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[Federal Register Volume 90, Number 8 (Tuesday, January 14, 2025)]
[Rules and Regulations]
[Pages 3039-3041]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2025-00630]

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FEDERAL MARITIME COMMISSION

46 CFR Part 506

[Docket No. FMC-2024-0024]
RIN 3072-AD03

Inflation Adjustment of Civil Monetary Penalties

AGENCY: Federal Maritime Commission.

ACTION: Final rule.

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SUMMARY: The Federal Maritime Commission (Commission) is publishing 
this final rule to adjust for inflation the civil monetary penalties 
assessed or enforced by the Commission, pursuant to the Federal Civil 
Penalties Inflation Adjustment Act Improvements Act of 2015 (2015 Act). 
The 2015 Act requires that agencies adjust and publish their new civil 
penalties by January 15 each year.

DATES: This rule is effective January 15, 2025.

FOR FURTHER INFORMATION CONTACT: David Eng, Secretary; Phone: (202) 
523-5725; Email: [email protected].

SUPPLEMENTARY INFORMATION: This rule adjusts the civil monetary 
penalties assessable by the Commission in accordance with the 2015 Act, 
which became effective on November 2, 2015. Public Law 114-74, section 
701. The 2015 Act further amended the Federal

[[Page 3040]]

Civil Penalties Inflation Adjustment Act of 1990 (FCPIAA), Public Law 
101-410, 104 Stat. 890 (codified as amended at 28 U.S.C. 2461 note), in 
order to improve the effectiveness of civil monetary penalties and to 
maintain their deterrent effect.
    The 2015 Act requires agencies to adjust civil monetary penalties 
under their jurisdiction by January 15 each year, based on changes in 
the consumer price index (CPI-U) for the month of October in the 
previous calendar year. On December 17, 2024, the Office of Management 
and Budget published guidance stating that based on the CPI-U for 
October 2024, not seasonally adjusted, the cost-of-living adjustment 
multiplier for 2025 is 1.02598.\1\ In order to complete the annual 
adjustment, the Commission must multiply the most recent civil penalty 
amounts in 46 CFR part 506 by the multiplier, 1.02598.
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    \1\ Office of Management and Budget, M-25-02, Implementation of 
Penalty Inflation Adjustments for 2025, Pursuant to the Federal 
Civil Penalties Inflation Adjustment Act Improvements Act of 2015, 
at 2 (Dec. 17, 2024) (M-25-02).
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Rulemaking Analyses and Notices

Notice and Effective Date

    Adjustments under the FCPIAA, as amended by the 2015 Act, are not 
subject to the procedural rulemaking requirements of the Administrative 
Procedure Act (APA) (5 U.S.C. 553), including the requirements for 
prior notice, an opportunity for comment, and a delay between the 
issuance of a final rule and its effective date.\2\ The 2015 Act 
requires that the Commission adjust its civil monetary penalties no 
later than January 15 of each year.
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    \2\ Federal Civil Penalties Inflation Adjustment Act of 1990, 
Public Law 101-410, section 4(b)(2), 104 Stat. 890 (codified at 28 
U.S.C. 2461 note).
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Congressional Review Act

    The rule is not a ``major rule'' as defined by the Congressional 
Review Act, codified at 5 U.S.C. 801 et seq. The rule will not result 
in: (1) an annual effect on the economy of $100,000,000 or more; (2) a 
major increase in costs or prices; or (3) significant adverse effects 
on competition, employment, investment, productivity, innovation, or 
the ability of United States-based companies to compete with foreign-
based companies. 5 U.S.C. 804(2).

Regulatory Flexibility Act

    The Regulatory Flexibility Act (codified as amended at 5 U.S.C. 
601-612) provides that whenever an agency promulgates a final rule 
after being required to publish a notice of proposed rulemaking under 
the APA (5 U.S.C. 553), the agency must prepare and make available a 
final regulatory flexibility analysis describing the impact of the rule 
on small entities or the head of the agency must certify that the rule 
will not have a significant economic impact on a substantial number of 
small entities. 5 U.S.C. 604-605. As indicated above, this final rule 
is not subject to the APA's notice and comment requirements, and the 
Commission is not required to either conduct a regulatory flexibility 
analysis or certify that the final rule would not have a significant 
economic impact on a substantial number of small entities.

Paperwork Reduction Act

    The Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3521) requires 
an agency to seek and receive approval from the Office of Management 
and Budget (OMB) before collecting information from the public. 44 
U.S.C. 3507. The agency must submit collections of information in rules 
to OMB in conjunction with the publication of the notice of proposed 
rulemaking. 5 CFR 1320.11. This final rule does not contain any 
collection of information, as defined by 44 U.S.C. 3502(3) and 5 CFR 
1320.3(c).

List of Subjects in 46 CFR Part 506

    Administrative practice and procedure, Claims, Penalties.

    For the reasons stated in the preamble, 46 CFR part 506 is amended 
as follows:

PART 506--CIVIL MONETARY PENALTY INFLATION ADJUSTMENT

0
1. The authority citation for part 506 continues to read as follows:

    Authority:  28 U.S.C. 2461.

0
2. Amend Sec.  506.4 by revising paragraph (d) to read as follows:

Sec.  506.4  Cost of living adjustments of civil monetary penalties.

* * * * *
    (d) Inflation adjustment. Maximum civil monetary penalties within 
the jurisdiction of the Federal Maritime Commission are adjusted for 
inflation as follows:

                                            Table 1 to Paragraph (d)
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                                                                              Maximum penalty   Maximum penalty
           United States Code citation               Civil monetary penalty    as of January   as of January 15,
                                                          description             15, 2024            2025
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46 U.S.C. 42304..................................  Adverse impact on U.S.          $2,559,636         $2,626,135
                                                    carriers by foreign
                                                    shipping practices.
46 U.S.C. 41107(a)...............................  Knowing and Willful                 73,045             74,943
                                                    violation/Shipping Act
                                                    of 1984, or Commission
                                                    regulation or order.
46 U.S.C. 41107(a)...............................  Violation of Shipping Act           14,608             14,988
                                                    of 1984, Commission
                                                    regulation or order, not
                                                    knowing and willful.
46 U.S.C. 41108(b)...............................  Operating in foreign               146,092            149,887
                                                    commerce after tariff
                                                    suspension.
46 U.S.C. 42104..................................  Failure to provide                  11,524             11,823
                                                    required reports, etc./
                                                    Merchant Marine Act of
                                                    1920.
46 U.S.C. 42106..................................  Adverse shipping                 2,304,629          2,364,503
                                                    conditions/Merchant
                                                    Marine Act of 1920.
46 U.S.C. 42108..................................  Operating after tariff or          115,231            118,225
                                                    service contract
                                                    suspension/Merchant
                                                    Marine Act of 1920.
46 U.S.C. 44102, 44104...........................  Failure to establish                29,108             29,864
                                                    financial responsibility              971                996
                                                    for non-performance of
                                                    transportation.
46 U.S.C. 44103, 44104...........................  Failure to establish                29,108             29,864
                                                    financial responsibility              971                996
                                                    for death or injury.
31 U.S.C. 3802(a)(1).............................  Program Fraud Civil                 13,946             14,308
                                                    Remedies Act/making
                                                    false claim.
31 U.S.C. 3802(a)(2).............................  Program Fraud Civil                 13,946             14,308
                                                    Remedies Act/giving
                                                    false statement.
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[[Page 3041]]

    By the Commission.
David Eng,
Secretary.
[FR Doc. 2025-00630 Filed 1-13-25; 8:45 am]
BILLING CODE 6730-02-P
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