[Code of Federal Regulations]
[Title 29, Volume 4]
[Revised as of July 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 29CFR1450.28]

[Page 88-89]
 
                             TITLE 29--LABOR
 
                        AND CONCILIATION SERVICE
 
PART 1450_COLLECTIONS OF CLAIMS OWED THE UNITED STATES--Table of Contents
 
                         Subpart C_Salary Offset
 
Sec. 1450.28  Recovery when paying agency is not creditor agency.

    (a) Responsibilities of creditor agency. Upon completion of the 
procedures established under 5 U.S.C. 5514, the creditor agency must do 
the following:
    (1) The creditor agency must certify, in writing, that the employee 
owes the debt, the amont and basis of the debt, the date on which 
payment(s) is due, the date the Government's right to collect the debt 
first accrued, and that the creditor agency's regulations implementing 5 
U.S.C. 5514 have been approved by OPM.
    (2) If the collection must be made in installments, the creditor 
agency also must advise the paying agency of the number of installments 
to be collected, the amount of each installment, and the commencing date 
of the first installment (if a date other than the next officially 
established pay period is required).
    (3) Unless the employee has consented to the salary offset in 
writing or signed a statement acknowledging receipt of the required 
procedures, and the written consent or statement is forwarded to the 
paying agency, the creditor agency also must advise the paying agency of 
the action(s) taken under 5 U.S.C. 5514(b) and give the date(s) the 
action(s) was taken.
    (4) Except as otherwise provided in this paragraph, the creditor 
agency must submit a debt claim containing the information specified in 
paragraphs (a) (1) through (3) of this section and an installment 
agreement (or other instruction on the payment schedule), if applicable 
to the employee's paying agency.
    (5) If the employee is in the process of separating, the creditor 
agency must submit its claim to the employee's paying agency for 
collection pursuant to Sec. 1450.24. The paying agency must certify the 
total amount of its collection and provide copies to the creditor agency 
and the employee as stated in paragraph (c)(1) of this section. If the 
paying agency is aware that the employee is entitled to payments from 
the Civil Service Retirement and Disability Fund, or other similar 
payments, it must provide written notification to the agency responsible 
for making such payments that the debtor owes a debt (including the 
amount) and that the provisions of this section have been fully compiled 
with. However, the creditor agency must submit a properly certified 
claim to the agency responsible for making such payments before 
collection can be made.
    (6) If the employee is already separated and all payments from his 
or her former paying agency have been paid, the creditor agency may 
request, unless otherwise prohibited, that money due and payable to the 
employee from the Civil Service Retirement and Disability Fund (5 CFR 
831.1801 et seq.), or other similar funds, be administratively offset to 
collect the debt. (31 U.S.C. 3716 and 102.4 FCCS.)
    (b) Responsibilities of paying agency--(1) Complete claim. When the 
paying agency receives a properly certified debt claim from a creditor 
agency, deductions should be scheduled to begin prospectively at the 
next officially established pay interval. The employee must receive 
written notice that the paying agency has received a certified debt 
claim from the creditor agency (including the amount) and written notice 
of the date deductions from salary will commence and of the amount of 
such deductions.
    (2) Incomplete claim. When the paying agency receives an incomplete 
debt claim from a creditor agency, the paying agency must return the 
debt claim with a notice that procedures under 5 U.S.C. 5514 and this 
subpart must be provided, and a properly certified debt claim received, 
before action will be taken to collect from the employee's current pay 
account.

[[Page 89]]

    (3) Review. The paying agency is not required or 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.
    (c) Employees who transfer from one paying agency to another. (1) 
If, after the creditor agency has submitted the debt claim to the 
employee's paying agency, the employee transfers to a position served by 
a different paying agency before the debt is collected in full, the 
paying agency from which the employee separates must certify the total 
amount of the collection made on the debt. One copy of the certification 
must be furnished to the employee, another to the creditor agency along 
with notice of employee's transfer. However, the creditor agency must 
submit a properly certified claim to the new paying agency before 
collection can be resumed.
    (2) When an employee transfers to another paying agency, the 
creditor agency need not repeat the due process procedures described by 
5 U.S.C. 5514 and this subpart to resume the collection. However, the 
creditor agency is responsible for reviewing the debt upon receiving the 
former paying agency's notice of the employee's transfer to make sure 
the collection is resumed by the new paying agency.