[Code of Federal Regulations]

[Title 14, Volume 5]

[Revised as of January 1, 2006]

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

[CITE: 14CFR1261.500]



[Page 354]

 

                     TITLE 14--AERONAUTICS AND SPACE

 

                          SPACE ADMINISTRATION

 

PART 1261_PROCESSING OF MONETARY CLAIMS (GENERAL)--Table of Contents

 

             Subpart 1261.5_Administrative Offset of Claims

 

Sec. 1261.500  Scope of subpart.



    Source: 52 FR 19487, May 26, 1987, unless otherwise noted.





    (a) This subpart applies to collection of claims by administrative 

offset under section 5 of the Federal Claims Collection Act of 1966 as 

amended by the Debt Collection Act of 1982 (31 U.S.C. 3716), other 

statutory authority, or the common law; it does not include ``Salary 

Offset,'' which is governed by subpart 1261.6, infra. Consistent with 4 

CFR 102.3, collection by administrative offset will be undertaken by 

NASA on all liquidated or certain in amount claims in every instance in 

which such collection is determined to be feasible and not otherwise 

prohibited.

    (b) Whether collection by administrative offset is feasible is a 

determination to be made by NASA on a case-by-case basis, in the 

exercise of sound discretion. NASA will consider not only whether 

administrative offset can be accomplished, both practically and legally, 

but also whether offset is best suited to further and protect all of the 

Government's interests. In appropriate circumstances, NASA may give due 

consideration to the debtor's financial condition; or whether offset 

would tend to substantially interfere with or defeat the purposes of the 

program authorizing the payments against which offset is contemplated. 

For example, under a grant program in which payments are made in advance 

of the grantee's performance, offset will normally be inappropriate.

    (c) NASA is not authorized by 31 U.S.C. 3716 to use administrative 

offset with respect to:

    (1) Debts owed by any State or local Government;

    (2) Debts arising under or payments made under the Social Security 

Act, the Internal Revenue Code of 1954, or the tariff laws of the United 

States; or

    (3) Any case in which collection of the type of debt involved by 

administrative offset is explicitly provided for or prohibited by 

another statute. However, unless otherwise provided by contract or law, 

debts or payments which are not subject to administrative offset under 

31 U.S.C. 3716 may be collected by administrative offset under the 

common law or other applicable statutory authority.