The Department of Defense has issued a final rule to adjust its civil monetary penalties (CMPs) for inflation. This adjustment is mandated by laws such as the Federal Civil Penalties Inflation Adjustment Act, which requires that penalties be increased annually to reflect changes in the consumer price index since 2015. The rule, effective January 15, 2025, applies to penalties assessed after the effective date but does not carry significant costs or impact small entities or governments. It ensures the penalties remain a deterrent and that the Department follows statutory requirements without needing public notice or comments.
Simple Explanation
The Department of Defense has made a new rule to change how much people have to pay when they break certain rules, just like how a store raises prices of toys when they get more expensive. This change happens every year to keep up with how much things cost, so people still find it important to follow the rules.