Annual Adjustment of Civil Monetary Penalty To Reflect Inflation
| Published date | 14 February 2020 |
| Citation | 85 FR 8395 |
| Record Number | 2020-01167 |
| Section | Rules and Regulations |
| Court | National Indian Gaming Commission |
Federal Register, Volume 85 Issue 31 (Friday, February 14, 2020)
[Federal Register Volume 85, Number 31 (Friday, February 14, 2020)]
[Rules and Regulations]
[Pages 8395-8396]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-01167]
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DEPARTMENT OF THE INTERIOR
National Indian Gaming Commission
25 CFR Part 575
Annual Adjustment of Civil Monetary Penalty To Reflect Inflation
AGENCY: National Indian Gaming Commission.
ACTION: Final rule.
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SUMMARY: In compliance with the Federal Civil Penalties Inflation
Adjustment Act Improvements Act of 2015 (the Act) and Office of
Management and Budget (OMB) guidance, the National Indian Gaming
Commission (NIGC or Commission) is amending its civil monetary penalty
rule to reflect an annual adjustment for inflation in order to improve
the penalty's effectiveness and maintain its deterrent effect. The Act
provides that the new penalty level must apply to penalties assessed
after the effective date of the increase, including when the penalties
whose associated violation predate the increase.
DATES: Effective February 14, 2020.
FOR FURTHER INFORMATION CONTACT: Armando J. Acosta, Senior Attorney,
Office of General Counsel, National Indian Gaming Commission, at (202)
632-7003; fax (202) 632-7066 (not toll-free numbers).
SUPPLEMENTARY INFORMATION:
I. Background
On November 2, 2015, the President signed into law the Federal
Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (Sec.
701 of Public Law 114-74). Beginning in 2017, the Act requires agencies
to make annual inflationary adjustments to their civil monetary
penalties by January 15th of each year, in accordance with annual OMB
guidance.
II. Calculation of Annual Adjustment
In December of every year, OMB issues guidance to agencies to
calculate the annual adjustment. According to OMB, the cost-of-living
adjustment multiplier for 2020 is 1.01764, based on the Consumer Price
Index for the month of October 2019, not seasonally adjusted.
Pursuant to this guidance, the Commission has calculated the annual
adjustment level of the civil monetary penalty contained in 25 CFR
575.4 (``The Chairman may assess a civil fine, not to exceed $52,596
per violation, against a tribe, management contractor, or individual
operating Indian gaming for each notice of violation . . .''). The 2020
adjusted level of the civil monetary penalty is $53,524 ($52,596 x
1.01764).
III. Regulatory Matters
Regulatory Planning and Review
This final rule is not a significant rule under Executive Order
12866.
(1) This rule will not have an effect of $100 million or more on
the economy or will not adversely affect, in a material way, the
economy, productivity, competition, jobs, the environment, public
health or safety, or state, local, or tribal governments or
communities.
(2) This rule will not create a serious inconsistency or otherwise
interfere with an action taken or planned by another agency.
(3) This rule does not involve entitlements, grants, user fees, or
loan programs or the rights or obligations of recipients.
(4) This regulatory change does not raise novel legal or policy
issues.
Regulatory Flexibility Act
The Commission certifies that this rule will not have a significant
economic effect on a substantial number of small entities under the
Regulatory Flexibility Act (5 U.S.C. 601 et seq.) because the rule
makes annual adjustments for inflation.
Small Business Regulatory Enforcement Fairness Act
This final rule is not a major rule under 5 U.S.C. 804(2), the
Small Business Regulatory Enforcement Fairness Act. It will not result
in the expenditure by state, local, or tribal governments, in the
aggregate, or by the private sector of $100 million or more in any one
year. The rule will not result in a major increase in costs or prices
for consumers, individual industries, federal, state, or local
government agencies, or geographic regions. Nor will this rule have
significant adverse effects on competition, employment, investment,
productivity, innovation, or the ability of the U.S.-based enterprises
to compete with foreign-based enterprises.
Unfunded Mandates Reform Act
This final rule does not impose an unfunded mandate of more than
$100 million per year on state, local, or tribal governments or the
private sector. The rule also does not have a significant or unique
effect on state, local, or tribal governments or the private sector.
Therefore, a statement containing the information required by the
Unfunded Mandates Reform Act (2 U.S.C. 1531 et seq.) is not required.
Takings
Under the criteria in Executive Order 12630, this final rule does
not affect individual property rights protected by the Fifth Amendment
nor does it involve a compensable ``taking.'' Thus, a takings
implication assessment is not required.
Federalism
Under the criteria in Executive Order 13132, this final rule has no
substantial direct effect on the states, on the relationship between
the national government and the states, or on the distribution of power
and responsibilities among the various levels of government.
Civil Justice Reform
This final rule complies with the requirements of Executive Order
12988. Specifically, this rule has been reviewed to eliminate errors
and ambiguity and written to minimize litigation. It is written in
clear language and contains clear legal standards.
Consultation With Indian Tribes
In accordance with the President's memorandum of April 29, 1994,
Government-to-Government Relations with Native American Tribal
Governments, Executive Order 13175 (59 FR 22951, November 6, 2000), the
Commission has determined that consultations with Indian gaming tribes
is not practicable, as Congress has mandated that annual civil penalty
adjustments in the Act be implemented no later than January 15th of
each year.
Paperwork Reduction Act
This final rule does not affect any information collections under
the Paperwork Reduction Act.
National Environmental Policy Act
This final rule does not constitute a major federal action
significantly affecting the quality of the human environment.
Information Quality Act
In developing this final rule, the Commission did not conduct or
use a
[[Page 8396]]
study, experiment, or survey requiring peer review under the
Information Quality Act (Pub. L. 106-554).
Effects on the Energy Supply
This final rule is not a significant energy action under the
definition in Executive Order 13211. A Statement of Energy Effects is
not required.
Clarity of This Regulation
The Commission is required by Executive Orders 12866 and 12988 and
by the Presidential Memorandum of June 1, 1998, to write all rules in
plain language. This means that each rule that the Commission publishes
must:
(a) Be logically organized;
(b) use the active voice to address readers directly;
(c) use clear language rather than jargon;
(d) be divided into short sections and sentences; and
(e) use lists and tables wherever possible.
Required Determinations Under the Administrative Procedure Act
In accordance with the Act, agencies are to annually adjust civil
monetary penalties without providing an opportunity for notice and
comment, and without a delay in its effective date. Therefore, the
Commission is not required to complete a notice and comment process
prior to promulgation.
List of Subjects in 25 CFR Part 575
Administrative practice and procedure, Gaming, Indian lands,
Penalties.
For the reasons set forth in the preamble, the Commission amends 25
CFR part 575 as follows:
PART 575--CIVIL FINES
0
1. The authority citation for part 575 continues to read as follows:
Authority: 25 U.S.C. 2705(a), 2706, 2713, 2715; and Sec. 701,
Pub. L. 114-74, 129 Stat. 599.
Sec. 575.4 [Amended]
0
2. Amend the introductory text of Sec. 575.4 by removing ``$52,596''
and adding in its place ``$53,524''.
Dated: January 17, 2020.
Kathryn Isom-Clause,
Vice Chair.
E. Sequoyah Simermeyer,
Associate Commissioner.
[FR Doc. 2020-01167 Filed 2-13-20; 8:45 am]
BILLING CODE 7565-01-P
