[Code of Federal Regulations]
[Title 45, Volume 4]
[Revised as of October 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 45CFR2506.50]

[Page 570]
 
                        TITLE 45--PUBLIC WELFARE
 
       CHAPTER XXV--CORPORATION FOR NATIONAL AND COMMUNITY SERVICE
 
PART 2506_COLLECTION OF DEBTS--Table of Contents
 
                     Subpart E_Administrative Offset
 
Sec. 2506.50  Under what circumstances will the Corporation collect 


amounts that I owe to the Corporation (or some other Federal agency) 
by offsetting the debt 
          against payments that the Corporation (or some other Federal 
          agency) owes me?

    (a) The regulations in this subpart apply to the collection of any 
debts you owe to the Corporation, or to any request from another Federal 
agency that the Corporation collect a debt you owe by offsetting your 
debt against a payment the Corporation owes you. Administrative offset 
is authorized under section 5 of the Federal Claims Collection Act of 
1966, as amended (31 U.S.C. 3716). The Corporation will carry out 
administrative offset in accordance with the provisions of the Federal 
Claims Collection Standards. The regulations in this subpart are 
intended only to supplement the provisions of the FCCS.
    (b) The Chief Executive Officer, after attempting to collect a debt 
you owe to the Corporation under section 3(a) of the Federal Claims 
Collection Act of 1966, as amended (31 U.S.C. 3711(a)), may collect the 
debt by administrative offset only after giving you:
    (1) Written notice of the type and amount of the debt, the intention 
of the Chief Executive Officer to collect the debt by administrative 
offset, and an explanation of the rights of the debtor;
    (2) An opportunity to inspect and copy the records of the 
Corporation related to the debt;
    (3) An opportunity for a review within the Corporation of the 
decision of the Corporation related to the debt; and
    (4) An opportunity to make a written agreement with the Chief 
Executive Officer to repay the amount of the debt.
    (c) No collection by administrative offset will be made on any debt 
that has been outstanding for more than 10 years, unless facts material 
to the Corporation's or the requesting Federal agency's right to collect 
the debt were not known, and reasonably could not have been known, by 
the official or officials responsible for discovering and collecting the 
debt.
    (d) The regulations in this subpart do not apply to:
    (1) A case in which administrative offset of the type of debt 
involved is explicitly prohibited by statute; or
    (2) Debts owed to the Corporation by Federal agencies.