§ 506.4 - Cost of living adjustments of civil monetary penalties.

§ 506.4 Cost of living adjustments of civil monetary penalties.

Cross Reference

Link to an amendment published at 89 FR 1465, Jan. 10, 2024.

(a) The inflation adjustment under § 506.3 will initially be determined by increasing the maximum civil monetary penalty for each civil monetary penalty by the initial cost-of-living adjustment. The inflation adjustment will subsequently be determined by increasing the maximum civil monetary penalty for each civil monetary penalty by the cost-of-living adjustment. Any increase determined under this section shall be rounded to the nearest multiple of $1.

(b) Inflation adjustment. For purposes of paragraph (a) of this section, the term `cost-of-living adjustment' means the percentage (if any) for each civil monetary penalty by which the Consumer Price Index for the month of October preceding the adjustment exceeds the Consumer Price Index for the month of October 1 year before the month of October preceding the adjustment.

(c) Initial adjustment. For purposes of paragraph (a) of this section, the term `initial cost-of-living-adjustment' means the percentage (if any) for each civil monetary penalty by which the Consumer Price Index for the month of October, 2015 exceeds the Consumer Price Index for the month of October of the calendar year during which the amount of such civil monetary penalty was established or adjusted under a provision of law of civil monetary penalty. The initial cost-of-living adjustment may not exceed 150 percent of such penalty on November 2, 2015, the date of the enactment of the Federal Civil Penalties Inflation Act Adjustment Improvements Act of 2015.

(d) Inflation adjustment. Maximum civil monetary penalties within the jurisdiction of the Federal Maritime Commission are adjusted for inflation as follows:

Table 1 to Paragraph (d)

United States Code citation	Civil monetary penalty description	Maximum penalty as of January 15, 2022 2023	Maximum penalty as of January 15, 2023 2024
46 U.S.C. 42304	Adverse impact on U.S. carriers by foreign shipping practices	$2,301479,065282	$2,479559,282 636
46 U.S.C. 41107(a)	Knowing and Willful violation/Shipping Act of 1984, or Commission regulation or order	65,666	70,752	73,045
46 U.S.C. 41107(a)	Violation of Shipping Act of 1984, Commission regulation or order, not knowing and willful	1314,132149	14,149 608
46 U.S.C. 41108(b)	Operating in foreign commerce after tariff suspension	131,334	141,506	146,092
46 U.S.C. 42104	Failure to provide required reports, etc./Merchant Marine Act of 1920	1011,360162	11,162 524
46 U.S.C. 42106	Adverse shipping conditions/Merchant Marine Act of 1920	2,071232,819281	2,232304,281 629
46 U.S.C. 42108	Operating after tariff or service contract suspension/Merchant Marine Act of 1920	103,591	111,614	115,231
46 U.S.C. 44102, 44104	Failure to establish financial responsibility for non-performance of transportation	26,167 87328,194 941	29,108 971
46 U.S.C. 44103, 44104	Failure to establish financial responsibility for death or injury	26,167 87328,194 941	29,108 971
31 U.S.C. 3802(a)(1)	Program Fraud Civil Remedies Act/making false claim	1213,537508	13,508 946
31 U.S.C. 3802(a)(2)	Program Fraud Civil Remedies Act/giving false statement	1213,537508	13,508946

[81 FR 42553, June 30, 2016, as amended at 82 FR 10720, Feb. 15, 2017; 83 FR 1305, Jan. 11, 2018; 84 FR 2460, Feb. 7, 2019; 85 FR 1761, Jan. 13, 2020; 86 FR 2561, Jan. 13, 2021; 87 FR 2351, Jan. 14, 2022; 88 FR 1518, Jan. 11, 2023; 89 FR 1465, Jan. 10, 2024]