[Code of Federal Regulations]
[Title 34, Volume 1]
[Revised as of July 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 34CFR31.11]

[Page 66]
 
                           TITLE 34--EDUCATION
 
PART 31--SALARY OFFSET FOR FEDERAL EMPLOYEES WHO ARE INDEBTED TO THE UNITED 
STATES UNDER PROGRAMS ADMINISTERED BY THE SECRETARY OF EDUCATION--Table of 
Contents
 
Sec. 31.11  Offset process.

    (a) The Secretary attempts to collect debts under this part within 
the shortest time authorized under--
    (1) The offset schedule proposed in the pre-offset notice, unless 
modified by agreement or by the decision of a hearing official;
    (2) A written repayment agreement with the employee; or
    (3) The offset schedule established in the decision of the hearing 
official.
    (b) In proposing an offset schedule under Sec. 31.3 or establishing 
a repayment agreement under Sec. 31.10, the Secretary also considers the 
expected period of Federal employment of the employee.
    (c) Unless the Secretary determines, in his discretion, to delay or 
suspend collection, the Secretary effects an offset under this part--
    (1) According to the terms agreed to by the employee pursuant to a 
timely request under Sec. 31.10 to enter into a repayment agreement; or,
    (2) After the deadlines in Sec. 31.10(b) for requesting a repayment 
agreement with the Secretary.
    (d) If the employee retires, resigns, or leaves Federal employment 
before the debt is satisfied, the Secretary collects the amount 
necessary to satisfy the debt by offset from subsequent payments of any 
kind, including a final salary payment or a lump sum annual leave 
payment, due the employee on the date of separation. If the debt cannot 
be satisfied by offset from any such final payment due the employee on 
the date of separation, the Secretary collects the debt from later 
payments of any kind due the employee in accordance with the provisions 
of 4 CFR 102.4.
    (e) The Secretary effects an offset under this part against payments 
owing to an employee of another Federal agency after completion of the 
requirements of this part, in accordance with the provisions of 5 CFR 
550.1108.

(Authority: 5 U.S.C. 5514; 31 U.S.C. 3716)