[Code of Federal Regulations]
[Title 7, Volume 14]
[Revised as of January 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR1951.101]

[Page 27]
 
                          TITLE 7--AGRICULTURE
 
   CHAPTER XVIII--RURAL HOUSING SERVICE, RURAL BUSINESS--COOPERATIVE 
SERVICE, RURAL UTILITIES SERVICE, AND FARM SERVICE AGENCY, DEPARTMENT OF 
                         AGRICULTURE (CONTINUED)
 
PART 1951--SERVICING AND COLLECTIONS--Table of Contents
 
     Subpart C--Offsets of Federal Payments to USDA Agency Borrowers
 
Sec. 1951.101  General.


    Federal debt collection statutes provide for the use of 
administrative, salary, and Internal Revenue Service (IRS) offsets by 
government agencies, including the Farm Service Agency (FSA), Rural 
Housing Service (RHS), Rural Utilities Service (RUS) for its water and 
waste programs, and Rural Business-Cooperative Service (RBS), herein 
referred to collectively as ``United States Department of Agriculture 
(USDA) Agency'', to collect delinquent debts. Any money that is or may 
become payable from the United States to an individual or entity 
indebted to a USDA Agency or other individual or entity indebted to a 
USDA Agency may be subject to offset for the collection of a debt owed 
to a USDA Agency. In addition, money may be collected from the debtor's 
retirement payments for delinquent amounts owed to the USDA Agency if 
the debtor is an employee or retiree of a Federal agency, the U.S. 
Postal Service, the Postal Rate Commission, or a member of the U.S. 
Armed Forces or the Reserve. Amounts collected will be processed as 
regular payments and credited to the borrower's account. USDA Agencies 
will process requests by other Federal agencies for offset in accordance 
with Sec. 1951.102 of this subpart. This subpart does not apply to RHS 
direct single family housing loans. Nothing in this subpart affects the 
agency's common law right of set off.

[65 FR 50602, Aug. 21, 2000]