[Code of Federal Regulations]

[Title 44, Volume 1]

[Revised as of October 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 44CFR11.45]



[Page 120-122]

 

              TITLE 44--EMERGENCY MANAGEMENT AND ASSISTANCE

 

 CHAPTER I--FEDERAL EMERGENCY MANAGEMENT AGENCY, DEPARTMENT OF HOMELAND 

                                SECURITY

 

PART 11_CLAIMS--Table of Contents

 

     Subpart C_Collection of Debts by the Government Under the Debt 

                         Collection Act of 1982

 

Sec. 11.45  Collection by salary offset.



    (a) General. Where an individual is an employee of the Federal 

Government or a member of the Armed Forces or a reserve component of the 

Armed Forces or is receiving retired or retainer pay for service as a 

Federal employee and where the individual is indebted to the United 

States and where the individual fails to satisfy his indebtedness 

voluntarily after the Agency has made demands in accordance



[[Page 121]]



with Sec. 11.42 of this part, the ACO may institute collection action 

by salary or pay offset procedures in accordance with 5 U.S.C. 5514, 5 

CFR 550.1101 through 550.1106, 5 CFR part 845, 5 CFR 831.1301 et seq., 

and the procedures described below.

    (b) Notice to debtor. At least 30 days prior to initiating salary 

offset, the ACO or his designee shall send notice by certified mail, 

return receipt requested, to the debtor advising him of:

    (1) Nature, origin and amount of indebtedness determined by the 

Agency to be due, the date that the debt was due, and a statement that 

FEMA has complied with applicable statutes, regulations and procedures,

    (2) Agency intention to initiate proceedings to collect the debt by 

deductions from pay,

    (3) Rights available under 5 U.S.C. 5514(a),

    (4) Debtor's opportunity to inspect and copy Government records 

relating to the debt,

    (5) Opportunity to enter into a written agreement, under terms 

satisfactory to the ACO, to establish terms for the repayment of the 

debt, and

    (6) Opportunity for a hearing, described in paragraph (c) of this 

section, concerning the existence or the amount of the debt or, if no 

repayment schedule has been established (in accordance with paragraph 

(b)(1) of this section) concerning the terms of the repayment schedule,

    (7) If there is a statutory provision authorizing waiver, remission, 

or forgiveness of the debt due the United States; the individual will be 

notified as to:

    (i) Nature of the provision,

    (ii) Explanation of the conditions under which the waiver shall be 

granted,

    (iii) Reasonable opportunity to request a waiver,

    (iv) If waiver is requested, then a written response will be given 

to the request.

    (c) Hearing. The debtor shall file a written petition for hearing or 

for a waiver (if applicable) on or before the twentieth calendar day 

after receipt of notice, referred to in paragraph (b) of this section, 

addressed to the Agency Collections Officer, Federal Emergency 

Management Agency, Washington, DC 20472. The postmark or receipt date, 

if mail is not used, shall establish the date of petition.

    (1) The hearing official shall be an Administrative Law Judge or a 

person of grade GS/GM-14 or higher, not under the supervision or control 

of the Director, FEMA. The Director may enter into interagency support 

agreements with other Federal agencies or departments for providing 

hearing officials.

    (2) The hearing shall be informal but the debtor shall be given the 

basic safeguards of due process. The debtor shall have the right to be 

represented by an attorney. A summary record shall be made of the 

proceedings at the hearing. The hearing shall, insofar as possible, be 

conducted at a location and time convenient to the debtor.

    (3) As soon as practicable, but in no event later than 60 days after 

the filing of the petition for hearing, the hearing official shall 

render a final decision. If a hearing is requested, no further action 

shall be taken to collect the debt until the final decision is rendered.

    (d) Amount deducted. The amount deducted from pay for any period 

shall not exceed 15 percent of disposable pay. However, the debtor may 

voluntarily agree to the deduction of a greater amount of pay. 

Disposable pay means that part of pay of any individual remainng after 

the deduction from those earnings of any amounts required by law to be 

withheld. However, installment payments of less than $25.00 will be 

accepted only in the most unusual circumstances. Disposable pay is 

defined in 5 CFR 550.1103 and 5 CFR 581.105(b) through (f).

    (e) Procedural requirements specified in paragraph (c) of this 

section shall not be used in cases of collections of such obligations as 

changes in coverage under a Federal benefits program or resulting from 

ministerial adjustments pay and allowances which cannot be placed in 

effect immediately because of normal processing delays.

    (f) When an employee, who is subject to salary offset in accordance 

with this section and who is making repayment in installments, finds 

that total repayment of the debt is about to be made, then the employee 

must notify the employee's payroll office, at least two pay



[[Page 122]]



periods before the final payment, that final payment is being made.

    (g) Debts arising from travel advances provided under 5 U.S. C. 5705 

and for travel and transportation expenses for transferred employees 

under 5 U.S.C. 5724 may be collected by taking offsets in accordance 

with 44 CFR 11.43.



[49 FR 38267, Sept. 28, 1984, as amended at 50 FR 40007, Oct. 1, 1985; 

57 FR 54715, Nov. 20, 1992]