REFERENCES IN TEXT The Higher Education Act of 1965, referred to in subsec. (c)(1)(C), is Pub. L. 89-329, Nov. 8, 1965, 79 Stat. 1219, as amended. Title IV of the Act is classified generally to subchapter IV (§ 1070 et seq.) of chapter 28 of Title 20, Education, and part C (§ 2751 et seq.) of subchapter I of chapter 34 of Title 42, The Public Health and Welfare. For complete classification of this Act to the Code, see Short Title note set out under section 1001 of Title 20 and Tables. The Social Security Act, referred to in subsec. (c)(3)(A)(i)(I), (C), is act Aug. 14, 1935, ch. 531, 49 Stat. 620, as amended, which is classified generally to chapter 7 (§301 et seq.) of Title 42, The Public Health and Welfare. Titles II, VIII, and XVI of the Act are classified generally to subchapters II (§ 401 et seq.), VIII (§ 1001 et seq.), and XVI (§ 1381 et seq.), respectively, of chapter 7 of Title 42. Sections 205(b)(1), 809(a)(1), and 1631(c)(1) of the Act are classified to sections 405(b)(1), 1009(a)(1), and 1383(c)(1), respectively, of Title 42. For complete classification of this Act to the Code, see section 1305 of Title 42 and Tables. The Black Lung Benefits Act, referred to in subsec. (c)(3)(A)(i)(II), is title IV of Pub. L. 91-173, Dec. 30. 1969, 83 Stat. 792, as amended. Part B of the Act is classified generally to part B (§921 et seq.) of subchapter IV of chapter 22 of Title 30, Mineral Lands and Mining. For complete classification of this Act to the Code, see section 901(b) of Title 30 and Tables. The Internal Revenue Code of 1986, referred to in subsec. (c)(8), is classified to Title 26, Internal Revenue Code. AMENDMENTS 1999 Subsec. (c)(3)(C). Pub. L. 106-169 substituted "sections 205(b)(1), 809(a)(1)," for "sections 205(b)(1)" and "title II, VIII," for "either title II". 1996 Subsec. (a). Pub. L. 104-134, §31001(c)(1), substituted "the head of an executive. judicial, or legislative agency" for "the head of an executive or legislative agency" in introductory provisions. Subsec. (b). Pub. L. 104-134. §31001(d)(2)(A), amended subsec. (b) generally. Prior to amendment, subsec. (b) read as follows: "Before collecting a claim by administrative offset under subsection (a) of this section, the head of an executive or legislative agency must prescribe regulations on collecting by administrative offset based on "(1) the best interests of the United States Government; "(2) the likelihood of collecting a claim by administrative offset; and "(3) for collecting a claim by administrative offset after the 6-year period for bringing a civil action on a claim under section 2415 of title 28 has expired, the cost effectiveness of leaving a claim unresolved for more than 6 years." Pub. L. 104-134, §31001(c)(1), substituted "the head of an executive. judicial, or legislative agency" for "the head of an executive or legislative agency" in introductory provisions. Subsec. (c). Pub. L. 104-134, §31001(d)(2)(D), added subsec. (c). Former subsec. (c) redesignated (e). Subsec. (c)(2). Pub. L. 104-134, §31001(d)(2)(B), amended par. (2) generally. Prior to amendment, par. (2) read as follows: "when a statute explicitly provides for or prohibits using administrative offset to collect the claim or type of claim involved." Subsec. (d). Pub. L. 104-134, §31001(d)(2)(D), added subsec. (d). Subsec. (e). Pub. L. 104-134, §31001(d)(2)(C), redesignated subsec. (c) as (e). Subsecs. (f) to (h). Pub. L. 104-134, §31001(e), (f), added subsecs. (f) to (h). OFFSETS FROM SOCIAL SECURITY PAYMENTS Section 31001(a)(2)(B) of Pub. L. 104-134 provided that: "Subparagraph (A) of section 3716(c)(3) of title 31, United States Code (as added by subsection (d)(2) of this section), shall apply only to payments made after the date which is 4 months after the date of the enactment of this Act [Apr. 26, 1996].” EX. ORD. NO. 13019. SUPPORTING FAMILIES: COLLECTING DELINQUENT CHILD SUPPORT OBLIGATIONS Ex. Ord. No. 13019, Sept. 28, 1996, 61 F.R. 51763, provided that: The Debt Collection Improvement Act of 1996, Public Law 104-134 [§ 31001] (110 Stat. 1321-358 et seq.) [see Short Title of 1996 Amendment note set out under section 3701 of this title], was enacted into law on April 26, 1996, as part of the Omnibus Consolidated Rescissions and Appropriations Act of 1996. While the primary purpose of the Debt Collection Improvement Act is to increase the collection of nontax debts owed to the Federal Government, the Act also contains important provisions that can be used to assist families in collecting past-due child support obligations. The failure of some parents to meet their child support obligations threatens the health, education, and well-being of their children. Compounding this problem, States have experienced difficulties enforcing child support obligations once a parent has moved to another State. With this Executive order, my Administration takes additional steps to support our children and strengthen American families by facilitating the collection of delinquent child support obligations from persons who may be entitled or eligible to receive certain Federal payments or Federal assistance. Accordingly, by the authority vested in me as President by the Constitution and the laws of the United States of America, it is hereby ordered as follows: SECTION 1. Administrative Offsets. (a)(1) The Secretary of the Treasury ("the Secretary"), in accordance with the provisions of the Debt Collection Improvement Act of 1996 and to the extent permitted by law, and in consultation with the Secretary of Health and Human Services and other affected agencies, shall promptly develop and implement procedures necessary for the Secretary to collect past-due child support debts by administrative offset, and shall issue such rules, regulations, and procedures as the Secretary, in consultation with the heads of affected agencies, deems appropriate to govern administrative offsets by the Department of the Treasury and other executive departments and agencies that disburse Federal payments. (2) The Secretary may enter into reciprocal agreements with States concerning the collection by the Secretary of delinquent child support debts through administrative offsets. (b) The Secretary of Health and Human Services shall, within 120 days of the date of this order, implement procedures necessary to report to the Secretary of the Treasury information on past-due child support claims referred by States (including claims enforced by States pursuant to cooperative agreements with or by Indian tribal governments) to the Department of Health and Human Services. (c) The head of each executive department and agency that certifies payments to the Secretary or to another disbursing official shall review each class of payments that the department or agency certifies to determine if any such class should be exempt from offset and, if any class is so identified, submit to the Secretary a request for such an exemption together with the reasons therefor. With respect to classes of payments under means-tested programs existing on the date of this order, such submission shall be made within 30 days of the date of this order. With respect to classes of payments other than payments under meanstested programs existing on the date of this order, such submissions shall be made within 30 days of the date the Secretary establishes standards pursuant to section 3716(c)(3) of title 31, United States Code. With respect to a class of payments established after the date of this order, such submissions shall be made not later than 30 days after such class is established. (d) The head of each executive department and agency that certifies payments to the Secretary shall promptly implement any rule, regulation, or procedure issued by the Secretary pursuant to this section. (e) The head of each executive department and agency that is authorized by law to disburse payments shall promptly implement any rule, regulation, or procedure issued by the Secretary pursuant to this section and shall: (1) match, consistent with computer privacy matching laws, the payment certification records of such department or agency with records of persons delinquent in child support payments as directed by the Secretary; and (2) conduct administrative offsets to collect delinquent child support payments. (f) The Secretary shall, to the extent permitted by law, share with the Secretary of Health and Human Services any information contained in payment certification records of persons who are delinquent in child support obligations that would assist in the collection of such debts, whether or not an administrative offset is conducted. SEC. 2. Denial of Federal Assistance. (a) The Secretary shall, to the extent permitted by law, ensure that information concerning individuals whose payments are subject to administrative offset because of delinquent child support obligations is made available to the head of each executive department and agency that provides Federal financial assistance to individuals. (b) In conformance with section 2(e) of this order, the head of each executive department and agency shall, with respect to any individuals whose payments are subject to administrative offset because of a delinquent child support obligation, promptly implement procedures to deny Federal financial assistance to such individuals. (c) The Attorney General, in consultation with the Secretary of Health and Human Services and other affected agencies, shall promptly issue guidelines for departments and agencies concerning minimum due-process standards to be included in the procedures required by subsection (b) of this section. (d) For purposes of this section, Federal financial assistance means any Federal loan (other than a disaster loan), loan guarantee, or loan insurance. (e)(1) A class of Federal financial assistance shall not be subject to denial if the head of the concerned department or agency determines: (A) in consultation with the Attorney General and the Secretary of Health and Human Services, that such action: (i) is not permitted by law; or (ii) would likely result in valid legal claims for damages against the United States; (B) that such action would be inconsistent with the best interests of the child or children with respect to whom a child support obligation is owed; or (C) that such action should be waived. (2) The head of each executive department and agency shall provide written notification to the Secretary upon determining that the denial of a class of Federal financial assistance is not permitted by law or should be waived. (f) The head of each executive department and agency shall: (1) review all laws under the jurisdiction of the department or agency that do not permit the denial of Federal financial assistance to individuals and whose payments are subject to administrative offset because of a delinquent child support obligation and, where appropriate, transmit to the Director of the Office of Management and Budget recommendations for statutory changes; and (2) to the extent practicable, review all rules, regulations, and procedures implementing laws under the jurisdiction of the department or agency governing the provision of any Federal financial assistance to individuals and, where appropriate, conform such rules, regulations, and procedures to the provisions of this order and the rules, regulations, and procedures issued by the Secretary pursuant to section 1 of this order. SEC. 3. Reports. (a) The head of each executive department and agency shall provide to the Secretary such information as the Secretary may request concerning the implementation of this order, the provisions of the Debt Collection Improvement Act of 1996 applicable to delinquent child support obligations, and the rules, regulations, and procedures issued by the Secretary pursuant to section 1 of this order. (b) The Secretary shall report annually to the President concerning the implementation by departments and agencies of this order and the provisions of the Debt Collection Improvement Act of 1996 applicable to delinquent child support obligations. SEC. 4. Judicial Review. This order does not create any right or benefit, substantive or procedural, enforceable at law by a party against the United States, its agencies, its officers, or any person. WILLIAM J. CLINTON. SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 3322, 3325, 3701, 3712, 3807 of this title; title 5 section 5514; title 10 section 2739; title 28 section 2415; title 30 section 1724; title 38 section 5301; title 42 section 404. § 3717. Interest and penalty on claims (a)(1) The head of an executive, judicial, or legislative agency shall charge a minimum annual rate of interest on an outstanding debt on a United States Government claim owed by a person that is equal to the average investment rate for the Treasury tax and loan accounts for the 12-month period ending on September 30 of each year, rounded to the nearest whole percentage point. The Secretary of the Treasury shall publish the rate before November 1 of that year. The rate is effective on the first day of the next calendar quarter. [See main edition for text of (2); (b) and (c)] (d) Interest under subsection (a) of this section may not be charged if the amount due on the claim is paid within 30 days after the date from which interest accrues under subsection (b) of this section. The head of an executive, judicial, or legislative agency may extend the 30-day period. (e) The head of an executive, judicial, or legislative agency shall assess on a claim owed by a person [See main edition for text of (1) and (2); (f) and (g)] (h) In conformity with standards prescribed jointly by the Attorney General, the Secretary of the Treasury, and the Comptroller General, the head of an executive, judicial, or legislative agency may prescribe regulations identifying circumstances appropriate to waiving collection of interest and charges under subsections (a) and (e) of this section. A waiver under the regulations is deemed to be compliance with this section. (i)(1) The head of an executive, judicial, or legislative agency may increase an administrative claim by the cost of living adjustment in lieu of charging interest and penalties under this section. Adjustments under this subsection will be computed annually. (2) For the purpose of this subsection— (A) the term "cost of living adjustment” means the percentage by which the Consumer Price Index for the month of June of the cal endar year preceding the adjustment exceeds the Consumer Price Index for the month of June of the calendar year in which the claim was determined or last adjusted; and (B) the term "administrative claim" includes all debt that is not based on an extension of Government credit through direct loans, loan guarantees, or insurance, including fines, penalties, and overpayments. (As amended Pub. L. 104-134, title III, §31001(c)(1), (g)(1)(C), (q), Apr. 26, 1996, 110 Stat. 1321-359, 1321-363, 1321-372.) AMENDMENTS 1996-Subsec. (a)(1). Pub. L. 104-134, § 31001(c)(1), which directed that this section be amended by substituting "the head of an executive, judicial, or legislative agency" for "the head of an executive or legislative agency" wherever appearing, was executed by substituting "The head of an executive, judicial, or legislative agency" for "The head of an executive or legislative agency", to reflect the probable intent of Congress. Subsecs. (d), (e). Pub. L. 104-134, §31001(c)(1), which directed that this section be amended by substituting "the head of an executive, judicial, or legislative agency" for "the head of an executive or legislative agency" wherever appearing, was executed by substituting "The head of an executive, judicial, or legislative agency" for "The head of an executive or legislative agency", to reflect the probable intent of Congress. Subsec. (h). Pub. L. 104-134, §31001(c)(1), (g)(1)(C), inserted", the Secretary of the Treasury," after "Attorney General" and substituted "the head of an executive, judicial, or legislative agency" for "the head of an executive or legislative agency". (1). Subsec. (i). Pub. L. 104-134, §31001(q), added subsec. SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 3701, 3711 of this title; title 5 section 5514; title 7 sections 147a, 2260a, 2371; title 10 section 2739; title 15 section 80a-24; title 21 section 136a; title 22 section 2671; title 26 section 6103; title 42 section 404. §3718. Contracts for collection services (a) Under conditions the head of an executive, judicial, or legislative agency considers appropriate, the head of the agency may enter into a contract with a person for collection service to recover indebtedness owed, or to locate or recover assets of, the United States Government. The head of an agency may not enter into a contract under the preceding sentence to locate or recover assets of the United States held by a State government or financial institution unless that agency has established procedures approved by the Secretary of the Treasury to identify and recover such assets. The contract shall provide that [See main edition for text of (1) and (2)] (b)(1)(A) The Attorney General may make contracts retaining private counsel to furnish legal services, including representation in negotiation, compromise, settlement, and litigation, in the case of any claim of indebtedness owed the United States. Each such contract shall include such terms and conditions as the Attorney General considers necessary and appropriate, including a provision specifying the amount of the fee to be paid to the private counsel under such contract or the method for calculating that fee. The amount of the fee payable for legal services furnished under any such contract may not exceed the fee that counsel engaged in the private practice of law in the area or areas where the legal services are furnished typically charge clients for furnishing legal services in the collection of claims of indebtedness, as determined by the Attorney General, considering the amount, age, and nature of the indebtedness and whether the debtor is an individual or a business entity. Nothing in this subparagraph shall relieve the Attorney General of the competition requirements set forth in title III of the Federal Property and Administrative Services Act of 1949 (41 U.S.C. 251 and following). (B) The Attorney General shall use his best efforts to enter into contracts under this paragraph with law firms owned and controlled by socially and economically disadvantaged individuals and law firms that are qualified HUBZone small business concerns (as defined in section 3(p) of the Small Business Act), so as to enable each agency to comply with paragraph (3). (2) The head of an executive, judicial, or legislative agency may, subject to the approval of the Attorney General, refer to a private counsel retained under paragraph (1) of this subsection claims of indebtedness owed the United States arising out of activities of that agency. (3) Each agency shall use its best efforts to assure that not less than 10 percent of the amounts of all claims referred to private counsel by that agency under paragraph (2) are referred to law firms owned and controlled by socially and economically disadvantaged individuals and law firms that are qualified HUBZone small business concerns. For purposes of this paragraph (A) the term "law firm owned and controlled by socially and economically disadvantaged individuals" means a law firm that meets the requirements set forth in clauses (i) and (ii) of section 8(d)(3)(C) of the Small Business Act (15 U.S.C. 637(d)(3)(C)(i) and (ii)) and regulations issued under those clauses; (B) "socially and economically disadvantaged individuals" shall be presumed to include these groups and individuals described in the last paragraph of section 8(d)(3)(C) of the Small Business Act; and (C) the term "qualified HUBZone small business concern" has the meaning given that term in section 3(p) of the Small Business Act. [See main edition for text of (4) to (7); (c)] (d) Notwithstanding section 3302(b) of this title, a contract under subsection (a) or (b) of this section may provide that a fee a person charges to recover indebtedness owed, or to locate or recover assets of, the United States Government is payable from the amount recovered. [See main edition for text of (e) to (g)] (As amended Pub. L. 104-134, title III, §31001(c)(1), (l), (cc)(1), Apr. 26, 1996, 110 Stat. 1321-359, 1321-366, 1321-380; Pub. L. 105-135, title VI, §604(e)(1), Dec. 2, 1997, 111 Stat. 2633.) REFERENCES IN TEXT Section 3(p) of the Small Business Act, referred to in subsec. (b)(1)(B), (3)(C), is classified to section 632(p) of Title 15, Commerce and Trade. AMENDMENTS 1997-Subsec. (b)(1)(B). Pub. L. 105-135, §604(e)(1)(A), inserted "and law firms that are qualified HUBZone small business concerns (as defined in section 3(p) of the Small Business Act)" after "disadvantaged individuals". Subsec. (b)(3). Pub. L. 105–135. § 604(e)(1)(B)(i), inserted "and law firms that are qualified HUBZone small business concerns" after "economically disadvantaged individuals" in introductory provisions. Subsec. (b)(3)(C). Pub. L. 105-135, § 604(e)(1)(B)(ii)–(iv). added subpar. (C). 1996 Subsec. (a). Pub. L. 104-134, §31001(7)(1), in introductory provisions substituted "Under conditions the head of an executive, judicial, or legislative agency considers appropriate, the head of the agency may enter into a contract with a person for collection service to recover indebtedness owed, or to locate or recover assets of, the United States Government. The head of an agency may not enter into a contract under the preceding sentence to locate or recover assets of the United States held by a State government or financial institution unless that agency has established procedures approved by the Secretary of the Treasury to identify and recover such assets." for "Under conditions the head of an executive or legislative agency considers appropriate, the head of the agency may make a contract with a person for collection services to recover indebtedness owed the United States Government." Subsec. (b)(1)(A). Pub. L. 104-134, §31001(cc)(1), struck out "If the Attorney General makes a contract for legal services to be furnished in any judicial district of the United States under the first sentence of this paragraph, the Attorney General shall use his best efforts to obtain, from among attorneys regularly engaged in the private practice of law in such district, at least four such contracts for legal services with private individuals or firms in such district." before "Nothing in this subparagraph shall". Subsec. (b)(2). Pub. L. 104-134, §31001(c)(1), which directed the amendment of this section by substituting "the head of an executive, judicial, or legislative agency" for "the head of an executive or legislative agency" wherever appearing, was executed by substituting "The head of an executive, judicial, or legislative agency" for "The head of an executive or legislative agency", to reflect the probable intent of Congress. Subsec. (d). Pub. L. 104-134, §31001(7)(2), inserted". or to locate or recover assets of," after "owed". EFFECTIVE DATE OF 1997 AMENDMENT Amendment by Pub. L. 105-135 effective Oct. 1, 1997, see section 3 of Pub. L. 105-135, set out as a note under section 631 of Title 15, Commerce and Trade. EFFECTIVE AND TERMINATION DATES OF 1986 Section 5 of Pub. L. 99-578, as amended by Pub. L. 102-589, §4(c), Nov. 10, 1992, 106 Stat. 5134, which provided that Pub. L. 99-578 and the amendments made by section 1 of Pub. L. 99-578 (amending this section and enacting provisions set out as notes under this section) were to be in effect until Sept. 30, 1996, was repealed by Pub. L. 104-134, title III, §31001(cc)(2), Apr. 26, 1996, 110 Stat. 1321-380. PILOT PROGRAM; EXTENSION Section 3 of Pub. L. 99-578, as amended by Pub. L. 102-589, §4(b), Nov. 10, 1992, 106 Stat. 5134, which directed Attorney General to carry out subsections (b) and (c) of this section through a pilot program in each of at least 5 and not more than 15 judicial districts selected by the Attorney General, was repealed by Pub. L. 104-134, title III, §31001(cc)(2). Apr. 26, 1996, 110 Stat. 1321-380. Pub. L. 104-134, title I, § 101[(a)] [title I. § 120], Apr. 26, 1996, 110 Stat. 1321, 1321-22; renumbered title I, Pub. L. 104-140, §1(a), May 2, 1996, 110 Stat. 1327, provided that the pilot debt collection project authorized by Public Law 99-578 (formerly set out above) was extended through September 30, 1997. Prior extensions of the pilot program for legal services were contained in the following acts: Pub. L. 102-589, §4(a), Nov. 10, 1992, 106 Stat. 5134. SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 3302, 3701 of this title; title 5 section 5514; title 10 section 2780; title 22 sections 2671, 2716; title 25 section 1616a; title 26 sections 6103, 6311; title 28 section 3002; title 38 section 1729; title 42 sections 2540, 404. §3719. Reports on debt collection activities (a) In consultation with the Comptroller General of the United States, the Secretary of the Treasury shall prescribe regulations requiring the head of each agency with outstanding nontax claims to prepare and submit to the Secretary at least once each year a report summarizing the status of loans and accounts receivable that are managed by the head of the agency. The report shall contain— [See main edition for text of (1) and (2)] (3) other information the Secretary considers necessary to decide whether the head of the agency is acting aggressively to collect the claims of the agency. (b) The Secretary shall analyze the reports submitted under subsection (a) of this section and shall report annually to Congress on the management of debt collection activities by the head of each agency, including the information provided the Secretary under subsection (a). (As amended Pub. L. 104-134, title III, § 31001(aa)(3), Apr. 26, 1996, 110 Stat. 1321-380.) AMENDMENTS 1996 Subsec. (a). Pub. L. 104-134, §31001(aa)(3)(A)(i), amended first sentence generally. Prior to amendment, first sentence read as follows: "In consultation with the Secretary of the Treasury and the Comptroller General, the Director of the Office of Management and Budget shall prescribe regulations requiring the head of each agency with outstanding debts to prepare and submit to the Director and the Secretary at least once each year a report summarizing the status of loans and accounts receivable managed by the head of the agency." Subsec. (a)(3). Pub. L. 104–134, § 31001(aa)(3)(A)(ii), substituted "Secretary" for "Director". Subsec. (b). Pub. L. 104–134, §31001(aa)(3)(B), which directed that subsec. (b) be amended by substituting "Secretary" for "Director", was executed by making the substitution to both places where "Director" appeared. CONSOLIDATION OF REPORTS Section 31001(aa)(4) of Pub. L. 104-134 provided that: "Notwithstanding any other provision of law, the Secretary of the Treasury may consolidate reports concerning debt collection otherwise required to be submitted by the Secretary into one annual report." § 3720A. Reduction of tax refund by amount of debt (a) Any Federal agency that is owed by a person a past-due, legally enforceable debt (including debt administered by a third party acting as an agent for the Federal Government) shall, and any agency subject to section 9 of the Act of May 18, 1933 (16 U.S.C. 831h), owed such a debt may, in accordance with regulations issued pursuant to subsections (b) and (d), notify the Secretary of the Treasury at least once each year of the amount of such debt. [See main edition for text of (b) to (g)] (h)(1)1 The disbursing official of the Department of the Treasury (1)1 shall notify a taxpayer in writing of— (C) a contact point within the creditor agency that will handle concerns regarding the offset; (2)1 shall notify the Internal Revenue Service on a weekly basis of (A) the occurrence of an offset to satisfy a past-due legally enforceable non-tax2 debt; (B) the amount of such offset; and (C) any other information required by regulations; and (3) shall match payment records with requests for offset by using a name control, taxpayer identifying number (as that term is used in section 6109 of the Internal Revenue Code of 1986), and any other necessary identifiers. (h)(2)1 The term "disbursing official" of the Department of the Treasury means the Secretary or his designee. (1) An agency subject to section 9 of the Act of May 18, 1933 (16 U.S.C. 831h), may implement this section at its discretion. (As amended Pub. L. 104-134, title III, §31001 (u)(1), (v)(1), (w), Apr. 26, 1996, 110 Stat. 1321-375.) REFERENCES IN TEXT The Social Security Act, referred to in subsec. (f)(1), is act Aug. 14, 1935. ch. 531, 49 Stat. 620, as amended. Title II of the Act is classified generally to subchapter II (§ 401 et seq.) of chapter 7 of Title 42, The Public Health and Welfare. Section 204 of the Act is classified to section 404 of Title 42. For complete classification of this Act to the Code, see section 1305 of Title 42 and Tables. Section 6109 of the Internal Revenue Code of 1986, referred to in subsec. (h)(3), is classified to section 6109 of Title 26, Internal Revenue Code. AMENDMENTS 1996 Subsec. (a). Pub. L. 104–134. §31001(v)(1), amended subsec. (a) generally. Prior to amendment, subsec. (a) read as follows: "Any Federal agency that is owed a past-due legally enforceable debt (other than any past-due support), including debt administered by a third party acting as an agent for the Federal Government, by a named person shall, in accordance with regulations issued pursuant to subsections (b) and (d), notify the Secretary of the Treasury at least once a year of the amount of all such debt." Subsec. (h). Pub. L. 104-134, §31001(w), amended subsec. (h) generally. Prior to amendment, subsec. (h) read as follows: "For purposes of this section 'So in original. Subsec. (h) contains two pars. designated (1) and (2). 2 So in original. Probably should not be hyphenated. (i). "(1) the term 'Federal agency' means a department, agency, or instrumentality of the United States (other than an agency subject to section 9 of the Act of May 18, 1933 (48 Stat. 63, chapter 32; 16 U.S.C. 831h)), and includes a Government corporation (as such term is defined in section 103 of title 5, United States Code); "(2) the term 'past-due support' means any delinquency subject to section 464 of the Social Security Act; "(3) the term 'OASDI overpayment' means any overpayment of benefits made to an individual under title II of the Social Security Act; and "(4) the term 'person' means an individual; or a sole proprietorship, partnership, corporation, nonprofit organization, or any other form of business association." Subsec. (i). Pub. L. 104-134, § 31001(u)(1), added subsec. SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 3322, 3325 of this title; title 7 sections 2020, 2022; title 26 section 6402; title 42 sections 404, 1320a-8, 1395ccc. § 3720B. Barring delinquent Federal debtors from obtaining Federal loans or loan insurance guarantees (a) Unless this subsection is waived by the head of a Federal agency, a person may not obtain any Federal financial assistance in the form of a loan (other than a disaster loan) or loan insurance or guarantee administered by the agency if the person has an outstanding debt (other than a debt under the Internal Revenue Code of 1986) with any Federal agency which is in a delinquent status, as determined under standards prescribed by the Secretary of the Treasury. Such a person may obtain additional loans or loan guarantees only after such delinquency is resolved in accordance with those standards. The Secretary of the Treasury may exempt, at the request of an agency, any class of claims. (b) The head of a Federal agency may delegate the waiver authority under subsection (a) to the Chief Financial Officer of the agency. The waiver authority may be redelegated only to the Deputy Chief Financial Officer of the agency. (Added Pub. L. 104-134, title III, §31001(j)(1), Apr. 26, 1996, 110 Stat. 1321-365.) REFERENCES IN TEXT The Internal Revenue Code of 1986, referred to in subsec. (a), is classified to Title 26, Internal Revenue Code. § 3720C. Debt Collection Improvement Account (a)(1) There is hereby established in the Treasury a special fund to be known as the "Debt Collection Improvement Account" (hereinafter in this section referred to as the "Account"). (2) The Account shall be maintained and managed by the Secretary of the Treasury, who shall ensure that agency programs are credited with amounts transferred under subsection (b)(1). (b)(1) Not later than 30 days after the end of a fiscal year, an agency may transfer to the Account the amount described in paragraph (3), as adjusted under paragraph (4). (2) Agency transfers to the Account may include collections from (A) salary, administrative, and tax refund offsets; |