[Federal Register Volume 70, Number 148 (Wednesday, August 3, 2005)]
[Rules and Regulations]
[Pages 44512-44513]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-15258]


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DEPARTMENT OF THE INTERIOR

Office of the Secretary

43 CFR Part 39

[1090-AA93]


Administrative Wage Garnishment

AGENCY: Office of the Secretary, Interior.

ACTION: Final rule and request for comments.

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SUMMARY: The Department of the Interior (the Department) adopts the 
authority established under the Debt Collection Improvement Act (DCIA) 
to use administrative wage garnishment to collect delinquent non-tax 
debts. The DCIA allows a Federal agency collecting delinquent non-tax 
debt from an employee of a non-Federal entity to issue a wage 
garnishment order without first obtaining a court order. In order to 
establish procedures enabling the Department to use this authority, the 
Department adopts, without change, the administrative wage garnishment 
regulations issued by the Department of the Treasury, and designates 
the Office of Hearings and Appeals to conduct hearings under this 
authority.

DATES: This rule is effective September 2, 2005. Comments must be 
received by October 3, 2005.

ADDRESSES: You may submit comments, identified by the number 1090-AA93 
by any of the following methods:

--Federal rulemaking portal: http://www.regulations.gov Follow the 
instruction for submitting comments.
--E-mail: [email protected] Include the number 1084-AA00 in 
the subject line of the message.
--Fax: (202) 208-6940.
--Mail: William Webber, Focus Leader, Asset and Debt Management, Office 
of Financial Management, U.S. Department of the Interior, 1849 C 
Street, NW., Mail Stop 5412 MIB, Washington, DC 20240.
--Hand delivery: Office of Financial Management, U.S. Department of the 
Interior, 1849 C Street, NW., Room 5412, Washington, DC.

FOR FURTHER INFORMATION CONTACT: William Webber, Focus Leader, Asset 
and Debt Management, Office of Financial Management, U.S. Department of 
the Interior, 1849 C Street, NW., Mail Stop 5412 MIB, Washington, DC 
20240; (202) 208-5684.

SUPPLEMENTARY INFORMATION: The Department is adding a new part 39 to 43 
CFR to implement administrative wage garnishment provisions under 
section 31001(o) of the Debt Collection Improvement Act of 1966 (DCIA), 
Public Law 104-134, 110 Stat. 1321-358 (April 25, 1996), codified at 31 
U.S.C. 3720D. Under this statute, the Department is adopting the 
administrative wage garnishment regulation issued by the Department of 
the Treasury at 31 CFR 285.11. Under the DCIA, a Federal agency that is 
collecting delinquent non-tax debt may administratively garnish the 
debtor's wages using a hearing process under the agency's own 
regulations or in accordance with regulations promulgated by the 
Secretary of the Treasury, if the agency adopts those regulations by 
reference. The DCIA allows a Federal agency collecting delinquent non-
tax debt from a non-Federal employee to issue a wage garnishment order 
without first obtaining a court order. Should a debtor submit a written 
request for a hearing concerning the existence or amount of a debt, the 
administrative wage garnishment hearing procedures established in 
Treasury's regulations will be utilized by the Department to provide 
the debtor an opportunity to contest the garnishment. The Office of 
Hearings and Appeals will conduct the necessary hearings.
    The Department's debt collection program does not require 
procedures different from those established by the Department of the 
Treasury, and therefore the Department hereby adopts the Treasury 
regulation without modifications, except to designate the Offices of 
Hearing and Appeals to conduct the hearings.

Procedural Matters

Need To Issue a Direct Final Rule

    The Department has determined that the public notice and comment 
provisions of the Administrative Procedure Act, 5 U.S.C. 553(b), do not 
apply because of the exception under 5 U.S.C. 553(b)(3)(B), which 
allows the agency to suspend the notice and public procedure when the 
agency finds for good cause that those requirements are impractical, 
unnecessary, and contrary to the public interest. Because this rule 
commits the Department to follow without change an existing regulation 
of the Department of the Treasury, which has already been the subject 
of a proposed rule and public comment when promulgated by Treasury, we 
have determined that publication of a proposed rule and solicitation of 
comments is not necessary. While we are not required to solicit 
comments under the Administrative Procedure Act, the Department is 
soliciting comments to allow further public input regarding these 
procedures and will

[[Page 44513]]

consider revising this rule if comments warrant.

Regulatory Flexibility Act

    In accordance with the Regulatory Flexibility Act (Pub. L. 96-354, 
as amended by Pub. L. 104-121), the Department has reviewed this 
regulation, and by approving it, certifies under 5 U.S.C. 605(b) that 
this regulation will not have a significant economic impact on a 
substantial number of small entities. The Department's debt collection 
activities do not affect a substantial number of small entities. 
Moreover, as found by the Department of the Treasury, wage garnishment 
requirements do not have a significant economic impact on small 
entities. Employers of delinquent debtors must certify certain 
information about the debtor, such as the debtor's employment status 
and earnings. This information is contained in the employer's payroll 
records. Therefore, it will not take a significant amount of time or 
result in a significant cost for an employer to complete the 
certification form. Even if an employer is served withholding orders on 
several employees over the course of a year, the cost imposed on the 
employer to complete the certification would not have a significant 
economic impact on that entity. Employers are not required to vary 
their normal pay cycles in order to comply with a withholding order 
issued under this rule. For these reasons, a regulatory flexibility 
analysis is not required.

Executive Order 12866

    This rule is not a significant regulatory action as defined in 
Executive Order 12866 and is therefore not subject to review by the 
Office of Management and Budget.

Paperwork Reduction Act

    This regulation contains no information collection requirements 
subject to review by the Office of Management and Budget under the 
Paperwork Reduction Act of 1980 (44 U.S.C. Chapter 35).

List of Subjects in 43 CFR Part 39

    Garnishment of wages, Debt collection.

    Dated: June 28, 2005.
P. Lynn Scarlett,
Assistant Secretary--Policy, Management and Budget.

0
For the reasons given in the preamble, Title 43 of the Code of Federal 
Regulations is amended by adding a new part 39 to read as follows:

PART 39--COLLECTION OF DEBTS BY ADMINISTRATIVE WAGE GARNISHMENT

Sec.
39.1 Procedures for collection of debts by administrative wage 
garnishment.
39.2 Requests for Hearings.

    Authority: 31 U.S.C. 3720D.


Sec.  39.1  Procedures for collection of debts by administrative wage 
garnishment.

    The Department hereby adopts the administrative wage garnishment 
rules issued by the Department of the Treasury at 31 CFR 285.11.


Sec.  39.2  Requests for Hearings.

    Any request for a hearing under 31 CFR 285.11 must be filed with 
the Director, Office of Hearings and Appeals, U.S. Department of the 
Interior, 801 N. Quincy Street, Suite 300, Arlington, Virginia 22203.
[FR Doc. 05-15258 Filed 8-2-05; 8:45 am]
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