Office of Management and Budget Memorandum

Cancellation of Penalty Inflation Adjustments for 2026

I guess there really is a reason the old saying goes “There are only two things guaranteed in life: death and taxes.” If you thought penalty adjustments from government entities could be added to that list, you would be wrong. That’s exactly the case as it relates to this year’s penalty adjustments. If you are anything like us, you have been closely watching and waiting for the announcement from affected agencies. This year you will be pleasantly surprised to find out it has been cancelled for 2026 (the adjustment).

Since its introduction, the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 has raised the civil penalties amount based on the Consumer Price Index (CPI-U) data from the Bureau of Labor Statistics (BLS). The annual adjustment is taken from the BLS data from October of the previous year. If you recall, October 2025 of last year was in the middle of a government shutdown. Due to the lack of data, the Office of Management and Budget (OMB) disseminated a memo notifying affected federal agencies such as (DOT, EPA, and OSHA) of the cancelled penalty adjustment and its reasoning.

With that said, penalty amounts will simply stay the same as the previous year. Below you will find amounts of some of the most common violations from DOT, OSHA, and EPA:

DOT

• Hazardous Materials Violation 49 U.S.C. 5123
  • Received a 2.56% increase to $102,348 (+$2,592)

• Hazardous Materials Violation resulting in death, serious illness, severe injury, or substantial property damage 49 U.S.C. 5123
  • Received a 2.56% increase to $238,809 (+$6,047)

• Hazardous Materials Training Violation 49 U.S.C. 5123
  • Received a 2.56% increase to $617 (+$16)

OSHA

• Serious and other-than-serious increased $419 from $16, 131 to $16,550 per violation
• Failure to abate and failure to post increased $419 from $16, 131 to $16,550 per violation
• Willful or repeated maximum increased $4,191 from $161,323 to $165,514 per violation
• Willful or repeated minimum increased $299 from $11,524 to $11,823 per violation

EPA

• RCRA (maximum penalty): $93,058
• Superfund and Right-to-Know (CERCLA/EPCRA): $71,545 (first-time violation)/$214,637 (subsequent violations)
• Clean Water Act (CWA): $68,445 (per day)/ $342,218 (daily maximum)
• Safe Drinking Water Act (SDWA): $71,545
• Toxic Substances Control Act (TSCA): $49,772
• Clean Air Act (CAA): $124,426 (per violation) /$472,901 (daily maximum per violation)

To view the memo in its entirety, you can click HERE NOW!

If you enjoyed this informative blog make sure follow us on all our social media outlets at Facebook and LinkedIn to be the first to know when new content like this drops. You can also check out other quick reads in our news section on our website. Lastly, another important resource for you is our monthly newsletter that offers you even more regulatory news, special offers, and industry insights.

However, if you’re in need of immediate help, you can always contact us directly through our  website at  www.learnhazmat.com or give us a call at 412.249.1111 for a 100% FREE CONSULTATION and one of our dedicated team members will help you decide what industry leading training or compliance solution best fits your needs!