INCREASED CIVIL MONETARY PENALTIES

INCREASED CIVIL MONETARY PENALTIES

Blame Inflation but beginning on February 1, 2019 the Civil Monetary Penalties for violations that occurred after November 2, 2015 have increased. According to the notice published in the Federal Register, the Department of Education has adjusted the following penalties for inflation:

20 U.S.C. 1015(c)(5) (Section 131(c)(5) of the Higher Education Act of 1965 (HEA)). Provides for a fine, as set by Congress in 1998, of up to $25,000 for failure by an institution of higher education (IHE) to provide information on the cost of higher education to the Commissioner of Education Statistics. New Maximum Penalty – $38,549

20 U.S.C. 1022d(a)(3) (Section 205(a)(3) of the HEA). Provides for a fine, as set by Congress in 2008, of up to $27,500 for failure by an IHE to provide information to the State and the public regarding its teacher- preparation programs. New Maximum Penalty – $32,110

20 U.S.C. 1082(g) (Section 432(g) of the HEA). Provides for a civil penalty, as set by Congress in 1986, of up to $25,000 for violations by lenders and guaranty agencies of Title IV of the HEA, which authorizes the Federal Family Education Loan Program. New Maximum Penalty – $57,317

20 U.S.C. 1094(c)(3)(B) (Section 487(c)(3)(B) of the HEA). Provides for a civil penalty, as set by Congress in 1986, of up to $25,000 for an IHE’s violation of Title IV of the HEA, which authorizes various programs of student financial assistance. New Maximum Penalty – $57,317

20 U.S.C. 1228c(c)(2)(E) (Section 429 of the General Education Provisions Act). Provides for a civil penalty, as set by Congress in 1994, of up to $1,000 for an educational organization’s failure to disclose certain information to minor students and their parents. New Maximum Penalty – $1,692

31 U.S.C. 1352(c)(1) and (c)(2)(A). Provides for a civil penalty, as set by Congress in 1989, of $10,000 to $100,000 for recipients of Government grants, contracts, etc. that improperly lobby Congress or the Executive Branch with respect to the award of Government grants and contracts. New Maximum Penalty – $20,134 to $201,340

31 U.S.C. 3802(a)(1) and (a)(2). Provides for a civil penalty, as set by Congress in 1986, of up to $5,000 for false claims and statements made to the Government. New Maximum Penalty – $11,463

You can read the full Federal Register here: https://ifap.ed.gov/fregisters/attachments/FR020119.pdf