[Code of Federal Regulations]

[Title 34, Volume 1]

[Revised as of July 1, 2006]

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

[CITE: 34CFR30.21]



[Page 51]

 

                           TITLE 34--EDUCATION

 

PART 30_DEBT COLLECTION--Table of Contents

 

        Subpart C_What Provisions Apply to Administrative Offset?

 

Sec.  30.21  When may the Secretary offset a debt?



    (a) The Secretary may offset a debt if:

    (1) The debt is liquidated or certain in amount; and

    (2) Offset is feasible and not otherwise prohibited.

    (b)(1) Whether offset is feasible is determined by the Secretary in 

the exercise of sound discretion on a case-by-case basis, either:

    (i) For each individual debt or offset; or

    (ii) For each class of similar debts or offsets.

    (2) The Secretary considers the following factors in making this 

determination:

    (i) Whether offset can be practically and legally accomplished.

    (ii) Whether offset will further and protect the interests of the 

United States.

    (c) The Secretary may switch advance funded grantees to a 

reimbursement payment system before initiating an offset.



(Authority: 20 U.S.C. 1221e-3(a)(1) and 1226a-1, 31 U.S.C. 3716(b))