[Federal Register Volume 85, Number 9 (Tuesday, January 14, 2020)] [Notices] [Pages 2132-2134] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 2020-00217] ======================================================================= ----------------------------------------------------------------------- FEDERAL DEPOSIT INSURANCE CORPORATION [3064-ZA12] Notice of Inflation Adjustments for Civil Money Penalties AGENCY: Federal Deposit Insurance Corporation. ACTION: Notice of monetary penalties 2020. ----------------------------------------------------------------------- SUMMARY: The Federal Deposit Insurance Corporation is providing notice of its maximum civil money penalties as adjusted for inflation. DATES: The adjusted maximum amounts of civil money penalties in this notice are applicable to penalties assessed after January 15, 2020, for conduct occurring on or after November 2, 2015. FOR FURTHER INFORMATION CONTACT: Graham N. Rehrig, Senior Attorney, Legal Division, (202) 898-3829, [email protected]; or Amanda E. Ledig, Honors Attorney, Legal Division, (202) 898-6663, [email protected]; Federal Deposit Insurance Corporation, 550 17th Street NW, Washington, DC 20429. SUPPLEMENTARY INFORMATION: This notice announces changes to the maximum amount of each civil money penalty (CMP) within the Federal Deposit Insurance Corporation's (FDIC) jurisdiction to administer to account for inflation under the Federal Civil Penalties Inflation Adjustment Act of 1990 (1990 Adjustment Act),\1\ as amended by the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (2015 Adjustment Act).\2\ Under the 1990 Adjustment Act, as amended, federal agencies must make annual adjustments to the maximum amount of each CMP the agency administers. The Office of Management and Budget (OMB) is required to issue guidance to federal agencies no later than December 15 of each year providing an inflation-adjustment multiplier (i.e., the inflation-adjustment factor agencies must use) applicable to CMPs assessed in the following year. --------------------------------------------------------------------------- \1\ Public Law 101-410, 104 Stat. 890, codified at 28 U.S.C. 2461 note. \2\ Public Law 114-74, 701(b), 129 Stat. 599, codified at 28 U.S.C. 2461 note. --------------------------------------------------------------------------- Agencies are required to publish their CMPs, adjusted under the multiplier provided by the OMB, by January 15 of the applicable year. Agencies, like the FDIC, that have codified the statutory formula for making the CMP adjustments may make annual inflation adjustments by providing notice in the Federal Register.\3\ --------------------------------------------------------------------------- \3\ See Office of Mgmt. & Budget, Exec. Office of the President, OMB Memorandum No. M-20-05, Implementation of Penalty Inflation Adjustments for 2020, Pursuant to the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 4 (2019), https://www.whitehouse.gov/wp-content/uploads/2019/12/M-20-05.pdf (``OMB Guidance''); see also 12 CFR 308.132(d) (FDIC regulation that guides readers to the Federal Register to see the annual notice of CMP inflation adjustments). --------------------------------------------------------------------------- On December 16, 2019, the OMB issued guidance to affected agencies on implementing the required annual adjustment, which guidance included the relevant inflation multiplier.\4\ The FDIC has applied that multiplier to the maximum CMPs allowable in 2019 for FDIC-supervised institutions to calculate the maximum amount of CMPs that may be assessed by the FDIC in 2020.\5\ There were no new statutory CMPs administered by the FDIC during 2019. --------------------------------------------------------------------------- \4\ See OMB Guidance at 1 (providing an inflation multiplier of 1.01764). \5\ Penalties assessed for violations occurring prior to November 2, 2015, will be subject to the maximum amounts set forth in the FDIC's regulations in effect prior to the enactment of the 2015 Adjustment Act. --------------------------------------------------------------------------- The following charts provide the inflation-adjusted maximum CMP amounts for use after January 15, 2020--the effective date of the 2020 annual adjustments--under 12 CFR part 308, for conduct occurring on or after November 2, 2015: [[Page 2133]] Maximum Civil Money Penalty Amounts ------------------------------------------------------------------------ Current Adjusted maximum CMP maximum CMP U.S. Code citation (through \6\ (beginning January 14, January 15, 2020) 2020) ------------------------------------------------------------------------ 12 U.S.C. 1464(v) Tier One CMP \7\.................... $4,027 $4,098 Tier Two CMP........................ 40,269 40,979 Tier Three CMP \8\.................. 2,013,399 2,048,915 12 U.S.C. 1467(d)....................... 10,067 10,245 12 U.S.C. 1817(a) Tier One CMP \9\.................... 4,027 4,098 Tier Two CMP........................ 40,269 40,979 Tier Three CMP \10\................. 2,013,399 2,048,915 12 U.S.C. 1817(c) Tier One CMP........................ 3,682 3,747 Tier Two CMP........................ 36,809 37,458 Tier Three CMP \11\................. 1,840,491 1,872,957 12 U.S.C. 1817(j)(16) Tier One CMP........................ 10,067 10,245 Tier Two CMP........................ 50,334 51,222 Tier Three CMP \12\................. 2,013,399 2,048,915 12 U.S.C. 1818(i)(2) \13\ Tier One CMP........................ 10,067 10,245 Tier Two CMP........................ 50,334 51,222 Tier Three CMP \14\................. 2,013,399 2,048,915 12 U.S.C. 1820(e)(4).................... 9,203 9,365 12 U.S.C. 1820(k)(6).................... 331,174 337,016 12 U.S.C. 1828(a)(3).................... 125 127 12 U.S.C. 1828(h) \15\ For assessments <10,000............. 125 127 12 U.S.C. 1829b(j)...................... 21,039 21,410 12 U.S.C. 1832(c)....................... 2,924 2,976 12 U.S.C. 1884.......................... 292 297 12 U.S.C. 1972(2)(F) Tier One CMP........................ 10,067 10,245 Tier Two CMP........................ 50,334 51,222 Tier Three CMP \16\................. 2,013,399 2,048,915 12 U.S.C. 3909(d)....................... 2,505 2,549 15 U.S.C. 78u-2 Tier One CMP (individuals).......... 9,472 9,639 Tier One CMP (others)............... 94,713 96,384 Tier Two CMP (individuals).......... 94,713 96,384 Tier Two CMP (others)............... 473,566 481,920 Tier Three CMP (individuals)........ 189,427 192,768 Tier Three CMP (others)............. 947,130 963,837 15 U.S.C. 1639e(k) First violation..................... 11,563 11,767 Subsequent violations............... 23,125 23,533 31 U.S.C. 3802.......................... 11,463 11,665 42 U.S.C. 4012a(f)...................... 2,187 2,226 ------------------------------------------------------------------------ Current Adjusted presumptive presumptive CFR citation CMP (through CMP (beginning January 14, January 15, 2020) 2020) ------------------------------------------------------------------------ 12 CFR 308.132(e)(1)(i)................. Institutions with $25 million or more in assets..................... 1 to 15 days late............... $552 $562 16 or more days late............ 1,105 1,124 Institutions with less than $25 million in assets.................. 1 to 15 days late \17\.......... 185 188 16 or more days late \18\....... 368 374 12 CFR 308.132(e)(1)(ii)................ Institutions with $25 million or more in assets..................... 1 to 15 days late............... 920 936 16 or more days late............ 1,840 1,872 Institutions with less than $25 million in assets.................. 1 to 15 days late............... 1/50,000th of the institution's total assets [[Page 2134]] 16 or more days late............ 1/25,000th of the institution's total assets 12 CFR 308.132(e)(2).................... 40,269 40,979 12 CFR 308.132(e)(3) Tier One CMP........................ 4,027 4,098 Tier Two CMP........................ 40,269 40,979 Tier Three CMP \19\................. 2,013,399 2,048,915 ------------------------------------------------------------------------ Dated at Washington, DC, on January 7, 2020. Federal Deposit Insurance Corporation. Annmarie H. Boyd, Assistant Executive Secretary. [FR Doc. 2020-00217 Filed 1-13-20; 8:45 am] BILLING CODE P