This section of the FEDERAL REGISTER

contains notices to the public of the proposed

issuance of rules and regulations. The

purpose of these notices is to give interested

persons an opportunity to participate in the

rule making prior to the adoption of the final

rules.

Proposed Rules Federal Register

8274 

Vol. 75, No. 36 

Wednesday, February 24, 2010 

FEDERAL ELECTION COMMISSION 

11 CFR Parts 8 and 111 

[Notice 2010–04] 

Collection of Administrative Debts; 

Collection of Debts Arising From 

Enforcement and Administration of 

Campaign Finance Laws 

AGENCY: Federal Election Commission. 

ACTION: Notice of proposed rulemaking. 

SUMMARY: The Federal Election 

Commission (‘‘Commission’’) requests 

comments on proposed rules 

implementing statutory provisions 

regarding the collection of debts owed 

to the United States Government. The 

Commission also proposes integrating 

its rules regarding the collection of 

debts arising solely from the 

Administrative Fines program into the 

new proposed rules. 

DATES: Comments must be received on 

or before March 26, 2010. 

ADDRESSES: All comments must be in 

writing, must be addressed to Ms. Amy 

L. Rothstein, Assistant General Counsel, 

and must be submitted in either e-mail, 

facsimile, or paper copy form. 

Commenters are strongly encouraged to 

submit comments by e-mail to ensure 

timely receipt and consideration. E-mail 

comments must be sent to 

debtcollectionrules@fec.gov. If e-mail 

comments include an attachment, the 

attachment must be in either Adobe 

Acrobat (.pdf) or Microsoft Word (.doc) 

format. Faxed comments must be sent to 

(202) 219–3923, with paper copy followup. Paper comments and paper copy 

follow-up of faxed comments must be 

sent to the Federal Election 

Commission, 999 E Street, NW., 

Washington, DC 20463. All comments 

must include the full name and postal 

service address of the commenter or 

they will not be considered. The 

Commission will post all comments on 

its Web site after the comment period 

ends. 

FOR FURTHER INFORMATION CONTACT: Ms. 

Amy L. Rothstein, Assistant General 

Counsel, or Ms. Esther D. Heiden, 

Attorney, 999 E Street, NW., 

Washington, DC 20463, (202) 694–1650 

or (800) 424–9530. 

SUPPLEMENTARY INFORMATION: 

I. Background 

The Commission is proposing new 

rules to implement the Debt Collection 

Improvement Act of 1996 (‘‘DCIA’’), 

Public Law 104–134, 110 Stat. 1321– 

358. The DCIA governs the Federal 

government’s debt collection activities, 

and mandates that all nontax debts or 

claims owed to the United States that 

have been delinquent for a period of 180 

days shall be referred to the U.S. 

Department of the Treasury or a 

Treasury-designated collection center 

for appropriate action to collect or 

terminate collection of the claim or 

debt. 31 U.S.C. 3711(g)(1). The purposes 

of the DCIA are: (1) To maximize 

collections of delinquent debts owed to 

the Government by ensuring quick 

action to enforce recovery of debts and 

the use of all appropriate collection 

tools; (2) to minimize the costs of debt 

collection by consolidating related 

functions and activities and using 

interagency teams; (3) to reduce losses 

arising from debt management activity 

by requiring proper screening of 

potential borrowers, aggressive 

monitoring of all accounts, and sharing 

of information within and among 

Federal agencies; (4) to ensure that the 

public is fully informed of the Federal 

government’s debt collection policies 

and that debtors are aware of their 

obligations to repay amounts owed to 

the Federal government; (5) to ensure 

that debtors have all appropriate due 

process rights, including the ability to 

verify, challenge, and compromise 

claims, and access to administrative 

appeals procedures that are both 

reasonable and protect the interests of 

the United States; (6) to encourage 

agencies, when appropriate, to sell 

delinquent debt, particularly debts with 

underlying collateral; and (7) to rely on 

the experience and expertise of private 

sector professionals to provide debt 

collection services to Federal agencies. 

Public Law 104–134, sec. 31001(b), 110 

Stat. 1321–358. 

The Federal Claims Collection 

Standards (‘‘FCCS’’), 31 CFR parts 900– 

904, were promulgated by the U.S. 

Department of the Treasury and the U.S. 

Department of Justice. The FCCS 

prescribes the standards that Federal 

agencies must use in the administrative 

collection, offset, compromise, and 

suspension or termination of collection 

activity for civil claims of money, funds, 

or property as defined by 31 U.S.C. 

3701(b). The FCCS applies unless more 

specific Federal statutes or agency 

regulations apply, and in certain cases 

involving bankruptcy. The FCCS 

clarifies and simplifies Federal debt 

collection procedures, and prescribes 

the steps that an agency must take 

before initiating debt collection to 

ensure that individuals’ rights are 

protected. These steps include notifying 

the debtor of the debt and the 

consequences of failing to resolve the 

debt. See 31 CFR 901.2. The FCCS 

provides agencies with limited 

discretion to adopt agency-specific 

regulations, tailored to the legal and 

policy requirements applicable to 

various types of Federal debt. The 

Commission seeks comment on all 

sections of the proposed rules in this 

notice. 

The regulations proposed here would 

incorporate the provisions of the DCIA 

and the FCCS, in some instances 

directly, and in other instances by crossreference. 

II. Proposed 11 CFR Part 8—Collection 

of Administrative Debts 

The Commission is proposing to add 

new part 8 and new subpart C to part 

111 of its regulations to provide for debt 

collection. The two provisions taken 

together are designed to cover all types 

of debt that the Commission must 

collect. The proposed approach of 

separating the two general categories of 

debt in the regulations at proposed 11 

CFR part 8 and 11 CFR part 111 subpart 

C is for the convenience of the reader. 

Placing provisions concerning the 

collection of debts arising from the 

Commission’s enforcement of the 

campaign finance laws in 11 CFR part 

111 is consistent with the current 

placement of the regulations for 

collecting Administrative Fines debts 

with the enforcement provisions of part 

111; placing the other debt collection 

provisions in 11 CFR part 8 also enables 

general administrative provisions to be 

located together. 

A. Proposed 11 CFR 8.1—Purpose and 

Scope 

Proposed 11 CFR 8.1 provides that the 

purpose of the proposed regulations is 


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to apply the collection standards set out 

in the DCIA and the FCCS. 

B. Proposed 11 CFR 8.2—Debts That Are 

Covered 

Proposed 11 CFR 8.2 states that the 

new Commission regulations in part 8 

cover only those debts that are either 

owed by current and former 

Commission employees, or arise from 

the provision of goods or services by 

contractors or vendors doing business 

with the Commission. The proposed 

regulations in part 8 would not cover 

debts arising from compliance matters, 

administrative fines, alternative dispute 

resolution, repayments of public funds, 

and court judgments arising from the 

Commission’s enforcement of the 

campaign finance laws, which would be 

covered in proposed 11 CFR part 111 

subpart C. Proposed section 8.2 mirrors 

proposed 11 CFR 111.51. The 

Commission’s proposed regulations also 

would not cover other types of debt that 

are specifically excluded from the 

FCCS, such as debts involving criminal 

actions of fraud, the presentation of a 

false claim, or misrepresentation on the 

part of the debtor or any other person 

having an interest in the claim, and 

debts under the Internal Revenue Code 

of 1986. 

C. Proposed 11 CFR 8.3—Administrative 

Collection of Claims 

Proposed 11 CFR 8.3 states that the 

Commission will collect the claims or 

debts covered by proposed 11 CFR part 

8 in accordance with the FCCS, and 

adopts by cross-reference the relevant 

provisions of the DCIA, and U.S. 

Department of the Treasury and 

Department of Justice debt collection 

regulations. See 31 U.S.C. 3701 et seq.; 

31 CFR 285.2, 285.4, 285.7, 285.11, and 

parts 900–904. Proposed section 8.3 also 

states that the Commission will refer 

debts to the U.S. Department of the 

Treasury for collection no later than 180 

days after the debts become delinquent. 

The proposed rule includes examples of 

collection actions that the U.S. 

Department of the Treasury might take: 

Referral to another debt collection 

center, referral to a private collection 

contractor, or referral to the Department 

of Justice for litigation. These examples 

are taken from the U.S. Department of 

the Treasury regulation governing the 

transfer of debts to the U.S. Department 

of the Treasury, and are not a 

comprehensive list of the actions that 

the U.S. Department of the Treasury 

may take in collecting such debt. See 31 

CFR 285.12(c)(2). During the 180 days 

before the mandatory transfer of a debt 

to the U.S. Department of the Treasury, 

the Commission may take any action 

under these proposed rules to attempt to 

collect the debt. 

D. Proposed 11 CFR 8.4—Bankruptcy 

Claims 

Proposed 11 CFR 8.4 recognizes that 

in cases where a debtor has sought 

protection under the Bankruptcy Code, 

the Code, particularly 11 U.S.C. 106, 

362, and 553, may require the 

Commission to take different action 

from that prescribed under the debt 

collection regulations set forth in 

proposed part 8 and the FCCS. In these 

situations, bankruptcy law will govern 

the debt collection process. 

E. Proposed 11 CFR 8.5—Interest, 

Penalties, and Administrative Costs 

Proposed 11 CFR 8.5 states that the 

Commission shall assess interest, 

penalties, and administrative costs on 

debts owed to the United States, in 

accordance with Federal law. The 

Commission shall waive collection of 

interest and administrative costs on 

debts or portions of debts that are paid 

within thirty days after the date on 

which interest begins to accrue. 

The proposed regulation also provides 

that the Commission may, at its 

discretion, waive collection of interest, 

penalties, or administrative costs on any 

debt that is not paid within thirty days 

after the date on which interest begins 

to accrue. The proposed regulation 

states that the Commission may waive 

collection of interest, penalties, or 

administrative costs if it determines 

that: (1) Collection is against equity and 

good conscience or is not in the best 

interest of the United States, including 

when an administrative offset or 

installment agreement is in effect; or, (2) 

waiver is appropriate under the criteria 

for compromise of debts set forth at 31 

CFR 902.2(a). 

III. Proposed Removal of 11 CFR 111.45 

The Commission proposes to remove 

current 11 CFR 111.45. This provision 

governs debt collection with respect to 

the Administrative Fines program. 

Under the proposed new regulations, 

these debts would be covered by 

proposed 11 CFR Part 111 Subpart C— 

Collection of Debts Arising from 

Enforcement and Administration of 

Campaign Finance Laws. The 

Commission requests comments on this 

proposal. 

IV. Proposed 11 CFR Part 111 Subpart 

C—Collection of Debts Arising From 

Enforcement and Administration of 

Campaign Finance Laws 

The proposed regulations in 11 CFR 

part 111 subpart C would govern the 

Commission’s collection of debts arising 

from compliance matters, administrative 

fines, alternative dispute resolution, 

repayments of public funds, and court 

judgments arising from the 

Commission’s enforcement of the 

campaign finance laws. The proposed 

regulations cover the collection of debts 

only, and will be invoked only after the 

completion of existing Commission 

processes during which respondents or 

other parties have had a full and fair 

opportunity to demonstrate that no civil 

penalty or repayment should be 

imposed. See 11 CFR parts 111 and 

9038, and 9008.11–9008.15. 

A. Proposed 11 CFR 111.50—Purpose 

and Scope 

Proposed 11 CFR 111.50 provides that 

the purpose of the proposed regulations 

is to apply the collection standards set 

out in the DCIA and the FCCS. This 

proposed provision would treat debts 

under proposed 11 CFR part 111 in a 

similar manner to those owed by 

employees and vendors under proposed 

new 11 CFR 8.1. 

B. Proposed 11 CFR 111.51—Debts That 

Are Covered 

Proposed 11 CFR 111.51 states that 

the new Commission regulations in 11 

CFR part 111 subpart C would cover 

only those debts arising from 

compliance matters, administrative 

fines, alternative dispute resolution, 

repayments of public funds, and court 

judgments arising from the 

Commission’s enforcement and 

administration of the campaign finance 

laws. The proposed regulations in 11 

CFR part 111 subpart C would not cover 

debts either owed by current and former 

Commission employees, or arising from 

the provision of goods or services by 

contractors or vendors doing business 

with the Commission, which would be 

covered by proposed new 11 CFR part 

8. This proposed new provision would 

treat debts under proposed 11 CFR part 

111 in a similar manner to those owed 

by employees and vendors under 

proposed new 11 CFR 8.2, and the two 

provisions are designed to cover all 

types of debt that the Commission must 

collect. The Commission’s proposed 

regulations also would not cover other 

types of debt that are specifically 

excluded from the FCCS, such as debts 

involving criminal actions of fraud, the 

presentation of a false claim, or 

misrepresentation on the part of the 

debtor or any other person having an 

interest in the claim, and debts under 

the Internal Revenue Code of 1986. 


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C. Proposed 11 CFR 111.52— 

Administrative Collection of Claims 

Proposed 11 CFR 111.52 states that 

the Commission will collect all claims 

or debts in accordance with the FCC, 

and adopts by cross-reference the 

relevant DCIA, U.S. Department of the 

Treasury, and U.S. Department of 

Justice debt collection provisions. See 

31 U.S.C. 3701 et seq.; 31 CFR 285.2, 

285.4, 285.7, 285.11, and parts 900–904. 

This proposed provision would treat the 

debts covered by proposed new 11 CFR 

part 111 subpart C in a similar manner 

to those owed by employees and 

vendors under proposed new 11 CFR 

8.3. The proposed provision also states 

that the Commission will refer debts to 

the U.S. Department of the Treasury for 

collection no later than 180 days after 

the debt becomes delinquent. The 

proposed rule includes examples of 

collection actions that the U.S. 

Department of the Treasury might take: 

Referral to another debt collection 

center, or referral to a private collection 

contractor. These examples are taken 

from the U.S. Department of the 

Treasury regulation governing the 

transfer of debts to the U.S. Department 

of the Treasury, and are not a 

comprehensive list of the actions that 

the U.S. Department of the Treasury 

may take in collecting such debt. See 31 

CFR 285.12(c)(2). During the 180 days 

before the mandatory transfer of a debt 

to the U.S. Department of the Treasury, 

the Commission may take any action 

under these proposed rules, or may go 

to court under the Commission’s 

litigating authority in 31 U.S.C. 437g to 

attempt to collect the debt. 

D. Proposed 11 CFR 111.53—Litigation 

by the Commission 

Proposed 11 CFR 111.53 states that 

nothing in the debt collection 

procedures precludes the Commission 

from filing suit under 2 U.S.C. 437g to 

enforce compliance with a conciliation 

agreement, seek a civil money penalty, 

petition the court for a contempt order, 

or otherwise exercise its authority to 

enforce or administer the campaign 

finance laws and regulations. 

E. Proposed 11 CFR 111.54— 

Bankruptcy Claims 

Proposed 11 CFR 111.54 recognizes 

that in cases where a debtor has sought 

protection under the Bankruptcy Code, 

the Code, particularly 11 U.S.C. 106, 

362, and 553, may require the 

Commission to take different action 

from that prescribed under the debt 

collection regulations set forth in 

proposed part 111 and the FCCS. In this 

event, bankruptcy law will govern the 

debt collection process. See 31 CFR 

901.3(a)(5). The Commission requests 

comments on this proposed section. 

F. Proposed 11 CFR 111.55—Interest, 

Penalties, and Administrative Costs 

Proposed 11 CFR 111.55 states that 

the Commission shall assess interest, 

penalties, and administrative costs on 

debts owed to the United States, as 

required by Federal law. See 31 U.S.C. 

3717. The Commission shall waive 

collection of interest and administrative 

costs on debts or portions of debts that 

are paid within thirty days after the date 

on which interest begins to accrue. 

The proposed regulation also provides 

that the Commission may, at its 

discretion, waive collection of interest, 

penalties, or administrative costs on any 

debt that is not paid within thirty days 

after the date on which interest begins 

to accrue. The proposed regulation 

states that the Commission may waive 

collection of interest, penalties, or 

administrative costs if it determines 

that: (1) Collection is against equity and 

good conscience or is not in the best 

interest of the United States, including 

when an administrative offset or 

installment agreement is in effect; or, (2) 

waiver is appropriate under the criteria 

for compromise of debts set forth at 31 

CFR 902.2(a). This proposed provision 

would treat the debts covered by 

proposed new 11 CFR part 111 subpart 

C in a similar manner to those owed by 

employees and vendors under proposed 

new 11 CFR 8.5. 

Certification of No Effect Pursuant to 5 

U.S.C. 605(b) (Regulatory Flexibility 

Act) 

The attached proposed rules would 

not, if promulgated, have a significant 

economic impact on a substantial 

number of small entities. There are two 

bases for this certification. First, that the 

attached proposed rules would 

implement statutorily required 

processes for collecting unpaid debts, 

and any economic impact of these rules 

would be caused by the statutory 

mandate, rather than agency decisions 

contained in these proposed rules. 

Second, the provisions in the proposed 

rules relate to agency management and 

procedure and do not impose new 

substantive or compliance requirements 

directly on members of the public. If the 

proposed provision regarding the 

imposition of interest, penalties, and 

administrative costs could be viewed as 

imposing a new requirement on the 

public, the proposed regulation would 

merely implement the statutory 

requirement that the Commission assess 

these additional costs and provides that 

the Commission could exercise its 

discretion to waive the assessment of 

such costs in appropriate circumstances. 

Thus, any incremental economic impact 

of this rule on small entities would not 

be significant. Therefore, the 

Commission certifies that the attached 

proposed rules, if promulgated, will not 

have a significant economic impact on 

a substantial number of small entities. 

List of Subjects 

11 CFR Part 8 

Administrative practice and 

procedure, Debt collection procedures, 

Government contracts, Law 

enforcement, Penalties. 

11 CFR Part 111 

Administrative practice and 

procedure, Debt collection procedures, 

Elections, Law enforcement, Penalties. 

For the reasons set out in the 

preamble, the Federal Election 

Commission proposes to amend Chapter 

1 of Title 11 of the Code of Federal 

Regulations as follows: 

1. Part 8 is to read as follows: 

PART 8—COLLECTION OF 

ADMINISTRATIVE DEBTS 

Sec. 

8.1 Purpose and scope. 

8.2 Debts that are covered. 

8.3 Administrative collection of claims. 

8.4 Bankruptcy claims. 

8.5 Interest, penalties, and administrative 

costs. 

Authority: 31 U.S.C. 3701, 3711, and 3716– 

3720A, as amended; 2 U.S.C. 431 et seq., as 

amended; 31 CFR parts 285, and 900–904. 

§ 8.1 Purpose and scope. 

This part prescribes standards and 

procedures under which the 

Commission will collect and dispose of 

certain debts owed to the United States, 

as described in 11 CFR 8.2. The 

regulations in this part implement the 

Debt Collection Improvement Act of 

1996, 31 U.S.C. 3701, 3711, and 3716– 

3720A, as amended; and the Federal 

Claims Collection Standards, 31 CFR 

parts 900–904. The activities covered 

include: The collection of claims of any 

amount; compromising claims; 

suspending or terminating the collection 

of claims; referring debts to the U.S. 

Department of the Treasury for 

collection action; and referring debts 

under this part 8 of more than $100,000 

(exclusive of any interest and charges) 

to the Department of Justice for 

litigation. 

§ 8.2 Debts that are covered. 

(a) The procedures covered by this 

part apply to debts that are either owed 

by current and former Commission 

employees, or arise from the provision 


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of goods or services by contractors or 

vendors doing business with the 

Commission. 

(b) The procedures covered by this 

part do not apply to any of the following 

debts: 

(1) Debts that are covered by 11 CFR 

111.51, regarding debts arising from 

compliance matters, administrative 

fines, alternative dispute resolution, 

repayments, and court judgments 

arising under the statutes specified in 11 

CFR 111.51(a). 

(2) Debts involving criminal actions of 

fraud, the presentation of a false claim, 

or misrepresentation on the part of the 

debtor or any other person having an 

interest in the claim. 

(3) Debts based in whole or in part on 

conduct in violation of the antitrust 

laws. 

(4) Debts under the Internal Revenue 

Code of 1986. 

(5) Debts between the Commission 

and another Federal agency. The 

Commission will attempt to resolve 

interagency claims by negotiation in 

accordance with Executive Order 12146, 

3 CFR pp. 409–12 (1980 Comp.). 

(6) Debts that have become subject to 

salary offset under 5 U.S.C. 5514. 

§ 8.3 Administrative collection of claims. 

(a) The Commission shall act to 

collect all claims or debts. These 

collection activities will be undertaken 

promptly and followup action will be 

taken as appropriate in accordance with 

31 CFR 901.1. 

(b) The Commission may take any and 

all appropriate collection actions 

authorized and required by the Debt 

Collection Act of 1982, as amended by 

the Debt Collection Improvement Act of 

1996, 31 U.S.C. 3701 et seq. The U.S. 

Department of the Treasury regulations 

at 31 CFR 285.2, 285.4, 285.7 and 

285.11, and the Federal Claims 

Collection Standards issued jointly by 

the Department of Justice and the U.S. 

Department of the Treasury at 31 CFR 

parts 900–904 also apply. The 

Commission has adopted these 

regulations by cross-reference. 

(c) The Commission will refer debts to 

the U.S. Department of the Treasury no 

later than 180 days after the debt has 

become delinquent. On behalf of the 

Commission, the U.S. Department of the 

Treasury will attempt to collect the 

debt, in accordance with the statutory 

and regulatory requirements and 

authorities applicable to the debt and 

action. This may include referral to 

another debt collection center, a private 

collection contractor, or the Department 

of Justice for litigation. See 31 CFR 

285.12 (Transfer of debts to Treasury for 

collection). This requirement does not 

apply to any debt that: 

(1) Is in litigation or foreclosure; 

(2) Will be disposed of under an 

approved asset sale program; 

(3) Has been referred to a private 

collection contractor for a period of time 

acceptable to the U.S. Department of the 

Treasury; or 

(4) Will be collected under internal 

offset procedures within three years 

after the debt first became delinquent. 

(d) The U.S. Department of the 

Treasury is authorized to charge a fee 

for services rendered regarding referred 

or transferred debts. The Commission 

will add the fee to the debt as an 

administrative cost, in accordance with 

11 CFR 8.5. 

§ 8.4 Bankruptcy claims. 

When the Commission learns that a 

bankruptcy petition has been filed by a 

debtor, before proceeding with further 

collection action, the Commission will 

take any necessary action in accordance 

with the provision of 31 CFR 901.2(h). 

§ 8.5 Interest, penalties, and administrative 

costs. 

(a) The Commission shall assess 

interest, penalties, and administrative 

costs on debts owed to the United States 

Government in accordance with 31 

U.S.C. 3717 and 31 CFR 901.9. 

(b) The Commission shall waive 

collection of interest and administrative 

costs on a debt or any portion of the 

debt that is paid in full within thirty 

days after the date on which the interest 

begins to accrue. 

(c) The Commission may waive 

collection of interest, penalties, and 

administrative costs if it: 

(1) Determines that collection is 

against equity and good conscience or 

not in the best interest of the United 

States, including when an 

administrative offset or installment 

agreement is in effect; or, 

(2) Determines that waiver is 

appropriate under the criteria for 

compromise of debts set forth at 31 CFR 

902.2(a). 

(d) The Commission is authorized to 

impose interest and related charges on 

debts not subject to 31 U.S.C. 3717, in 

accordance with common law. 

PART 111—COMPLIANCE 

PROCEDURES 

2. The authority citation for part 111 

is revised to read as follows: 

Authority: 2 U.S.C. 432(i), 437g, 437d(a), 

438(a)(8); 28 U.S.C. 2461 nt; 31 U.S.C. 3701, 

3711, 3716–3719, and 3720A, as amended; 31 

CFR parts 285 and 900–904. 

Subpart B—Administrative Fines 

§ 111.45 [Removed and Reserved] 

3. Subpart B is amended by removing 

and reserving section 111.45. 

4. Subpart C is added to read as 

follows: 

Subpart C—Collection of Debts Arising 

From Enforcement and Administration 

of Campaign Finance Laws 

Sec. 

111.50 Purpose and scope. 

111.51 Debts that are covered. 

111.52 Administrative collection of claims. 

111.53 Litigation by the Commission. 

111.54 Bankruptcy claims. 

111.55 Interest, penalties, and 

administrative costs. 

Subpart C—Collection of Debts Arising 

From Enforcement and Administration 

of Campaign Finance Laws 

§ 111.50 Purpose and scope. 

This subpart C prescribes standards 

and procedures under which the 

Commission will collect and dispose of 

certain debts owed to the United States, 

as described in 11 CFR 111.51. The 

regulations in this subpart implement 

the Debt Collection Improvement Act of 

1996, 31 U.S.C. 3701, 3711, and 3716– 

3720A, as amended; and the Federal 

Claims Collection Standards, 31 CFR 

parts 900 through 904. The activities 

covered include: The collection of 

claims of any amount; compromising 

claims; suspending or terminating the 

collection of claims; and referring debts 

to the U.S. Department of the Treasury 

for collection action. 

§ 111.51 Debts that are covered. 

(a) The procedures of this subpart C 

of part 111 apply to claims for payment 

or debt arising from, or ancillary to, any 

action undertaken by or on behalf of the 

Commission in furtherance of efforts to 

ensure compliance with the Federal 

Election Campaign Act, 2 U.S.C. 431 et 

seq., as amended, and to administer the 

Presidential Election Campaign Fund 

Act, 26 U.S.C. 9001 et seq., or the 

Presidential Primary Matching Payment 

Account Act, 26 U.S.C. 9031 et seq., and 

Commission regulations, including: 

(1) Negotiated civil penalties in 

enforcement matters and alternative 

dispute resolution matters; 

(2) Civil money penalties assessed 

under the administrative fines program; 

(3) Claims reduced to judgment in the 

courts and that are no longer in 

litigation; 

(4) Repayments of public funds under 

the Presidential Election Campaign 

Fund Act, 26 U.S.C. 9001 et seq.; or 

(5) Repayment of public funds under 

the Presidential Primary Matching 


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Payment Account Act, 26 U.S.C. 9031 et 

seq. 

(b) The procedures covered by this 

subpart do not apply to any of the 

following debts: 

(1) Debts that result from 

administrative activities of the 

Commission that are governed by 11 

CFR part 8. 

(2) Debts involving criminal actions of 

fraud, the presentation of a false claim, 

or misrepresentation on the part of the 

debtor or any other person having an 

interest in the claim. 

(3) Debts based in whole or in part on 

conduct in violation of the antitrust 

laws. 

(4) Debts under the Internal Revenue 

Code of 1986. 

(5) Debts between the Commission 

and another Federal agency. The 

Commission will attempt to resolve 

interagency claims by negotiation in 

accordance with Executive Order 12146, 

3 CFR pp. 409–12 (1980 Comp.). 

(6) Debts that have become subject to 

salary offset under 5 U.S.C. 5514. 

§ 111.52 Administrative collection of 

claims. 

(a) The Commission shall act to 

collect all claims or debts. These 

collection activities will be undertaken 

promptly and follow up action will be 

taken as appropriate in accordance with 

31 CFR 901.1. 

(b) The Commission may take any and 

all appropriate collection actions 

authorized and required by the Debt 

Collection Act of 1982, as amended by 

the Debt Collection Improvement Act of 

1996, 31 U.S.C. 3701 et seq. The U.S. 

Department of the Treasury regulations 

at 31 CFR 285.2, 285.4, 285.7, and 

285.11, and the Federal Claims 

Collection Standards issued jointly by 

the Department of Justice and the U.S. 

Department of the Treasury at 31 CFR 

parts 900 through 904, also apply. The 

Commission has adopted these 

regulations by cross-reference. 

(c) The Commission will refer debts to 

the U.S. Department of the Treasury no 

later than 180 days after the debt has 

become delinquent. On behalf of the 

Commission, the U.S. Department of the 

Treasury will attempt to collect the 

debt, in accordance with the statutory 

and regulatory requirements and 

authorities applicable to the debt and 

action. This may include referral to 

another debt collection center, or a 

private collection contractor. See 31 

CFR 285.12 (Transfer of debts to 

Treasury for collection). This 

requirement does not apply to any debt 

that: 

(1) Is in litigation or foreclosure; 

(2) Will be disposed of under an 

approved asset sale program; 

(3) Has been referred to a private 

collection contractor for a period of time 

acceptable to the U.S. Department of the 

Treasury; or 

(4) Will be collected under internal 

offset procedures within three years 

after the debt first became delinquent. 

(d) The U.S. Department of the 

Treasury is authorized to charge a fee 

for services rendered regarding referred 

or transferred debts. The Commission 

will add the fee to the debt as an 

administrative cost, in accordance with 

11 CFR 111.55. 

§ 111.53 Litigation by the Commission. 

Nothing in this subpart C precludes 

the Commission from filing suit in the 

appropriate court to enforce compliance 

with a conciliation agreement under 2 

U.S.C. 437g(a)(5)(D), seek a civil money 

penalty under 2 U.S.C. 437g(a)(6), 

petition the court for a contempt order 

under 2 U.S.C. 437g(a)(11), or otherwise 

exercise its authority to enforce or 

administer the statutes specified in 11 

CFR 111.51(a). 

§ 111.54 Bankruptcy claims. 

When the Commission learns that a 

bankruptcy petition has been filed by a 

debtor, before proceeding with further 

collection action, the Commission will 

take any necessary action in accordance 

with the provision of 31 CFR 901.2(h). 

§ 111.55 Interest, penalties, and 

administrative costs. 

(a) The Commission shall assess 

interest, penalties, and administrative 

costs on debts owed to the United States 

Government, pursuant to 31 U.S.C. 

3717. Interest, penalties, and 

administrative costs will be assessed in 

accordance with 31 CFR 901.9. 

(b) The Commission shall waive 

collection of interest and administrative 

costs on a debt or any portion of the 

debt that is paid within thirty days after 

the date on which the interest begins to 

accrue. 

(c) The Commission may waive 

collection of interest, penalties, and 

administrative costs if it: 

(1) Determines that collection is 

against equity and good conscience or 

not in the best interest of the United 

States, including when an 

administrative offset or installment 

agreement is in effect; or, 

(2) Determines that waiver is 

appropriate under the criteria for 

compromise of debts set forth at 31 CFR 

902.2(a). 

(d) The Commission is authorized to 

impose interest and related charges on 

debts not subject to 31 U.S.C. 3717, in 

accordance with common law. 

Dated: February 19, 2010. 

On behalf of the Commission. 

Matthew S. Peterson, 

Chairman, Federal Election Commission. 

[FR Doc. 2010–3687 Filed 2–23–10; 8:45 am] 

BILLING CODE 6715–01–P 

FEDERAL ELECTION COMMISSION 

11 CFR Part 300 

[Notice 2010–03] 

Participation by Federal Candidates 

and Officeholders at Non-Federal 

Fundraising Events 

AGENCY: Federal Election Commission. 

ACTION: Change of public hearing date. 

SUMMARY: On December 7, 2009, the 

Federal Election Commission published 

a notice of proposed rulemaking relating 

to participation by Federal candidates 

and officeholders in non-Federal 

fundraising events, with a public 

hearing scheduled for March 10, 2010 at 

10 a.m. The Commission has 

rescheduled the public hearing for 

March 16, 2010 at 10 a.m. The comment 

periods for this rulemaking have not 

changed. 

DATES: The hearing will be held on 

March 16, 2010 and will begin at 10 

a.m. The initial comment period ended 

on Monday, February 8, 2010. The reply 

comment period will end on Monday, 

February 22, 2010. 

ADDRESSES: The hearing will be held in 

the Commission’s ninth floor meeting 

room, 999 E Street, NW., Washington, 

DC. 

FOR FURTHER INFORMATION CONTACT: Ms. 

Amy L. Rothstein, Assistant General 

Counsel, Mr. David C. Adkins, or Mr. 

Neven F. Stipanovic, Attorneys, 999 E 

Street, NW., Washington, DC 20463, 

(202) 694–1650 or (800) 424–9530. 

SUPPLEMENTARY INFORMATION: On 

December 7, 2009, the Federal Election 

Commission published a notice of 

proposed rulemaking (‘‘NPRM’’) relating 

to participation by Federal candidates 

and officeholders in non-Federal 

fundraising events. See 74 FR 64016 

(December 7, 2009). The NPRM stated 

that the Commission would hold a 

hearing on the proposed rules on March 

10, 2010 at 10 a.m. The purpose of this 

Notice is to announce that the 

Commission has changed the date of the 

public hearing to March 16, 2010 at 10 

a.m. Reply comments will still be due 

by February 22, 2010. 

Individuals who plan to attend the 

public hearing and require special 

assistance, such as sign language 

interpretation or other reasonable 

accommodations, should contact the 


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