Adjustment of Civil Penalties for Inflation
| Published date | 14 January 2022 |
| Citation | 87 FR 2340 |
| Record Number | 2022-00778 |
| Section | Rules and Regulations |
| Court | Pension Benefit Guaranty Corporation |
2340
Federal Register / Vol. 87, No. 10 / Friday, January 14, 2022 / Rules and Regulations
1
Under the Federal Civil Penalties Inflation
Adjustment Act of 1990, a penalty is a civil
monetary penalty if (among other things) it is for
a specific monetary amount or has a maximum
amount specified by Federal law. Title IV also
provides (in section 4007) for penalties for late
payment of premiums, but those penalties are
neither in a specified amount nor subject to a
specified maximum amount.
2
Sec. 701, Public Law 114–74, 129 Stat. 599–601
(Bipartisan Budget Act of 2015).
Agency Law Name description CFR citation
2021 2022
Min penalty
(rounded to
nearest dollar)
Max penalty
(rounded to
nearest dollar)
Min penalty
(rounded to
nearest dollar)
Max penalty
(rounded to
nearest dollar)
OWCP ... Longshore and
Harbor Work-
ers’ Com-
pensation Act.
Failure to file first report of injury or filing
a false statement or misrepresentation
in first report.
20 CFR 702.204 ..... ........................ $24,730 ......... ........................ $26,269.
OWCP ... Longshore and
Harbor Work-
ers’ Com-
pensation Act.
Failure to report termination of payments 20 CFR 702.236 ..... ........................ $301 .............. ........................ $320.
OWCP ... Longshore and
Harbor Work-
ers’ Com-
pensation Act.
Discrimination against employees who
claim compensation or testify in a
LHWCA proceeding.
20 CFR
702.271(a)(2). 2,473 $12,363 ......... 2,627 $13,132.
OWCP ... Black Lung Ben-
efits Act. Failure to report termination of payments 20 CFR 725.621(d) ........................ $1,506 ........... ........................ $1,600.
OWCP ... Black Lung Ben-
efits Act. Failure to secure payment of benefits for
mines with fewer than 25 employees. 20 CFR
726.302(c)(2)(i). 148 ....................... 157
OWCP ... Black Lung Ben-
efits Act. Failure to secure payment of benefits for
mines with 25–50 employees. 20 CFR
726.302(c)(2)(i). 293 ....................... 311
OWCP ... Black Lung Ben-
efits Act. Failure to secure payment of benefits for
mines with 51–100 employees. 20 CFR
726.302(c)(2)(i). 441 ....................... 468
OWCP ... Black Lung Ben-
efits Act. Failure to secure payment of benefits for
mines with more than 100 employees. 20 CFR
726.302(c)(2)(i). 586 ....................... 622
OWCP ... Black Lung Ben-
efits Act. Failure to secure payment of benefits
after 10th day of notice. 20 CFR
726.302(c)(4). 148 ....................... 157
OWCP ... Black Lung Ben-
efits Act. Failure to secure payment of benefits for
repeat offenders. 20 CFR
726.302(c)(5). 441 ....................... 468
OWCP ... Black Lung Ben-
efits Act. Failure to secure payment of benefits ...... 20 CFR
726.302(c)(5). ........................ $3,011 ........... ........................ $3,198.
[FR Doc. 2022–00144 Filed 1–13–22; 8:45 am]
BILLING CODE 4510–HL–P
PENSION BENEFIT GUARANTY
CORPORATION
29 CFR Parts 4071 and 4302
RIN 1212–AB45
Adjustment of Civil Penalties for
Inflation
AGENCY
: Pension Benefit Guaranty
Corporation.
ACTION
: Final rule.
SUMMARY
: The Pension Benefit Guaranty
Corporation is required to amend its
regulations annually to adjust for
inflation the maximum civil penalty for
failure to provide certain notices or
other material information and for
failure to provide certain multiemployer
plan notices.
DATES
:
Effective date: This rule is effective on
January 14, 2022.
Applicability date: The increases in
the civil monetary penalties under
sections 4071 and 4302 of the Employee
Retirement Income Security Act
provided for in this rule apply to such
penalties assessed after January 14,
2022.
FOR FURTHER INFORMATION CONTACT
:
Gregory Katz (katz.gregory@pbgc.gov),
Attorney, Regulatory Affairs Division,
Pension Benefit Guaranty Corporation,
1200 K Street NW, Washington, DC
20005–4026; 202–229–3829. (TTY users
may call the Federal relay service toll-
free at 800–877–8339 and ask to be
connected to 202–229–3829.)
SUPPLEMENTARY INFORMATION
:
Executive Summary
Purpose of the Regulatory Action
This rule is needed to carry out the
requirements of the Federal Civil
Penalties Inflation Adjustment Act
Improvements Act of 2015 and Office of
Management and Budget guidance M–
22–07. The rule adjusts, as required for
2022, the maximum civil penalties
under 29 CFR 4071 and 29 CFR 4302
that the Pension Benefit Guaranty
Corporation (PBGC) may assess for
failure to provide certain notices or
other material information and certain
multiemployer plan notices.
PBGC’s legal authority for this action
comes from the Federal Civil Penalties
Inflation Adjustment Act of 1990 as
amended by the Federal Civil Penalties
Inflation Adjustment Act Improvements
Act of 2015 and from sections
4002(b)(3), 4071, and 4302 of the
Employee Retirement Income Security
Act of 1974 (ERISA).
Major Provisions of the Regulatory
Action
This rule adjusts as required by law
the maximum civil penalties that PBGC
may assess under sections 4071 and
4302 of ERISA. The new maximum
amounts are $2,400 for section 4071
penalties and $320 for section 4302
penalties.
Background
PBGC administers title IV of ERISA.
Title IV has two provisions that
authorize PBGC to assess civil monetary
penalties.
1
Section 4302, added to
ERISA by the Multiemployer Pension
Plan Amendments Act of 1980,
authorizes PBGC to assess a civil
penalty of up to $100 a day for failure
to provide a notice under subtitle E of
title IV of ERISA (dealing with
multiemployer plans). Section 4071,
added to ERISA by the Omnibus Budget
Reconciliation Act of 1987, authorizes
PBGC to assess a civil penalty of up to
$1,000 a day for failure to provide a
notice or other material information
under subtitles A, B, and C of title IV
and sections 303(k)(4) and 306(g)(4) of
title I of ERISA.
Adjustment of Civil Penalties
On November 2, 2015, the President
signed into law the Federal Civil
Penalties Inflation Adjustment Act
Improvements Act of 2015,
2
which
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2341
Federal Register / Vol. 87, No. 10 / Friday, January 14, 2022 / Rules and Regulations
3
See M–22–07, Implementation of Penalty
Inflation Adjustments for 2022, Pursuant to the
Federal Civil Penalties Inflation Adjustment Act
Improvements Act of 2015, https://
www.whitehouse.gov/wp-content/uploads/2021/12/
M-22-07.pdf.
requires agencies to adjust civil
monetary penalties for inflation and to
publish the adjustments in the Federal
Register. An initial adjustment was
required to be made by interim final
rule published by July 1, 2016, and
effective by August 1, 2016. Subsequent
adjustments must be published by
January 15 each year after 2016.
On December 15, 2021, the Office of
Management and Budget issued
memorandum M–22–07 on
implementation of the 2022 annual
inflation adjustment pursuant to the
2015 act.
3
The memorandum provides
agencies with the cost-of-living
adjustment multiplier for 2022, which is
based on the Consumer Price Index
(CPI–U) for the month of October 2021,
not seasonally adjusted. The multiplier
for 2022 is 1.06222. The adjusted
maximum amounts are $2,400 for
section 4071 penalties and $320 for
section 4302 penalties.
Compliance With Regulatory
Requirements
The Office of Management and Budget
has determined that this rule is not a
‘‘significant regulatory action’’ under
Executive Order 12866 and therefore not
subject to its review.
The Office of Management and Budget
also has determined that notice and
public comment on this final rule are
unnecessary because the adjustment of
civil penalties implemented in the rule
is required by law. See 5 U.S.C. 553(b).
Because no general notice of proposed
rulemaking is required for this rule, the
Regulatory Flexibility Act of 1980 does
not apply. See 5 U.S.C. 601(2).
List of Subjects
29 CFR Part 4071
Penalties.
29 CFR Part 4302
Penalties.
In consideration of the foregoing,
PBGC amends 29 CFR parts 4071 and
4302 as follows:
PART 4071—PENALTIES FOR
FAILURE TO PROVIDE CERTAIN
NOTICES OR OTHER MATERIAL
INFORMATION
■1. The authority citation for part 4071
continues to read as follows:
Authority: 28 U.S.C. 2461 note, as
amended by sec. 701, Pub. L. 114–74, 129
Stat. 599–601; 29 U.S.C. 1302(b)(3), 1371.
§ 4071.3 [Amended]
■2. In § 4071.3, remove the number
‘‘$2,259’’ and add in its place the
number ‘‘$2,400’’.
PART 4302—PENALTIES FOR
FAILURE TO PROVIDE CERTAIN
MULTIEMPLOYER PLAN NOTICES
■3. The authority citation for part 4302
continues to read as follows:
Authority: 28 U.S.C. 2461 note, as
amended by sec. 701, Pub. L. 114–74, 129
Stat. 599–601; 29 U.S.C. 1302(b)(3), 1452.
§ 4302.3 [Amended]
■4. In § 4302.3, remove the number
‘‘$301’’ and add its place the number
‘‘$320’’.
Issued in Washington, DC, by
Gordon Hartogensis,
Director, Pension Benefit Guaranty
Corporation.
[FR Doc. 2022–00778 Filed 1–13–22; 8:45 am]
BILLING CODE 7709–02–P
DEPARTMENT OF THE INTERIOR
Office of Surface Mining Reclamation
and Enforcement
30 CFR Parts 870 and 872
[Docket ID: OSM 2021–0008; S1D1S
SS08011000 SX064A000 221S180110;
S2D2S SS08011000 SX064A000
22XS501520]
RIN 1029–AC83
Abandoned Mine Land Reclamation
Fee
AGENCY
: Office of Surface Mining
Reclamation and Enforcement, Interior.
ACTION
: Interim final rule, request for
comments.
SUMMARY
: We, the Office of Surface
Mining Reclamation and Enforcement
(OSMRE), are revising our regulations
for the Abandoned Mine Reclamation
Fund (AML Fund). This rule revises our
regulations to be consistent with the
Infrastructure Investment and Jobs Act
(IIJA), which was signed into law on
November 15, 2021, and which
included the Abandoned Mine Land
Reclamation Amendments of 2021 (the
2021 amendments). The rule reflects the
extension of our statutory authority to
collect reclamation fees for an
additional thirteen years and to reduce
the fee rates. In addition, we are revising
our rule provisions to reflect the
statutory extension of the dates when
moneys derived from these fees will be
available to eligible States and Tribes for
grant distributions.
DATES
: Effective January 14, 2022.
Comments will be accepted until
February 14, 2022.
ADDRESSES
: You may submit comments
by one of the following methods:
Federal e-Rulemaking Portal: http://
www.regulations.gov. Follow the
instructions for submitting comments to
Docket No. OSM–2021–0008. Please
note that if you are using the Federal
eRulemaking Portal, the deadline for
submitting electronic comments is 11:59
p.m. Eastern Standard Time on the
comment due date.
Mail: Address comment to Public
Comments Processing, Attn: Docket No.
OSM–2021–0008; Office of Surface
Mining Reclamation and Enforcement,
1849 C Street NW, Mail Stop 4558,
Washington, DC 20240.
FOR FURTHER INFORMATION CONTACT
:
Harry Payne, Office of Surface Mining
Reclamation and Enforcement, 1849 C
Street NW, Mail Stop 4558, Washington,
DC 20240; Telephone (202) 208–5683.
Email: hpayne@osmre.gov.
SUPPLEMENTARY INFORMATION
:
Table of Contents
I. Background
A. How did the reclamation fee work
before the 2021 amendments?
B. How did the 2021 amendments change
the reclamation fee and the annual AML
grant distributions?
II. Administrative Procedure Act
A. Why is the rule being published on an
interim final basis?
B. How does the rule operate?
III. Procedural Matters
A. Congressional Review Act
B. Regulatory Planning and Review
(Executive Orders 12866 and 13563)
C. Regulatory Flexibility Act
D. Small Business Regulatory Enforcement
Fairness Act
E. Unfunded Mandates Reform Act
F. Takings (Executive Order 12630)
G. Federalism (Executive Order 13132)
H. Civil Justice Reform (Executive Order
12988)
I. Consultation With Indian Tribes
(Executive Order 13175 and
Departmental Policy)
J. Paperwork Reduction Act
K. National Environmental Policy Act
L. Effects on Energy Supply, Distribution,
and Use (Executive Order 13211)
M. Clarity of This Regulation
N. Data Quality Act
O. National Technology Transfer and
Advancement Act
P. Protection of Children From
Environmental Health Risks and Safety
Risks (Executive Order 13045)
I. Background
A. How did the reclamation fee work
before the 2021 amendments?
Title IV of the Surface Mining Control
and Reclamation Act of 1977 (SMCRA)
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