Rule2025-17607

Oil and Gas and Sulfur Operations on the Outer Continental Shelf-Civil Penalty Inflation Adjustment

Primary source

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Published
September 12, 2025
Effective
September 12, 2025

Issuing agencies

Interior DepartmentSafety and Environmental Enforcement Bureau

Abstract

This final rule adjusts the maximum daily civil monetary penalty amount contained in the Bureau of Safety and Environmental Enforcement (BSEE) regulations for violations of the Outer Continental Shelf Lands Act (OCSLA), in accordance with the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 and Office of Management and Budget (OMB) guidance. The civil penalty inflation adjustment, using a 1.02598 multiplier, accounts for 1 year of inflation based on the Consumer Price Index (CPI-U) from October 2023 to October 2024.

Full Text

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<title>Federal Register, Volume 90 Issue 175 (Friday, September 12, 2025)</title>
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[Federal Register Volume 90, Number 175 (Friday, September 12, 2025)]
[Rules and Regulations]
[Pages 44147-44149]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-17607]



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Federal Register / Vol. 90, No. 175 / Friday, September 12, 2025 / 
Rules and Regulations

[[Page 44147]]



DEPARTMENT OF THE INTERIOR

Bureau of Safety and Environmental Enforcement

30 CFR Part 250

[Docket ID: BSEE-2025-0001; EEEE500000-256E1700D2-ET1SF0000.EAQ000]
RIN 1014-AA62


Oil and Gas and Sulfur Operations on the Outer Continental 
Shelf--Civil Penalty Inflation Adjustment

AGENCY: Bureau of Safety and Environmental Enforcement, Department of 
the Interior.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: This final rule adjusts the maximum daily civil monetary 
penalty amount contained in the Bureau of Safety and Environmental 
Enforcement (BSEE) regulations for violations of the Outer Continental 
Shelf Lands Act (OCSLA), in accordance with the Federal Civil Penalties 
Inflation Adjustment Act Improvements Act of 2015 and Office of 
Management and Budget (OMB) guidance. The civil penalty inflation 
adjustment, using a 1.02598 multiplier, accounts for 1 year of 
inflation based on the Consumer Price Index (CPI-U) from October 2023 
to October 2024.

DATES: This rule is effective on September 12, 2025.

FOR FURTHER INFORMATION CONTACT: Janine Marie Tobias, Safety and 
Enforcement Division, Bureau of Safety and Environmental Enforcement, 
(202) 208-4657 or by email: <a href="/cdn-cgi/l/email-protection#c7b5a2a0b487a5b4a2a2e9a0a8b1"><span class="__cf_email__" data-cfemail="cebcaba9bd8eacbdababe0a9a1b8">[email&#160;protected]</span></a>.

SUPPLEMENTARY INFORMATION:

I. Background and Legal Authority

    The OCSLA, at 43 U.S.C. 1350(b)(1), directs the Secretary of the 
Interior (Secretary) to adjust the OCSLA maximum daily civil penalty 
amount at least once every 3 years to reflect any increase in the 
Consumer Price Index (CPI) to account for inflation.
    On November 2, 2015, the President signed into law the Federal 
Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (sec. 
701 of Pub. L. 114-74) (FCPIA of 2015). The FCPIA of 2015 requires 
Federal agencies to adjust the amount of civil monetary penalties found 
in their regulations with an initial ``catch-up'' adjustment through 
rulemaking, if warranted, and then to make subsequent annual 
adjustments for inflation. The purpose of these adjustments is to 
maintain the deterrent effect of civil penalties and to further the 
policy goals of the underlying statutes. Agencies were required to 
publish the first annual inflation adjustments in the Federal Register 
no later than January 15, 2017, and to publish annual inflation 
adjustments no later than January 15 of each subsequent year.
    BSEE last updated the maximum daily civil penalty amounts in BSEE's 
regulations for OCSLA violations by a final rule published and 
effective on March 14, 2024. (See 89 FR 18540). Consistent with OMB 
guidance, BSEE's final rule implemented the inflation adjustments 
required by the FCPIA of 2015 through October 2023.
    The OMB Memorandum M-25-02``(Implementation of Penalty Inflation 
Adjustments for 2025, Pursuant to the Federal Civil Penalties Inflation 
Adjustment Act Improvements Act of 2015;'' (available at <a href="https://www.whitehouse.gov/wp-content/uploads/2024/12/M-25-02.pdf">https://www.whitehouse.gov/wp-content/uploads/2024/12/M-25-02.pdf</a>) explains 
agency responsibilities for: identifying applicable penalties and 
performing the annual adjustment; publishing revisions to regulations 
to implement the adjustment in the Federal Register; applying adjusted 
penalty levels; and performing agency oversight of inflation 
adjustments.
    BSEE is promulgating this final rule for the 2025 inflation 
adjustment of OCSLA maximum daily civil penalties pursuant to the 
provisions of the FCPIA of 2015 and OMB's guidance. A proposed rule is 
not required because the FCPIA of 2015 expressly exempted the annual 
inflation adjustments implemented pursuant to the FCPIA of 2015 from 
notice and comment rulemaking under the Administrative Procedure Act, 5 
U.S.C. 553. Specifically, the FCPIA of 2015 states that agencies 
``shall adjust civil monetary penalties . . . notwithstanding Section 
553 of the Administrative Procedure Act.'' (FCPIA of 2015 at sec. 
4(b)(2)). OMB Memorandum M-25-02 reinforces this exemption from notice 
and comment rulemaking: ``This means that the notice and comment 
process the APA generally requires--i.e. notice, an opportunity for 
comment, and a delay in effective date--is not required for agencies to 
issue regulations implementing the annual adjustment.'' M-25-02 at p. 
4.

II. Calculation of Adjustments

    In accordance with the FCPIA of 2015 and the guidance provided in 
OMB Memorandum M-25-02, BSEE has calculated the necessary inflation 
adjustment for the maximum daily civil monetary penalty amount in 30 
CFR 250.1403 for violations of OCSLA. The previous OCSLA civil penalty 
inflation adjustment accounted for inflation through October 2023. The 
required annual civil penalty inflation adjustment promulgated through 
this rule accounts for inflation through October 2024.
    Annual inflation adjustments are based on the percent change 
between the Consumer Price Index for all Urban Consumers (CPI-U) for 
the October preceding the date of the adjustment, and the prior year's 
October CPI-U. Consistent with the guidance in OMB Memorandum M-25-02, 
BSEE divided the October 2024 CPI-U by the October 2023 CPI-U to 
calculate the multiplying factor. In this case, the October 2024 CPI-U 
(315.664) divided by the October 2023 CPI-U (307.671) is 1.02598. OMB 
Memorandum M-25-02 confirms that this is the proper multiplier. (OMB 
Memorandum M-25-02 at 2, n.4).
    The FCPIA of 2015 requires that BSEE adjust the OCSLA maximum daily 
civil penalty amount for inflation using the applicable 2025 multiplier 
(1.02598). Accordingly, BSEE multiplied the existing OCSLA maximum 
daily civil penalty amount ($54,352) by 1.02598 to arrive at the new 
maximum daily civil penalty amount ($55,764.07). The FCPIA of 2015 
requires that the resulting amount be rounded to the nearest $1.00. 
Accordingly, the adjusted OCSLA maximum daily civil penalty for 2025 is 
$55,764.
    The adjusted penalty amount takes effect immediately upon 
publication of this rule. Pursuant to the FCPIA of 2015, the increase 
in the OCSLA maximum daily civil penalty amount applies to

[[Page 44148]]

civil penalties assessed after the date the increase takes effect, even 
when the associated violation(s) predates such increase. Consistent 
with the provisions of OCSLA and the FCPIA of 2015, this rule adjusts 
the following maximum civil monetary penalty per day per violation as 
follows:

----------------------------------------------------------------------------------------------------------------
                                                                             Current                   Adjusted
               CFR citation                   Description of the penalty     maximum     Multiplier    maximum
                                                                             penalty                   penalty
----------------------------------------------------------------------------------------------------------------
30 CFR 250.1403...........................  Failure to comply per-day,         $54,352      1.02598      $55,764
                                             per-violation.
----------------------------------------------------------------------------------------------------------------

    This rulemaking does not address any updates to the maximum civil 
penalty amount for Federal Oil and Gas Royalty Management Act (FOGRMA) 
violations. As stated in 30 CFR 250.1453, the maximum civil penalty 
amount for each day of uncorrected FOGRMA violations is specified in 30 
CFR 1241.52. Please refer to 30 CFR 1241.52 for the current FOGRMA 
maximum civil penalty amounts.

II. Procedural Requirements

A. Regulatory Planning and Review (E.O. 12866, 14094, and 13563)

    Executive Order (E.O.) 12866 provides that the OMB Office of 
Information and Regulatory Affairs (OIRA) will review all significant 
rules. OIRA has determined that this rule is not significant. (See OMB 
Memorandum M-25-02 at 3-4).
    E.O. 13563 reaffirms the principles of E.O. 12866 while calling for 
improvements in the Nation's regulatory system to promote 
predictability, to reduce uncertainty, and to use the best, most 
innovative, and least burdensome tools for achieving regulatory ends. 
E.O. 13563 directs agencies to consider regulatory approaches that 
reduce burdens and maintain flexibility and freedom of choice for the 
public where these approaches are relevant, feasible, and consistent 
with regulatory objectives. E.O. 13563 further emphasizes that 
regulations must be based on the best available science and that the 
rulemaking process must allow for public participation and an open 
exchange of ideas. We have developed this rule in a manner consistent 
with these requirements, to the extent permitted by statute.

B. Regulatory Flexibility Act

    The Regulatory Flexibility Act (RFA) requires an agency to prepare 
a regulatory flexibility analysis for rules unless the agency certifies 
that the rule will not have a significant economic impact on a 
substantial number of small entities. The RFA applies only to rules for 
which an agency is required to first publish a proposed rule. (See 5 
U.S.C. 603(a) and 604(a)). The FCPIA of 2015 expressly exempts these 
annual inflation adjustments from the requirement to publish a proposed 
rule for notice and comment. (See FCPIA of 2015 at Sec.  4(b)(2); OMB 
Memorandum M-25-02 at 4). Thus, the RFA does not apply to this 
rulemaking.

C. Small Business Regulatory Enforcement Fairness Act

    This rule is not a major rule under 5 U.S.C. 804(2), the Small 
Business Regulatory Enforcement Fairness Act. This rule:
    (1) Does not have an annual effect on the economy of $100 million 
or more;
    (2) Will not cause a major increase in costs or prices for 
consumers, individual industries, Federal, State, or local government 
agencies, or geographic regions; and
    (3) Does not have significant adverse effects on competition, 
employment, investment, productivity, innovation, or the ability of 
U.S.-based enterprises to compete with foreign-based enterprises.

D. Unfunded Mandates Reform Act

    This rule does not impose an unfunded mandate on State, local, or 
Tribal governments, or the private sector of more than $100 million per 
year. The rule 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.

E. Takings (E.O. 12630)

    This rule does not affect a taking of private property or otherwise 
have takings implications under E.O. 12630. Therefore, a takings 
implication assessment is not required.

F. Federalism (E.O. 13132)

    Under the criteria in section 1 of E.O. 13132, this rule does not 
have sufficient federalism implications to warrant the preparation of a 
federalism summary impact statement. To the extent that State and local 
governments have a role in Outer Continental Shelf activities, this 
rule will not affect that role. Therefore, a federalism summary impact 
statement is not required.

G. Civil Justice Reform (E.O. 12988)

    This rule complies with the requirements of E.O. 12988. 
Specifically, this rule:
    (1) Meets the criteria of section 3(a) requiring that all 
regulations be reviewed to eliminate errors and ambiguity and be 
written to minimize litigation; and
    (2) Meets the criteria of section 3(b)(2) requiring that all 
regulations be written in clear language and contain clear legal 
standards.

H. Consultation With Indian Tribes (E.O. 13175 and Departmental Policy)

    The Department of the Interior strives to strengthen its 
government-to-government relationship with Indian Tribes through a 
commitment to consultation with Indian Tribes and recognition of their 
right to self-governance and Tribal sovereignty. We have evaluated this 
rule under the Department of the Interior's consultation policy, under 
Departmental Manual part 512 chapters 4 and 5, and under the criteria 
in E.O. 13175. We have determined that it has no substantial direct 
effects on federally recognized Indian Tribes or Alaska Native Claims 
Settlement Act (ANCSA) Corporations. Consequently, consultation under 
the Department of the Interior's Tribal and ANCSA consultation policies 
is not required.

I. Paperwork Reduction Act

    This rule does not contain information collection requirements, and 
a submission to the OMB under the Paperwork Reduction Act (44 U.S.C. 
3501 et seq.) is not required.

J. National Environmental Policy Act

    BSEE is not required to prepare an environmental document under the 
National Environmental Policy Act (NEPA) because of the non-
discretionary nature of the civil penalty adjustment required by law. 
42 U.S.C. 4336(a)(4). The Department of Labor's CPI sets the annual 
civil penalty adjustment as required by the FCPIA of 2015. BSEE has no 
discretion in the execution of the civil penalty adjustments; 
therefore, this rule is not subject to the requirements

[[Page 44149]]

of NEPA. A detailed statement under NEPA is not required.

K. Effects on the Energy Supply (E.O. 13211)

    This rule is not a significant energy action under the definition 
in E.O. 13211. Therefore, a statement of energy effects is not 
required.

List of Subjects in 30 CFR Part 250

    Administrative practice and procedure, Continental shelf, 
Environmental impact statements, Environmental protection, Government 
contracts, Investigations, Oil and gas exploration, Penalties, 
Pipelines, Continental Shelf--mineral resources, Continental Shelf--
rights-of-way, Reporting and recordkeeping requirements, Sulfur.

    For the reasons stated in the preamble, BSEE amends 30 CFR part 250 
as follows.

PART 250--OIL AND GAS AND SULFUR OPERATIONS IN THE OUTER 
CONTINENTAL SHELF

0
1. The authority citation for 30 CFR part 250 continues to read as 
follows:

    Authority:  30 U.S.C. 1751, 31 U.S.C. 9701, 33 U.S.C. 
1321(j)(1)(C), 43 U.S.C. 1334.


0
2. Revise Sec.  250.1403 to read as follows:


Sec.  250.1403  What is the maximum civil penalty?

    The maximum civil penalty is $55,764 per day per violation.

Adam G. Suess,
Acting Assistant Secretary, Land and Minerals Management.
[FR Doc. 2025-17607 Filed 9-11-25; 8:45 am]
BILLING CODE 4310-VH-P


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Indexed from Federal Register on September 12, 2025.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.