[Federal Register Volume 63, Number 246 (Wednesday, December 23, 1998)]
[Rules and Regulations]
[Page 71204]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-33874]



[[Page 71203]]

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Part III





Department of the Treasury





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Fiscal Service



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31 CFR Part 285



Offset of Federal Benefit Payments to Collect Past-due, Legally 
Enforceable Nontax Debt; Final Rule

Federal Register / Vol. 63, No. 246 / Wednesday, December 23, 1998 / 
Rules and Regulations

[[Page 71204]]



DEPARTMENT OF THE TREASURY

Fiscal Service

31 CFR Part 285

RIN 1510-AA74 and RIN 1510-AA64


Offset of Federal Benefit Payments to Collect Past-due, Legally 
Enforceable Nontax Debt

AGENCY: Financial Management Service, Fiscal Service, Treasury.

ACTION: Final rule.

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SUMMARY: The Debt Collection Improvement Act of 1996 requires the 
Federal Government to withhold or reduce certain Federal payments for 
the purpose of collecting delinquent nontax debts owed to the United 
States by the payee. This process is known as ``administrative offset'' 
or ``offset.'' This final rule governs the offset of Federal benefit 
payments issued under the Social Security Act (other than Supplemental 
Security Income), part B of the Black Lung Benefits Act, and any law 
administered by the Railroad Retirement Board (other than tier 2 
benefit payments). A notice of proposed rulemaking was published in the 
Federal Register on August 21, 1998, by cross-reference to an interim 
rule published in the Federal Register on the same day. This final rule 
adopts the interim rule without change.

DATES: This rule is effective January 22, 1999.

FOR FURTHER INFORMATION CONTACT: Gerry Isenberg, Financial Program 
Specialist, at (202) 874-6660; Martin Mills, Treasury Offset Program, 
at (202) 874-8700; Ellen Neubauer or Ronda Kent, Senior Attorneys, at 
(202) 874-6680. A copy of this final rule is being made available for 
downloading from the Financial Management Service web site at the 
following address: http://www.fms.treas.gov/debt.

SUPPLEMENTARY INFORMATION:

Background

    The Debt Collection Improvement Act of 1996, Pub. L. 104-134, 110 
Stat. 1321-358 (April 26, 1996), requires the Federal Government to 
withhold or reduce certain Federal payments for the purpose of 
collecting delinquent nontax debts owed to the United States by the 
payee. This process is known as ``administrative offset'' or 
``offset.'' On August 21, 1998, the Financial Management Service (FMS) 
published in the Federal Register, 63 FR 44991, a notice of proposed 
rulemaking (NPRM) concerning the offset of Federal benefit payments 
issued under the Social Security Act (other than Supplemental Security 
Income), part B of the Black Lung Benefits Act, and any law 
administered by the Railroad Retirement Board (other than tier 2 
benefit payments). An interim rule with request for comments, published 
in the Federal Register on the same day, 63 FR 44986, served as the 
text for the NPRM. The closing date for the submission of comments 
regarding the proposed and interim rules was September 21, 1998.

Comments on the Proposed and Interim Rules

    FMS did not receive any comments on the proposed rule by the close 
of the comment period. Likewise, FMS did not receive any comments on 
the interim rule which served as the text for the proposed rule. 
Therefore, the interim rule is adopted, without change, as a final 
rule.

Regulatory Analysis

    This final rule is not a significant regulatory action as defined 
in Executive Order 12866. It is hereby certified that this rule will 
not have a significant economic impact on a substantial number of small 
entities. The basis for this certification is that this rule only 
impacts individuals who owe delinquent debt to the United States and 
receive the benefit payments discussed above. Therefore a regulatory 
flexibility analysis is not required.

Adoption as Final Rule

    Accordingly, the interim rule adding Sec. 285.4 to 31 CFR part 285, 
subpart A, which was published at 63 FR 44986 on August 21, 1998, is 
adopted as a final rule without change.

    Dated: December 16, 1998.
Richard L. Gregg,
Commissioner.
[FR Doc. 98-33874 Filed 12-22-98; 8:45 am]
BILLING CODE 4810-35-P