2018 Annual Governmentwide Federal 

Receivables Management Symposium

Back to Basics: Living the Legacy of the

Debt Collection Improvement Act (DCIA)

May 23 & 24, 2018

L E A D ∙ T R A N S F O R M ∙ D E L I V E R
Understanding Certification:

The Purpose and Evolution of Agreements to 

Certify Federal Nontax Debts

2018 Annual Governmentwide Federal Receivables Management Symposium

May 24, 2018

L E A D ∙ T R A N S F O R M ∙ D E L I V E R

Valencia (Val) Thompson

Management and Program Analyst

Agency Relationship Management Division
What is a Certification Agreement?

L E A D ∙ T R A N S F O R M ∙ D E L I V E R

 The certification agreement for federal nontax debts is a 

document signed annually, usually by an agency’s CFO or 

someone with delegated authority to sign on behalf of the 

creditor agency.

 The certification agreement outlines an agency’s 

responsibilities related to participation in Cross-Servicing and 

TOP, and ongoing obligations associated with debts referred 

to DMS.

 Requires that an agency acknowledge future obligations 

associated with debts referred to DMS:

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2018 Annual Governmentwide Federal Receivables Management Symposium
What is Certification?

L E A D ∙ T R A N S F O R M ∙ D E L I V E R

 When an agency refers a debt either to the Treasury Offset 

Program (TOP) or Cross-Servicing, it must certify, among 

other things, that:

 the debt is valid and legally enforceable;

 the debt is delinquent;

 there are no bars to collection; 

 requisite due process has been completed; and

 the agency has made reasonable efforts to obtain payment. 

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2018 Annual Governmentwide Federal Receivables Management Symposium
When is a Debt Certified?

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 Upon referral of the debt to DMS.

 Not when the certification agreement is signed.

 The agency employee who causes the debt to be referred to 

DMS is certifying, under penalty of perjury, that to the best 

of his/her knowledge, the debt has met all of the conditions 

set forth in the certification agreement. 

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2018 Annual Governmentwide Federal Receivables Management Symposium
Why is Certification Important?

L E A D ∙ T R A N S F O R M ∙ D E L I V E R

 Ensures that DMS takes collection action against only those 

debtors that owe enforceable debts.

 Clarifies the creditor agency’s responsibilities.

 Assists in defending litigation. 

 Fulfills legal requirements.

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2018 Annual Governmentwide Federal Receivables Management Symposium
L E A D ∙ T R A N S F O R M ∙ D E L I V E R

 Partial Matches and Other Updates to Debt Records

 2012: Added language authorizing DMS to update debt records with alias 

names.

 2018: Expanded language authorizing DMS to update debt records in other 

circumstances (e.g., updates to debtor’s addresses).

 Combined Agreement

 2012: Implemented system in which agencies sign a single certification 

agreement for referrals to both TOP and Cross-Servicing. The provisions of 

the agreement that apply to a particular debt depend on how the debt is 

referred.

 CFO Signature 

 DMS generally requires that the certification agreements be signed at the CFO 

level. This ensures that one agreement covers an entire agency. 

 Ensures that this important topic receives high-level attention within an 

agency.

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2018 Annual Governmentwide Federal Receivables Management Symposium

Evolution of Certification – Where We Are Now
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2018 Annual Governmentwide Federal Receivables Management Symposium

Evolution of Certification – Where We Are Now

 HIPAA Compliance

 2016: Added language to certification requiring each agency to confirm that if it 

anticipates submitting any “protected health information” to DMS, it has 

determined that disclosure of that information is legally authorized and it will 

inform DMS of any limits on re-disclosure.

 Debt Recertification (2018)

 Applies to debts submitted prior to the execution of the current Certification 

Agreement that remain subject to collection through TOP.

 Requires an agency to re-certify, under penalty of perjury, that each previously 

submitted debt complied with all prerequisites for collection.

 Confirms that the agency notified DMS of any change to the debt’s balance 

resulting from collections outside of TOP.

 Fulfills legal requirement to update certification on no less than an annual 

basis.
L E A D ∙ T R A N S F O R M ∙ D E L I V E R

 DMS has adopted a policy on actions DMS will take when an 

agency fails to return the certification agreement. 

 We continue to modify the certification process to ensure 

integrity of the debt and protection of the debtor. 

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2018 Annual Governmentwide Federal Receivables Management Symposium

Evolution of Certification – Looking Ahead
Failure to Sign a Certification Agreement

L E A D ∙ T R A N S F O R M ∙ D E L I V E R

 Could result in failure to comply with applicable law.

 Possible audit findings.

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2018 Annual Governmentwide Federal Receivables Management Symposium
Questions?

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2018 Annual Governmentwide Federal Receivables Management Symposium

 Do you understand the certification process?

 What are your challenges with the certification process?

 Is there anything about the certification process you would 

like to see change?