[Federal Register Volume 60, Number 245 (Thursday, December 21, 1995)]
[Rules and Regulations]
[Pages 66072-66073]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-30999]



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RAILROAD RETIREMENT BOARD

20 CFR Parts 366 and 367

RIN 3220-AB09


Collection of Debts

AGENCY: Railroad Retirement Board.

ACTION: Final rule.

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SUMMARY: The Railroad Retirement Board (Board) amends its regulations 
pertaining to the collection of debts by offset against other Federal 
payments and against tax refunds to authorize use of these collection 
methods for collection of debts from businesses.

EFFECTIVE DATE: December 21, 1995.

ADDRESSES: Secretary to the Board, Railroad Retirement Board, 844 Rush 
Street, Chicago, Illinois 60611.

FOR FURTHER INFORMATION CONTACT: Michael C. Litt, General Attorney, 
Bureau of Law, Railroad Retirement Board, 844 Rush Street, Chicago, 
Illinois 60611, (312) 751-4929, TDD (312) 751-4701.

SUPPLEMENTARY INFORMATION: Part 366 of the Board's regulations deals 
with collection of debts by means of offset from Federal tax refunds 
through referrals to the Internal Revenue Service. This procedure is 
authorized by 31 U.S.C. 3720A. Part 367 deals with the collection of 
debts by administrative offset under the authority of the Debt 
Collection Act of 1982, 31 U.S.C. 3716. As currently in effect, the 
Board's regulations as to tax refund offset and administrative offset 
apply to individual debtors only. The Board believes that amendment of 
these regulations to authorize these collection procedures against 
business debtors will facilitate collection of debts which may be owed 
to the Board.
    On August 17, 1995, the Board published this rule as a proposed 
rule (60 FR 42818), inviting comments on or before September 18, 1995. 
No comments were received.
    The Board, with the concurrence of the Office of Management and 
Budget, has determined that this is not a significant regulatory action 
under Executive Order 12866. Therefore, no regulatory impact analysis 
is required. Information collections associated with this rule have 
been approved by the Office of Management and Budget. 

[[Page 66073]]


List of Subjects in 20 CFR Parts 366 and 367

    Railroad employees, Railroad retirement, Railroad unemployment 
insurance.

    For the reasons set out in the preamble, parts 366 and 367 of title 
20, chapter II of the Code of Federal Regulations are amended as 
follows:

PART 366--COLLECTION OF DEBTS BY FEDERAL TAX REFUND OFFSET

    1. The authority citation for part 366 continues to read as 
follows:

    Authority: 45 U.S.C. 231f(b)(5); 31 U.S.C. 3720A.


Sec. 366.1  [Amended]

    2. Section 366.1 is amended by removing the word ``individuals'' 
and adding in its place the word ``debtors''.
    3. Section 366.2 is amended by revising the introductory text, and 
paragraphs (a), (b), (e), and (f) to read as follows:


Sec. 366.2  Past-due legally enforceable debt.

    A past-due legally enforceable debt which may be referred to the 
Internal Revenue Service is a debt:
    (a) Which arose under any statute administered by the Board or 
under any contract;
    (b) Which is an obligation of a debtor who is a natural person or a 
business;
* * * * *
    (e) With respect to which the rights regarding reconsideration, 
waiver, and appeal, described in part 260 or 320 of this chapter or in 
other law, if applicable, have been exhausted;
    (f) With respect to which either:
    (1) The Board's records do not contain evidence that the debtor 
(or, if an individual, his or her spouse) has filed for bankruptcy 
under Title 11 of the United States Code; or
    (2) The Board can clearly establish at the time of the referral 
that the automatic stay under section 362 of the Bankruptcy Code has 
been lifted or is no longer in effect with respect to the debtor (or, 
if an individual, his or her spouse) and the debt was not discharged in 
the bankruptcy proceeding;
* * * * *


Sec. 366.2  [Amended]

    3. Section 366.2(j) is amended by removing the word ``individual'' 
and adding in its place the word ``debtor''.
    4. Section 366.2(k) is amended by removing the word ``individual'' 
and adding in its place the word ``debtor''.


Sec. 366.6  [Amended]

    5. Section 366.6(c) is amended by removing the words ``individual 
owing the debt'' and adding in their place the word ``debtor''.

PART 367--RECOVERY OF DEBTS OWED TO THE UNITED STATES GOVERNMENT BY 
ADMINISTRATIVE OFFSET

    6. The authority citation for part 367 continues to read as 
follows:

    Authority: 45 U.S.C. 231f(b)(5); 31 U.S.C. 3716.

    7. Section 367.2 is amended by revising the introductory text and 
paragraphs (a), (b), (e), and (f) to read as follows:


Sec. 367.2  Past-due legally enforceable debt.

    A past-due legally enforceable debt which may be referred to 
another governmental agency for administrative offset is a debt:
    (a) Which arose under any statute administered by the Board or 
under any contract;
    (b) Which is an obligation of a debtor who is a natural person or a 
business;
* * * * *
    (e) With respect to which the rights described in part 260 or 320 
of this chapter or the applicable law regarding reconsideration, 
waiver, and appeal, if applicable, have been exhausted;
    (f) With respect to which either:
    (1) The Board's records do not contain evidence that the debtor 
(or, if an individual, his or her spouse) has filed for bankruptcy 
under Title 11 of the United States Code; or
    (2) The Board can clearly establish at the time of the referral 
that the automatic stay under section 362 of the Bankruptcy Code has 
been lifted or is no longer in effect with respect to the debtor (or, 
if an individual, his or her spouse) and the debt was not discharged in 
the bankruptcy proceeding;
* * * * *


Sec. 367.2  [Amended]

    8. Section 367.2(i) is amended by removing the word ``individual'' 
and adding in its place the word ``debtor'', and by removing the words 
``that person'' and adding in their place the words ``the debtor'';
    9. Section 367.2(j) is amended by removing the words ``such 
individual'' and adding in their place the words ``the debtor'';


Sec. 367.7  [Amended]

    10. Section 367.7(c) is amended by removing the words ``individual 
owing the debt'' and adding in their place the word ``debtor''.

    Dated: December 13, 1995.

    By Authority of the Board.
Beatrice Ezerski,
Secretary to the Board.
[FR Doc. 95-30999 Filed 12-20-95; 8:45 am]
BILLING CODE 7905-01-P