The Department of Education has issued final regulations to adjust civil monetary penalties (CMPs) for inflation, as required by law. This adjustment is based on the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 and affects penalties related to higher education, violations by lenders, and improper lobbying, among others. The new penalty amounts are calculated using a specific multiplier from the Office of Management and Budget, ensuring they retain their deterrent effect. These updates apply to violations occurring after November 2, 2015, and penalties assessed after February 3, 2021.
Simple Explanation
The Department of Education is making sure that fines for breaking rules keep up with the times by adjusting them for inflation, like how a balloon gets bigger with more air. These changes are for bad actions that happened after November 2015, with fines given from February 2021 onwards.