The Farm Credit System Insurance Corporation (FCSIC) has issued a final rule addressing adjustments to civil money penalties (CMPs), in compliance with the 2015 amendments to the Federal Civil Penalties Inflation Adjustment Act of 1990. These adjustments ensure that penalties remain effective as a deterrent by accounting for inflation, with new amounts applying from January 15, 2025, for any conduct from November 2, 2015, onward. The updated penalty for violations under section 5.65(c) or (d) of the Farm Credit Act is $264 per day. This rule bypasses standard procedure for public comment due to statutory requirements.
Simple Explanation
The Farm Credit System Insurance Corporation has decided to make the money penalties bigger to keep up with price changes over time, kind of like making an allowance bigger as things get more expensive. They did this because the rules say they have to, and starting January 15, 2025, breaking certain rules will cost $264 each day.