(a) Dollar amounts indexed. The dollar amounts specified in sections 229.10(c)(1)(vii), 229.12(d),
229.13(a), 229.13(b), 229.13(d), and 229.21(a) shall be adjusted effective
on July 1, 2020, on July 1, 2025, and on July 1 of every fifth year
after 2025, in accordance with the procedure set forth in paragraph
(b) of this section using the Consumer Price Index for Urban Wage
Earners and Clerical Workers (CPI-W), as published by the Bureau of
Labor Statistics.
(b) Indexing procedure.
(1) Inflation measurement periods. For dollar
amount adjustments that are effective on July 1, 2020, the inflation
measurement period begins in July 2011 and ends in July 2018. For
dollar amount adjustments that are effective on July 1, 2025, the
inflation measurement period begins in July 2018 and ends in July
2023. For dollar amount adjustments that are effective on July 1 of
every fifth year after 2025, the inflation measurement period begins
in July of every fifth year after 2018 and ends in July of every fifth
year after 2023. Following each inflation measurement period, the
dollar amount adjustments will be published in the Federal Register.
(2) Percentage change. Any dollar amount adjustment under this section
shall be calculated across an inflation measurement period by the
aggregate percentage change in the CPI-W, including both positive
and negative percentage changes. The aggregate percentage change over
the inflation measurement period will be rounded to one decimal place,
using the CPI-W value for July (which is generally released by the
Bureau of Labor Statistics in August).
(3) Adjustment amount. The adjustment
amount for each dollar amount listed in paragraph (a) of this section
shall be equal to the aggregate percentage change multiplied by the
existing dollar amount listed in paragraph (c) of this section and
rounded to the nearest multiple of $25. The adjusted dollar amount
will be equal to the sum of the existing dollar amount and the adjustment
amount. No dollar adjustment will be made when the aggregate percentage
change is zero or a negative percentage change, or when the aggregate
percentage change multiplied by the existing dollar amount listed
in paragraph (c) and rounded to the nearest multiple of $25 results
in no change.
(4) Carry-forward. When there is an aggregate
negative percentage change over an inflation measurement period, or
when an aggregate positive percentage change over an inflation measurement
period multiplied by the existing dollar amount listed in paragraph
(c) of this section and rounded to the nearest multiple of $25 results
in no change, the aggregate percentage change over the inflation measurement
period will be included in the calculation to determine the percentage
change at the end of the subsequent inflation measurement period.
That is, the cumulative change in the CPI-W over the two (or more)
inflation measurement periods will be used in the calculation until
the cumulative change results in publication of an adjusted dollar
amount in the regulation.
(c) Amounts.
(1) For
purposes of section 229.10(c)(1)(vii), the dollar amount in effect
during a particular period is the amount stated in this paragraph
(c)(1) for that period.
(i) Prior to July 21, 2011, the amount is $100.
(ii) From July 21, 2011, through June
30, 2020, by operation of section 603(a)(2)(D) of the EFA Act (12
U.S.C. 4002(a)(2)(D)) the amount is $200.
(iii) Effective July 1, 2020, the amount
is $225.
(2) For purposes
of section 229.12(d), the dollar amount in effect during a particular
period is the amount stated in this paragraph (c)(2) for that period.
(i) Prior to July 1,
2020, the amount is $400.
(ii)
Effective July 1, 2020, the amount is $450.
(3) For purposes of section 229.13(a),
(b), and (d), the dollar amount in effect during a particular period
is the amount stated in this paragraph (c)(3) for that period.
(i) Prior to July 1,
2020, the amount is $5,000.
(ii)
Effective July 1, 2020, the amount is $5,525.
(4) For purposes of section 229.21(a),
the dollar amounts in effect during a particular period are the amounts
stated in this paragraph (c)(4) for the period.
(i) Prior to July 1, 2020, the amounts
are $100, $1,000, and $500,000 respectively.
(ii) Effective July 1, 2020, the amounts
are $100, $1,100, and $552,500 respectively.
