80_FR_24863 80 FR 24779 - New Debt-Collection Regulations

80 FR 24779 - New Debt-Collection Regulations

FEDERAL LABOR RELATIONS AUTHORITY

Federal Register Volume 80, Issue 84 (May 1, 2015)

Page Range24779-24789
FR Document2015-09999

Pursuant to the Debt Collection Improvement Act of 1996, the Federal Labor Relations Authority (``FLRA'') is issuing a regulation governing procedures for collecting debts owed to the federal government by present and former FLRA employees. The regulation sets forth the procedures that the FLRA will follow in collecting debts owed to the United States arising from activities under FLRA jurisdiction. These procedures include collection of debts through administrative offset and salary offset. These regulations supersede the FLRA's debt- collection procedures applied under FLRA Internal Regulation 2790, dated December 29, 1986.

Federal Register, Volume 80 Issue 84 (Friday, May 1, 2015)
[Federal Register Volume 80, Number 84 (Friday, May 1, 2015)]
[Rules and Regulations]
[Pages 24779-24789]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-09999]



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Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Rules and 
Regulations

[[Page 24779]]



FEDERAL LABOR RELATIONS AUTHORITY

5 CFR Part 2418


New Debt-Collection Regulations

AGENCY: Federal Labor Relations Authority.

ACTION: Final rule.

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SUMMARY: Pursuant to the Debt Collection Improvement Act of 1996, the 
Federal Labor Relations Authority (``FLRA'') is issuing a regulation 
governing procedures for collecting debts owed to the federal 
government by present and former FLRA employees. The regulation sets 
forth the procedures that the FLRA will follow in collecting debts owed 
to the United States arising from activities under FLRA jurisdiction. 
These procedures include collection of debts through administrative 
offset and salary offset. These regulations supersede the FLRA's debt-
collection procedures applied under FLRA Internal Regulation 2790, 
dated December 29, 1986.

DATES: Effective May 1, 2015.

FOR FURTHER INFORMATION CONTACT: Gina Grippando, Counsel for Regulatory 
and Public Affairs, Federal Labor Relations Authority, Washington, DC 
20424, (202) 218-7776.

SUPPLEMENTARY INFORMATION:

Background

    This final rule implements the Debt Collection Improvement Act of 
1996 (DCIA). The DCIA requires federal agencies to collect debts owed 
to the United States under regulations prescribed by the head of the 
agency, and standards prescribed by the Department of Justice and the 
Department of the Treasury. 31 U.S.C. 3711(d)(2). These standards, 
known as the Federal Claims Collection Standards (FCCS), became 
effective on December 22, 2000. 31 CFR chapter IX, parts 900 through 
904.
    The DCIA also requires agencies, prior to collecting debts owed to 
the United States, to: (1) Adopt, without change, regulations on 
collecting debts by offset promulgated by the Department of Justice or 
Department of the Treasury (FCCS); or (2) prescribe agency regulations 
for collecting such debts by offset, which are consistent with the 
FCCS. 31 U.S.C. 3716. Agency regulations protect the minimum due-
process rights that must be afforded to the debtor when an agency seeks 
to collect a debt by administrative offset, including the ability to 
verify, challenge, and compromise claims, and access to administrative-
appeals procedures which are both reasonable and protect the interests 
of the United States. Nothing in this regulation precludes the use of 
collection remedies not contained in this regulation.
    The final rule is consistent with the FCCS, as required by the 
DCIA. The salary-offset portion of the rule has been submitted to and 
approved by the Office of Personnel Management (OPM), as required by 5 
U.S.C. 5514(b)(1).

Section Analysis of the Final Rule

A. Subpart A--General Provisions, Definitions, Scope, Applicability

    Subpart A of the final rule sets out the definitions, scope, and 
applicability of the FLRA's debt-collection procedures. The final rule 
provides procedures for the collection of FLRA debts as well as 
procedures for collection of other debts owed to the United States when 
the FLRA receives, from another agency, a request for offset of an FLRA 
payment. The FLRA shall follow the procedural standards for collecting 
debts set forth in the FCCS when it determines that it is appropriate 
to initiate debt collection or seek offset to collect a debt. 31 CFR 
parts 900 through 904. The rule does not apply to tax debts or to any 
debt for which there is an indication of fraud or misrepresentation, as 
described in Sec.  900.3 of the FCCS. Additionally, the final rule does 
not preclude the FLRA from collecting debts under statutes and 
regulations other than those described in the final rule.

B. Subpart B--Procedures To Collect FLRA Debts

    Subpart B of the final rule provides the procedures that the FLRA 
will use to collect debts. Among other things, subpart B outlines the 
due-process procedures that the FLRA is required to follow when using 
offset (administrative, tax refund, and salary) to collect a debt, when 
garnishing a debtor's wages, or before reporting a debt to a credit 
bureau. More specifically, the final rule describes the notice that the 
FLRA will send to a debtor when collecting the debt, including the 
FLRA's responsibilities and the debtor's associated rights and 
obligations related to the notice. The FLRA shall assess interest, 
penalties, and administrative costs on such debts in accordance with 
the provisions of 31 U.S.C. 3717 and 31 CFR 901.9. Subpart B also 
explains that the FLRA may waive those assessments, and it provides for 
situations in which the FLRA may accept payments in regular 
installments, in accordance with 31 CFR 901.8. The subpart also 
provides that the FLRA may suspend or terminate a debt and when it will 
transfer an FLRA debt to the Treasury Department's Financial Management 
Service for collection under 31 U.S.C. 3711(g) and 31 CFR 285.12. This 
subpart provides that an employee may request a waiver of the debt, if 
applicable, and references Appendix A of the final rule, which 
describes ``Waiving Claims Against FLRA Employees for Erroneous 
Payments.''

C. Subpart C--Procedures for Offset of FLRA Payments To Collect Debts 
Owed to Other Federal Agencies

    Subpart C of the final rule authorizes the FLRA to collect debts 
owed to other federal agencies, and it describes the procedures to be 
followed when another agency would like to use the offset process to 
collect a debt from a nontax payment issued by the FLRA, as a payment 
agency. For example, any federal agency may request that the FLRA 
collect a debt owed to such agency by offsetting funds payable to a 
debtor by the FLRA, including salary payments issued to FLRA employees. 
This subpart describes where to send a request and provides that 
certification of the debt is required. Subpart C also describes what 
the FLRA will do upon receipt of a request to offset the salary of an 
FLRA employee, including, among other things, the notice given to the 
employee and the limits on the amount

[[Page 24780]]

that the FLRA will deduct from an employee's salary.

Administrative Procedure Act--Regulatory Analysis

    The FLRA has determined that this rule pertains to agency practice 
and procedure and is interpretative in nature. The procedures contained 
in the rule for salary offset and administrative offset are mandated by 
law and by regulations promulgated by OPM, jointly by the Department of 
the Treasury and the Department of Justice, and by the IRS. Notice of 
proposed rulemaking is not required under the Administrative Procedure 
Act (APA) because the rule pertains solely to agency procedure and 
practice. 5 U.S.C. 553(b)(3)(A). Notice and an opportunity for public 
comment are not necessary prior to issuance of this final rule because 
it implements a definitive statutory scheme mandated by the DCIA. 
Likewise, pursuant to 5 U.S.C. 553(d)(3), the agency finds that good 
cause exists for not providing a delayed effective date.

Regulatory Flexibility Act

    Because no notice of proposed rulemaking is required for this rule, 
the provisions of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) 
do not apply. Moreover, the rule will affect only persons who owe 
delinquent nontax debts to the Treasury Department and other federal 
agencies. Accordingly, a regulatory-flexibility analysis is not 
required.

Paperwork Reduction Act

    The final rule is not subject to the Paperwork Reduction Act (44 
U.S.C. 3501), since it does not contain any new information-collection 
requirements.

E.O. 12866, Regulatory Review

    This rule is not a significant regulatory action as defined in 
Executive Order 12866. Because no notice of proposed rulemaking is 
required for this rule, the provisions of the Regulatory Flexibility 
Act do not apply.

List of Subjects in 5 CFR Part 2418

    Administrative practice and procedure, Claims, Debts, Garnishment 
of wages, Government employees, Hearing procedures, Pay administration, 
Salaries, Wages.

    By the Federal Labor Relations Authority on April 24, 2015.
Carol Waller Pope,
Chairman.

Authority and Issuance

    For the reasons set forth in the preamble, the FLRA adds 5 CFR part 
2418 to read as follows:

PART 2418--FLRA DEBT COLLECTION

Subpart A--General Provisions

Sec.
2418.1 What definitions apply to the regulations in this part?
2418.2 Why is the FLRA issuing these regulations, and what do they 
cover?
2418.3 Do these regulations adopt the Federal Claims Collection 
Standards (FCCS)?
Subpart B--Procedures to Collect FLRA Debts
2418.4 What notice will the FLRA send to a debtor when collecting an 
FLRA debt?
2418.5 How will the FLRA add interest, penalty charges, and 
administrative costs to an FLRA debt?
2418.6 When will the FLRA allow a debtor to pay an FLRA debt in 
installments instead of one lump sum?
2418.7 When will the FLRA compromise an FLRA debt?
2418.8 When will the FLRA suspend or terminate debt collection on an 
FLRA debt?
2418.9 When will the FLRA transfer an FLRA debt to the Treasury 
Department's Financial Management Service for collection?
2418.10 How will the FLRA use administrative offset (offset of non-
tax Federal payments) to collect an FLRA debt?
2418.11 How will the FLRA use tax refund offset to collect an FLRA 
debt?
2418.12 How will the FLRA offset a Federal employee's salary to 
collect an FLRA debt?
2418.13 How will the FLRA use administrative wage garnishment to 
collect an FLRA debt from a debtor's wages?
2418.14 How will the FLRA report FLRA debts to credit bureaus?
2418.15 How will the FLRA refer FLRA debts to private collection 
agencies?
2418.16 When will the FLRA refer FLRA debts to the Department of 
Justice?
2418.17 How does a debtor request a special review based on a change 
in circumstances such as catastrophic illness, divorce, death, or 
disability?
2418.18 Will the FLRA issue a refund if money is erroneously 
collected on a debt?
Subpart C--Procedures for Offset of FLRA Payments to Collect Debts Owed 
to Other Federal Agencies
2418.19 How do other Federal agencies use the offset process to 
collect debts from payments issued by the FLRA?
2418.20 What does the FLRA do upon receipt of a request to offset 
the salary of an FLRA employee to collect a debt owed by the 
employee to another Federal agency?

Appendix A To Part 2418--Waiving Claims Against Flra Employees For 
Erroneous Payments

    Authority: 5 U.S.C. 5514; 5 U.S.C. 5584; 5 U.S.C. 6402; 31 
U.S.C. 3701, 3711; 3716, 3717, 3718, 3720A, 3720D.

Subpart A--General Provisions


Sec.  2418.1  What definitions apply to the regulations in this part?

    As used in this part:
    Administrative offset or offset means withholding funds payable by 
the United States (including funds payable by the United States on 
behalf of a State Government) to, or held by the United States for, a 
person to satisfy a debt owed by the person. The term ``administrative 
offset'' includes, but is not limited to, the offset of Federal salary, 
vendor, retirement, and Social-Security-benefit payments. The terms 
``centralized administrative offset'' and ``centralized offset'' refer 
to the process by which the Treasury Department's Financial Management 
Service offsets Federal payments through the Treasury Offset Program.
    Administrative wage garnishment means the process by which a 
Federal agency orders a non-Federal employer to withhold amounts from a 
debtor's wages to satisfy a debt, as authorized by 31 U.S.C. 3720D, 31 
CFR 285.11, and this part.
    Agency or federal agency means a department, agency, court, court 
administrative office, or instrumentality in the executive, judicial, 
or legislative branch of the Federal Government, including government 
corporations.
    Chairman means the Chairman of the FLRA or his or her designee.
    Creditor agency means any Federal agency that is owed a debt.
    Debt means any amount of money, funds, or property that has been 
determined by an appropriate official of the Federal Government to be 
owed to the United States by a person. As used in this part, the term 
``debt'' does not include, as described in 31 U.S.C. 3701(d), debts 
arising under: The Internal Revenue Code of 1986 (26 U.S.C. 1 et seq.); 
the Social Security Act (42 U.S.C. 301 et seq.), except to the extent 
provided under sections 204(f) and 1631(b)(4) of such Act [42 U.S.C. 
404(f) and 1383(b)(4)] and section 3716(c) [31 U.S.C. 3716(c)], or the 
tariff laws of the United States.
    Debtor means a person who owes a debt to the United States.

[[Page 24781]]

    Delinquent debt means a debt that has not been paid by the date 
specified in the agency's initial written demand for payment or 
applicable agreement or instrument (including a post-delinquency 
payment agreement) unless other satisfactory payment arrangements have 
been made.
    Delinquent FLRA debt means a delinquent debt owed to the FLRA.
    Disposable pay has the same meaning as that term is defined in 5 
CFR 550.1103.
    Employee or Federal employee means a current employee of the FLRA 
or other Federal agency, including a current member of the Armed 
Forces, Reserve of the Armed Forces of the United States, or the 
National Guard.
    Executive Director means the Executive Director of the FLRA or his 
or her designee.
    FCCS means the Federal Claims Collection Standards, which were 
jointly published by the Departments of the Treasury and Justice and 
codified at 31 CFR parts 900 through 904.
    Financial Management Service means the Financial Management 
Service, a bureau of the Treasury Department, which is responsible for 
the centralized collection of delinquent debts through the offset of 
Federal payments and other means.
    FLRA means the Federal Labor Relations Authority and all of its 
components.
    FLRA debt means a debt that a person owes the FLRA.
    Payment agency or Federal payment agency means any Federal agency 
that transmits payment requests in the form of certified payment 
vouchers, or other similar forms, to a disbursing official for 
disbursement. The ``payment agency'' may be the agency that employs the 
debtor. In some cases, the FLRA may be both the creditor agency and the 
payment agency.
    Person means an individual, corporation, partnership, association, 
organization, State or local government, or any other type of entity 
other than a Federal agency.
    Salary offset means a type of administrative offset to collect, 
from the current pay account of a Federal employee, a debt that the 
employee owes.
    Tax refund offset is defined in 31 CFR 285.2(a).
    Treasury Department means the United States Department of the 
Treasury. Waiver means the cancellation, remission, forgiveness, or 
non-recovery of a debt allegedly owed by an employee to an agency as 
permitted or required by 5 U.S.C. 5584, 10 U.S.C. 2774, 32 U.S.C. 716, 
5 U.S.C. 8346(b), 42 U.S.C. 404(b), or any other law.


Sec.  2418.2  Why is the FLRA issuing these regulations, and what do 
they cover?

    (a) Scope. This part provides procedures for the collection of FLRA 
debts. This part also provides procedures for collection of other debts 
owed to the United States when the FLRA receives, from another agency, 
a request for offset of an FLRA payment (for example, when an FLRA 
employee owes a debt to the United States Department of Education).
    (b) Applicability. (1) This part applies to the FLRA when 
collecting an FLRA debt, to persons who owe FLRA debts, and to Federal 
agencies requesting offset of a payment issued by the FLRA as a payment 
agency (including salary payments to FLRA employees).
    (2) This part does not apply to tax debts or to any debt for which 
there is an indication of fraud or misrepresentation, as described in 
31 CFR 900.3 of the FCCS, unless the Department of Justice returns the 
debt to the FLRA for handling.
    (3) Nothing in this part precludes collection or disposition of any 
debt under statutes and regulations other than those described in this 
part. See, for example, 5 U.S.C. 5705, Advancements and Deductions, 
which authorizes agencies to recover travel advances by offset of up to 
100% of a Federal employee's accrued pay. See, also, 5 U.S.C. 4108, 
governing the collection of training expenses. To the extent that the 
provisions of laws and other regulations differ from the provisions of 
this part, those provisions of law and other regulations--and not the 
provisions of this part--apply to the remission or mitigation of fines, 
penalties, and forfeitures, as well as debts arising under the tariff 
laws of the United States.
    (c) Duplication not required. Nothing in this part requires the 
FLRA to duplicate notices or administrative proceedings required by 
contract, this part, or other laws or regulations.
    (d) Use of multiple collection remedies allowed. The FLRA and other 
Federal agencies may simultaneously use multiple collection remedies to 
collect a debt, except as prohibited by law. This part is intended to 
promote aggressive debt collection, using for each debt all available 
collection remedies. These remedies are not listed in any prescribed 
order, so that the FLRA may have flexibility in determining which 
remedies will be most efficient in collecting the particular debt.


Sec.  2418.3  Do these regulations adopt the Federal Claims Collection 
Standards (FCCS)?

    This part adopts and incorporates all provisions of the FCCS. This 
part also supplements the FCCS by prescribing procedures consistent 
with the FCCS, as necessary and appropriate for FLRA operations.

Subpart B--Procedures to Collect FLRA Debts


Sec.  2418.4  What notice will the FLRA send to a debtor when 
collecting an FLRA debt?

    (a) Notice requirements. The FLRA shall aggressively collect FLRA 
debts. The FLRA shall promptly send at least one written notice to a 
debtor informing the debtor of the consequences of failing to pay or 
otherwise resolve an FLRA debt. The notice(s) shall be sent to the 
debtor at the most current address of the debtor in the FLRA's records. 
Generally, before starting the collection actions described in 
Sec. Sec.  2418.5 and 2418.9 through 2418.16, the FLRA will send no 
more than two written notices to the debtor. The purpose of the 
notice(s) is to explain why the debt is owed, the amount of the debt, 
how a debtor may pay the debt or make alternative payment arrangements, 
how a debtor may review documents related to the debt, how a debtor may 
dispute the debt, the collection remedies available to the FLRA if the 
debtor refuses to pay the debt, and other consequences to the debtor if 
the debt is not paid. Except as otherwise provided in paragraph (b) of 
this section, the written notice(s) shall explain to the debtor:
    (1) The nature and amount of the debt, and the facts giving rise to 
the debt;
    (2) How interest, penalties, and administrative costs are added to 
the debt, the date by which payment should be made to avoid such 
charges, and that such assessments must be made unless excused in 
accordance with 31 CFR 901.9 (see Sec.  2418.5);
    (3) The date by which payment should be made to avoid the enforced 
collection actions described in paragraph (a)(6) of this section;
    (4) The FLRA's willingness to discuss alternative payment 
arrangements and how the debtor may enter into a written agreement to 
repay the debt under terms acceptable to the FLRA (see Sec.  2418.6);
    (5) The name, address, and telephone number of a contact person or 
office within the FLRA;
    (6) The FLRA's intention to enforce collection if the debtor fails 
to pay or otherwise resolve the debt, by taking one or more of the 
following actions:
    (i) Offset. Offset the debtor's Federal payments, including income-
tax

[[Page 24782]]

refunds, salary, certain benefit payments (such as Social Security), 
retirement, vendor, travel reimbursements and advances, and other 
Federal payments (see Sec. Sec.  2418.10 through 2418.12);
    (ii) Private collection agency. Refer the debt to a private 
collection agency (see Sec.  2418.15);
    (iii) Credit-bureau reporting. Report the debt to a credit bureau 
(see Sec.  2418.14);
    (iv) Administrative wage garnishment. Garnish the debtor's wages 
through administrative wage garnishment (see Sec.  2418.13);
    (v) Litigation. Refer the debt to the Department of Justice to 
initiate litigation to collect the debt (see Sec.  2418.16);
    (vi) Treasury Department's Financial Management Service. Refer the 
debt to the Financial Management Service for collection (see Sec.  
2418.9);
    (7) That Treasury debts over 180 days delinquent must be referred 
to the Financial Management Service for the collection actions 
described in paragraph (a)(6) of this section (see Sec.  2418.9);
    (8) How the debtor may inspect and copy records related to the 
debt;
    (9) How the debtor may request a review of the FLRA's determination 
that the debtor owes a debt and present evidence that the debt is not 
delinquent or legally enforceable (see Sec. Sec.  2418.10(c) and 
2418.11(c));
    (10) How a debtor may request a hearing if the FLRA intends to 
garnish the debtor's private-sector (i.e., non-Federal) wages (see 
Sec.  2418.13(a)), including:
    (i) The method and time period for requesting a hearing;
    (ii) That the timely filing of a request for a hearing on or before 
the 15th business day following the date of the notice will stay the 
commencement of administrative wage garnishment, but not necessarily 
other collection procedures; and
    (iii) The name and address of the office to which the request for a 
hearing should be sent.
    (11) How a debtor who is a Federal employee subject to Federal 
salary offset may request a hearing (see Sec.  2418.12(e)), including:
    (i) The method and time period for requesting a hearing;
    (ii) That the timely filing of a request for a hearing on or before 
the 15th calendar day following receipt of the notice will stay the 
commencement of salary offset, but not necessarily other collection 
procedures;
    (iii) The name and address of the office to which the request for a 
hearing should be sent;
    (iv) That the FLRA will refer the debt to the debtor's employing 
agency or to the Financial Management Service to implement salary 
offset, unless the employee files a timely request for a hearing;
    (v) That a final decision on the hearing, if requested, will be 
issued at the earliest practical date, but not later than 60 days after 
the filing of the request for a hearing, unless the employee requests 
and the hearing official grants a delay in the proceedings;
    (vi) That any knowingly false or frivolous statements, 
representations, or evidence may subject the Federal employee to 
penalties under the False Claims Act (31 U.S.C. 3729-3731) or other 
applicable statutory authority, and criminal penalties under 18 U.S.C. 
286, 287, 1001, and 1002, or other applicable statutory authority;
    (vii) That, unless prohibited by contract or statute, amounts paid 
on or deducted for the debt that are later waived or found not owed to 
the United States will be promptly refunded to the employee; and
    (viii) That 5 U.S.C. 5514 and 31 U.S.C. 3716 govern proceedings 
with respect to such debt.
    (12) How the debtor may request a waiver of the debt, if applicable 
(see Appendix A of this part);
    (13) How the debtor's spouse may claim his or her share of a joint-
income-tax refund by filing Form 8379 with the Internal Revenue Service 
(see http://www.irs.gov);
    (14) How the debtor may exercise other statutory or regulatory 
rights and remedies available to the debtor;
    (15) That an employee's involuntary payment of all or any portion 
of a debt being collected will not be construed as a waiver of any 
rights that the employee may have under any provision of contract or 
law, unless there are statutory, regulatory, or contractual provisions 
to the contrary; and
    (16) That the debtor should advise the FLRA of a bankruptcy 
proceeding of the debtor or another person liable for the debt being 
collected.
    (b) Exceptions to notice requirements. The FLRA may omit from a 
notice to a debtor one or more of the provisions contained in 
paragraphs (a)(6) through (16) of this section if the FLRA, in 
consultation with its legal counsel, determines that any provision is 
not legally required given the collection remedies to be applied to a 
particular debt.
    (c) Respond to debtors; comply with FCCS. The FLRA will respond 
promptly to communications from debtors and comply with other FCCS 
provisions applicable to the administrative collection of debts. See 31 
CFR part 901.


Sec.  2418.5  How will the FLRA add interest, penalty charges, and 
administrative costs to an FLRA debt?

    (a) Assessment and notice. The FLRA shall assess interest, 
penalties, and administrative costs on FLRA debts in accordance with 
the provisions of 31 U.S.C. 3717 and 31 CFR 901.9. Interest shall be 
charged in accordance with the requirements of 31 U.S.C. 3717(a). 
Penalties shall accrue at the rate of 6% per year, or such other higher 
rate as authorized by law. The FLRA shall determine administrative 
costs, that is, the costs of processing and handling a delinquent debt. 
In the notice to the debtor described in Sec.  2418.4, the FLRA must 
explain how interest, penalties, costs, and other charges are assessed, 
unless the requirements are included in a contract or repayment 
agreement.
    (b) Waiver of interest, penalties, and administrative costs. Unless 
otherwise required by law, the FLRA may not charge interest if the 
amount due on the debt is paid within 30 days after the date from which 
the interest accrues. See 31 U.S.C. 3717(d). The FLRA may waive 
interest, penalties, and administrative costs, or any portion thereof, 
when it would be against equity and good conscience or not in the 
FLRA's best interest to collect such charges, in accordance with FLRA 
guidelines for waiving claims against FLRA employees for erroneous 
overpayments. See appendix A of this part.
    (c) Accrual during suspension of debt collection. In most cases, 
interest, penalties, and administrative costs will begin and continue 
to accrue 30 days after notice is given to the employee and during any 
period when collection has been suspended for any reason (for example, 
when the debtor has requested a hearing). The FLRA may suspend accrual 
of any or all of these charges when accrual would be against equity and 
good conscience or not in the FLRA's best interest, in accordance with 
FLRA guidelines for waiving claims against FLRA employees for erroneous 
overpayments. See appendix A of this part.


Sec.  2418.6  When will the FLRA allow a debtor to pay an FLRA debt in 
installments instead of one lump sum?

    If a debtor is financially unable to pay the debt in one lump sum, 
then the FLRA may accept payment of an FLRA debt in regular 
installments, in accordance with 31 CFR 901.8.

[[Page 24783]]

Sec.  2418.7   When will the FLRA compromise an FLRA debt?

    If the FLRA cannot collect the full amount of an FLRA debt, then 
the FLRA may compromise the debt in accordance with 31 CFR part 902.


Sec.  2418.8  When will the FLRA suspend or terminate debt collection 
on an FLRA debt?

    If, after pursuing all appropriate means of collection, the FLRA 
determines that an FLRA debt is uncollectible, then the FLRA may 
suspend or terminate debt-collection activity in accordance with the 
provisions of 31 CFR part 903 and the FLRA's policies and procedures.


Sec.  2418.9   When will the FLRA transfer an FLRA debt to the Treasury 
Department's Financial Management Service for collection?

    (a) The FLRA will transfer any eligible debt that is more than 180 
days delinquent to the Financial Management Service for debt-collection 
services, a process known as ``cross-servicing.'' See 31 U.S.C. 3711(g) 
and 31 CFR 285.12. The FLRA may transfer debts delinquent 180 days or 
less to the Financial Management Service in accordance with the 
procedures described in 31 CFR 285.12. The Financial Management Service 
takes appropriate action to collect or compromise the transferred debt, 
or to suspend or terminate collection action thereon, in accordance 
with the statutory and regulatory requirements and authorities 
applicable to the debt and the collection action to be taken. See 31 
CFR 285.12(c)(2). Appropriate action includes, but is not limited to: 
Contact with the debtor; referral of the debt to the Treasury Offset 
Program, private collection agencies, or the Department of Justice; 
reporting of the debt to credit bureaus; and administrative wage 
garnishment.
    (b) At least sixty (60) days before transferring an FLRA debt to 
the Financial Management Service, the FLRA will send notice to the 
debtor as required by Sec.  2418.4. The FLRA will certify to the 
Financial Management Service, in writing, that the debt is valid, 
delinquent, legally enforceable, and that there are no legal bars to 
collection. In addition, the FLRA will certify its compliance with all 
applicable due-process and other requirements as described in this part 
and other Federal laws. See 31 CFR 285.12(i) regarding the 
certification requirement.
    (c) As part of its debt-collection process, the Financial 
Management Service uses the Treasury Offset Program to collect Treasury 
debts by administrative and tax-refund offset. See 31 CFR 285.12(g). 
The Treasury Offset Program is a centralized offset program 
administered by the Financial Management Service to collect delinquent 
debts owed to Federal agencies and states (including past-due child 
support). Under the Treasury Offset Program, before a Federal payment 
is disbursed, the Financial Management Service compares the name and 
taxpayer identification number (TIN) of the payee with the names and 
TINs of debtors that have been submitted by Federal agencies and states 
to the Treasury Offset Program database. If there is a match, the 
Financial Management Service (or, in some cases, another Federal 
disbursing agency) offsets all or a portion of the Federal payment, 
disburses any remaining payment to the payee, and pays the offset 
amount to the creditor agency. Federal payments eligible for offset 
include, but are not limited to, income-tax refunds, salary, travel 
advances and reimbursements, retirement and vendor payments, and Social 
Security and other benefit payments.


Sec.  2418.10  How will the FLRA use administrative offset (offset of 
non-tax Federal payments) to collect an FLRA debt?

    (a) Centralized administrative offset through the Treasury Offset 
Program. (1) In most cases, the Financial Management Service uses the 
Treasury Offset Program to collect Treasury debts by the offset of 
Federal payments. See Sec.  2418.9(c). If not already transferred to 
the Financial Management Service under Sec.  2418.9, the FLRA will 
refer any eligible debt over 180 days delinquent to the Treasury Offset 
Program for collection by centralized administrative offset. See 31 
U.S.C. 3716(c)(6); 31 CFR part 285, subpart A; and 31 CFR 901.3(b). The 
FLRA may refer any eligible debt less than 180 days delinquent to the 
Treasury Offset Program for offset.
    (2) At least sixty (60) days prior to referring a debt to the 
Treasury Offset Program, in accordance with paragraph (a)(1) of this 
section, the FLRA will send notice to the debtor in accordance with the 
requirements of Sec.  2418.4. The FLRA will certify to the Financial 
Management Service, in writing, that the debt is valid, delinquent, 
legally enforceable, and that there are no legal bars to collection by 
offset. In addition, the FLRA will certify its compliance with the 
requirements described in this part.
    (b) Non-centralized administrative offset for FLRA debts. (1) When 
centralized administrative offset through the Treasury Offset Program 
is not available or appropriate, the FLRA may collect past-due, legally 
enforceable FLRA debts through non-centralized administrative offset. 
See 31 CFR 901.3(c). In these cases, the FLRA may offset a payment 
internally or make an offset request directly to a Federal payment 
agency.
    (2) At least thirty (30) days prior to offsetting a payment 
internally or requesting a Federal payment agency to offset a payment, 
the FLRA will send notice to the debtor in accordance with the 
requirements of Sec.  2418.4. (For debts outstanding more than ten (10) 
years on or before June 11, 2009, the FLRA will comply with the 
additional notification requirements of 31 CFR 285.7(d).) When 
referring a debt for offset under this paragraph (b), the FLRA will 
certify, in writing, that the debt is valid, delinquent, legally 
enforceable, and that there are no legal bars to collection by offset. 
In addition, the FLRA will certify its compliance with these 
regulations concerning administrative offset. See 31 CFR 
901.3(c)(2)(ii).
    (c) Administrative review. The notice described in Sec.  2418.4 
shall explain to the debtor how to request an administrative review of 
the FLRA's determination that the debtor owes an FLRA debt and how to 
present evidence that the debt is not delinquent or legally 
enforceable. In addition to challenging the existence and amount of the 
debt, the debtor may seek a review of the terms of repayment. In most 
cases, the FLRA will provide the debtor with a ``paper hearing'' based 
upon a review of the written record, including documentation provided 
by the debtor. The FLRA shall provide the debtor with a reasonable 
opportunity for an oral hearing when the debtor requests 
reconsideration of the debt and the FLRA determines that the question 
of the indebtedness cannot be resolved by review of the documentary 
evidence, for example, when the validity of the debt turns on an issue 
of credibility or veracity. Unless otherwise required by law, an oral 
hearing under this section is not required to be a formal evidentiary 
hearing, although the FLRA will carefully document all significant 
matters discussed at the hearing. The FLRA may suspend collection 
through administrative offset and/or other collection actions pending 
the resolution of a debtor's dispute.
    (d) Procedures for expedited offset. Under the circumstances 
described in 31 CFR 901.3(b)(4)(iii), the FLRA may effect an offset 
against a payment to be made to the debtor prior to sending a notice to 
the debtor, as described in Sec.  2418.4, or completing the procedures

[[Page 24784]]

described in paragraph (b)(2) and (c) of this section. The FLRA shall 
give the debtor notice and an opportunity for review as soon as 
practicable and promptly refund any money ultimately found not to have 
been owed to the Government.


Sec.  2418.11  How will the FLRA use tax-refund offset to collect an 
FLRA debt?

    (a) Tax-refund offset. In most cases, the Financial Management 
Service uses the Treasury Offset Program to collect FLRA debts by the 
offset of tax refunds and other Federal payments. See Sec.  2418.9(c). 
If not already transferred to the Financial Management Service under 
Sec.  2418.9, the FLRA will refer to the Treasury Offset Program any 
past-due, legally enforceable debt for collection by tax-refund offset. 
See 26 U.S.C. 6402(d), 31 U.S.C. 3720A and 31 CFR 285.2.
    (b) Notice. At least sixty (60) days before referring a debt to the 
Treasury Offset Program, the FLRA will send notice to the debtor in 
accordance with the requirements of Sec.  2418.4. The FLRA will certify 
to the Financial Management Service's Treasury Offset Program, in 
writing, that the debt is past due and legally enforceable in the 
amount submitted and that the FLRA has made reasonable efforts to 
obtain payment of the debt as described in 31 CFR 285.2(d). In 
addition, the FLRA will certify its compliance with all applicable due-
process and other requirements described in this part and other Federal 
laws. See 31 U.S.C. 3720A(b) and 31 CFR 285.2.
    (c) Administrative review. The notice described in Sec.  2418.4 
shall provide the debtor with at least 60 days prior to the initiation 
of tax-refund offset to request an administrative review as described 
in Sec.  2418.10(c). The FLRA may suspend collection through tax-refund 
offset and/or other collection actions pending the resolution of the 
debtor's dispute.


Sec.  2418.12  How will the FLRA offset a Federal employee's salary to 
collect an FLRA debt?

    (a) Federal salary offset. (1) Salary offset is used to collect 
debts that FLRA employees and other Federal employees owe to the United 
States. If a Federal employee owes an FLRA debt, then the FLRA may 
offset the employee's Federal salary to collect the debt in the manner 
described in this section. For information on how a Federal agency 
other than the FLRA may collect debt from the salary of an FLRA 
employee, see Sec. Sec.  2418.19 and 2418.20.
    (2) Nothing in this part requires the FLRA to collect an FLRA debt 
in accordance with this section if Federal law allows otherwise. See, 
for example, 5 U.S.C. 5705 (travel advances not used for allowable 
travel expenses are recoverable from the employee or his estate by 
setoff against accrued pay and other means) and 5 U.S.C. 4108 (recovery 
of training expenses).
    (3) The FLRA may use the administrative-wage-garnishment procedure 
described in Sec.  2418.13 to collect a debt from an individual's non-
Federal wages.
    (b) Centralized salary offset through the Treasury Offset Program. 
As described in Sec.  2418.9(a), the FLRA will refer FLRA debts to the 
Financial Management Service for collection by administrative offset, 
including salary offset, through the Treasury Offset Program. When 
possible, the FLRA will attempt salary offset through the Treasury 
Offset Program before applying the procedures in paragraph (c) of this 
section. See 5 CFR 550.1109.
    (c) Non-centralized salary offset for FLRA debts. When centralized 
salary offset through the Treasury Offset Program is not available or 
appropriate, the FLRA may collect delinquent FLRA debts through non-
centralized salary offset. See 5 CFR 550.1109. In these cases, the FLRA 
may offset a payment internally or make a request directly to a Federal 
payment agency to offset a salary payment to collect a delinquent debt 
that a Federal employee owes. At least thirty (30) days prior to 
offsetting internally or requesting a Federal agency to offset a salary 
payment, the FLRA will send notice to the debtor in accordance with the 
requirements of Sec.  2418.4. (For debts outstanding more than ten (10) 
years on or before June 11, 2009, the FLRA will comply with the 
additional notification requirements of 31 CFR 285.7(d).) When 
referring a debt for offset, the FLRA will certify to the payment 
agency, in writing, that the debt is valid, delinquent, and legally 
enforceable in the amount stated, and that there are no legal bars to 
collection by salary offset. In addition, the FLRA will certify that 
all due-process and other prerequisites to salary offset have been met. 
See 5 U.S.C. 5514, 31 U.S.C. 3716(a), and this section for a 
description of the due-process and other prerequisites for salary 
offset.
    (d) When prior notice not required. The FLRA is not required to 
provide prior notice to an employee when the FLRA makes the following 
adjustments to an FLRA employee's pay:
    (1) Any adjustment to pay arising out of any employee's election of 
coverage or a change in coverage under a Federal-benefits program 
requiring periodic deductions from pay, if the amount to be recovered 
was accumulated over four pay periods or less;
    (2) A routine intra-agency adjustment of pay that is made to 
correct an overpayment of pay attributable to clerical or 
administrative errors or delays in processing pay documents, if the 
overpayment occurred within the four pay periods preceding the 
adjustment, and, at the time of such adjustment, or as soon thereafter 
as practical, the individual is provided written notice of the nature 
and the amount of the adjustment and the point of contact for 
contesting such adjustment; or
    (3) Any adjustment to collect a debt amounting to $ 50 or less, if, 
at the time of such adjustment, or as soon thereafter as practical, the 
individual is provided written notice of the nature and the amount of 
the adjustment and a point of contact for contesting such adjustment.
    (e) Hearing procedures--(1) Request for a hearing. A Federal 
employee who has received a notice that his or her FLRA debt will be 
collected by means of salary offset may request a hearing concerning 
the existence or amount of the debt. The Federal employee also may 
request a hearing concerning the amount proposed to be deducted from 
the employee's pay each pay period. The employee must send any request 
for hearing, in writing, to the office designated in the notice 
described in Sec.  2418.4. See Sec.  2418.4(a)(11). The request must be 
received by the designated office on or before the 15th calendar day 
following the employee's receipt of the notice. The employee must sign 
the request and specify whether an oral or paper hearing is requested. 
If an oral hearing is requested, then the employee must explain why the 
matter cannot be resolved by review of the documentary evidence alone. 
An oral hearing may, at the debtor's option, be conducted either in-
person or by telephone conference. All travel expenses incurred by the 
Federal employee in connection with an in-person hearing will be borne 
by the employee. All telephonic charges incurred during the hearing 
will be the responsibility of the agency.
    (2) Failure to submit timely request for hearing. If the employee 
fails to submit a request for hearing within the time period described 
in paragraph (e)(1) of this section, then the employee will have waived 
the right to a hearing, and salary offset may be initiated. However, 
the FLRA will accept a late request for hearing if the employee can 
show that the late request was the result of circumstances beyond the 
employee's control or because of a failure to receive actual notice of 
the filing deadline.

[[Page 24785]]

    (3) Hearing official. The FLRA must obtain the services of a 
hearing official who is not under the supervision or control of the 
Chairman. The FLRA may contact an agent of any agency designated in 
appendix A to 5 CFR part 581 (List of Agents Designated to Accept Legal 
Process) to request a hearing official.
    (4) Notice of hearing. After the employee requests a hearing, the 
designated hearing official shall inform the employee of the form of 
the hearing to be provided. For oral hearings, the notice shall set 
forth the date, time, and location of the hearing. For paper hearings, 
the notice shall notify the employee of the date by which he or she 
should submit written arguments to the designated hearing official. The 
hearing official shall give the employee reasonable time to submit 
documentation in support of the employee's position. The hearing 
official shall schedule a new hearing date if requested by both 
parties. The hearing official shall give both parties reasonable notice 
of the time and place of a rescheduled hearing.
    (5) Oral hearing. The hearing official will conduct an oral hearing 
if he or she determines that the matter cannot be resolved by review of 
documentary evidence alone (for example, when an issue of credibility 
or veracity is involved). The hearing need not take the form of an 
evidentiary hearing, but may be conducted in a manner determined by the 
hearing official, including but not limited to:
    (i) Informal conferences with the hearing official, in which the 
employee and agency representative will be given full opportunity to 
present evidence, witnesses, and argument;
    (ii) Informal meetings with an interview of the employee by the 
hearing official; or
    (iii) Formal written submissions, with an opportunity for oral 
presentation.
    (6) Paper hearing. If the hearing official determines that an oral 
hearing is not necessary, then he or she will make the determination 
based upon a review of the available written record, including any 
documentation submitted by the employee in support of his or her 
position.
    (7) Failure to appear or submit documentary evidence. In the 
absence of good cause shown (for example, excused illness), if the 
employee fails to appear at an oral hearing or fails to submit 
documentary evidence as required for a paper hearing, then the employee 
will have waived the right to a hearing, and salary offset shall be 
initiated. If the FLRA representative fails to appear at an oral 
hearing, then the hearing official shall proceed with the hearing as 
scheduled, and make his or her determination based upon the oral 
testimony presented and the documentary evidence submitted by both 
parties.
    (8) Burden of proof. The FLRA will have the initial burden to prove 
the existence and amount of the debt. Thereafter, if the employee 
disputes the existence or amount of the debt, then the employee must 
prove by a preponderance of the evidence that no debt exists or that 
the amount of the debt is incorrect. In addition, the employee may 
present evidence that the proposed terms of the repayment schedule are 
unlawful, would cause a financial hardship to the employee, or that 
collection of the debt may not be pursued due to operation of law.
    (9) Record. The hearing official shall maintain a summary record of 
any hearing provided by this part. Witnesses will testify under oath or 
affirmation in oral hearings.
    (10) Date of decision. The hearing official shall issue a written 
opinion stating his or her decision, based upon documentary evidence 
and information developed at the hearing, as soon as practicable after 
the hearing, but not later than 60 days after the date on which the 
FLRA received the request for hearing. If the employee requests a delay 
in the proceedings, then the deadline for the decision may be postponed 
by the number of days by which the hearing was postponed. When a 
decision is not timely rendered, the FLRA shall waive penalties applied 
to the debt for the period beginning with the date the decision is due 
and ending on the date the decision is issued.
    (11) Content of decision. The written decision shall include:
    (i) A statement of the facts presented to support the origin, 
nature, and amount of the debt;
    (ii) The hearing official's findings, analysis, and conclusions; 
and
    (iii) The terms of any repayment schedules, if applicable.
    (12) Final agency action. The hearing official's decision shall be 
final.
    (f) Waiver not precluded. Nothing in this part precludes an 
employee from requesting waiver of an overpayment under 5 U.S.C. 5584 
or 8346(b), 10 U.S.C. 2774, 32 U.S.C. 716, or other statutory 
authority.
    (g) Salary-offset process--(1) Determination of disposable pay. The 
FLRA's Office of the Executive Director will determine the amount of an 
FLRA employee's disposable pay (as defined in Sec.  2418.1) and will 
implement salary offset when requested to do so by the FLRA, as 
described in paragraph (c) of this section, or another agency, as 
described in Sec.  2418.19. If the debtor is not employed by the FLRA, 
then the agency employing the debtor will determine the amount of the 
employee's disposable pay and will implement salary offset upon 
request.
    (2) When salary offset begins. Deductions shall normally begin 
within three official pay periods following receipt of the creditor 
agency's request for offset.
    (3) Amount of salary offset. The amount to be offset from each 
salary payment will be up to 15 percent of a debtor's disposable pay, 
as follows:
    (i) If the amount of the debt is equal to or less than 15 percent 
of the disposable pay, then such debt generally will be collected in 
one lump-sum payment;
    (ii) Installment deductions will be made over a period of no 
greater than the anticipated period of employment. An installment 
deduction will not exceed 15 percent of the disposable pay from which 
the deduction is made unless the employee has agreed in writing to the 
deduction of a greater amount, or a higher deduction has been ordered 
by a court under section 124 of Public Law 97-276 (96 Stat. 1195), or 
the creditor agency has determined that smaller deductions are 
appropriate based on the employee's ability to pay.
    (4) Final salary payment. After the employee has separated either 
voluntarily or involuntarily from the payment agency, the payment 
agency may make a lump-sum deduction exceeding 15 percent of disposable 
pay from any final salary or other payments pursuant to 31 U.S.C. 3716 
in order to satisfy a debt.
    (h) Payment agency's responsibilities. (1) As required by 5 CFR 
550.1109, if the employee separates from the payment agency from which 
the FLRA has requested salary offset, then the payment agency must 
certify the total amount of its collection and notify the FLRA and the 
employee of the amounts collected. If the payment agency is aware that 
the employee is entitled to payments from the Civil Service Retirement 
Fund and Disability Fund, the Federal Employee Retirement System, or 
other similar payments, then it must provide written notification to 
the payment agency responsible for making such payments that the debtor 
owes a debt, the amount of the debt, and that the FLRA has complied 
with the provisions of this section. The FLRA must submit a properly 
certified claim to the new payment agency before the collection can be 
made.
    (2) If the employee is already separated from employment and all

[[Page 24786]]

payments due from his or her former payment agency have been made, then 
the FLRA may request that money due and payable to the employee from 
the Civil Service Retirement Fund and Disability Fund, the Federal 
Employee Retirement System, or other similar funds, be administratively 
offset to collect the debt. Generally, the FLRA will collect such 
monies through the Treasury Offset Program as described in Sec.  
2418.9(c).
    (3) When an employee transfers to another agency, the FLRA should 
resume collection with the employee's new payment agency in order to 
continue salary offset.


Sec.  2418.13  How will the FLRA use administrative wage garnishment to 
collect an FLRA debt from a debtor's wages?

    (a) The FLRA is authorized to collect debts from a debtor's wages 
by means of administrative wage garnishment in accordance with the 
requirements of 31 U.S.C. 3720D and 31 CFR 285.11. This part adopts and 
incorporates all of the provisions of 31 CFR 285.11 concerning 
administrative wage garnishment, including the hearing procedures 
described in 31 CFR 285.11(f). The FLRA may use administrative wage 
garnishment to collect a delinquent FLRA debt unless the debtor is 
making timely payments under an agreement to pay the debt in 
installments (see Sec.  2418.6). At least thirty (30) days before 
initiating an administrative wage garnishment, the FLRA will send 
notice to the debtor in accordance with the requirements of Sec.  
2418.4 of this part, including the requirements of Sec.  2418.4(a)(10). 
(For debts outstanding more than ten (10) years on or before June 11, 
2009, the FLRA will comply with the additional notification 
requirements of 31 CFR 285.7(d).) For FLRA debts referred to the 
Financial Management Service under Sec.  2418.9, the FLRA may authorize 
the Financial Management Service to send a notice informing the debtor 
that administrative wage garnishment will be initiated and how the 
debtor may request a hearing as described in Sec.  2418.4(a)(10). If a 
debtor makes a timely request for a hearing, administrative wage 
garnishment will not begin until a hearing is held and a decision is 
sent to the debtor. See 31 CFR 285.11(f)(4). If a debtor's hearing 
request is not timely, then the FLRA may suspend collection by 
administrative wage garnishment in accordance with the provisions of 31 
CFR 285.11(f)(5). All travel expenses incurred by the debtor in 
connection with an in-person hearing will be borne by the debtor. If a 
hearing is conducted telephonically, all telephonic charges incurred 
during the hearing will be the responsibility of the agency.
    (b) This section does not apply to Federal salary offset, the 
process by which the FLRA collects debts from the salaries of Federal 
employees (see Sec.  2418.12).


Sec.  2418.14  How will the FLRA report FLRA debts to credit bureaus?

    The FLRA shall report delinquent FLRA debts to credit bureaus in 
accordance with 31 U.S.C. 3711(e), 31 CFR 901.4, and the Office of 
Management and Budget Circular A-129, ``Policies for Federal Credit 
Programs and Nontax Receivables.'' For additional information, see 
Financial Management Service's ``Guide to the Federal Credit Bureau 
Program,'' which may be found at http://www.fms.treas.gov/debt. At 
least sixty (60) days prior to reporting a delinquent debt to a 
consumer-reporting agency, the FLRA will send notice to the debtor in 
accordance with the requirements of Sec.  2418.4. Before disclosing 
information to a consumer-reporting agency, the FLRA shall provide, on 
request of a person alleged to be responsible for the delinquent debt, 
for a review of the obligation of the debtor, including an opportunity 
for reconsideration of the initial decision on the debt. The FLRA may 
authorize the Financial Management Service to report to credit bureaus 
those delinquent FLRA debts that have been transferred to the Financial 
Management Service under Sec.  2418.9.


Sec.  2418.15  How will the FLRA refer FLRA debts to private collection 
agencies?

    The FLRA will transfer delinquent FLRA debts to the Financial 
Management Service to obtain debt-collection services provided by 
private collection agencies. See Sec.  2418.9.


Sec.  2418.16  When will the FLRA refer FLRA debts to the Department of 
Justice?

    (a) Compromise or suspension or termination of collection activity. 
The FLRA shall refer FLRA debts having a principal balance over $ 
100,000, or such higher amount as authorized by the Attorney General, 
to the Department of Justice for approval of any compromise of a debt 
or suspension or termination of collection activity. See Sec. Sec.  
2418.7 and 2418.8; 31 CFR 902.1; 31 CFR 903.1.
    (b) Litigation. The FLRA shall promptly refer to the Department of 
Justice for litigation delinquent FLRA debts on which aggressive 
collection activity has been taken in accordance with this part and 
that should not be compromised, and on which collection activity should 
not be suspended or terminated. See 31 CFR part 904. The FLRA may 
authorize the Financial Management Service to refer to the Department 
of Justice for litigation those delinquent FLRA debts that have been 
transferred to the Financial Management Service under Sec.  2418.9.


Sec.  2418.17  How does a debtor request a special review based on a 
change in circumstances such as catastrophic illness, divorce, death, 
or disability?

    (a) Material change in circumstances. A debtor who owes an FLRA 
debt may, at any time, request a special review by the FLRA of the 
amount of any offset, administrative wage garnishment, or voluntary 
payment, based on materially changed circumstances beyond the control 
of the debtor such as, but not limited to, catastrophic illness, 
divorce, death, or disability.
    (b) Inability to pay. For purposes of this section, in determining 
whether an involuntary or voluntary payment would prevent the debtor 
from meeting essential subsistence expenses (costs incurred for food, 
housing, clothing, transportation, and medical care), the debtor shall 
submit a detailed statement and supporting documents for the debtor, 
his or her spouse, and dependents, indicating:
    (1) Income from all sources;
    (2) Assets;
    (3) Liabilities;
    (4) Number of dependents;
    (5) Expenses for food, housing, clothing, and transportation;
    (6) Child-care or elder-care expenses;
    (7) Medical expenses; and
    (8) Exceptional expenses, if any.
    (c) Alternative payment arrangement. If the debtor requests a 
special review under this section, the debtor shall submit an 
alternative proposed payment schedule and a statement to the FLRA, with 
supporting documents, showing why the current offset, garnishment, or 
repayment schedule imposes an extreme financial hardship on the debtor. 
The FLRA will evaluate the statement and documentation and determine 
whether the current offset, garnishment, or repayment schedule imposes 
extreme financial hardship on the debtor. The FLRA shall notify the 
debtor in writing of such determination, including, if appropriate, a 
revised offset, garnishment, or payment schedule. If the special review 
results in a revised offset, garnishment, or repayment schedule, then 
the FLRA will notify the appropriate agency or other persons about the 
new terms.


Sec.  2418.18  Will the FLRA issue a refund if money is erroneously 
collected on a debt?

    The FLRA shall promptly refund to a debtor any amount collected on 
an

[[Page 24787]]

FLRA debt when the debt is waived or otherwise found not to be owed to 
the United States, or as otherwise required by law. Refunds under this 
part shall not bear interest unless required by law.

Subpart C--Procedures for Offset of FLRA Payments to Collect Debts 
Owed to Other Federal Agencies


Sec.  2418.19  How do other Federal agencies use the offset process to 
collect debts from payments issued by the FLRA?

    (a) Offset of FLRA payments to collect debts owed to other Federal 
agencies. (1) In most cases, Federal agencies submit eligible debts to 
the Treasury Offset Program to collect delinquent debts from payments 
issued by the FLRA and other Federal agencies, a process known as 
``centralized offset.'' When centralized offset is not available or 
appropriate, any Federal agency may ask the FLRA (when acting as a 
``payment agency'') to collect a debt owed to such agency by offsetting 
funds payable to a debtor by the FLRA, including salary payments issued 
to FLRA employees. This section and Sec.  2418.20 apply when a Federal 
agency asks the FLRA to offset a payment issued by the FLRA to a person 
who owes a debt to the United States.
    (2) This subpart does not apply to FLRA debts. See Sec. Sec.  
2418.10 through 2418.12 for offset procedures applicable to FLRA debts.
    (3) This subpart does not apply to the collection of non-FLRA debts 
through tax refund offset. See 31 CFR 285.2 for tax-refund-offset 
procedures.
    (b) Administrative offset (including salary offset); certification. 
The FLRA will initiate a requested offset only upon receipt of written 
certification from the creditor agency that the debtor owes the past-
due, legally enforceable debt in the amount stated, and that the 
creditor agency has fully complied with all applicable due-process and 
other requirements contained in 31 U.S.C. 3716, 5 U.S.C. 5514, and the 
creditor agency's regulations, as applicable. Offsets will continue 
until the debt is paid in full or otherwise resolved to the 
satisfaction of the creditor agency.
    (c) Where a creditor agency makes requests for offset. Requests for 
offset under this section shall be sent to the Federal Labor Relations 
Authority, ATTN: Office of the Executive Director, 1400 K Street NW., 
Washington, DC 20424.
    (d) Incomplete certification. The FLRA will return an incomplete 
debt certification to the creditor agency with notice that the creditor 
agency must comply with paragraph (b) of this section before action 
will be taken to collect a debt from a payment issued by the FLRA.
    (e) Review. The FLRA is not authorized to review the merits of the 
creditor agency's determination with respect to the amount or validity 
of the debt certified by the creditor agency.
    (f) When the FLRA will not comply with offset request. The FLRA 
will comply with the offset request of another agency unless the FLRA 
determines that the offset would not be in the best interests of the 
United States, or would otherwise be contrary to law.
    (g) Multiple debts. When two or more creditor agencies are seeking 
offsets from payments made to the same person, or when two or more 
debts are owed to a single creditor agency, the FLRA may determine the 
order in which the debts will be collected or whether one or more debts 
should be collected by offset simultaneously.
    (h) Priority of debts owed to FLRA. For purposes of this section, 
debts owed to the FLRA generally take precedence over debts owed to 
other agencies. The FLRA may determine whether to pay debts owed to 
other agencies before paying a debt owed to the FLRA. The FLRA will 
determine the order in which the debts will be collected based on the 
best interests of the United States.


Sec.  2418.20  What does the FLRA do upon receipt of a request to 
offset the salary of an FLRA employee to collect a debt owed by the 
employee to another Federal agency?

    (a) Notice to the FLRA employee. When the FLRA receives proper 
certification of a debt owed by one of its employees, the FLRA will 
begin deductions from the employee's pay at the next officially 
established pay period. The FLRA will send a written notice to the 
employee indicating that a certified debt claim has been received from 
the creditor agency, the amount of the debt that the creditor agency 
claims is owed, the date deductions from salary will begin, and the 
amount of such deductions.
    (b) Amount of deductions from FLRA employee's salary. The amount 
deducted under Sec.  2418.19(b) will be the lesser of the amount of the 
debt certified by the creditor agency or an amount up to 15% of the 
debtor's disposable pay. Deductions shall continue until the FLRA knows 
that the debt is paid in full or until otherwise instructed by the 
creditor agency. Alternatively, the amount offset may be an amount that 
the debtor and the creditor agency agree upon in writing. See Sec.  
2418.12(g) (salary-offset process).
    (c) When the debtor is no longer employed by the FLRA--(1) Offset 
of final and subsequent payments. If an FLRA employee retires or 
resigns or if his or her employment otherwise ends before collection of 
the debt is complete, then the FLRA will continue to offset, under 31 
U.S.C. 3716, up to 100% of an employee's subsequent payments until the 
debt is paid or otherwise resolved. Such payments include a debtor's 
final salary payment, lump-sum leave payment, and other payments 
payable to the debtor by the FLRA. See 31 U.S.C. 3716 and 5 CFR 
550.1104(l) and 550.1104(m).
    (2) Notice to the creditor agency. If the employee is separated 
from the FLRA before the debt is paid in full, then the FLRA will 
certify to the creditor agency the total amount of its collection. If 
the FLRA is aware that the employee is entitled to payments from the 
Civil Service Retirement and Disability Fund, Federal Employee 
Retirement System, or other similar payments, then the FLRA will 
provide written notice to the agency making such payments that the 
debtor owes a debt (including the amount) and that the provisions of 5 
CFR 550.1109 have been fully complied with. The creditor agency is 
responsible for submitting a certified claim to the agency responsible 
for making such payments before collection may begin. Generally, 
creditor agencies will collect such monies through the Treasury Offset 
Program as described in Sec.  2418.9(c).
    (3) Notice to the debtor. The FLRA will provide to the debtor a 
copy of any notices sent to the creditor agency under paragraph (c)(2) 
of this section.
    (d) When the debtor transfers to another Federal agency--(1) Notice 
to the creditor agency. If the debtor transfers to another Federal 
agency before the debt is paid in full, then the FLRA will notify the 
creditor agency and will certify the total amount of its collection on 
the debt. The FLRA will provide a copy of the certification to the 
creditor agency. The creditor agency is responsible for submitting a 
certified claim to the debtor's new employing agency before collection 
may begin.
    (2) Notice to the debtor. The FLRA will provide to the debtor a 
copy of any notices and certifications sent to the creditor agency 
under paragraph (d)(1) of this section.
    (e) Request for hearing official. The FLRA will provide a hearing 
official upon the creditor agency's request with respect to an FLRA 
employee. See 5 CFR 550.1107(a).

Appendix A to Part 2418--Waiving Claims Against FLRA Employees for 
Erroneous Payments

Date: May 1, 2015.

[[Page 24788]]

Subject: Waiving Claims Against FLRA Employees for Erroneous 
Payments.

1. Purpose

    This appendix establishes the FLRA's policies and procedures for 
waiving claims by the Government against an employee for erroneous 
payments of: (1) Pay and allowances (e.g., health and life 
insurance) and (2) travel, transportation, and relocation expenses 
and allowances.

2. Background

    a. 5 U.S.C. 5584 authorizes the waiver of claims by the United 
States in whole or in part against an employee arising out of 
erroneous payments of pay and allowances, travel, transportation, 
and relocation expenses and allowances. A waiver may be considered 
when collection of the claim would be against equity and good 
conscience and not in the best interest of the United States, 
provided that there does not exist, in connection with the claim, an 
indication of fraud, misrepresentation, fault, or lack of good faith 
on the part of the employee or any other person having an interest 
in obtaining a waiver of the claim.
    b. The General Accounting Office Act of 1996 (Pub. L. 104-316), 
Title I, section 103(d), enacted October 19, 1996, amended 5 U.S.C. 
5584 by transferring the authority to waive claims for erroneous 
payments exceeding $1,500 from the Comptroller General of the United 
States to the Office of Management and Budget (OMB). OMB 
subsequently redelegated this waiver authority to the executive 
agency that made the erroneous payment. The authority to waive 
claims not exceeding $1,500, which was vested in the head of each 
agency prior to the enactment of Public Law 104-316, was unaffected 
by the Act.
    c. 5 U.S.C. 5514 authorizes the head of each agency, upon a 
determination that an employee is indebted to the United States for 
debts to which the United States is entitled to be repaid at the 
time of the determination, to deduct up to 15%, or a greater amount 
if agreed to by the employee or a higher deduction has been ordered 
by a court under section 124 of Public Law 97-276 (96 Stat. 1195), 
from the employee's pay at officially established pay intervals in 
order to repay the debt.

3. Delegation

    The Executive Director is delegated the authority to waive, in 
whole or in part, a claim of the United States against an employee 
for an erroneous payment of pay and allowances, travel, 
transportation, and relocation expenses and allowances, in 
accordance with the limitations and standards in 5 U.S.C. 5584.

4. Responsibilities

    The Office of the Executive Director shall:
    (1) Promptly notify an employee upon discovery of an erroneous 
payment to that employee;
    (2) Promptly act to collect the erroneous overpayment, following 
established debt-collection policies and procedures;
    (3) Establish time frames for employees to request a waiver in 
writing and for the Executive Director to review the waiver request. 
These time frames must take into consideration the responsibilities 
of the United States to take prompt action to pursue enforced 
collection on overdue debts, which may arise from erroneous 
payments.
    (4) Notify employees whose requests for waiver of claims are 
denied in whole or in part of the basis for the denial.
    (5) Pay a refund when appropriate if a waiver is granted;
    (6) Fulfill all labor-relations responsibilities when 
implementing the provisions of this appendix; and
    (7) Fulfill any other responsibility of the agency imposed by 5 
U.S.C. 5584 or other applicable laws and regulations.
    Additionally, the Office of the Executive Director may initiate 
a waiver application during the processing of a claim under 5 CFR 
part 2418.

5. Reporting Requirements

    a. The FLRA shall maintain a register of waiver actions. The 
register shall cover each fiscal year and be prepared by December 31 
of each year for the preceding fiscal year. The register shall 
contain the following information:
    (1) The total amount waived by the FLRA;
    (2) The number and dollar amount of waiver applications granted 
in full;
    (3) The number and dollar amount of waiver applications granted 
in part and denied in part, and the dollar amount of each;
    (4) The number and dollar amount of waiver applications denied 
in their entirety; and
    (5) The number of waiver applications referred to the Executive 
Director for initial action.
    b. The FLRA shall retain a written record of each waiver action 
for 6 years and 3 months. At a minimum, the written record shall 
contain:
    (1) The FLRA's summary of the events surrounding the erroneous 
payment;
    (2) Any written comments submitted by the employee from whom 
collection is sought;
    (3) An account of the waiver action taken and the reasons for 
such action; and
    (4) Other pertinent information such as any action taken to 
refund amounts repaid.

6. Effect of Request for Waiver

    A request for a waiver of a claim shall not affect an employee's 
opportunity under 5 U.S.C. 5514(a)(2)(D) for a hearing on the 
determination of the agency concerning the existence or the amount 
of the debt, or the terms of the repayment schedule. A request by an 
employee for a hearing under 5 U.S.C. 5514(a)(2)(D) shall not affect 
an employee's right to request a waiver of the claim. The 
determination whether to waive a claim may be made at the discretion 
of the deciding official either before or after a final decision is 
rendered pursuant to 5 U.S.C. 5514(a)(2)(D) concerning the existence 
or the amount of the debt, or the terms of the repayment schedule.

7. Guidelines for Determining Requests

    a. A request for a waiver shall not be granted if the deciding 
official determines there exists, in connection with the claim, an 
indication of fraud, misrepresentation, fault, or lack of good faith 
on the part of the employee or any other person having an interest 
in obtaining a waiver of the claim. There are no exceptions to this 
rule for financial hardship or otherwise.
    (1) ``Fault'' exists if, in light of all the circumstances, it 
is determined that the employee knew or should have known that an 
error existed, but failed to take action to have it corrected. Fault 
can derive from an act or a failure to act. Unlike fraud, fault does 
not require a deliberate intent to deceive. Whether an employee 
should have known about an error in pay is determined from the 
perspective of a reasonable person. Pertinent considerations in 
finding fault include whether:
    (a) The payment resulted from the employee's incorrect, but not 
fraudulent, statement that the employee should have known was 
incorrect;
    (b) The payment resulted from the employee's failure to disclose 
material facts that were in the employee's possession and that the 
employee should have known to be material; or
    (c) The employee accepted a payment, that the employee knew or 
should have known to be erroneous.
    (2) Every case must be examined in light of its particular 
facts. For example, where an employee is promoted to a higher grade 
but the step level for the employee's new grade is miscalculated, it 
may be appropriate to conclude that there is no fault on the 
employee's part because employees are not typically expected to be 
aware of and understand the rules regarding determination of step 
level upon promotion. On the other hand, a different conclusion as 
to fault potentially may be reached if the employee in question is a 
personnel specialist or an attorney who concentrates on personnel 
law.
    b. If the deciding official finds an indication of fraud, 
misrepresentation, fault, or lack of good faith on the part of the 
employee or any other person having an interest in obtaining a 
waiver of the claim, then the request for a waiver must be denied.
    c. If the deciding official finds no indication of fraud, 
misrepresentation, fault, or lack of good faith on the part of the 
employee or any other person having an interest in obtaining a 
waiver of the claim, then the employee is not automatically entitled 
to a waiver. Before a waiver can be granted, the deciding official 
must also determine that collection of the claim against an employee 
would be against equity and good conscience and not in the best 
interests of the United States. Factors to consider when determining 
whether collection of a claim against an employee would be against 
equity and good conscience and not in the best interests of the 
United States include, but are not limited to:
    (1) Whether collection of the claim would cause serious 
financial hardship to the employee from whom collection is sought.
    (2) Whether, because of the erroneous payment, the employee 
either has relinquished a valuable right or changed positions for 
the worse, regardless of the employee's financial circumstances.
    (a) To establish that a valuable right has been relinquished, it 
must be shown that the right was, in fact, valuable; that it cannot 
be

[[Page 24789]]

regained; and that the action was based chiefly or solely on 
reliance on the overpayment.
    (b) To establish that the employee's position has changed for 
the worse, it must be shown that the decision would not have been 
made but for the overpayment, and that the decision resulted in a 
loss.
    (c) An example of a ``detrimental reliance'' would be a decision 
to sign a lease for a more expensive apartment based chiefly or 
solely upon reliance on an erroneous calculation of salary, and the 
funds spent for rent cannot be recovered.
    (3) The cost of collecting the claim equals or exceeds the 
amount of the claim;
    (4) The time elapsed between the erroneous payment and discovery 
of the error and notification of the employee;
    (5) Whether failure to make restitution would result in unfair 
gain to the employee;
    (6) Whether recovery of the claim would be unconscionable under 
the circumstances.
    d. The burden is on the employee to demonstrate that collection 
of the claim would be against equity and good conscience and not in 
the best interest of the United States.

8. Authorities

    a. 5 U.S.C. 5584, ``Claims for Overpayment of Pay and 
Allowances, and of Travel, Transportation and Relocation Expenses 
and Allowances.''
    b. 31 U.S.C. 3711, ``Collection and Compromise.''
    c. 31 U.S.C. 3716, ``Administrative Offset.''
    d. 31 U.S.C. 3717, ``Interest and Penalty on Claims.''
    e. 5 CFR part 550, subpart K, ``Collection by Offset from 
Indebted Government Employees.''
    f. 31 CFR part 5, subpart B, ``Salary Offset.''
    g. Determination with Respect to Transfer of Functions Pursuant 
to Public Law 104-316, OMB, December 17, 1996.

9. Cancellation

    FLRA Internal Regulation 2790, dated December 29, 1986, is 
superseded.

[FR Doc. 2015-09999 Filed 4-30-15; 8:45 am]
BILLING CODE 6727-01-P



                                                                                                                                                                                                24779

                                                Rules and Regulations                                                                                         Federal Register
                                                                                                                                                              Vol. 80, No. 84

                                                                                                                                                              Friday, May 1, 2015



                                                This section of the FEDERAL REGISTER                    22, 2000. 31 CFR chapter IX, parts 900                to collect debts. Among other things,
                                                contains regulatory documents having general            through 904.                                          subpart B outlines the due-process
                                                applicability and legal effect, most of which             The DCIA also requires agencies, prior              procedures that the FLRA is required to
                                                are keyed to and codified in the Code of                to collecting debts owed to the United                follow when using offset
                                                Federal Regulations, which is published under           States, to: (1) Adopt, without change,
                                                50 titles pursuant to 44 U.S.C. 1510.
                                                                                                                                                              (administrative, tax refund, and salary)
                                                                                                        regulations on collecting debts by offset             to collect a debt, when garnishing a
                                                The Code of Federal Regulations is sold by              promulgated by the Department of                      debtor’s wages, or before reporting a
                                                the Superintendent of Documents. Prices of              Justice or Department of the Treasury                 debt to a credit bureau. More
                                                new books are listed in the first FEDERAL               (FCCS); or (2) prescribe agency                       specifically, the final rule describes the
                                                REGISTER issue of each week.                            regulations for collecting such debts by              notice that the FLRA will send to a
                                                                                                        offset, which are consistent with the                 debtor when collecting the debt,
                                                                                                        FCCS. 31 U.S.C. 3716. Agency                          including the FLRA’s responsibilities
                                                FEDERAL LABOR RELATIONS                                 regulations protect the minimum due-                  and the debtor’s associated rights and
                                                AUTHORITY                                               process rights that must be afforded to               obligations related to the notice. The
                                                                                                        the debtor when an agency seeks to                    FLRA shall assess interest, penalties,
                                                5 CFR Part 2418                                         collect a debt by administrative offset,              and administrative costs on such debts
                                                                                                        including the ability to verify,                      in accordance with the provisions of 31
                                                New Debt-Collection Regulations
                                                                                                        challenge, and compromise claims, and                 U.S.C. 3717 and 31 CFR 901.9. Subpart
                                                AGENCY:  Federal Labor Relations                        access to administrative-appeals                      B also explains that the FLRA may
                                                Authority.                                              procedures which are both reasonable                  waive those assessments, and it
                                                                                                        and protect the interests of the United               provides for situations in which the
                                                ACTION: Final rule.
                                                                                                        States. Nothing in this regulation                    FLRA may accept payments in regular
                                                SUMMARY:   Pursuant to the Debt                         precludes the use of collection remedies              installments, in accordance with 31 CFR
                                                Collection Improvement Act of 1996,                     not contained in this regulation.                     901.8. The subpart also provides that
                                                the Federal Labor Relations Authority                     The final rule is consistent with the
                                                                                                                                                              the FLRA may suspend or terminate a
                                                (‘‘FLRA’’) is issuing a regulation                      FCCS, as required by the DCIA. The
                                                                                                                                                              debt and when it will transfer an FLRA
                                                governing procedures for collecting                     salary-offset portion of the rule has been
                                                                                                                                                              debt to the Treasury Department’s
                                                debts owed to the federal government by                 submitted to and approved by the Office
                                                                                                        of Personnel Management (OPM), as                     Financial Management Service for
                                                present and former FLRA employees.                                                                            collection under 31 U.S.C. 3711(g) and
                                                The regulation sets forth the procedures                required by 5 U.S.C. 5514(b)(1).
                                                                                                                                                              31 CFR 285.12. This subpart provides
                                                that the FLRA will follow in collecting                 Section Analysis of the Final Rule                    that an employee may request a waiver
                                                debts owed to the United States arising                                                                       of the debt, if applicable, and references
                                                from activities under FLRA jurisdiction.                A. Subpart A—General Provisions,
                                                                                                        Definitions, Scope, Applicability                     Appendix A of the final rule, which
                                                These procedures include collection of                                                                        describes ‘‘Waiving Claims Against
                                                debts through administrative offset and                    Subpart A of the final rule sets out the           FLRA Employees for Erroneous
                                                salary offset. These regulations                        definitions, scope, and applicability of              Payments.’’
                                                supersede the FLRA’s debt-collection                    the FLRA’s debt-collection procedures.
                                                procedures applied under FLRA                           The final rule provides procedures for                C. Subpart C—Procedures for Offset of
                                                Internal Regulation 2790, dated                         the collection of FLRA debts as well as               FLRA Payments To Collect Debts Owed
                                                December 29, 1986.                                      procedures for collection of other debts              to Other Federal Agencies
                                                DATES: Effective May 1, 2015.                           owed to the United States when the
                                                                                                        FLRA receives, from another agency, a                   Subpart C of the final rule authorizes
                                                FOR FURTHER INFORMATION CONTACT: Gina                                                                         the FLRA to collect debts owed to other
                                                                                                        request for offset of an FLRA payment.
                                                Grippando, Counsel for Regulatory and                   The FLRA shall follow the procedural                  federal agencies, and it describes the
                                                Public Affairs, Federal Labor Relations                 standards for collecting debts set forth              procedures to be followed when another
                                                Authority, Washington, DC 20424, (202)                  in the FCCS when it determines that it                agency would like to use the offset
                                                218–7776.                                               is appropriate to initiate debt collection            process to collect a debt from a nontax
                                                SUPPLEMENTARY INFORMATION:                              or seek offset to collect a debt. 31 CFR              payment issued by the FLRA, as a
                                                                                                        parts 900 through 904. The rule does not              payment agency. For example, any
                                                Background                                                                                                    federal agency may request that the
                                                                                                        apply to tax debts or to any debt for
                                                  This final rule implements the Debt                   which there is an indication of fraud or              FLRA collect a debt owed to such
                                                Collection Improvement Act of 1996                      misrepresentation, as described in                    agency by offsetting funds payable to a
                                                (DCIA). The DCIA requires federal                       § 900.3 of the FCCS. Additionally, the                debtor by the FLRA, including salary
                                                agencies to collect debts owed to the                   final rule does not preclude the FLRA                 payments issued to FLRA employees.
                                                United States under regulations                         from collecting debts under statutes and              This subpart describes where to send a
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                                                prescribed by the head of the agency,                   regulations other than those described                request and provides that certification of
                                                and standards prescribed by the                         in the final rule.                                    the debt is required. Subpart C also
                                                Department of Justice and the                                                                                 describes what the FLRA will do upon
                                                Department of the Treasury. 31 U.S.C.                   B. Subpart B—Procedures To Collect                    receipt of a request to offset the salary
                                                3711(d)(2). These standards, known as                   FLRA Debts                                            of an FLRA employee, including, among
                                                the Federal Claims Collection Standards                   Subpart B of the final rule provides                other things, the notice given to the
                                                (FCCS), became effective on December                    the procedures that the FLRA will use                 employee and the limits on the amount


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                                                24780                  Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Rules and Regulations

                                                that the FLRA will deduct from an                         By the Federal Labor Relations Authority            2418.20 What does the FLRA do upon
                                                employee’s salary.                                      on April 24, 2015.                                        receipt of a request to offset the salary of
                                                                                                        Carol Waller Pope,                                        an FLRA employee to collect a debt
                                                Administrative Procedure Act—                           Chairman.
                                                                                                                                                                  owed by the employee to another Federal
                                                Regulatory Analysis                                                                                               agency?
                                                                                                        Authority and Issuance                                Appendix A To Part 2418—Waiving
                                                   The FLRA has determined that this
                                                                                                          For the reasons set forth in the                    Claims Against Flra Employees For
                                                rule pertains to agency practice and
                                                                                                        preamble, the FLRA adds 5 CFR part                    Erroneous Payments
                                                procedure and is interpretative in
                                                nature. The procedures contained in the                 2418 to read as follows:                                Authority: 5 U.S.C. 5514; 5 U.S.C. 5584; 5
                                                rule for salary offset and administrative                                                                     U.S.C. 6402; 31 U.S.C. 3701, 3711; 3716,
                                                                                                        PART 2418—FLRA DEBT COLLECTION                        3717, 3718, 3720A, 3720D.
                                                offset are mandated by law and by
                                                regulations promulgated by OPM,                         Subpart A—General Provisions                          Subpart A—General Provisions
                                                jointly by the Department of the
                                                Treasury and the Department of Justice,                 Sec.                                                  § 2418.1 What definitions apply to the
                                                                                                        2418.1 What definitions apply to the                  regulations in this part?
                                                and by the IRS. Notice of proposed
                                                                                                             regulations in this part?
                                                rulemaking is not required under the                    2418.2 Why is the FLRA issuing these                     As used in this part:
                                                Administrative Procedure Act (APA)                           regulations, and what do they cover?                Administrative offset or offset means
                                                because the rule pertains solely to                     2418.3 Do these regulations adopt the                 withholding funds payable by the
                                                agency procedure and practice. 5 U.S.C.                      Federal Claims Collection Standards              United States (including funds payable
                                                553(b)(3)(A). Notice and an opportunity                      (FCCS)?                                          by the United States on behalf of a State
                                                for public comment are not necessary                    Subpart B—Procedures to Collect FLRA
                                                                                                                                                              Government) to, or held by the United
                                                prior to issuance of this final rule                    Debts                                                 States for, a person to satisfy a debt
                                                because it implements a definitive                                                                            owed by the person. The term
                                                                                                        2418.4 What notice will the FLRA send to
                                                statutory scheme mandated by the                            a debtor when collecting an FLRA debt?
                                                                                                                                                              ‘‘administrative offset’’ includes, but is
                                                                                                        2418.5 How will the FLRA add interest,                not limited to, the offset of Federal
                                                DCIA. Likewise, pursuant to 5 U.S.C.
                                                                                                            penalty charges, and administrative costs         salary, vendor, retirement, and Social-
                                                553(d)(3), the agency finds that good
                                                                                                            to an FLRA debt?                                  Security-benefit payments. The terms
                                                cause exists for not providing a delayed
                                                                                                        2418.6 When will the FLRA allow a debtor              ‘‘centralized administrative offset’’ and
                                                effective date.                                             to pay an FLRA debt in installments               ‘‘centralized offset’’ refer to the process
                                                Regulatory Flexibility Act                                  instead of one lump sum?                          by which the Treasury Department’s
                                                                                                        2418.7 When will the FLRA compromise an               Financial Management Service offsets
                                                  Because no notice of proposed                             FLRA debt?                                        Federal payments through the Treasury
                                                                                                        2418.8 When will the FLRA suspend or
                                                rulemaking is required for this rule, the                                                                     Offset Program.
                                                                                                            terminate debt collection on an FLRA
                                                provisions of the Regulatory Flexibility                    debt?
                                                                                                                                                                 Administrative wage garnishment
                                                Act (5 U.S.C. 601 et seq.) do not apply.                2418.9 When will the FLRA transfer an                 means the process by which a Federal
                                                Moreover, the rule will affect only                         FLRA debt to the Treasury Department’s            agency orders a non-Federal employer
                                                persons who owe delinquent nontax                           Financial Management Service for                  to withhold amounts from a debtor’s
                                                debts to the Treasury Department and                        collection?                                       wages to satisfy a debt, as authorized by
                                                other federal agencies. Accordingly, a                  2418.10 How will the FLRA use                         31 U.S.C. 3720D, 31 CFR 285.11, and
                                                                                                            administrative offset (offset of non-tax          this part.
                                                regulatory-flexibility analysis is not                      Federal payments) to collect an FLRA
                                                required.                                                                                                        Agency or federal agency means a
                                                                                                            debt?                                             department, agency, court, court
                                                                                                        2418.11 How will the FLRA use tax refund
                                                Paperwork Reduction Act                                                                                       administrative office, or instrumentality
                                                                                                            offset to collect an FLRA debt?
                                                                                                        2418.12 How will the FLRA offset a Federal            in the executive, judicial, or legislative
                                                  The final rule is not subject to the                                                                        branch of the Federal Government,
                                                                                                            employee’s salary to collect an FLRA
                                                Paperwork Reduction Act (44 U.S.C.                          debt?                                             including government corporations.
                                                3501), since it does not contain any new                2418.13 How will the FLRA use                            Chairman means the Chairman of the
                                                information-collection requirements.                        administrative wage garnishment to                FLRA or his or her designee.
                                                                                                            collect an FLRA debt from a debtor’s                 Creditor agency means any Federal
                                                E.O. 12866, Regulatory Review                               wages?                                            agency that is owed a debt.
                                                                                                        2418.14 How will the FLRA report FLRA                    Debt means any amount of money,
                                                  This rule is not a significant                            debts to credit bureaus?
                                                regulatory action as defined in                                                                               funds, or property that has been
                                                                                                        2418.15 How will the FLRA refer FLRA                  determined by an appropriate official of
                                                Executive Order 12866. Because no                           debts to private collection agencies?             the Federal Government to be owed to
                                                notice of proposed rulemaking is                        2418.16 When will the FLRA refer FLRA
                                                                                                            debts to the Department of Justice?
                                                                                                                                                              the United States by a person. As used
                                                required for this rule, the provisions of
                                                                                                        2418.17 How does a debtor request a                   in this part, the term ‘‘debt’’ does not
                                                the Regulatory Flexibility Act do not                                                                         include, as described in 31 U.S.C.
                                                apply.                                                      special review based on a change in
                                                                                                            circumstances such as catastrophic                3701(d), debts arising under: The
                                                List of Subjects in 5 CFR Part 2418                         illness, divorce, death, or disability?           Internal Revenue Code of 1986 (26
                                                                                                        2418.18 Will the FLRA issue a refund if               U.S.C. 1 et seq.); the Social Security Act
                                                  Administrative practice and                               money is erroneously collected on a               (42 U.S.C. 301 et seq.), except to the
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                                                procedure, Claims, Debts, Garnishment                       debt?                                             extent provided under sections 204(f)
                                                of wages, Government employees,                         Subpart C—Procedures for Offset of FLRA               and 1631(b)(4) of such Act [42 U.S.C.
                                                Hearing procedures, Pay administration,                 Payments to Collect Debts Owed to Other               404(f) and 1383(b)(4)] and section
                                                Salaries, Wages.                                        Federal Agencies                                      3716(c) [31 U.S.C. 3716(c)], or the tariff
                                                                                                        2418.19 How do other Federal agencies use             laws of the United States.
                                                                                                            the offset process to collect debts from             Debtor means a person who owes a
                                                                                                            payments issued by the FLRA?                      debt to the United States.


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                                                                       Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Rules and Regulations                                         24781

                                                   Delinquent debt means a debt that has                8346(b), 42 U.S.C. 404(b), or any other               § 2418.3 Do these regulations adopt the
                                                not been paid by the date specified in                  law.                                                  Federal Claims Collection Standards
                                                the agency’s initial written demand for                                                                       (FCCS)?
                                                payment or applicable agreement or                      § 2418.2 Why is the FLRA issuing these                  This part adopts and incorporates all
                                                                                                        regulations, and what do they cover?                  provisions of the FCCS. This part also
                                                instrument (including a post-
                                                delinquency payment agreement) unless                      (a) Scope. This part provides                      supplements the FCCS by prescribing
                                                other satisfactory payment arrangements                 procedures for the collection of FLRA                 procedures consistent with the FCCS, as
                                                have been made.                                         debts. This part also provides                        necessary and appropriate for FLRA
                                                   Delinquent FLRA debt means a                         procedures for collection of other debts              operations.
                                                delinquent debt owed to the FLRA.                       owed to the United States when the
                                                   Disposable pay has the same meaning                  FLRA receives, from another agency, a                 Subpart B—Procedures to Collect
                                                as that term is defined in 5 CFR                        request for offset of an FLRA payment                 FLRA Debts
                                                550.1103.                                               (for example, when an FLRA employee                   § 2418.4 What notice will the FLRA send to
                                                   Employee or Federal employee means                   owes a debt to the United States                      a debtor when collecting an FLRA debt?
                                                a current employee of the FLRA or other                 Department of Education).                                (a) Notice requirements. The FLRA
                                                Federal agency, including a current                        (b) Applicability. (1) This part applies           shall aggressively collect FLRA debts.
                                                member of the Armed Forces, Reserve of                  to the FLRA when collecting an FLRA                   The FLRA shall promptly send at least
                                                the Armed Forces of the United States,                  debt, to persons who owe FLRA debts,                  one written notice to a debtor informing
                                                or the National Guard.                                  and to Federal agencies requesting offset             the debtor of the consequences of failing
                                                   Executive Director means the                         of a payment issued by the FLRA as a                  to pay or otherwise resolve an FLRA
                                                Executive Director of the FLRA or his or                payment agency (including salary                      debt. The notice(s) shall be sent to the
                                                her designee.                                           payments to FLRA employees).                          debtor at the most current address of the
                                                   FCCS means the Federal Claims                           (2) This part does not apply to tax                debtor in the FLRA’s records. Generally,
                                                Collection Standards, which were                        debts or to any debt for which there is               before starting the collection actions
                                                jointly published by the Departments of                 an indication of fraud or                             described in §§ 2418.5 and 2418.9
                                                the Treasury and Justice and codified at                misrepresentation, as described in 31                 through 2418.16, the FLRA will send no
                                                31 CFR parts 900 through 904.                           CFR 900.3 of the FCCS, unless the                     more than two written notices to the
                                                   Financial Management Service means                   Department of Justice returns the debt to             debtor. The purpose of the notice(s) is
                                                the Financial Management Service, a                     the FLRA for handling.                                to explain why the debt is owed, the
                                                bureau of the Treasury Department,                         (3) Nothing in this part precludes                 amount of the debt, how a debtor may
                                                which is responsible for the centralized                collection or disposition of any debt                 pay the debt or make alternative
                                                collection of delinquent debts through                  under statutes and regulations other                  payment arrangements, how a debtor
                                                the offset of Federal payments and other                than those described in this part. See,               may review documents related to the
                                                means.                                                  for example, 5 U.S.C. 5705,                           debt, how a debtor may dispute the
                                                   FLRA means the Federal Labor                                                                               debt, the collection remedies available
                                                                                                        Advancements and Deductions, which
                                                Relations Authority and all of its                                                                            to the FLRA if the debtor refuses to pay
                                                                                                        authorizes agencies to recover travel
                                                components.                                                                                                   the debt, and other consequences to the
                                                                                                        advances by offset of up to 100% of a
                                                   FLRA debt means a debt that a person                                                                       debtor if the debt is not paid. Except as
                                                                                                        Federal employee’s accrued pay. See,
                                                owes the FLRA.                                                                                                otherwise provided in paragraph (b) of
                                                   Payment agency or Federal payment                    also, 5 U.S.C. 4108, governing the
                                                                                                        collection of training expenses. To the               this section, the written notice(s) shall
                                                agency means any Federal agency that                                                                          explain to the debtor:
                                                transmits payment requests in the form                  extent that the provisions of laws and
                                                                                                        other regulations differ from the                        (1) The nature and amount of the
                                                of certified payment vouchers, or other                                                                       debt, and the facts giving rise to the
                                                similar forms, to a disbursing official for             provisions of this part, those provisions
                                                                                                        of law and other regulations—and not                  debt;
                                                disbursement. The ‘‘payment agency’’                                                                             (2) How interest, penalties, and
                                                may be the agency that employs the                      the provisions of this part—apply to the
                                                                                                        remission or mitigation of fines,                     administrative costs are added to the
                                                debtor. In some cases, the FLRA may be                                                                        debt, the date by which payment should
                                                both the creditor agency and the                        penalties, and forfeitures, as well as
                                                                                                        debts arising under the tariff laws of the            be made to avoid such charges, and that
                                                payment agency.                                                                                               such assessments must be made unless
                                                   Person means an individual,                          United States.
                                                                                                                                                              excused in accordance with 31 CFR
                                                corporation, partnership, association,                     (c) Duplication not required. Nothing
                                                                                                                                                              901.9 (see § 2418.5);
                                                organization, State or local government,                in this part requires the FLRA to                        (3) The date by which payment
                                                or any other type of entity other than a                duplicate notices or administrative                   should be made to avoid the enforced
                                                Federal agency.                                         proceedings required by contract, this                collection actions described in
                                                   Salary offset means a type of                        part, or other laws or regulations.                   paragraph (a)(6) of this section;
                                                administrative offset to collect, from the                 (d) Use of multiple collection                        (4) The FLRA’s willingness to discuss
                                                current pay account of a Federal                        remedies allowed. The FLRA and other                  alternative payment arrangements and
                                                employee, a debt that the employee                      Federal agencies may simultaneously                   how the debtor may enter into a written
                                                owes.                                                   use multiple collection remedies to                   agreement to repay the debt under terms
                                                   Tax refund offset is defined in 31 CFR               collect a debt, except as prohibited by               acceptable to the FLRA (see § 2418.6);
                                                285.2(a).                                               law. This part is intended to promote                    (5) The name, address, and telephone
                                                   Treasury Department means the                        aggressive debt collection, using for                 number of a contact person or office
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                                                United States Department of the                         each debt all available collection                    within the FLRA;
                                                Treasury. Waiver means the                              remedies. These remedies are not listed                  (6) The FLRA’s intention to enforce
                                                cancellation, remission, forgiveness, or                in any prescribed order, so that the                  collection if the debtor fails to pay or
                                                non-recovery of a debt allegedly owed                   FLRA may have flexibility in                          otherwise resolve the debt, by taking
                                                by an employee to an agency as                          determining which remedies will be                    one or more of the following actions:
                                                permitted or required by 5 U.S.C. 5584,                 most efficient in collecting the                         (i) Offset. Offset the debtor’s Federal
                                                10 U.S.C. 2774, 32 U.S.C. 716, 5 U.S.C.                 particular debt.                                      payments, including income-tax


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                                                24782                  Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Rules and Regulations

                                                refunds, salary, certain benefit payments                  (iv) That the FLRA will refer the debt             applicable to the administrative
                                                (such as Social Security), retirement,                  to the debtor’s employing agency or to                collection of debts. See 31 CFR part 901.
                                                vendor, travel reimbursements and                       the Financial Management Service to
                                                advances, and other Federal payments                    implement salary offset, unless the                   § 2418.5 How will the FLRA add interest,
                                                                                                                                                              penalty charges, and administrative costs
                                                (see §§ 2418.10 through 2418.12);                       employee files a timely request for a
                                                                                                                                                              to an FLRA debt?
                                                   (ii) Private collection agency. Refer                hearing;
                                                the debt to a private collection agency                    (v) That a final decision on the                      (a) Assessment and notice. The FLRA
                                                (see § 2418.15);                                        hearing, if requested, will be issued at              shall assess interest, penalties, and
                                                   (iii) Credit-bureau reporting. Report                the earliest practical date, but not later            administrative costs on FLRA debts in
                                                the debt to a credit bureau (see                        than 60 days after the filing of the                  accordance with the provisions of 31
                                                § 2418.14);                                             request for a hearing, unless the                     U.S.C. 3717 and 31 CFR 901.9. Interest
                                                   (iv) Administrative wage garnishment.                employee requests and the hearing                     shall be charged in accordance with the
                                                Garnish the debtor’s wages through                      official grants a delay in the                        requirements of 31 U.S.C. 3717(a).
                                                administrative wage garnishment (see                    proceedings;                                          Penalties shall accrue at the rate of 6%
                                                § 2418.13);                                                (vi) That any knowingly false or                   per year, or such other higher rate as
                                                   (v) Litigation. Refer the debt to the                frivolous statements, representations, or             authorized by law. The FLRA shall
                                                Department of Justice to initiate                       evidence may subject the Federal                      determine administrative costs, that is,
                                                litigation to collect the debt (see                     employee to penalties under the False                 the costs of processing and handling a
                                                § 2418.16);                                             Claims Act (31 U.S.C. 3729–3731) or                   delinquent debt. In the notice to the
                                                   (vi) Treasury Department’s Financial                 other applicable statutory authority, and             debtor described in § 2418.4, the FLRA
                                                Management Service. Refer the debt to                   criminal penalties under 18 U.S.C. 286,               must explain how interest, penalties,
                                                the Financial Management Service for                    287, 1001, and 1002, or other applicable              costs, and other charges are assessed,
                                                collection (see § 2418.9);                              statutory authority;                                  unless the requirements are included in
                                                   (7) That Treasury debts over 180 days                   (vii) That, unless prohibited by                   a contract or repayment agreement.
                                                delinquent must be referred to the                      contract or statute, amounts paid on or
                                                Financial Management Service for the                    deducted for the debt that are later                     (b) Waiver of interest, penalties, and
                                                collection actions described in                         waived or found not owed to the United                administrative costs. Unless otherwise
                                                paragraph (a)(6) of this section (see                   States will be promptly refunded to the               required by law, the FLRA may not
                                                § 2418.9);                                              employee; and                                         charge interest if the amount due on the
                                                   (8) How the debtor may inspect and                      (viii) That 5 U.S.C. 5514 and 31 U.S.C.            debt is paid within 30 days after the
                                                copy records related to the debt;                       3716 govern proceedings with respect to               date from which the interest accrues.
                                                   (9) How the debtor may request a                     such debt.                                            See 31 U.S.C. 3717(d). The FLRA may
                                                review of the FLRA’s determination that                    (12) How the debtor may request a                  waive interest, penalties, and
                                                the debtor owes a debt and present                      waiver of the debt, if applicable (see                administrative costs, or any portion
                                                evidence that the debt is not delinquent                Appendix A of this part);                             thereof, when it would be against equity
                                                or legally enforceable (see §§ 2418.10(c)                  (13) How the debtor’s spouse may                   and good conscience or not in the
                                                and 2418.11(c));                                        claim his or her share of a joint-income-             FLRA’s best interest to collect such
                                                   (10) How a debtor may request a                      tax refund by filing Form 8379 with the               charges, in accordance with FLRA
                                                hearing if the FLRA intends to garnish                  Internal Revenue Service (see http://                 guidelines for waiving claims against
                                                the debtor’s private-sector (i.e., non-                 www.irs.gov);                                         FLRA employees for erroneous
                                                Federal) wages (see § 2418.13(a)),                         (14) How the debtor may exercise                   overpayments. See appendix A of this
                                                including:                                              other statutory or regulatory rights and              part.
                                                   (i) The method and time period for                   remedies available to the debtor;
                                                                                                           (15) That an employee’s involuntary                   (c) Accrual during suspension of debt
                                                requesting a hearing;
                                                   (ii) That the timely filing of a request             payment of all or any portion of a debt               collection. In most cases, interest,
                                                for a hearing on or before the 15th                     being collected will not be construed as              penalties, and administrative costs will
                                                business day following the date of the                  a waiver of any rights that the employee              begin and continue to accrue 30 days
                                                notice will stay the commencement of                    may have under any provision of                       after notice is given to the employee and
                                                administrative wage garnishment, but                    contract or law, unless there are                     during any period when collection has
                                                not necessarily other collection                        statutory, regulatory, or contractual                 been suspended for any reason (for
                                                procedures; and                                         provisions to the contrary; and                       example, when the debtor has requested
                                                   (iii) The name and address of the                       (16) That the debtor should advise the             a hearing). The FLRA may suspend
                                                office to which the request for a hearing               FLRA of a bankruptcy proceeding of the                accrual of any or all of these charges
                                                should be sent.                                         debtor or another person liable for the               when accrual would be against equity
                                                   (11) How a debtor who is a Federal                   debt being collected.                                 and good conscience or not in the
                                                employee subject to Federal salary offset                  (b) Exceptions to notice requirements.             FLRA’s best interest, in accordance with
                                                may request a hearing (see § 2418.12(e)),               The FLRA may omit from a notice to a                  FLRA guidelines for waiving claims
                                                including:                                              debtor one or more of the provisions                  against FLRA employees for erroneous
                                                   (i) The method and time period for                   contained in paragraphs (a)(6) through                overpayments. See appendix A of this
                                                requesting a hearing;                                   (16) of this section if the FLRA, in                  part.
                                                   (ii) That the timely filing of a request             consultation with its legal counsel,
                                                                                                                                                              § 2418.6 When will the FLRA allow a
                                                for a hearing on or before the 15th                     determines that any provision is not
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                                                                                                                                                              debtor to pay an FLRA debt in installments
                                                calendar day following receipt of the                   legally required given the collection                 instead of one lump sum?
                                                notice will stay the commencement of                    remedies to be applied to a particular
                                                salary offset, but not necessarily other                debt.                                                   If a debtor is financially unable to pay
                                                collection procedures;                                     (c) Respond to debtors; comply with                the debt in one lump sum, then the
                                                   (iii) The name and address of the                    FCCS. The FLRA will respond promptly                  FLRA may accept payment of an FLRA
                                                office to which the request for a hearing               to communications from debtors and                    debt in regular installments, in
                                                should be sent;                                         comply with other FCCS provisions                     accordance with 31 CFR 901.8.


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                                                                       Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Rules and Regulations                                         24783

                                                § 2418.7 When will the FLRA compromise                  administrative and tax-refund offset. See             through the Treasury Offset Program is
                                                an FLRA debt?                                           31 CFR 285.12(g). The Treasury Offset                 not available or appropriate, the FLRA
                                                  If the FLRA cannot collect the full                   Program is a centralized offset program               may collect past-due, legally enforceable
                                                amount of an FLRA debt, then the FLRA                   administered by the Financial                         FLRA debts through non-centralized
                                                may compromise the debt in accordance                   Management Service to collect                         administrative offset. See 31 CFR
                                                with 31 CFR part 902.                                   delinquent debts owed to Federal                      901.3(c). In these cases, the FLRA may
                                                                                                        agencies and states (including past-due               offset a payment internally or make an
                                                § 2418.8 When will the FLRA suspend or                  child support). Under the Treasury                    offset request directly to a Federal
                                                terminate debt collection on an FLRA debt?
                                                                                                        Offset Program, before a Federal                      payment agency.
                                                  If, after pursuing all appropriate                    payment is disbursed, the Financial                      (2) At least thirty (30) days prior to
                                                means of collection, the FLRA                           Management Service compares the                       offsetting a payment internally or
                                                determines that an FLRA debt is                         name and taxpayer identification                      requesting a Federal payment agency to
                                                uncollectible, then the FLRA may                        number (TIN) of the payee with the                    offset a payment, the FLRA will send
                                                suspend or terminate debt-collection                    names and TINs of debtors that have                   notice to the debtor in accordance with
                                                activity in accordance with the                         been submitted by Federal agencies and                the requirements of § 2418.4. (For debts
                                                provisions of 31 CFR part 903 and the                   states to the Treasury Offset Program                 outstanding more than ten (10) years on
                                                FLRA’s policies and procedures.                         database. If there is a match, the                    or before June 11, 2009, the FLRA will
                                                                                                        Financial Management Service (or, in                  comply with the additional notification
                                                § 2418.9 When will the FLRA transfer an
                                                                                                        some cases, another Federal disbursing                requirements of 31 CFR 285.7(d).) When
                                                FLRA debt to the Treasury Department’s
                                                Financial Management Service for                        agency) offsets all or a portion of the               referring a debt for offset under this
                                                collection?                                             Federal payment, disburses any                        paragraph (b), the FLRA will certify, in
                                                                                                        remaining payment to the payee, and                   writing, that the debt is valid,
                                                   (a) The FLRA will transfer any eligible
                                                                                                        pays the offset amount to the creditor                delinquent, legally enforceable, and that
                                                debt that is more than 180 days
                                                                                                        agency. Federal payments eligible for                 there are no legal bars to collection by
                                                delinquent to the Financial Management
                                                                                                        offset include, but are not limited to,               offset. In addition, the FLRA will certify
                                                Service for debt-collection services, a
                                                                                                        income-tax refunds, salary, travel                    its compliance with these regulations
                                                process known as ‘‘cross-servicing.’’ See
                                                                                                        advances and reimbursements,                          concerning administrative offset. See 31
                                                31 U.S.C. 3711(g) and 31 CFR 285.12.
                                                                                                        retirement and vendor payments, and                   CFR 901.3(c)(2)(ii).
                                                The FLRA may transfer debts                                                                                      (c) Administrative review. The notice
                                                delinquent 180 days or less to the                      Social Security and other benefit
                                                                                                        payments.                                             described in § 2418.4 shall explain to
                                                Financial Management Service in                                                                               the debtor how to request an
                                                accordance with the procedures                          § 2418.10 How will the FLRA use                       administrative review of the FLRA’s
                                                described in 31 CFR 285.12. The                         administrative offset (offset of non-tax              determination that the debtor owes an
                                                Financial Management Service takes                      Federal payments) to collect an FLRA debt?            FLRA debt and how to present evidence
                                                appropriate action to collect or                           (a) Centralized administrative offset              that the debt is not delinquent or legally
                                                compromise the transferred debt, or to                  through the Treasury Offset Program. (1)              enforceable. In addition to challenging
                                                suspend or terminate collection action                  In most cases, the Financial                          the existence and amount of the debt,
                                                thereon, in accordance with the                         Management Service uses the Treasury                  the debtor may seek a review of the
                                                statutory and regulatory requirements                   Offset Program to collect Treasury debts              terms of repayment. In most cases, the
                                                and authorities applicable to the debt                  by the offset of Federal payments. See                FLRA will provide the debtor with a
                                                and the collection action to be taken.                  § 2418.9(c). If not already transferred to            ‘‘paper hearing’’ based upon a review of
                                                See 31 CFR 285.12(c)(2). Appropriate                    the Financial Management Service                      the written record, including
                                                action includes, but is not limited to:                 under § 2418.9, the FLRA will refer any               documentation provided by the debtor.
                                                Contact with the debtor; referral of the                eligible debt over 180 days delinquent                The FLRA shall provide the debtor with
                                                debt to the Treasury Offset Program,                    to the Treasury Offset Program for                    a reasonable opportunity for an oral
                                                private collection agencies, or the                     collection by centralized administrative              hearing when the debtor requests
                                                Department of Justice; reporting of the                 offset. See 31 U.S.C. 3716(c)(6); 31 CFR              reconsideration of the debt and the
                                                debt to credit bureaus; and                             part 285, subpart A; and 31 CFR                       FLRA determines that the question of
                                                administrative wage garnishment.                        901.3(b). The FLRA may refer any                      the indebtedness cannot be resolved by
                                                   (b) At least sixty (60) days before                  eligible debt less than 180 days                      review of the documentary evidence, for
                                                transferring an FLRA debt to the                        delinquent to the Treasury Offset                     example, when the validity of the debt
                                                Financial Management Service, the                       Program for offset.                                   turns on an issue of credibility or
                                                FLRA will send notice to the debtor as                     (2) At least sixty (60) days prior to              veracity. Unless otherwise required by
                                                required by § 2418.4. The FLRA will                     referring a debt to the Treasury Offset               law, an oral hearing under this section
                                                certify to the Financial Management                     Program, in accordance with paragraph                 is not required to be a formal
                                                Service, in writing, that the debt is                   (a)(1) of this section, the FLRA will send            evidentiary hearing, although the FLRA
                                                valid, delinquent, legally enforceable,                 notice to the debtor in accordance with               will carefully document all significant
                                                and that there are no legal bars to                     the requirements of § 2418.4. The FLRA                matters discussed at the hearing. The
                                                collection. In addition, the FLRA will                  will certify to the Financial                         FLRA may suspend collection through
                                                certify its compliance with all                         Management Service, in writing, that                  administrative offset and/or other
                                                applicable due-process and other                        the debt is valid, delinquent, legally                collection actions pending the
                                                requirements as described in this part                  enforceable, and that there are no legal              resolution of a debtor’s dispute.
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                                                and other Federal laws. See 31 CFR                      bars to collection by offset. In addition,               (d) Procedures for expedited offset.
                                                285.12(i) regarding the certification                   the FLRA will certify its compliance                  Under the circumstances described in
                                                requirement.                                            with the requirements described in this               31 CFR 901.3(b)(4)(iii), the FLRA may
                                                   (c) As part of its debt-collection                   part.                                                 effect an offset against a payment to be
                                                process, the Financial Management                          (b) Non-centralized administrative                 made to the debtor prior to sending a
                                                Service uses the Treasury Offset                        offset for FLRA debts. (1) When                       notice to the debtor, as described in
                                                Program to collect Treasury debts by                    centralized administrative offset                     § 2418.4, or completing the procedures


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                                                24784                  Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Rules and Regulations

                                                described in paragraph (b)(2) and (c) of                law allows otherwise. See, for example,               be recovered was accumulated over four
                                                this section. The FLRA shall give the                   5 U.S.C. 5705 (travel advances not used               pay periods or less;
                                                debtor notice and an opportunity for                    for allowable travel expenses are                        (2) A routine intra-agency adjustment
                                                review as soon as practicable and                       recoverable from the employee or his                  of pay that is made to correct an
                                                promptly refund any money ultimately                    estate by setoff against accrued pay and              overpayment of pay attributable to
                                                found not to have been owed to the                      other means) and 5 U.S.C. 4108                        clerical or administrative errors or
                                                Government.                                             (recovery of training expenses).                      delays in processing pay documents, if
                                                                                                           (3) The FLRA may use the                           the overpayment occurred within the
                                                § 2418.11 How will the FLRA use tax-                                                                          four pay periods preceding the
                                                                                                        administrative-wage-garnishment
                                                refund offset to collect an FLRA debt?                                                                        adjustment, and, at the time of such
                                                                                                        procedure described in § 2418.13 to
                                                  (a) Tax-refund offset. In most cases,                 collect a debt from an individual’s non-              adjustment, or as soon thereafter as
                                                the Financial Management Service uses                   Federal wages.                                        practical, the individual is provided
                                                the Treasury Offset Program to collect                     (b) Centralized salary offset through              written notice of the nature and the
                                                FLRA debts by the offset of tax refunds                 the Treasury Offset Program. As                       amount of the adjustment and the point
                                                and other Federal payments. See                         described in § 2418.9(a), the FLRA will               of contact for contesting such
                                                § 2418.9(c). If not already transferred to              refer FLRA debts to the Financial                     adjustment; or
                                                the Financial Management Service                        Management Service for collection by                     (3) Any adjustment to collect a debt
                                                under § 2418.9, the FLRA will refer to                  administrative offset, including salary               amounting to $ 50 or less, if, at the time
                                                the Treasury Offset Program any past-                   offset, through the Treasury Offset                   of such adjustment, or as soon thereafter
                                                due, legally enforceable debt for                       Program. When possible, the FLRA will                 as practical, the individual is provided
                                                collection by tax-refund offset. See 26                 attempt salary offset through the                     written notice of the nature and the
                                                U.S.C. 6402(d), 31 U.S.C. 3720A and 31                  Treasury Offset Program before applying               amount of the adjustment and a point of
                                                CFR 285.2.                                              the procedures in paragraph (c) of this               contact for contesting such adjustment.
                                                  (b) Notice. At least sixty (60) days                                                                           (e) Hearing procedures—(1) Request
                                                                                                        section. See 5 CFR 550.1109.
                                                before referring a debt to the Treasury                                                                       for a hearing. A Federal employee who
                                                                                                           (c) Non-centralized salary offset for              has received a notice that his or her
                                                Offset Program, the FLRA will send
                                                                                                        FLRA debts. When centralized salary                   FLRA debt will be collected by means
                                                notice to the debtor in accordance with
                                                                                                        offset through the Treasury Offset                    of salary offset may request a hearing
                                                the requirements of § 2418.4. The FLRA
                                                                                                        Program is not available or appropriate,              concerning the existence or amount of
                                                will certify to the Financial
                                                                                                        the FLRA may collect delinquent FLRA                  the debt. The Federal employee also
                                                Management Service’s Treasury Offset
                                                                                                        debts through non-centralized salary                  may request a hearing concerning the
                                                Program, in writing, that the debt is past
                                                                                                        offset. See 5 CFR 550.1109. In these                  amount proposed to be deducted from
                                                due and legally enforceable in the
                                                                                                        cases, the FLRA may offset a payment                  the employee’s pay each pay period.
                                                amount submitted and that the FLRA
                                                                                                        internally or make a request directly to              The employee must send any request for
                                                has made reasonable efforts to obtain
                                                                                                        a Federal payment agency to offset a                  hearing, in writing, to the office
                                                payment of the debt as described in 31
                                                                                                        salary payment to collect a delinquent                designated in the notice described in
                                                CFR 285.2(d). In addition, the FLRA
                                                                                                        debt that a Federal employee owes. At                 § 2418.4. See § 2418.4(a)(11). The
                                                will certify its compliance with all
                                                                                                        least thirty (30) days prior to offsetting            request must be received by the
                                                applicable due-process and other
                                                                                                        internally or requesting a Federal                    designated office on or before the 15th
                                                requirements described in this part and
                                                                                                        agency to offset a salary payment, the                calendar day following the employee’s
                                                other Federal laws. See 31 U.S.C.
                                                                                                        FLRA will send notice to the debtor in                receipt of the notice. The employee
                                                3720A(b) and 31 CFR 285.2.
                                                                                                        accordance with the requirements of                   must sign the request and specify
                                                  (c) Administrative review. The notice
                                                                                                        § 2418.4. (For debts outstanding more                 whether an oral or paper hearing is
                                                described in § 2418.4 shall provide the
                                                                                                        than ten (10) years on or before June 11,             requested. If an oral hearing is
                                                debtor with at least 60 days prior to the
                                                                                                        2009, the FLRA will comply with the                   requested, then the employee must
                                                initiation of tax-refund offset to request
                                                                                                        additional notification requirements of               explain why the matter cannot be
                                                an administrative review as described in
                                                                                                        31 CFR 285.7(d).) When referring a debt               resolved by review of the documentary
                                                § 2418.10(c). The FLRA may suspend
                                                                                                        for offset, the FLRA will certify to the              evidence alone. An oral hearing may, at
                                                collection through tax-refund offset and/
                                                                                                        payment agency, in writing, that the                  the debtor’s option, be conducted either
                                                or other collection actions pending the
                                                                                                        debt is valid, delinquent, and legally                in-person or by telephone conference.
                                                resolution of the debtor’s dispute.
                                                                                                        enforceable in the amount stated, and                 All travel expenses incurred by the
                                                § 2418.12 How will the FLRA offset a                    that there are no legal bars to collection            Federal employee in connection with an
                                                Federal employee’s salary to collect an                 by salary offset. In addition, the FLRA               in-person hearing will be borne by the
                                                FLRA debt?                                              will certify that all due-process and                 employee. All telephonic charges
                                                  (a) Federal salary offset. (1) Salary                 other prerequisites to salary offset have             incurred during the hearing will be the
                                                offset is used to collect debts that FLRA               been met. See 5 U.S.C. 5514, 31 U.S.C.                responsibility of the agency.
                                                employees and other Federal employees                   3716(a), and this section for a                          (2) Failure to submit timely request for
                                                owe to the United States. If a Federal                  description of the due-process and other              hearing. If the employee fails to submit
                                                employee owes an FLRA debt, then the                    prerequisites for salary offset.                      a request for hearing within the time
                                                FLRA may offset the employee’s Federal                     (d) When prior notice not required.                period described in paragraph (e)(1) of
                                                salary to collect the debt in the manner                The FLRA is not required to provide                   this section, then the employee will
                                                described in this section. For                          prior notice to an employee when the                  have waived the right to a hearing, and
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                                                information on how a Federal agency                     FLRA makes the following adjustments                  salary offset may be initiated. However,
                                                other than the FLRA may collect debt                    to an FLRA employee’s pay:                            the FLRA will accept a late request for
                                                from the salary of an FLRA employee,                       (1) Any adjustment to pay arising out              hearing if the employee can show that
                                                see §§ 2418.19 and 2418.20.                             of any employee’s election of coverage                the late request was the result of
                                                   (2) Nothing in this part requires the                or a change in coverage under a Federal-              circumstances beyond the employee’s
                                                FLRA to collect an FLRA debt in                         benefits program requiring periodic                   control or because of a failure to receive
                                                accordance with this section if Federal                 deductions from pay, if the amount to                 actual notice of the filing deadline.


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                                                                       Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Rules and Regulations                                        24785

                                                   (3) Hearing official. The FLRA must                  the hearing official shall proceed with               this section, or another agency, as
                                                obtain the services of a hearing official               the hearing as scheduled, and make his                described in § 2418.19. If the debtor is
                                                who is not under the supervision or                     or her determination based upon the                   not employed by the FLRA, then the
                                                control of the Chairman. The FLRA may                   oral testimony presented and the                      agency employing the debtor will
                                                contact an agent of any agency                          documentary evidence submitted by                     determine the amount of the employee’s
                                                designated in appendix A to 5 CFR part                  both parties.                                         disposable pay and will implement
                                                581 (List of Agents Designated to Accept                   (8) Burden of proof. The FLRA will                 salary offset upon request.
                                                Legal Process) to request a hearing                     have the initial burden to prove the                     (2) When salary offset begins.
                                                official.                                               existence and amount of the debt.                     Deductions shall normally begin within
                                                   (4) Notice of hearing. After the                     Thereafter, if the employee disputes the              three official pay periods following
                                                employee requests a hearing, the                        existence or amount of the debt, then                 receipt of the creditor agency’s request
                                                designated hearing official shall inform                the employee must prove by a                          for offset.
                                                the employee of the form of the hearing                 preponderance of the evidence that no                    (3) Amount of salary offset. The
                                                to be provided. For oral hearings, the                  debt exists or that the amount of the                 amount to be offset from each salary
                                                notice shall set forth the date, time, and              debt is incorrect. In addition, the                   payment will be up to 15 percent of a
                                                location of the hearing. For paper                      employee may present evidence that the                debtor’s disposable pay, as follows:
                                                hearings, the notice shall notify the                   proposed terms of the repayment                          (i) If the amount of the debt is equal
                                                employee of the date by which he or she                 schedule are unlawful, would cause a                  to or less than 15 percent of the
                                                should submit written arguments to the                  financial hardship to the employee, or                disposable pay, then such debt generally
                                                designated hearing official. The hearing                that collection of the debt may not be                will be collected in one lump-sum
                                                official shall give the employee                        pursued due to operation of law.                      payment;
                                                reasonable time to submit                                  (9) Record. The hearing official shall                (ii) Installment deductions will be
                                                documentation in support of the                         maintain a summary record of any                      made over a period of no greater than
                                                employee’s position. The hearing                        hearing provided by this part. Witnesses              the anticipated period of employment.
                                                official shall schedule a new hearing                   will testify under oath or affirmation in             An installment deduction will not
                                                date if requested by both parties. The                  oral hearings.                                        exceed 15 percent of the disposable pay
                                                hearing official shall give both parties                   (10) Date of decision. The hearing                 from which the deduction is made
                                                reasonable notice of the time and place                 official shall issue a written opinion                unless the employee has agreed in
                                                of a rescheduled hearing.                               stating his or her decision, based upon               writing to the deduction of a greater
                                                   (5) Oral hearing. The hearing official               documentary evidence and information                  amount, or a higher deduction has been
                                                will conduct an oral hearing if he or she               developed at the hearing, as soon as                  ordered by a court under section 124 of
                                                determines that the matter cannot be                    practicable after the hearing, but not                Public Law 97–276 (96 Stat. 1195), or
                                                resolved by review of documentary                       later than 60 days after the date on                  the creditor agency has determined that
                                                evidence alone (for example, when an                    which the FLRA received the request for               smaller deductions are appropriate
                                                issue of credibility or veracity is                     hearing. If the employee requests a                   based on the employee’s ability to pay.
                                                involved). The hearing need not take the                delay in the proceedings, then the                       (4) Final salary payment. After the
                                                form of an evidentiary hearing, but may                 deadline for the decision may be                      employee has separated either
                                                be conducted in a manner determined                     postponed by the number of days by                    voluntarily or involuntarily from the
                                                by the hearing official, including but not              which the hearing was postponed.                      payment agency, the payment agency
                                                limited to:                                             When a decision is not timely rendered,               may make a lump-sum deduction
                                                   (i) Informal conferences with the                    the FLRA shall waive penalties applied                exceeding 15 percent of disposable pay
                                                hearing official, in which the employee                 to the debt for the period beginning with             from any final salary or other payments
                                                and agency representative will be given                 the date the decision is due and ending               pursuant to 31 U.S.C. 3716 in order to
                                                full opportunity to present evidence,                   on the date the decision is issued.                   satisfy a debt.
                                                witnesses, and argument;                                   (11) Content of decision. The written                 (h) Payment agency’s responsibilities.
                                                   (ii) Informal meetings with an                       decision shall include:                               (1) As required by 5 CFR 550.1109, if
                                                interview of the employee by the                           (i) A statement of the facts presented             the employee separates from the
                                                hearing official; or                                    to support the origin, nature, and                    payment agency from which the FLRA
                                                   (iii) Formal written submissions, with               amount of the debt;                                   has requested salary offset, then the
                                                an opportunity for oral presentation.                      (ii) The hearing official’s findings,              payment agency must certify the total
                                                   (6) Paper hearing. If the hearing                    analysis, and conclusions; and                        amount of its collection and notify the
                                                official determines that an oral hearing                   (iii) The terms of any repayment                   FLRA and the employee of the amounts
                                                is not necessary, then he or she will                   schedules, if applicable.                             collected. If the payment agency is
                                                make the determination based upon a                        (12) Final agency action. The hearing              aware that the employee is entitled to
                                                review of the available written record,                 official’s decision shall be final.                   payments from the Civil Service
                                                including any documentation submitted                      (f) Waiver not precluded. Nothing in               Retirement Fund and Disability Fund,
                                                by the employee in support of his or her                this part precludes an employee from                  the Federal Employee Retirement
                                                position.                                               requesting waiver of an overpayment                   System, or other similar payments, then
                                                   (7) Failure to appear or submit                      under 5 U.S.C. 5584 or 8346(b), 10                    it must provide written notification to
                                                documentary evidence. In the absence of                 U.S.C. 2774, 32 U.S.C. 716, or other                  the payment agency responsible for
                                                good cause shown (for example,                          statutory authority.                                  making such payments that the debtor
                                                excused illness), if the employee fails to                 (g) Salary-offset process—(1)                      owes a debt, the amount of the debt, and
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                                                appear at an oral hearing or fails to                   Determination of disposable pay. The                  that the FLRA has complied with the
                                                submit documentary evidence as                          FLRA’s Office of the Executive Director               provisions of this section. The FLRA
                                                required for a paper hearing, then the                  will determine the amount of an FLRA                  must submit a properly certified claim
                                                employee will have waived the right to                  employee’s disposable pay (as defined                 to the new payment agency before the
                                                a hearing, and salary offset shall be                   in § 2418.1) and will implement salary                collection can be made.
                                                initiated. If the FLRA representative                   offset when requested to do so by the                    (2) If the employee is already
                                                fails to appear at an oral hearing, then                FLRA, as described in paragraph (c) of                separated from employment and all


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                                                24786                  Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Rules and Regulations

                                                payments due from his or her former                     incurred during the hearing will be the               terminated. See 31 CFR part 904. The
                                                payment agency have been made, then                     responsibility of the agency.                         FLRA may authorize the Financial
                                                the FLRA may request that money due                       (b) This section does not apply to                  Management Service to refer to the
                                                and payable to the employee from the                    Federal salary offset, the process by                 Department of Justice for litigation those
                                                Civil Service Retirement Fund and                       which the FLRA collects debts from the                delinquent FLRA debts that have been
                                                Disability Fund, the Federal Employee                   salaries of Federal employees (see                    transferred to the Financial Management
                                                Retirement System, or other similar                     § 2418.12).                                           Service under § 2418.9.
                                                funds, be administratively offset to
                                                                                                        § 2418.14 How will the FLRA report FLRA               § 2418.17 How does a debtor request a
                                                collect the debt. Generally, the FLRA                   debts to credit bureaus?                              special review based on a change in
                                                will collect such monies through the
                                                Treasury Offset Program as described in                   The FLRA shall report delinquent                    circumstances such as catastrophic illness,
                                                                                                        FLRA debts to credit bureaus in                       divorce, death, or disability?
                                                § 2418.9(c).
                                                  (3) When an employee transfers to                     accordance with 31 U.S.C. 3711(e), 31                    (a) Material change in circumstances.
                                                another agency, the FLRA should                         CFR 901.4, and the Office of                          A debtor who owes an FLRA debt may,
                                                resume collection with the employee’s                   Management and Budget Circular A–                     at any time, request a special review by
                                                new payment agency in order to                          129, ‘‘Policies for Federal Credit                    the FLRA of the amount of any offset,
                                                continue salary offset.                                 Programs and Nontax Receivables.’’ For                administrative wage garnishment, or
                                                                                                        additional information, see Financial                 voluntary payment, based on materially
                                                § 2418.13 How will the FLRA use                         Management Service’s ‘‘Guide to the                   changed circumstances beyond the
                                                administrative wage garnishment to collect              Federal Credit Bureau Program,’’ which                control of the debtor such as, but not
                                                an FLRA debt from a debtor’s wages?                     may be found at http://                               limited to, catastrophic illness, divorce,
                                                   (a) The FLRA is authorized to collect                www.fms.treas.gov/debt. At least sixty                death, or disability.
                                                debts from a debtor’s wages by means of                 (60) days prior to reporting a delinquent                (b) Inability to pay. For purposes of
                                                administrative wage garnishment in                      debt to a consumer-reporting agency,                  this section, in determining whether an
                                                accordance with the requirements of 31                  the FLRA will send notice to the debtor               involuntary or voluntary payment
                                                U.S.C. 3720D and 31 CFR 285.11. This                    in accordance with the requirements of                would prevent the debtor from meeting
                                                part adopts and incorporates all of the                 § 2418.4. Before disclosing information               essential subsistence expenses (costs
                                                provisions of 31 CFR 285.11 concerning                  to a consumer-reporting agency, the                   incurred for food, housing, clothing,
                                                administrative wage garnishment,                        FLRA shall provide, on request of a                   transportation, and medical care), the
                                                including the hearing procedures                        person alleged to be responsible for the              debtor shall submit a detailed statement
                                                described in 31 CFR 285.11(f). The                      delinquent debt, for a review of the                  and supporting documents for the
                                                FLRA may use administrative wage                        obligation of the debtor, including an                debtor, his or her spouse, and
                                                garnishment to collect a delinquent                     opportunity for reconsideration of the                dependents, indicating:
                                                FLRA debt unless the debtor is making                   initial decision on the debt. The FLRA                   (1) Income from all sources;
                                                timely payments under an agreement to                   may authorize the Financial                              (2) Assets;
                                                pay the debt in installments (see                       Management Service to report to credit                   (3) Liabilities;
                                                § 2418.6). At least thirty (30) days before             bureaus those delinquent FLRA debts                      (4) Number of dependents;
                                                initiating an administrative wage                       that have been transferred to the                        (5) Expenses for food, housing,
                                                garnishment, the FLRA will send notice                  Financial Management Service under                    clothing, and transportation;
                                                to the debtor in accordance with the                    § 2418.9.                                                (6) Child-care or elder-care expenses;
                                                requirements of § 2418.4 of this part,                                                                           (7) Medical expenses; and
                                                                                                        § 2418.15 How will the FLRA refer FLRA                   (8) Exceptional expenses, if any.
                                                including the requirements of                           debts to private collection agencies?                    (c) Alternative payment arrangement.
                                                § 2418.4(a)(10). (For debts outstanding                                                                       If the debtor requests a special review
                                                more than ten (10) years on or before                     The FLRA will transfer delinquent
                                                                                                        FLRA debts to the Financial                           under this section, the debtor shall
                                                June 11, 2009, the FLRA will comply                                                                           submit an alternative proposed payment
                                                                                                        Management Service to obtain debt-
                                                with the additional notification                                                                              schedule and a statement to the FLRA,
                                                                                                        collection services provided by private
                                                requirements of 31 CFR 285.7(d).) For                                                                         with supporting documents, showing
                                                                                                        collection agencies. See § 2418.9.
                                                FLRA debts referred to the Financial                                                                          why the current offset, garnishment, or
                                                Management Service under § 2418.9, the                  § 2418.16 When will the FLRA refer FLRA               repayment schedule imposes an extreme
                                                FLRA may authorize the Financial                        debts to the Department of Justice?
                                                                                                                                                              financial hardship on the debtor. The
                                                Management Service to send a notice                       (a) Compromise or suspension or                     FLRA will evaluate the statement and
                                                informing the debtor that administrative                termination of collection activity. The               documentation and determine whether
                                                wage garnishment will be initiated and                  FLRA shall refer FLRA debts having a                  the current offset, garnishment, or
                                                how the debtor may request a hearing as                 principal balance over $ 100,000, or                  repayment schedule imposes extreme
                                                described in § 2418.4(a)(10). If a debtor               such higher amount as authorized by                   financial hardship on the debtor. The
                                                makes a timely request for a hearing,                   the Attorney General, to the Department               FLRA shall notify the debtor in writing
                                                administrative wage garnishment will                    of Justice for approval of any                        of such determination, including, if
                                                not begin until a hearing is held and a                 compromise of a debt or suspension or                 appropriate, a revised offset,
                                                decision is sent to the debtor. See 31                  termination of collection activity. See               garnishment, or payment schedule. If
                                                CFR 285.11(f)(4). If a debtor’s hearing                 §§ 2418.7 and 2418.8; 31 CFR 902.1; 31                the special review results in a revised
                                                request is not timely, then the FLRA                    CFR 903.1.                                            offset, garnishment, or repayment
                                                may suspend collection by                                 (b) Litigation. The FLRA shall                      schedule, then the FLRA will notify the
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                                                administrative wage garnishment in                      promptly refer to the Department of                   appropriate agency or other persons
                                                accordance with the provisions of 31                    Justice for litigation delinquent FLRA                about the new terms.
                                                CFR 285.11(f)(5). All travel expenses                   debts on which aggressive collection
                                                incurred by the debtor in connection                    activity has been taken in accordance                 § 2418.18 Will the FLRA issue a refund if
                                                with an in-person hearing will be borne                 with this part and that should not be                 money is erroneously collected on a debt?
                                                by the debtor. If a hearing is conducted                compromised, and on which collection                    The FLRA shall promptly refund to a
                                                telephonically, all telephonic charges                  activity should not be suspended or                   debtor any amount collected on an


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                                                                       Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Rules and Regulations                                           24787

                                                FLRA debt when the debt is waived or                    collect a debt from a payment issued by               final and subsequent payments. If an
                                                otherwise found not to be owed to the                   the FLRA.                                             FLRA employee retires or resigns or if
                                                United States, or as otherwise required                   (e) Review. The FLRA is not                         his or her employment otherwise ends
                                                by law. Refunds under this part shall                   authorized to review the merits of the                before collection of the debt is complete,
                                                not bear interest unless required by law.               creditor agency’s determination with                  then the FLRA will continue to offset,
                                                                                                        respect to the amount or validity of the              under 31 U.S.C. 3716, up to 100% of an
                                                Subpart C—Procedures for Offset of                      debt certified by the creditor agency.                employee’s subsequent payments until
                                                FLRA Payments to Collect Debts Owed                       (f) When the FLRA will not comply                   the debt is paid or otherwise resolved.
                                                to Other Federal Agencies                               with offset request. The FLRA will                    Such payments include a debtor’s final
                                                                                                        comply with the offset request of                     salary payment, lump-sum leave
                                                § 2418.19 How do other Federal agencies
                                                use the offset process to collect debts from            another agency unless the FLRA                        payment, and other payments payable to
                                                payments issued by the FLRA?                            determines that the offset would not be               the debtor by the FLRA. See 31 U.S.C.
                                                                                                        in the best interests of the United States,           3716 and 5 CFR 550.1104(l) and
                                                   (a) Offset of FLRA payments to collect
                                                                                                        or would otherwise be contrary to law.                550.1104(m).
                                                debts owed to other Federal agencies.                                                                            (2) Notice to the creditor agency. If the
                                                                                                          (g) Multiple debts. When two or more
                                                (1) In most cases, Federal agencies                                                                           employee is separated from the FLRA
                                                                                                        creditor agencies are seeking offsets
                                                submit eligible debts to the Treasury                                                                         before the debt is paid in full, then the
                                                                                                        from payments made to the same
                                                Offset Program to collect delinquent                                                                          FLRA will certify to the creditor agency
                                                                                                        person, or when two or more debts are
                                                debts from payments issued by the                                                                             the total amount of its collection. If the
                                                                                                        owed to a single creditor agency, the
                                                FLRA and other Federal agencies, a                                                                            FLRA is aware that the employee is
                                                                                                        FLRA may determine the order in which
                                                process known as ‘‘centralized offset.’’                                                                      entitled to payments from the Civil
                                                                                                        the debts will be collected or whether
                                                When centralized offset is not available                                                                      Service Retirement and Disability Fund,
                                                                                                        one or more debts should be collected
                                                or appropriate, any Federal agency may                                                                        Federal Employee Retirement System,
                                                                                                        by offset simultaneously.
                                                ask the FLRA (when acting as a                                                                                or other similar payments, then the
                                                                                                          (h) Priority of debts owed to FLRA. For
                                                ‘‘payment agency’’) to collect a debt                                                                         FLRA will provide written notice to the
                                                                                                        purposes of this section, debts owed to
                                                owed to such agency by offsetting funds                                                                       agency making such payments that the
                                                                                                        the FLRA generally take precedence
                                                payable to a debtor by the FLRA,                                                                              debtor owes a debt (including the
                                                                                                        over debts owed to other agencies. The
                                                including salary payments issued to                                                                           amount) and that the provisions of 5
                                                                                                        FLRA may determine whether to pay
                                                FLRA employees. This section and                                                                              CFR 550.1109 have been fully complied
                                                                                                        debts owed to other agencies before
                                                § 2418.20 apply when a Federal agency                                                                         with. The creditor agency is responsible
                                                                                                        paying a debt owed to the FLRA. The
                                                asks the FLRA to offset a payment                                                                             for submitting a certified claim to the
                                                                                                        FLRA will determine the order in which
                                                issued by the FLRA to a person who                                                                            agency responsible for making such
                                                                                                        the debts will be collected based on the
                                                owes a debt to the United States.                                                                             payments before collection may begin.
                                                   (2) This subpart does not apply to                   best interests of the United States.
                                                                                                                                                              Generally, creditor agencies will collect
                                                FLRA debts. See §§ 2418.10 through                      § 2418.20 What does the FLRA do upon                  such monies through the Treasury
                                                2418.12 for offset procedures applicable                receipt of a request to offset the salary of          Offset Program as described in
                                                to FLRA debts.                                          an FLRA employee to collect a debt owed               § 2418.9(c).
                                                   (3) This subpart does not apply to the               by the employee to another Federal                       (3) Notice to the debtor. The FLRA
                                                collection of non-FLRA debts through                    agency?
                                                                                                                                                              will provide to the debtor a copy of any
                                                tax refund offset. See 31 CFR 285.2 for                    (a) Notice to the FLRA employee.                   notices sent to the creditor agency under
                                                tax-refund-offset procedures.                           When the FLRA receives proper                         paragraph (c)(2) of this section.
                                                   (b) Administrative offset (including                 certification of a debt owed by one of its               (d) When the debtor transfers to
                                                salary offset); certification. The FLRA                 employees, the FLRA will begin                        another Federal agency—(1) Notice to
                                                will initiate a requested offset only upon              deductions from the employee’s pay at                 the creditor agency. If the debtor
                                                receipt of written certification from the               the next officially established pay                   transfers to another Federal agency
                                                creditor agency that the debtor owes the                period. The FLRA will send a written                  before the debt is paid in full, then the
                                                past-due, legally enforceable debt in the               notice to the employee indicating that a              FLRA will notify the creditor agency
                                                amount stated, and that the creditor                    certified debt claim has been received                and will certify the total amount of its
                                                agency has fully complied with all                      from the creditor agency, the amount of               collection on the debt. The FLRA will
                                                applicable due-process and other                        the debt that the creditor agency claims              provide a copy of the certification to the
                                                requirements contained in 31 U.S.C.                     is owed, the date deductions from salary              creditor agency. The creditor agency is
                                                3716, 5 U.S.C. 5514, and the creditor                   will begin, and the amount of such                    responsible for submitting a certified
                                                agency’s regulations, as applicable.                    deductions.                                           claim to the debtor’s new employing
                                                Offsets will continue until the debt is                    (b) Amount of deductions from FLRA                 agency before collection may begin.
                                                paid in full or otherwise resolved to the               employee’s salary. The amount                            (2) Notice to the debtor. The FLRA
                                                satisfaction of the creditor agency.                    deducted under § 2418.19(b) will be the               will provide to the debtor a copy of any
                                                   (c) Where a creditor agency makes                    lesser of the amount of the debt certified            notices and certifications sent to the
                                                requests for offset. Requests for offset                by the creditor agency or an amount up                creditor agency under paragraph (d)(1)
                                                under this section shall be sent to the                 to 15% of the debtor’s disposable pay.                of this section.
                                                Federal Labor Relations Authority,                      Deductions shall continue until the                      (e) Request for hearing official. The
                                                ATTN: Office of the Executive Director,                 FLRA knows that the debt is paid in full              FLRA will provide a hearing official
                                                1400 K Street NW., Washington, DC                       or until otherwise instructed by the                  upon the creditor agency’s request with
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                                                20424.                                                  creditor agency. Alternatively, the                   respect to an FLRA employee. See 5
                                                   (d) Incomplete certification. The                    amount offset may be an amount that                   CFR 550.1107(a).
                                                FLRA will return an incomplete debt                     the debtor and the creditor agency agree
                                                certification to the creditor agency with               upon in writing. See § 2418.12(g)                     Appendix A to Part 2418—Waiving
                                                notice that the creditor agency must                    (salary-offset process).                              Claims Against FLRA Employees for
                                                comply with paragraph (b) of this                          (c) When the debtor is no longer                   Erroneous Payments
                                                section before action will be taken to                  employed by the FLRA—(1) Offset of                    Date: May 1, 2015.



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                                                24788                  Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Rules and Regulations

                                                Subject: Waiving Claims Against FLRA                    consideration the responsibilities of the             employee or any other person having an
                                                   Employees for Erroneous Payments.                    United States to take prompt action to pursue         interest in obtaining a waiver of the claim.
                                                1. Purpose                                              enforced collection on overdue debts, which           There are no exceptions to this rule for
                                                                                                        may arise from erroneous payments.                    financial hardship or otherwise.
                                                   This appendix establishes the FLRA’s                    (4) Notify employees whose requests for               (1) ‘‘Fault’’ exists if, in light of all the
                                                policies and procedures for waiving claims              waiver of claims are denied in whole or in            circumstances, it is determined that the
                                                by the Government against an employee for               part of the basis for the denial.                     employee knew or should have known that
                                                erroneous payments of: (1) Pay and                         (5) Pay a refund when appropriate if a             an error existed, but failed to take action to
                                                allowances (e.g., health and life insurance)            waiver is granted;                                    have it corrected. Fault can derive from an
                                                and (2) travel, transportation, and relocation             (6) Fulfill all labor-relations                    act or a failure to act. Unlike fraud, fault does
                                                expenses and allowances.                                responsibilities when implementing the                not require a deliberate intent to deceive.
                                                2. Background                                           provisions of this appendix; and                      Whether an employee should have known
                                                   a. 5 U.S.C. 5584 authorizes the waiver of               (7) Fulfill any other responsibility of the        about an error in pay is determined from the
                                                claims by the United States in whole or in              agency imposed by 5 U.S.C. 5584 or other              perspective of a reasonable person. Pertinent
                                                part against an employee arising out of                 applicable laws and regulations.                      considerations in finding fault include
                                                erroneous payments of pay and allowances,                  Additionally, the Office of the Executive          whether:
                                                travel, transportation, and relocation                  Director may initiate a waiver application               (a) The payment resulted from the
                                                expenses and allowances. A waiver may be                during the processing of a claim under 5 CFR          employee’s incorrect, but not fraudulent,
                                                considered when collection of the claim                 part 2418.                                            statement that the employee should have
                                                would be against equity and good conscience             5. Reporting Requirements                             known was incorrect;
                                                and not in the best interest of the United                                                                       (b) The payment resulted from the
                                                                                                           a. The FLRA shall maintain a register of           employee’s failure to disclose material facts
                                                States, provided that there does not exist, in          waiver actions. The register shall cover each
                                                connection with the claim, an indication of                                                                   that were in the employee’s possession and
                                                                                                        fiscal year and be prepared by December 31            that the employee should have known to be
                                                fraud, misrepresentation, fault, or lack of             of each year for the preceding fiscal year. The
                                                good faith on the part of the employee or any                                                                 material; or
                                                                                                        register shall contain the following                     (c) The employee accepted a payment, that
                                                other person having an interest in obtaining            information:
                                                a waiver of the claim.                                                                                        the employee knew or should have known to
                                                                                                           (1) The total amount waived by the FLRA;           be erroneous.
                                                   b. The General Accounting Office Act of
                                                                                                           (2) The number and dollar amount of                   (2) Every case must be examined in light
                                                1996 (Pub. L. 104–316), Title I, section
                                                                                                        waiver applications granted in full;                  of its particular facts. For example, where an
                                                103(d), enacted October 19, 1996, amended 5
                                                                                                           (3) The number and dollar amount of                employee is promoted to a higher grade but
                                                U.S.C. 5584 by transferring the authority to
                                                                                                        waiver applications granted in part and               the step level for the employee’s new grade
                                                waive claims for erroneous payments
                                                                                                        denied in part, and the dollar amount of              is miscalculated, it may be appropriate to
                                                exceeding $1,500 from the Comptroller
                                                                                                        each;                                                 conclude that there is no fault on the
                                                General of the United States to the Office of
                                                                                                           (4) The number and dollar amount of                employee’s part because employees are not
                                                Management and Budget (OMB). OMB
                                                                                                        waiver applications denied in their entirety;         typically expected to be aware of and
                                                subsequently redelegated this waiver
                                                                                                        and                                                   understand the rules regarding determination
                                                authority to the executive agency that made
                                                the erroneous payment. The authority to                    (5) The number of waiver applications              of step level upon promotion. On the other
                                                waive claims not exceeding $1,500, which                referred to the Executive Director for initial        hand, a different conclusion as to fault
                                                was vested in the head of each agency prior             action.                                               potentially may be reached if the employee
                                                to the enactment of Public Law 104–316, was                b. The FLRA shall retain a written record          in question is a personnel specialist or an
                                                unaffected by the Act.                                  of each waiver action for 6 years and 3               attorney who concentrates on personnel law.
                                                   c. 5 U.S.C. 5514 authorizes the head of              months. At a minimum, the written record                 b. If the deciding official finds an
                                                each agency, upon a determination that an               shall contain:                                        indication of fraud, misrepresentation, fault,
                                                employee is indebted to the United States for              (1) The FLRA’s summary of the events               or lack of good faith on the part of the
                                                debts to which the United States is entitled            surrounding the erroneous payment;                    employee or any other person having an
                                                to be repaid at the time of the determination,             (2) Any written comments submitted by              interest in obtaining a waiver of the claim,
                                                to deduct up to 15%, or a greater amount if             the employee from whom collection is                  then the request for a waiver must be denied.
                                                agreed to by the employee or a higher                   sought;                                                  c. If the deciding official finds no
                                                deduction has been ordered by a court under                (3) An account of the waiver action taken          indication of fraud, misrepresentation, fault,
                                                section 124 of Public Law 97–276 (96 Stat.              and the reasons for such action; and                  or lack of good faith on the part of the
                                                1195), from the employee’s pay at officially               (4) Other pertinent information such as any        employee or any other person having an
                                                established pay intervals in order to repay             action taken to refund amounts repaid.                interest in obtaining a waiver of the claim,
                                                the debt.                                               6. Effect of Request for Waiver                       then the employee is not automatically
                                                3. Delegation                                              A request for a waiver of a claim shall not        entitled to a waiver. Before a waiver can be
                                                                                                        affect an employee’s opportunity under 5              granted, the deciding official must also
                                                   The Executive Director is delegated the                                                                    determine that collection of the claim against
                                                authority to waive, in whole or in part, a              U.S.C. 5514(a)(2)(D) for a hearing on the
                                                                                                        determination of the agency concerning the            an employee would be against equity and
                                                claim of the United States against an
                                                                                                        existence or the amount of the debt, or the           good conscience and not in the best interests
                                                employee for an erroneous payment of pay
                                                                                                        terms of the repayment schedule. A request            of the United States. Factors to consider
                                                and allowances, travel, transportation, and
                                                                                                        by an employee for a hearing under 5 U.S.C.           when determining whether collection of a
                                                relocation expenses and allowances, in
                                                                                                        5514(a)(2)(D) shall not affect an employee’s          claim against an employee would be against
                                                accordance with the limitations and
                                                                                                        right to request a waiver of the claim. The           equity and good conscience and not in the
                                                standards in 5 U.S.C. 5584.
                                                                                                        determination whether to waive a claim may            best interests of the United States include,
                                                4. Responsibilities                                                                                           but are not limited to:
                                                                                                        be made at the discretion of the deciding
                                                   The Office of the Executive Director shall:          official either before or after a final decision         (1) Whether collection of the claim would
                                                   (1) Promptly notify an employee upon                 is rendered pursuant to 5 U.S.C. 5514(a)(2)(D)        cause serious financial hardship to the
                                                discovery of an erroneous payment to that               concerning the existence or the amount of the         employee from whom collection is sought.
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                                                employee;                                               debt, or the terms of the repayment schedule.            (2) Whether, because of the erroneous
                                                   (2) Promptly act to collect the erroneous                                                                  payment, the employee either has
                                                overpayment, following established debt-                7. Guidelines for Determining Requests                relinquished a valuable right or changed
                                                collection policies and procedures;                        a. A request for a waiver shall not be             positions for the worse, regardless of the
                                                   (3) Establish time frames for employees to           granted if the deciding official determines           employee’s financial circumstances.
                                                request a waiver in writing and for the                 there exists, in connection with the claim, an           (a) To establish that a valuable right has
                                                Executive Director to review the waiver                 indication of fraud, misrepresentation, fault,        been relinquished, it must be shown that the
                                                request. These time frames must take into               or lack of good faith on the part of the              right was, in fact, valuable; that it cannot be



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                                                                       Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Rules and Regulations                                         24789

                                                regained; and that the action was based                 Boeing Company Model 787 airplanes.                   and locating Docket No. FAA–2015–
                                                chiefly or solely on reliance on the                    This AD requires a repetitive                         0936; or in person at the Docket
                                                overpayment.                                            maintenance task for electrical power                 Management Facility between 9 a.m.
                                                   (b) To establish that the employee’s                                                                       and 5 p.m., Monday through Friday,
                                                                                                        deactivation on Model 787 airplanes.
                                                position has changed for the worse, it must
                                                be shown that the decision would not have               This AD was prompted by the                           except Federal holidays. The AD docket
                                                been made but for the overpayment, and that             determination that a Model 787 airplane               contains this AD, the regulatory
                                                the decision resulted in a loss.                        that has been powered continuously for                evaluation, any comments received, and
                                                   (c) An example of a ‘‘detrimental reliance’’         248 days can lose all alternating current             other information. The street address for
                                                would be a decision to sign a lease for a more          (AC) electrical power due to the                      the Docket Office (phone: 800–647–
                                                expensive apartment based chiefly or solely             generator control units (GCUs)                        5527) is in the ADDRESSES section.
                                                upon reliance on an erroneous calculation of            simultaneously going into failsafe mode.              Comments will be available in the AD
                                                salary, and the funds spent for rent cannot be                                                                docket shortly after receipt.
                                                                                                        This condition is caused by a software
                                                recovered.
                                                   (3) The cost of collecting the claim equals          counter internal to the GCUs that will                FOR FURTHER INFORMATION CONTACT:
                                                or exceeds the amount of the claim;                     overflow after 248 days of continuous                 Kelly McGuckin, Aerospace Engineer,
                                                   (4) The time elapsed between the                     power. We are issuing this AD to                      Systems and Equipment Branch, ANM–
                                                erroneous payment and discovery of the error            prevent loss of all AC electrical power,              130S, FAA, Seattle Aircraft Certification
                                                and notification of the employee;                       which could result in loss of control of              Office (ACO), 1601 Lind Avenue SW.,
                                                   (5) Whether failure to make restitution              the airplane.                                         Renton, WA 98057–3356; phone: 425–
                                                would result in unfair gain to the employee;                                                                  917–6490; fax: 425–917–6590; email:
                                                                                                        DATES: This AD is effective May 1, 2015.
                                                   (6) Whether recovery of the claim would be
                                                                                                          The Director of the Federal Register                Kelly.McGuckin@faa.gov.
                                                unconscionable under the circumstances.
                                                   d. The burden is on the employee to                  approved the incorporation by reference               SUPPLEMENTARY INFORMATION:
                                                demonstrate that collection of the claim                of certain publications listed in this AD
                                                                                                                                                              Discussion
                                                would be against equity and good conscience             as of May 1, 2015.
                                                and not in the best interest of the United                We must receive comments on this                       We have been advised by Boeing of an
                                                States.                                                 AD by June 15, 2015.                                  issue identified during laboratory
                                                8. Authorities                                          ADDRESSES: You may send comments,                     testing. The software counter internal to
                                                   a. 5 U.S.C. 5584, ‘‘Claims for Overpayment           using the procedures found in 14 CFR                  the generator control units (GCUs) will
                                                of Pay and Allowances, and of Travel,                   11.43 and 11.45, by any of the following              overflow after 248 days of continuous
                                                Transportation and Relocation Expenses and              methods:                                              power, causing that GCU to go into
                                                Allowances.’’                                             • Federal eRulemaking Portal: Go to                 failsafe mode. If the four main GCUs
                                                   b. 31 U.S.C. 3711, ‘‘Collection and                  http://www.regulations.gov. Follow the                (associated with the engine mounted
                                                Compromise.’’
                                                                                                        instructions for submitting comments.                 generators) were powered up at the
                                                   c. 31 U.S.C. 3716, ‘‘Administrative Offset.’’                                                              same time, after 248 days of continuous
                                                   d. 31 U.S.C. 3717, ‘‘Interest and Penalty on           • Fax: 202–493–2251.
                                                                                                          • Mail: U.S. Department of                          power, all four GCUs will go into
                                                Claims.’’                                                                                                     failsafe mode at the same time, resulting
                                                   e. 5 CFR part 550, subpart K, ‘‘Collection           Transportation, Docket Operations, M–
                                                by Offset from Indebted Government                      30, West Building Ground Floor, Room                  in a loss of all AC electrical power
                                                Employees.’’                                            W12–140, 1200 New Jersey Avenue SE.,                  regardless of flight phase.
                                                   f. 31 CFR part 5, subpart B, ‘‘Salary Offset.’’      Washington, DC 20590.                                 FAA’s Determination
                                                   g. Determination with Respect to Transfer              • Hand Delivery: U.S. Department of
                                                of Functions Pursuant to Public Law 104–                                                                        We are issuing this AD because we
                                                                                                        Transportation, Docket Operations, M–
                                                316, OMB, December 17, 1996.                                                                                  evaluated all the relevant information
                                                                                                        30, West Building Ground Floor, Room
                                                9. Cancellation                                                                                               and determined the unsafe condition
                                                                                                        W12–140, 1200 New Jersey Avenue SE.,
                                                                                                                                                              described previously is likely to exist or
                                                   FLRA Internal Regulation 2790, dated                 Washington, DC 20590, between 9 a.m.
                                                December 29, 1986, is superseded.
                                                                                                                                                              develop in other products of the same
                                                                                                        and 5 p.m., Monday through Friday,
                                                                                                                                                              type design.
                                                [FR Doc. 2015–09999 Filed 4–30–15; 8:45 am]             except Federal holidays.
                                                BILLING CODE 6727–01–P                                    For service information identified in               AD Requirements
                                                                                                        this AD, contact Boeing Commercial                      This AD requires a repetitive
                                                                                                        Airplanes, Attention: Data & Services                 maintenance task for electrical power
                                                DEPARTMENT OF TRANSPORTATION                            Management, P. O. Box 3707, MC 2H–                    deactivation.
                                                                                                        65, Seattle, WA 98124–2207; telephone
                                                Federal Aviation Administration                         206–544–5000, extension 1; fax 206–                   Interim Action
                                                                                                        766–5680; Internet https://                              We consider this AD interim action.
                                                14 CFR Part 39                                          www.myboeingfleet.com. You may view                   The manufacturer is currently
                                                                                                        this referenced service information at                developing a GCU software upgrade that
                                                [Docket No. FAA–2015–0936; Directorate
                                                                                                        the FAA, Transport Airplane                           will address the unsafe condition
                                                Identifier 2015–NM–058–AD; Amendment
                                                39–18153; AD 2015–09–07]                                Directorate, 1601 Lind Avenue SW.,                    identified in this AD. Once this software
                                                                                                        Renton, WA. For information on the                    is developed, approved, and available,
                                                RIN 2120–AA64                                           availability of this material at the FAA,             we might consider additional
                                                                                                        call 425–227–1221. It is also available               rulemaking.
                                                Airworthiness Directives; The Boeing                    on the Internet at http://
                                                Company Airplanes                                       www.regulations.gov by searching for                  FAA’s Justification and Determination
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                                                                                                        and locating Docket No. FAA–2015–                     of the Effective Date
                                                AGENCY:  Federal Aviation
                                                Administration (FAA), DOT.                              0936.                                                   An unsafe condition exists that
                                                ACTION: Final rule; request for                                                                               requires the immediate adoption of this
                                                                                                        Examining the AD Docket                               AD. The FAA has found that the risk to
                                                comments.
                                                                                                          You may examine the AD docket on                    the flying public justifies waiving notice
                                                SUMMARY:  We are adopting a new                         the Internet at http://                               and comment prior to adoption of this
                                                airworthiness directive (AD) for all The                www.regulations.gov by searching for                  rule. If the four main GCUs were


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Document Created: 2018-02-21 10:20:35
Document Modified: 2018-02-21 10:20:35
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal rule.
DatesEffective May 1, 2015.
ContactGina Grippando, Counsel for Regulatory and Public Affairs, Federal Labor Relations Authority, Washington, DC 20424, (202) 218-7776.
FR Citation80 FR 24779 
CFR AssociatedAdministrative Practice and Procedure; Claims; Debts; Garnishment of Wages; Government Employees; Hearing Procedures; Pay Administration; Salaries and Wages

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