[Federal Register Volume 85, Number 10 (Wednesday, January 15, 2020)]
[Rules and Regulations]
[Pages 2318-2319]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-00459]
[[Page 2318]]
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FEDERAL COMMUNICATIONS COMMISSION
47 CFR Part 1
[DA 19-1325; FRS 16392]
Annual Adjustment of Civil Monetary Penalties To Reflect
Inflation
AGENCY: Federal Communications Commission.
ACTION: Final rule.
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SUMMARY: The Federal Civil Penalties Inflation Adjustment Act
Improvements Act of 2015 (Inflation Adjustment Act) requires the
Federal Communications Commission to amend its forfeiture penalty rules
to reflect annual adjustments for inflation in order to improve their
effectiveness and maintain their deterrent effect. The Inflation
Adjustment Act provides that the new penalty levels shall apply to
penalties assessed after the effective date of the increase, including
when the penalties whose associated violation predate the increase.
DATES: The rule is effective January 15, 2020. The civil monetary
penalties are applicable beginning January 15, 2020.
FOR FURTHER INFORMATION CONTACT: Lisa S. Gelb, Deputy Chief,
Enforcement Bureau, 202-418-2019.
SUPPLEMENTARY INFORMATION: This is a summary of the Commission's Order,
DA 19-1325, adopted and released on December 27, 2019. The document is
available for download at https://www.fcc.gov/document/2019-annual-adjustment-civil-monetary-penalties-reflect-inflation. The complete
text of this document is also available for inspection and copying
during normal business hours in the FCC Reference Information Center,
Portals II, 445 12th Street SW, Room CY-A257, Washington, DC 20554.
The Bipartisan Budget Act of 2015 included, as Section 701 thereto,
the Inflation Adjustment Act, which amended the Federal Civil Penalties
Inflation Adjustment Act of 1990 (Pub. L. 101-410), to improve the
effectiveness of civil monetary penalties and maintain their deterrent
effect. Under the Inflation Adjustment Act, agencies are required to
make annual inflationary adjustments by January 15 each year, beginning
in 2017. The adjustments are calculated pursuant to Office of
Management and Budget (OMB) guidance. OMB issued guidance on December
16, 2019, and this Order follows that guidance. The Commission
therefore updates the civil monetary penalties for 2020, to reflect an
annual inflation adjustment based on the percent change between each
published October's Consumer Price Index for all Urban Consumers (CPI-
U); in this case, October 2019 CPI-U (257.346)/October 2018 CPI-U
(252.885) = 1.01764. The Commission multiplies 1.01764 by the most
recent penalty amount and then rounds the result to the nearest dollar.
Paperwork Reduction Act
This document does not contain new or modified information
collection requirements subject to the Paperwork Reduction Act of 1995
(PRA), Public Law 104-13. It does not contain any new or modified
information collection burden for small business concerns with fewer
than 25 employees, pursuant to the Small Business Paperwork Relief Act
of 2002, Public Law 107-198, see 44 U.S.C. 3506(c)(4).
Congressional Review Act
The Commission has determined, and the Administrator of the Office
of Information and Regulatory Affairs, Office of Management and Budget,
concurs that this rule is non-major under the Congressional Review Act,
5 U.S.C. 804(2). The Commission will send a copy of this Order to
Congress and the Government Accountability Office pursuant to 5 U.S.C.
801(a)(1)(A).
List of Subjects in 47 CFR Part 1
Administrative practice and procedure, Penalties.
Federal Communications Commission.
Lisa Gelb,
Deputy Chief, Enforcement Bureau.
Final Rules
For the reasons discussed in the preamble, the Federal
Communications Commission amends 47 CFR part 1 as follows:
PART 1--PRACTICE AND PROCEDURE
0
1. The authority citation for part 1 continues to read as follows:
Authority: 47 U.S.C. chs. 2, 5, 9, 13; 28 U.S.C. 2461 note,
unless otherwise noted.
0
2. Section 1.80 is amended by revising the table in Section III of the
note to paragraph (b)(8) and paragraph (b)(9) to read as follows:
Sec. 1.80 Forfeiture proceedings.
* * * * *
(b) * * *
(8) * * *
Section III. Non-Section 503 Forfeitures That Are Affected by the
Downward Adjustment Factors
* * * * *
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Statutory amount after 2020
Violation annual inflation adjustment
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Sec. 202(c) Common Carrier $12,294, $615/day.
Discrimination.
Sec. 203(e) Common Carrier Tariffs..... $12,294, $615/day.
Sec. 205(b) Common Carrier $24,586
Prescriptions.
Sec. 214(d) Common Carrier Line $2,458/day.
Extensions.
Sec. 219(b) Common Carrier Reports..... 2,458/day.
Sec. 220(d) Common Carrier Records & $12,294/day.
Accounts.
Sec. 223(b) Dial-a-Porn................ $127,398/day.
Sec. 227(e) Caller Identification...... $11,766/violation. $35,298/day
for each day of continuing
violation, up to $1,176,638
for any single act or failure
to act.
Sec. 364(a) Forfeitures (Ships)........ $10,245/day (owner).
Sec. 364(b) Forfeitures (Ships)........ $2,050 (vessel master).
Sec. 386(a) Forfeitures (Ships)........ $10,245/day (owner).
Sec. 386(b) Forfeitures (Ships)........ $2,050 (vessel master).
Sec. 634 Cable EEO..................... $908/day.
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(9) Inflation adjustments to the maximum forfeiture amount. (i)
Pursuant to the Federal Civil Penalties Inflation Adjustment Act
Improvements Act of 2015, Public Law 114-74 (129 Stat. 599-600), which
amends the Federal Civil Monetary Penalty Inflation Adjustment Act of
1990, Public Law 101-410 (104 Stat. 890; 28 U.S.C. 2461 note), the
statutory maximum amount of a forfeiture penalty assessed under this
section shall be adjusted annually for
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inflation by order published no later than January 15 each year. Annual
inflation adjustments will be based on the percentage (if any) by which
the Consumer Price Index for all Urban Consumers (CPI-U) for October
preceding the date of the adjustment exceeds the prior year's CPI-U for
October. The Office of Management and Budget (OMB) will issue
adjustment rate guidance no later than December 15 each year to adjust
for inflation in the CPI-U as of the most recent October.
(ii) The application of the annual inflation adjustment required by
the foregoing Federal Civil Penalties Inflation Adjustment Act
Improvements Act of 2015 results in the following adjusted statutory
maximum forfeitures authorized by the Communications Act:
Table 1 to Paragraph (b)(9)(ii)
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Maximum penalty after
U.S. Code citation 2020 annual inflation
adjustment
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47 U.S.C. 202(c)............................... $12,294
615
47 U.S.C. 203(e)............................... 12,294
615
47 U.S.C. 205(b)............................... 24,586
47 U.S.C. 214(d)............................... 2,458
47 U.S.C. 219(b)............................... 2,458
47 U.S.C. 220(d)............................... 12,294
47 U.S.C. 223(b)............................... 127,398
47 U.S.C. 227(e)............................... 11,766
35,298
1,176,638
47 U.S.C. 362(a)............................... 10,245
47 U.S.C. 362(b)............................... 2,050
47 U.S.C. 386(a)............................... 10,245
47 U.S.C. 386(b)............................... 2,050
47 U.S.C. 503(b)(2)(A)......................... 51,222
512,228
47 U.S.C. 503(b)(2)(B)......................... 204,892
2,048,915
47 U.S.C. 503(b)(2)(C)......................... 414,454
3,825,726
47 U.S.C. 503(b)(2)(D)......................... 20,489
153,669
47 U.S.C. 503(b)(2)(F)......................... 117,664
1,176,638
47 U.S.C. 507(a)............................... 2,029
47 U.S.C. 507(b)............................... 297
47 U.S.C. 554.................................. 908
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[FR Doc. 2020-00459 Filed 1-14-20; 8:45 am]
BILLING CODE 6712-01-P