[Federal Register Volume 77, Number 126 (Friday, June 29, 2012)]
[Notices]
[Page 38888]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-16040]


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DEPARTMENT OF THE TREASURY

Fiscal Service


Prompt Payment Interest Rate; Contract Disputes Act

AGENCY: Bureau of the Public Debt, Fiscal Service, Treasury.

ACTION: Notice.

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SUMMARY: For the period beginning July 1, 2012, and ending on December 
31, 2012, the prompt payment interest rate is 1\3/4\ per centum per 
annum.

ADDRESSES: Comments or inquiries may be mailed to Dorothy Dicks, 
Reporting Team Leader, Federal Borrowings Branch, Division of 
Accounting Operations, Office of Public Debt Accounting, Bureau of the 
Public Debt, Parkersburg, West Virginia 26106-1328. A copy of this 
Notice is available at http://www.treasurydirect.gov.

DATES: Effective July 1, 2012, to December 31, 2012.

FOR FURTHER INFORMATION CONTACT: Brant McDaniel, Manager, Federal 
Borrowings Branch, Office of Public Debt Accounting, Bureau of the 
Public Debt, Parkersburg, West Virginia 26106-1328, (304) 480-5114; 
Dorothy Dicks, Reporting Team Leader, Federal Borrowings Branch, 
Division of Accounting Operations, Office of Public Debt Accounting, 
Bureau of the Public Debt, Parkersburg, West Virginia 26106-1328, (304) 
480-5115; Paul Wolfteich, Chief Counsel, Office of the Chief Counsel, 
Bureau of the Public Debt, (202) 504-3705; or Brenda L. Hoffman, 
Attorney-Advisor, Office of the Chief Counsel, Bureau of the Public 
Debt, (202) 504-3706.

SUPPLEMENTARY INFORMATION: An agency that has acquired property or 
service from a business concern and has failed to pay for the complete 
delivery of property or service by the required payment date shall pay 
the business concern an interest penalty. 31 U.S.C. 3902(a). The 
Contract Disputes Act of 1978, Sec. 12, Public Law 95-563, 92 Stat. 
2389, and the Prompt Payment Act, 31 U.S.C. 3902(a), provide for the 
calculation of interest due on claims at the rate established by the 
Secretary of the Treasury.
    The Secretary of the Treasury has the authority to specify the rate 
by which the interest shall be computed for interest payments under 
section 12 of the Contract Disputes Act of 1978 and under the Prompt 
Payment Act. Under the Prompt Payment Act, if an interest penalty is 
owed to a business concern, the penalty shall be paid regardless of 
whether the business concern requested payment of such penalty. 31 
U.S.C. 3902(c)(1). Agencies must pay the interest penalty calculated 
with the interest rate, which is in effect at the time the agency 
accrues the obligation to pay a late payment interest penalty. 31 
U.S.C. 3902(a). ``The interest penalty shall be paid for the period 
beginning on the day after the required payment date and ending on the 
date on which payment is made.'' 31 U.S.C. 3902(b).
    Therefore, notice is given that the Secretary of the Treasury has 
determined that the rate of interest applicable for the period 
beginning July 1, 2012, and ending on December 31, 2012, is 1\3/4\ per 
centum per annum.

Richard L. Gregg,
Fiscal Assistant Secretary.
[FR Doc. 2012-16040 Filed 6-28-12; 8:45 am]
BILLING CODE 4810-39-P