Civil Penalties Adjustment for 2022

CourtNational Endowment For The Arts,National Foundation On The Arts And The Humanities
Citation87 FR 2065
Publication Date13 January 2022
Record Number2022-00599
2065
Federal Register / Vol. 87, No. 9 / Thursday, January 13, 2022 / Rules and Regulations
1
82 FR 58348.
2
82 FR 27431.
3
OMB Memorandum M–22–07 (December 15,
2021).
17. On page 63917, second column,
first full paragraph,
a. In lines 4–5, the word ‘‘be’’ is
inserted between ‘‘will’’ and
‘‘included’’.
b. In line 18, the first instance of the
word ‘‘of’’ is corrected to read ‘‘at’’.
18. On page 63937, first column,
second partial paragraph, in line 23,
remove the term ‘‘RO’’ between the
words ‘‘that’’ and ‘‘if’’.
19. On page 63940, second column,
first full paragraph, in line 12, insert a
period between the words ‘‘expires’’ and
‘‘CMS’’.
20. On page 63978, in Table 84,
‘‘Estimated Impact of the CY 2022
Changes for the Hospital Outpatient
Prospective Payment System,’’ the row
for ‘‘CMHCs’’ is revised to read as
follows:
21. On page 63979,
a. First column,
1. First paragraph, in line 18, ‘‘1.1
percent’’ is corrected to read ‘‘1.6
percent’’.
2. Second paragraph,
a. In line 4, ‘‘1.0 percent’’ is corrected
to read ‘‘0.5 percent’’.
b. In line 9, ‘‘1.4 percent’’ is corrected
to read ‘‘1.9 percent’’.
c. In line 12, ‘‘1.1 percent’’ is
corrected to read ‘‘1.6 percent’’.
22. On page 63980, first column, first
paragraph, in line 10, ‘‘0.8552’’ is
corrected to read ‘‘0.8546’’.
23. On page 63987, Table 91,
‘‘Estimates of Medicare Program Savings
(Millions $) for Radiation Oncology
Model (Starting January 1, 2022),’’ in the
‘‘Total’’ column, ‘‘Part B Premium
Revenue Offset’’ line, the figure ‘‘50’’ is
corrected to read ‘‘40’’.
Karuna Seshasai,
Executive Secretary to the Department,
Department of Health and Human Services.
[FR Doc. 2022–00573 Filed 1–12–22; 8:45 am]
BILLING CODE 4120–01–C
NATIONAL FOUNDATION ON THE
ARTS AND THE HUMANITIES
National Endowment for the Arts
45 CFR Parts 1149 and 1158
RIN 3135–AA33
Civil Penalties Adjustment for 2022
AGENCY
: National Endowment for the
Arts, National Foundation on the Arts
and the Humanities.
ACTION
: Final rule.
SUMMARY
: The National Endowment for
the Arts (NEA) is adjusting the
maximum civil monetary penalties
(CMPs) that may be imposed for
violations of the Program Fraud Civil
Remedies Act (PFCRA) and the NEA’s
Restrictions on Lobbying to reflect the
requirements of the Federal Civil
Penalties Inflation Adjustment Act
Improvements Act of 2015 (the 2015
Act). The 2015 Act further amended the
Federal Civil Penalties Inflation
Adjustment Act of 1990 (the Inflation
Adjustment Act) to improve the
effectiveness of civil monetary penalties
and to maintain their deterrent effect.
This final rule provides the 2022 annual
inflation adjustments to the initial
‘‘catch-up’’ adjustments made on June
15, 2017, and reflects all other inflation
adjustments made in the interim.
DATES
: This rule is effective January 13,
2022.
FOR FURTHER INFORMATION CONTACT
:
Daniel Fishman, Assistant General
Counsel, National Endowment for the
Arts, 400 7th St. SW, Washington, DC
20506, Telephone: 202–682–5418.
SUPPLEMENTARY INFORMATION
:
1. Background
On December 12, 2017 the NEA
issued a final rule entitled ‘‘Federal
Civil Penalties Adjustments’’
1
which
finalized the NEA’s June 15, 2017
interim final rule entitled
‘‘Implementing the Federal Civil
Penalties Adjustment Act Improvements
Act’’,
2
implementing the 2015 Act
(section 701 of Pub. L. 114–74), which
amended the Inflation Adjustment Act
(28 U.S.C. 2461 note) requiring catch-up
and annual adjustments to the NEA’s
CMPs. The 2015 Act requires agencies
make annual adjustments to its CMPs
for inflation.
A CMP is defined in the Inflation
Adjustment Act as any penalty, fine, or
other sanction that is (1) for a specific
monetary amount as provided by
Federal law, or has a maximum amount
provided for by Federal law; (2)
assessed or enforced by an agency
pursuant to Federal law; and (3)
assessed or enforced pursuant to an
administrative proceeding or a civil
action in the Federal courts.
These annual inflation adjustments
are based on the percentage change in
the Consumer Price Index for all Urban
Consumers (CPI–U) for the month of
October preceding the date of the
adjustment, relative to the October CPI–
U in the year of the previous
adjustment. The formula for the amount
of a CMP inflation adjustment is
prescribed by law, as explained in OMB
Memorandum M–16–06 (February 24,
2016), and therefore the amount of the
adjustment is not subject to the exercise
of discretion by the Chairman of the
National Endowment for the Arts
(Chairman).
The Office of Management and Budget
has issued guidance on implementing
and calculating the 2022 adjustment
under the 2015 Act.
3
Per this guidance,
the CPI–U adjustment multiplier for this
annual adjustment is 1.06222. In its
prior rules, the NEA identified two
CMPs, which require adjustment: The
penalty for false statements under the
PFCRA and the penalty for violations of
the NEA’s Restrictions on Lobbying.
With this rule, the NEA is adjusting the
amount of those CMPs accordingly.
2. Dates of Applicability
The inflation adjustments contained
in this rule shall apply to any violations
assessed after January 15, 2022.
3. Adjustments
Two CMPs in NEA regulations require
adjustment in accordance with the 2015
Act: (1) The penalty associated with the
Program Fraud Civil Remedies Act (45
CFR 1149.9) and (2) the penalty
associated with Restrictions on
Lobbying (45 CFR 1158.400; 45 CFR part
1158, app. A).
A. Adjustments to Penalties Under the
NEA’s Program Fraud Civil Remedies
Act Regulations.
The current maximum penalty under
the PFCRA for false claims and
statements is currently set at $11,802.
The post-adjustment penalty or range is
obtained by multiplying the pre-
adjustment penalty or range by the
percent change in the CPI–U over the
relevant time period and rounding to
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Federal Register / Vol. 87, No. 9 / Thursday, January 13, 2022 / Rules and Regulations
the nearest dollar. Between October
2020 and October 2021, the CPI–U
increased by a multiplier of 106.222.
Therefore, the new post-adjustment
maximum penalty under the PFCRA for
false statements is $11,802 × 1.06222 =
$12,536.32 which rounds to $12,536.
Therefore, the maximum penalty under
the PFCRA for false claims and
statements will be $12,536.
B. Adjustments to Penalties Under the
NEA’s Restrictions on Lobbying
Regulations
The penalty for violations of the
Restrictions on Lobbying is currently set
at a range of a minimum of $20,720 and
a maximum of $207,314. The post-
adjustment penalty or range is obtained
by multiplying the pre-adjustment
penalty or range by the percent change
in the CPI–U over the relevant time
period and rounding to the nearest
dollar. Between October 2020 and
October 2021, the CPI–U increased by a
multiplier of 106.222. Therefore, the
new post-adjustment minimum penalty
under the Restrictions on Lobbying is
$20,720 × 1.06222 = $22,009.20, which
rounds to $22,009, and the maximum
penalty under the Restrictions on
Lobbying is $207,314 × 1.06222 =
$220,213.08, which rounds to $220,213.
Therefore, the range of penalties under
the law on the Restrictions on Lobbying
shall be between $22,009 and $220,213.
Administrative Procedure Act
Section 553 of the Administrative
Procedure Act requires agencies to
provide an opportunity for notice and
comment on rulemaking and also
requires agencies to delay a rule’s
effective date for 30 days following the
date of publication in the Federal
Register unless an agency finds good
cause to forgo these requirements.
However, section 4(b)(2) of the 2015 Act
requires agencies to adjust civil
monetary penalties notwithstanding
section 553 of the Administrative
Procedure Act (APA) and publish
annual inflation adjustments in the
Federal Register. ‘‘This means that the
public procedure the APA generally
requires . . . is not required for agencies
to issue regulations implementing the
annual adjustment.’’ OMB
Memorandum M–18–03.
Even if the 2015 Act did not except
this final rule from section 553 of the
APA, the NEA has good cause to
dispense with notice and comment.
Section 553(b)(B), authorizes agencies to
dispense with notice and comment
procedures for rulemaking if the agency
finds good cause that notice and
comment are impracticable,
unnecessary, or contrary to public
interest. The annual adjustments to civil
penalties for inflation and the method of
calculating those adjustments are
established by section 5 of the 2015 Act,
as amended, leaving no discretion for
the NEA. Accordingly, public comment
would be impracticable because the
NEA would be unable to consider such
comments in the rulemaking process.
Regulatory Planning and Review
(Executive Order 12866)
Executive Order 12866 (E.O. 12866)
established a process for review of rules
by the Office of Information and
Regulatory Affairs, which is within the
Office of Management and Budget
(OMB). Only ‘‘significant’’ proposed and
final rules are subject to review under
this Executive Order. ‘‘Significant,’’ as
used in E.O. 12866, means
‘‘economically significant.’’ It refers to
rules with (1) an impact on the economy
of $100 million; or that (2) were
inconsistent or interfered with an action
taken or planned by another agency; (3)
materially altered the budgetary impact
of entitlements, grants, user fees, or loan
programs; or (4) raised novel legal or
policy issues.
This final rule would not be a
significant policy change and OMB has
not reviewed this final rule under E.O.
12866. The NEA has made the
assessments required by E.O. 12866 and
determined that this final rule: (1) Will
not have an effect of $100 million or
more on the economy; (2) 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; (3) will
not create a serious inconsistency or
otherwise interfere with an action taken
or planned by another agency; (4) does
not alter the budgetary effects of
entitlements, grants, user fees, or loan
programs or the rights or obligations of
their recipients; and (5) does not raise
novel legal or policy issues.
Federalism (Executive Order 13132)
This final rule does not have
federalism implications, as set forth in
E.O. 13132. As used in this order,
federalism implications mean
‘‘substantial direct effects on the States,
on the relationship between the
[N]ational [G]overnment and the States,
or on the distribution of power and
responsibilities among the various
levels of government.’’ The NEA has
determined that this final rule will not
have federalism implications within the
meaning of E.O. 13132.
Civil Justice Reform (Executive Order
12988)
This final rule meets the applicable
standards set forth in section 3(a) and
3(b)(2) of E.O. 12988. Specifically, this
final rule is written in clear language
designed to help reduce litigation.
Indian Tribal Governments (Executive
Order 13175)
Under the criteria in E.O. 13175, the
NEA has evaluated this final rule and
determined that it would have no
potential effects on Federally recognized
Indian Tribes.
Takings (Executive Order 12630)
Under the criteria in E.O. 12630, this
final rule does not have significant
takings implications. Therefore, a
takings implication assessment is not
required.
Regulatory Flexibility Act of 1980 (5
U.S.C. 605(b))
This final rule will not have a
significant adverse impact on a
substantial number of small entities,
including small businesses, small
governmental jurisdictions, or certain
small not-for-profit organizations.
Paperwork Reduction Act of 1995 (44
U.S.C., Chapter 35)
This final rule will not impose any
‘‘information collection’’ requirements
under the Paperwork Reduction Act.
Under the Act, information collection
means the obtaining or disclosure of
facts or opinions by or for an agency by
10 or more nonfederal persons.
Unfunded Mandates Act of 1995
(Section 202, Pub. L. 104–4)
This final rule does not contain a
Federal mandate that will result in the
expenditure by State, local, and Tribal
governments, in the aggregate, or by the
private sector of $100 million or more
in any one year.
National Environmental Policy Act of
1969 (5 U.S.C. 804)
The final rule will not have a
significant effect on the human
environment.
Small Business Regulatory Enforcement
Fairness Act of 1996 (Sec. 804, Pub. L.
104–121)
This final rule would not be a major
rule as defined in section 804 of the
Small Business Regulatory Enforcement
Fairness Act of 1996. This final rule will
not result in an annual effect on the
economy of $100 million or more, a
major increase in costs or prices,
significant adverse effects on
competition, employment, investment,
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productivity, innovation, or on the
ability of United States-based
companies to compete with foreign
based companies in domestic and
export markets.
E-Government Act of 2002 (44 U.S.C.
3504)
Section 206 of the E-Government Act
requires agencies, to the extent
practicable, to ensure that all
information about that agency required
to be published in the Federal Register
is also published on a publicly
accessible website. All information
about the NEA required to be published
in the Federal Register may be accessed
at https://www.arts.gov. This Act also
requires agencies to accept public
comments on their rules ‘‘by electronic
means.’’ See heading ‘‘Public
Participation’’ for directions on
electronic submission of public
comments on this final rule.
Finally, the E-Government Act
requires, to the extent practicable, that
agencies ensure that a publicly
accessible Federal Government website
contains electronic dockets for
rulemakings under the Administrative
Procedure Act of 1946 (5 U.S.C. 551 et
seq.). Under this Act, an electronic
docket consists of all submissions under
section 553(c) of title 5, United States
Code; and all other materials that by
agency rule or practice are included in
the rulemaking docket under section
553(c) of title 5, United States Code,
whether or not submitted electronically.
The website https://
www.regulations.gov contains electronic
dockets for the NEA’s rulemakings
under the Administrative Procedure Act
of 1946.
Plain Writing Act of 2010 (5 U.S.C. 301)
Under this Act, the term ‘‘plain
writing’’ means writing that is clear,
concise, well-organized, and follows
other best practices appropriate to the
subject or field and intended audience.
To ensure that this final rule has been
written in plain and clear language so
that it can be used and understood by
the public, the NEA has modeled the
language of this final rule on the Federal
Plain Language Guidelines.
Public Participation (Executive Order
13563)
The NEA encourages public
participation by ensuring its
documentation is understandable by the
general public, and has written this final
rule in compliance with Executive
Order 13563 by ensuring its
accessibility, consistency, simplicity of
language, and overall
comprehensibility.
List of Subjects in 45 CFR Parts 1149
and 1158
Administrative practice and
procedure, Government contracts, Grant
programs, Loan programs, Lobbying,
Penalties.
For the reasons stated in the
preamble, the NEA amends 45 CFR
chapter XI, subchapter B, as follows:
PART 1149—PROGRAM FRAUD CIVIL
REMEDIES ACT REGULATIONS
1. The authority citation for part 1149
continues to read as follows:
Authority: 5 U.S.C. App. 8G(a)(2); 20
U.S.C. 959; 28 U.S.C. 2461 note; 31 U.S.C.
3801–3812.
§ 1149.9 [Amended]
2. Amend § 1149.9 in paragraph (a)(1)
by removing ‘‘$11,802’’ and adding in
its place ‘‘$12,536’’.
PART 1158—NEW RESTRICTIONS ON
LOBBYING
3. The authority citation for part 1158
continues to read as follows:
Authority: 20 U.S.C. 959; 28 U.S.C. 2461;
31 U.S.C. 1352.
§ 1158.400 [Amended].
4. Amend § 1158.400 in paragraphs
(a), (b), and (e) by:
a. Removing ‘‘$20,720’’ and adding in
its place ‘‘$22,009’’ each place it
appears; and
b. Removing ‘‘$207,314’’ and adding
in its place ‘‘$220,213’’ each place it
appears.
Appendix A to Part 1158 [Amended]
5. Amend appendix A to part 1158 by:
a. Removing ‘‘$20,720’’ and adding in
its place ‘‘$22,009’’ each place it
appears; and
b. Removing ‘‘$207,314’’ and adding
in its place ‘‘$220,213’’ each place it
appears.
Dated: January 10, 2022.
Meghan Jugder,
Support Services Specialist, Office of
Administrative Services & Contracts, National
Endowment for the Arts.
[FR Doc. 2022–00599 Filed 1–12–22; 8:45 am]
BILLING CODE 7537–01–P
DEPARTMENT OF HEALTH AND
HUMAN SERVICES
48 CFR Parts 326 and 352
[Docket No. O1–2012–0005]
RIN 0917–AA18
Acquisition Regulations: Buy Indian
Act; Procedures for Contracting
AGENCY
: Indian Health Service (IHS),
Department of Health and Human
Services HHS.
ACTION
: Final rule.
SUMMARY
: The Secretary of the
Department of Health and Human
Services (HHS) is finalizing regulations
guiding implementation of the Buy
Indian Act, which provides the Indian
Health Service (IHS) with authority to
set-aside procurement contracts for
Indian-owned and controlled
businesses. This rule supplements the
Federal Acquisition Regulations (FAR)
and the Department of Health and
Human Services Acquisition
Regulations (HHSAR).
DATES
: This rule is effective March 14,
2022.
FOR FURTHER INFORMATION CONTACT
: For
technical questions concerning this rule
contact: Carl Mitchell, Director, Division
of Regulatory Policy Coordination
(DRPC), Office of Management Services
(OMS), IHS, 301–443–6384,
carl.mitchell@ihs.gov; or Santiago
Almaraz, Acting Director, OMS, IHS
301–443–4872, santiago.almaraz@
ihs.gov.
SUPPLEMENTARY INFORMATION
: In the
Federal Register of November 10, 2020
(85 FR 71596), IHS published a
proposed rule entitled ‘‘Acquisition
Regulations; Buy Indian Act; Procedures
for Contracting’’ with a 60-day comment
period.
IHS received comments from Tribes
and Tribal entities requesting an
extension of the comment period due to
the encompassing of the holiday season
during the original comment period, as
well as the disproportionately high
impact of the pandemic on Indian
Country. The commenters felt both of
these events delayed stakeholders from
being able to perform a complete and
full review of the proposed rule and
provide comments within the initial 60-
day comment period.
IHS concluded that it was reasonable
to reopen and extend the comment
period for an additional 60 days to
allow any interested persons to submit
comments on the proposed rule. On
April 21, 2021, the IHS reopened and
extended the comment period for 60
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