. 14905(a) ................... Maximum penalty for each knowing violation of sec, 14103(a), and 

knowingly authorizing, consenting to, or permitting a violation of sec. 

14103(a) or (b).

19,436 19,941 

49 U.S.C. 14906 ........................ Minimum penalty for first attempt to evade regulation ............................ 2,661 2,730 

49 U.S.C. 14906 ........................ Minimum amount for each subsequent attempt to evade regulation ..... 6,650 6,823 

49 U.S.C. 14907 ........................ Maximum penalty for recordkeeping/reporting violations ........................ 9,718 9,970 

49 U.S.C. 14908(a)(2) ............... Maximum penalty for violation of sec. 14908(a)(1) ................................. 3,887 3,988 

49 U.S.C. 14910 ........................ When another civil penalty is not specified under this part, for each 

violation, for each day.

973 998 

49 U.S.C. 14915(a)(1)–(2) ......... Minimum penalty for holding a household goods shipment hostage, for 

each day.

15,445 15,846 

49 U.S.C. 14916(c)(1) ............... Maximum penalty for each knowing violation under sec. 14916(a) for 

unlawful brokerage activities.

13,301 13,647 

Pipeline Carrier 

49 U.S.C. 16101(a) ................... Maximum penalty for violation of this part, for each day ........................ 9,718 9,970 


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Federal Register / Vol. 90, No. 8 / Tuesday, January 14, 2025 / Rules and Regulations 3043 

TABLE 1 TO PARAGRAPH (b)—Continued 

U.S. Code citation Civil monetary penalty description 

2024— 

penalty 

amount 

2025— 

adjusted penalty 

amount 

EP 716_9 

(2024) EP 716_10 (2025) 

49 U.S.C. 16101(b)(1), (4) ........ For each recordkeeping violation under sec. 15722, each day .............. 973 998 

49 U.S.C. 16101(b)(2), (4) ........ For each inspection violation liable under sec. 15722, each day ........... 193 198 

49 U.S.C. 16101(b)(3)–(4) ......... For each reporting violation under sec. 15723, each day ...................... 193 198 

49 U.S.C. 16103(a) ................... Maximum penalty for improper disclosure of information ....................... 1,942 1,992 

[FR Doc. 2025–00570 Filed 1–13–25; 8:45 am] 

BILLING CODE 4915–01–P 


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