REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 1

FISCAL YEAR 2004 REPORT TO THE CONGRESS 

U.S. GOVERNMENT RECEIVABLES AND 

DEBT COLLECTION ACTIVITIES 

OF 

FEDERAL AGENCIES 

I - EXECUTIVE SUMMARY ..................................................................................................................... 2

A - LEGISLATIVE REQUIREMENT TO REPORT............................................................................................... 2

B - SCOPE OF REPORT.................................................................................................................................. 2

C - ACCOMPLISHMENTS AND SUCCESSES .................................................................................................... 2

D – LEGISLATIVE AGENDA.......................................................................................................................... 3

II - GOVERNMENT DEBT PORTFOLIO, COLLECTIONS AND WRITE-OFFS............................. 4

A - FISCAL YEAR END DATA....................................................................................................................... 4

1. Receivables and Delinquencies.................................................................................................. 4

2. Collections .................................................................................................................................. 6

3. Write-offs.................................................................................................................................... 8

4. Interest, Penalties and Costs...................................................................................................... 8

B - ANALYSIS OF MANDATORY REFERRAL TO TREASURY UNDER THE DCIA............................................. 9

III - GOVERNMENT-WIDE COLLECTION ACTIVITIES................................................................ 10

A - USE OF PRIVATE COLLECTION AGENCIES (PCAS)............................................................................... 10

1. Description................................................................................................................................ 10

2. Referrals.................................................................................................................................... 10

3. Collections ................................................................................................................................ 11

B - TREASURY OFFSET PROGRAM (TOP) .................................................................................................. 11

1. Description................................................................................................................................ 11

2. Referrals.................................................................................................................................... 13

3. Collections ................................................................................................................................ 13

C - CROSS-SERVICING AT FMS ................................................................................................................. 14

1. Description................................................................................................................................ 14

2. Referrals.................................................................................................................................... 14

3. Collections ................................................................................................................................ 15

D – HHS’ DEBT COLLECTION CENTER...................................................................................................... 16

1. Description................................................................................................................................ 16

2. Referrals to the PSC................................................................................................................. 16

3. Collections ................................................................................................................................ 17

4. Health Profession Debt ............................................................................................................ 17

E - LITIGATION AT THE DEPARTMENT OF JUSTICE (DOJ) .......................................................................... 17

1. Description................................................................................................................................ 17

2. Referrals.................................................................................................................................... 18

3. Collections ................................................................................................................................ 18

F - DEBT CHECK – BARRING DELINQUENT DEBTORS................................................................................ 19

IV – SPECIFIC AGENCY ACTIVITIES ................................................................................................ 20

A - EDUCATION STUDENT LOANS ............................................................................................................. 20

B - SBA AND HUD LOAN ASSET SALES ................................................................................................... 21

APPENDIX I: FEDERAL RECEIVABLES AND DELINQUENT DEBT........................................... 22

APPENDIX II: SOURCES OF DATA ..................................................................................................... 23
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 2

I - EXECUTIVE SUMMARY

A - LEGISLATIVE REQUIREMENT TO REPORT

The Debt Collection Act of 1982 as amended by the Debt Collection Improvement Act of 

1996 (DCIA) directs the Secretary of the Treasury (Secretary) to report to Congress 

annually on the management of debt collection activities by the head of each Federal 

agency. This report includes information that the agency heads provide to the Secretary 

on the status of loans and accounts receivable that each manages. 

See 31 U.S.C. § 3719. 

B - SCOPE OF REPORT

This report summarizes the information provided by Federal agencies concerning their 

receivables as reported to the Department of the Treasury (Treasury) and as contained in 

Treasury’s Report on Receivables Due from the Public (TROR). It includes information 

about total receivables, collections on receivables, delinquencies, collections on 

delinquencies, and write-offs. 

As a point of clarification, receivables and delinquencies as reported on the TROR do not 

include debts that have been written-off. Debts that are written-off are classified as either 

currently-not-collectible (CNC), or close-out on the TROR. Though written-off and not 

counted as receivables or delinquencies in the TROR, debts that are classified as CNC are 

included when determining eligibility for referral to Treasury for mandatory offset and 

Cross-Servicing. See Analysis of Mandatory Referral to Treasury Under the DCIA, Part 

II, Section B of this report. 

This report also summarizes key Government-wide actions to collect delinquent debt, a 

specific concern that led to the passage of the DCIA. Additionally, this report highlights 

several special and/or unique collection activities and accomplishments by certain 

Federal agencies. 

C - ACCOMPLISHMENTS AND SUCCESSES

• Through September 30, 2004, $21.2 billion has been collected to pay delinquent debts 

through the Treasury Offset Program (TOP) and Cross-Servicing Program (CrossServicing) since the enactment of DCIA in April 1996. 

• The Federal Government collected $121.9 billion in fiscal year (FY) 2004 on all of its 

nontax receivables, up $2.3 billion from the $119.6 billion collected in FY 2003. 

• In FY 2004, the Department of Justice (DOJ) collected $2.5 billion in cash recoveries 

on delinquent debts owed to Federal agencies through its financial litigation program. 

DOJ has collected a total of $13.8 billion through civil litigation in the last five fiscal 

years. 

• In FY 2004, private collection agencies (PCAs) under contract with the Department 

of Education (Education), the Department of Health and Human Services (HHS) and 

Treasury had referrals of $18.3 billion in delinquent Federal debt, up 27 percent from 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 3

the $14.4 billion in referrals in FY 2003. These PCAs collected $610 million in FY 

2004, up 12 percent from the $547 million collected in FY 2003. 

• In FY 2004, the Department of Housing and Urban Development (HUD) completed 

loan asset sales of performing and non-performing loans totaling $1.18 billion in 

unpaid principal balance. These sales generated $777 million in gross proceeds. In 

the last five fiscal years HUD has sold $3.8 billion in loan assets, generating $2.5 

billion in gross proceeds. 

• Total collections by Treasury’s Financial Management Service (FMS) on delinquent 

debts through TOP and Cross-Servicing were $3.0 billion in FY 2004. Annual 

collections through these programs have averaged over $3.0 billion during the last 

four years. 

D – LEGISLATIVE AGENDA

In FY 2004, at the request of the Office of Management and Budget, Treasury proposed 

four legislative changes aimed at increasing delinquent debt collection. They were:

1. increase the amount of a vendor payment that may be continuously levied to 

collect Federal tax debts from 15 percent to 100 percent;

2. allow Treasury access to information contained in HHS’s New Hire Database for 

the purpose of Federal debt collection;

3. authorize the offset of Federal tax refund payments to collect delinquent state 

unemployment insurance debts; and

4. eliminate the 10-year statute of limitations for collection of delinquent Federal 

debts by administrative offset.

Proposals 1 and 2 were enacted into law during the 108th Congress. Proposals 3 and 4 are 

included in the President’s FY 2006 Budget.
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 4

0%

50%

100%

Distribution of Receivables and Delinquencies 

as of 9/30/04

Administrative Debt* $46.6 $17.4

Defaulted Guaranteed

Loans

$40.2 $24.9

Direct Loans $224.0 $28.6

Receivables in 

Billions

Delinquencies in 

Billions**

II - GOVERNMENT DEBT PORTFOLIO, COLLECTIONS AND 

WRITE-OFFS 

A - FISCAL YEAR END DATA

1. Receivables and Delinquencies 

• Total receivables declined slightly in FY 2004 from the amount reported at the end of 

FY 2003. This is the second consecutive year that a slight decline in total receivables 

was reported. Total delinquencies increased by $0.9 billion in FY 2004, substantially 

less than the increases during FY 2002 ($6.8 billion) and FY 2003 ($7.1 billion). 

 

• At the end of FY 2004, 

Federal loan programs 

(direct and guaranteed) 

comprised 85 percent of 

total receivables and 75 

percent of total 

delinquencies. 

 

Federal loan programs are 

authorized when private 

sector credit is unavailable 

or inadequate, and a Federal 

objective is to be achieved. 

Accordingly, Federal loan 

receivables occur in 

programs that serve the 

public interest and are of relatively 

high risk. As these receivables 

increase, delinquencies will correspondingly increase. 

$282.0 $289.5 $315.0 $312.3 $310.8

$0

$50

$100

$150

$200

$250

$300

$350

Dollars in Billions

2000 2001 2002 2003 2004

Fiscal Year

TOTAL RECEIVABLES

$58.0 $56.2

$63.0

$70.1 $71.0

$0

$10

$20

$30

$40

$50

$60

$70

$80

Dollars in Billions

2000 2001 2002 2003 2004

Fiscal Year

TOTAL DELINQUENT DEBT

*Includes fines, penalties and overpayments, etc. 

**Total of delinquencies in the chart does not equal 

 $71 billion due to rounding. 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 5

• The two agencies with the largest total receivables at the end of FY 2004 are 

Education ($113.1 billion) and the Department of Agriculture (USDA) ($99 billion). 

Receivables from these two agencies comprise 68 percent of the Government’s total 

receivables (Education 36 percent and USDA 32 percent). 

• Two types of Education receivables accounted for almost all of its receivables: 

Federal Direct Loans ($92.8 billion), and Defaulted Guaranteed Loans ($20.0 billion). 

• Four program areas of the USDA accounted for over $96 billion of its receivables: 

Rural Development & Farm Service Agency ($34.4 billion); Rural Utilities Service 

($32.3 billion); Commodity Credit Corporation ($19.7 billion); and Rural 

Development ($10.0 billion). 

Analysis of Receivables Data 

• Total receivables appear to have peaked in FY 2002 and have declined slightly in 

each of the last two fiscal years. The peak in total receivables coincided with a 

reclassification of $11.9 billion of defaulted guaranteed loan receivables by Education 

in FY 2002 that were formerly classified as written-off/CNC. 

• Education’s direct loan portfolio has grown significantly over the last several years 

and it appears this trend will continue. Education’s direct loan portfolio has increased 

from $59.1 billion at the end of FY 2000 to $92.8 billion at the end of FY 2004, and 

by $5.1 billion in FY 2004 alone. 

• While Education’s receivables have increased over the last several years, nonEducation receivables have declined from $213.2 billion at the end of FY 2000 to 

$197.7 billion at the end of FY 2004. This also appears to be a continuing trend. 

Additional Delinquent Debt Data

 

• At the end of FY 2004, $55.4 

billion (77.6 percent) of the 

Government’s delinquent debts 

were distributed among five 

agencies: Education, USDA, 

Small Business Administration 

(SBA), the Federal 

Communications Commission 

(FCC) and the Department of 

Defense (DOD). 

• Total delinquencies increased 

by $0.9 billion over the last 

fiscal year. Debts less than 180 

days delinquent increased by 

0%

20%

40%

60%

80%

100%

Aging of Government-wide Delinquencies 

> 10 yrs $9.6 $10.4 $10.9

6-10 yrs $7.8 $12.4 $12.8

2-6 yrs $18.5 $14.6 $15.0

181 days-2 yrs $18.5 $17.9 $14.8

1-180 days $8.6 $14.8 $17.5

2002 2003 2004
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 6

$99.4

$109.7 $118.5 $119.6 $121.9

$0

$20

$40

$60

$80

$100

$120

$140

Dollars in Billions

2000 2001 2002 2003 2004

Fiscal Year

TOTAL COLLECTIONS ON RECEIVABLES

$2.7 billion to a total of $17.5 billion. Debts more than 180 days delinquent 

decreased by $1.8 billion to a total of $53.5 billion. 

• While the total Federal delinquencies 

increased slightly (by 1.3 percent), 

several agencies’ total delinquencies in 

FY 2004 significantly changed from 

the previous fiscal year. The chart to 

the right details these net changes. 

• Education's delinquencies grew as a 

result of the growth of direct loan 

receivables. From FY 2003 to FY 

2004, direct loan delinquencies increased by $1.9 billion, while defaulted guaranteed 

loan delinquencies fell by $0.3 billion. 

Analysis of Delinquent Debt Data

• Over the last three fiscal years: (1) debts delinquent 180 days or less have increased 

by $8.9 billion; (2) debts delinquent between 181 days and 2 years have decreased by 

$3.7 billion, and (3) debts more than 2 years delinquent have increased by $2.8 

billion. The changes in the latter two categories resulted from changes in nonEducation delinquencies. During this period, non-Education delinquencies between 

181 days and 2 years decreased by $5.2 billion, and non-Education delinquencies 

more than 2 years increased by $3.1 billion. 

• Education’s total delinquencies have increased from $19.2 billion at the end of FY 

2001 (34 percent of the Government’s total delinquencies) to $33.6 billion at the end 

of FY 2004 (47 percent of the Government’s total delinquencies). Key factors in the 

increase of Education's total delinquencies during this period were the reclassification 

in FY 2002 of $14.3 billion in receivables formerly classified as written-off/CNC and 

an increase of $6.1 billion in direct loan delinquencies from FY 2001 to FY 2004. 

• During the period between FY 2001 and FY 2004, non-Education delinquencies have 

changed slightly from $37 billion to $37.4 billion. 

2. Collections 

• Total collections on 

receivables in FY 2004 

increased by $2.3 billion 

over FY 2003 collections. 

Delinquencies (in millions) 

Agency FY 2004 Change from 

FY 2003 

Education $33,611 $1,445

SBA $3,071 $1,290

FCC $6,685 $915

SEC $1,488 $527

HHS $2,010 ($1,250)

EX-IM Bank $1,955 ($696)

USDA $6,248 ($364)
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 7

Collections 

(in millions) 

Agency FY 2004 

Change 

from 

FY 2003 

Net Change in 

Receivables 

FY 2003 to 

FY 2004 

(in millions)

DOD $11,927 $4,639 ($91)

Education $19,804 $3,338 $4,687

FCC $7,491 $1,584 $1,175

USDA $22,784 ($2,641) ($1,728)

HUD $5,749 ($1,847) ($131)

TVA $5,666 ($1,329) $41

0%

50%

100%

Distribution of Receivables and Collections 

as of 9/30/04

Administrative Debt* $46.6 $70.6

Defaulted Guaranteed

Loans

$40.2 $5.8

Direct Loans $224.0 $45.5

Receivables in 

Billions

Collections in 

Billions**

• Agencies that reported significant 

increases in collections were DOD, 

Education, and FCC. Education and 

FCC also had significant increases in 

receivables from the previous year. 

Agencies that reported significant 

decreases in collections were USDA, 

HUD, and Tennessee Valley 

Authority (TVA). Only USDA 

evidenced a corresponding significant 

decrease in receivables. 

• While the largest 

percentage of receivables is 

direct loans, most 

collections reported on the 

TROR fall under the 

category of administrative 

debt (57.9 percent). 

Analysis

• Governmentwide 

collections have steadily 

increased over the last several years due to increases in collections at Education. 

Education’s collections have grown from $9.3 billion in FY 2001 to $19.8 billion in 

FY 2004. This increase parallels the increase in Education’s direct loan portfolio; 

direct loan collections in FY 2004 were $17.9 billion – 90 percent of Education’s 

collections in FY 2004. 

• Collections as a percentage of year-end receivables vary greatly for the three types of 

receivables (Administrative Debt – 152 percent; Defaulted Guaranteed Loans – 14 

percent; and Direct Loans – 20 percent). These differences reflect the types of debts 

and corresponding collections. Administrative Debts are often paid in full at the time 

of collection, so collections during the fiscal year include those made on receivables 

that no longer appear as receivables at year-end. Defaulted Guaranteed Loans are 

predominantly delinquent receivables (62 percent), so a lesser rate of collections can 

be expected on these receivables. Direct Loans that are not delinquent (87 percent of 

year-end Direct Loans) are routinely set up to be paid in installments over a period of 

years, so only a percentage of the total receivable amount is collected each year. 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 8

$6.2

$8.5

$6.8

$7.2 $7.2

$0

$2

$4

$6

$8

$10

Dollars in Billions

2000 2001 2002 2003 2004

Fiscal Year

TOTAL WRITE-OFFS

• The largest segment of Government collections, administrative debt, showed 

volatility over the last four years, ranging from a high of $73.6 billion in FY 2002 to a 

low of $68.3 billion in FY 2003. Because of the volatility in this portion of 

Government collections, there is no certainty that governmentwide collections will 

continue to increase on an annual basis. 

• Large increases or decreases in collections at individual agencies from one year to the 

next do not necessarily result from or in corresponding increases or decreases in yearend receivables. 

3. Write-offs 

• Total write-offs in FY 2004 

remained unchanged from the FY 

2003 total. 

• HHS reported the most significant 

increase in write-offs by an agency 

($1,613 million), primarily in 

Medicare Secondary Payer debts. 

The Commodity Futures Trading 

Commission had the next largest 

amount of write-offs for an agency 

in FY 2004 ($387 million). 

• Three agencies reported significant decreases in write-offs: Education ($698 million), 

Export-Import Bank (Ex-Im) ($546 million), and Federal Deposit Insurance 

Corporation (FDIC) ($356 million). It is noted that the Ex-Im and the FDIC reported 

large increases from their previous levels in FY 2003, and FY 2004 write-offs for 

these two agencies are consistent with their respective level of write-offs from FY 

2000 through FY 2002. 

Analysis

• The apparent consistency in total annual write-offs over the past three fiscal years 

does not reflect the volatility in the write-off numbers at the agency level. Eight 

different agencies reported significant changes (from $300 million up to more than 

$1.6 billion from one fiscal year to the next) in the last three years. Thus, it is 

difficult to assume a trend from the total annual write-off numbers. 

4. Interest, Penalties and Costs 

Agencies charge interest, penalties, and administrative costs on receivables in accordance 

with applicable loan documents and statutory requirements. See, e.g., 31 U.S.C. 3717. 

Of the $310.8 billion in receivables at the end of FY 2004, $10.7 billion represents 

unpaid interest, penalties and administrative costs. 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 9

$0.0

$20.0

$40.0

$60.0

$80.0

In Billions

Mandatory Referral of Debt to Treasury

Starting Amount $63.3 $64.0 $67.8 $68.2

TO P Eligibility $33.5 $31.4 $33.4 $31.8

Cross-servicing Eligibility $7.2 $8.5 $10.1 $7.7

FY 2001 FY 2002 FY 2003 FY 2004

B - ANALYSIS OF MANDATORY REFERRAL TO TREASURY UNDER THE DCIA

• The DCIA specifically mandates that Federal agencies transfer nontax debts more 

than 180 days delinquent to Treasury for collection through TOP and/or CrossServicing. The mandate does not apply to classes of debts that are exempted by 

Treasury from Cross-Servicing. Treasury received no new requests for exemptions in 

FY 2004, and no new exemptions were granted during the fiscal year. 

• Each year, an analysis is done to determine the dollar amount of delinquent debts 

eligible for referral to TOP and Cross-Servicing in the upcoming fiscal year. In 

FY 2002, this analysis was incorporated as part of the agencies’ reporting in the 

TROR. In the analysis, delinquent debts reported as CNC are added to debts 

reported as more than 180 days but less than 10 years delinquent to determine 

the “Starting Amount” for calculating the amounts eligible for referral. Note 

that agencies, such as Education, that are not subject to the 10 year statute of 

limitations for collection through offset, include debts greater than 10 years 

delinquent in calculating their Starting Amounts. 

• Certain debts are not eligible for referral to Treasury for either TOP or CrossServicing because of various exemptions permitted under the DCIA or otherwise 

required by law. Debts exempt from both TOP and Cross-Servicing include those in 

appeals or forbearance; debts referred to DOJ for litigation; debts in foreclosure or in 

bankruptcy; and foreign sovereign debts. Additional exemptions from CrossServicing include debts at PCAs, debts being collected by internal offset, and debts 

exempted from Cross-Servicing by Treasury. These exemptions are subtracted from 

the Starting Amount to determine “TOP Eligibility” and “Cross-Servicing 

Eligibility.” 

• At the end of FY 2004, debts eligible for referral to TOP decreased by $1.6 billion 

and debts eligible for Cross-Servicing decreased by $2.4 billion from amounts 

reported in FY 2003. During FY 2004, FMS and the reporting agencies worked 

cooperatively to improve the accuracy of these eligibility numbers. 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 10

Detailed data for 12 agencies with the largest dollar amounts of receivables in FY 2004 

can be found on the Federal Receivables and Delinquent Debt table in Appendix I. 

III - GOVERNMENT-WIDE DELINQUENT DEBT COLLECTION 

ACTIVITIES

A - USE OF PRIVATE COLLECTION AGENCIES (PCAS) 

1. Description 

• Education, Treasury, and HHS have each established contracts with PCAs to collect 

debts owed to the Federal Government. In addition to collecting debts, PCAs also help 

Federal agencies establish repayment agreements and resolve debts administratively 

(e.g., by determining if a debtor is bankrupt, disabled or deceased). 

• Education uses PCAs to collect its portfolio of defaulted student loan debts. Education 

relies heavily on PCAs and refers every eligible debt to one of its twelve PCAs as 

quickly as possible. Education’s PCAs also implement Education’s use of 

administrative wage garnishment as a debt collection tool. 

• Treasury’s PCA contract is administered by FMS and is used as part of its CrossServicing program. Debts that are not collected or resolved within 30 days after transfer 

to FMS for Cross-Servicing are referred to a PCA for collection action. FMS's PCAs 

have also begun using administrative wage garnishment as an effective collection tool. 

• HHS’s PCA contract is administered by its Program Support Center (PSC), which 

provides centralized debt collection services for HHS’s agencies and bureaus, and 

several other Federal agencies. PSC refers debts to its PCA if payment in full is not 

made or a repayment agreement has not been established within 45 days after the PSC 

receives the debt for collection action. 

2. Referrals 

• In FY 2004, $18.3 billion 

in Federal debts were 

referred to PCAs for 

collection action. 

Referrals increased by 27 

percent from the previous 

fiscal year due to a 

substantial increase in 

referrals by Education. 

Referrals to PCAs 

(in millions) 

Agency FY 2001 FY 2002 FY 2003 FY 2004 

HHS $378 $339 $65 $66

FMS $3,645 $4,775 $3,631 $2,292

Education $8,700 $10,588 $10,679 $15,897

Totals $12,723 $15,702 $14,375 $18,255
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 11

3. Collections 

• Total PCA collections 

were $610.4 million in FY 

2004, an 11.6 percent 

increase over FY 2003 

collections. Total PCA 

collections have increased 

in each of the last four 

fiscal years. 

*Includes collections by administrative wage garnishment

 Collections by PCAs 

 (in millions) 

Agency FY2001 FY2002 FY2003 FY2004 

HHS $16.6 $13.8 $9.5 $7.5

FMS* $27.8 $42.9 $73.3 $70.4

Education* $351 $386 $464 $532.5

Totals $395.4 $443 $546.8 $610.4

 

B - Treasury Offset Program (TOP) 

1. Description

TOP is a debt collection program that encompasses both "offsets" and "continuous 

levies." 

Offset

• Offset is a program whereby Federal payments are reduced or "offset" to satisfy a 

person's overdue Federal nontax debt, child support obligation, or state income tax debt. 

A payee's name and taxpayer identification number (TIN) are matched against a 

Treasury/FMS database of delinquent debtors for automated offset of funds. Offset 

funds are then used to satisfy payment of the delinquent debt to the extent allowed by 

law. 

• For FY 2004, payment types subject to offset included Office of Personnel Management 

(OPM) retirement payments, Internal Revenue Service (IRS) tax refund payments, 

vendor payments (including vendor payments disbursed by DOD), Federal employee 

travel payments, Federal salary payments, and Social Security benefit payments. 

• Offset of Federal salary payments through TOP has been implemented in partnership 

with USDA’s National Finance Center, the Department of the Interior, the U.S. Postal 

Service and DOD's Defense Finance and Accounting Service. TOP provides a more 

efficient process than the alternative non-centralized salary offset process. In FY 2005, 

FMS plans to implement salary offset with the General Services Administration (GSA), 

the last of the four payroll providers selected as part of the E-Payroll initiative. 

• In January 2000, FMS began collecting state income tax debts by offsetting Federal 

income tax refunds, as authorized by the 1998 Internal Revenue Service Restructuring 

and Reform Act. In FY 2004, the number of states and territories participating in this 

process was 36, along with the District of Columbia. 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 12

$26.84

$52.73

$0.39

$54.69

$28.78

$68.37

$2.37

$82.53

$31.02

$71.20

$3.21

$81.16

$31.58

$75.12

$4.13

$80.44

$34.34

$79.63

$5.26

$105.42

($30.00)

$20.00

$70.00

$120.00

$170.00

$220.00

Dollars in Billions

TOTAL DEBT REFERRALS TO THE TREASURY OFFSET PROGRAM

Federal Tax $54.69 $82.53 $81.16 $80.44 $105.42

State Income Tax $0.39 $2.37 $3.21 $4.13 $5.26

Child Support $52.73 $68.37 $71.20 $75.12 $79.63

Federal Nontax Debt $26.84 $28.78 $31.02 $31.58 $34.34

Sep. 2000 Sep. 2001 Sep. 2002 Sep. 2003 Sep. 2004

Continuous Tax Levy

• In July 2000, FMS initiated Continuous Tax Levy, a program whereby delinquent 

Federal income tax debts are collected by levying nontax payments, as authorized by 

the Taxpayer Relief Act of 1997. Continuous Tax Levy includes levy of vendor, 

Federal employee salary, OPM retirement, and Social Security benefit payments. 

Continuous Tax Levy is accomplished through a process almost identical to that of 

offset, which is matching of delinquent debtor data with payment record data. This 

automated collection of the debt at the time of payment occurs after the delinquent 

taxpayer has been afforded due process, in accordance with the Internal Revenue 

Code. 

• In FY 2004, a multi-agency task force was established to improve the process for 

levying DOD contract payments. A number of action items were identified by the 

task force, including: maximizing delinquent tax debts available for matching; 

maximizing DOD payments available for matching; increasing data exchanges 

between FMS and DOD; and establishing a process to validate TINs of Federal 

contractors. As a result of the implementation of several of the action items 

identified, between January through September 2004, 550 DOD contractor payments 

were levied resulting in the collection of $4.6 million in unpaid income tax debts, 

compared to 93 levied payments and $672,673 collected during the same period last 

year. 

$134.66 $182.05

$186.59 $191.27

$224.64 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 13

2. Referrals 

• As of September 30, 2004, the largest component of TOP’s delinquent debtor database 

was $105.42 billion in Federal income tax debts, available for matching to identify 

potential levies. However, only $29 billion of these tax debts have been "turned on" by 

IRS, that is, due process has been completed and payments are subject to continuous 

levy. 

• Efforts by states, HHS’ Office of Child Support Enforcement (OCSE), and FMS to refer 

more delinquent child support obligations to TOP have resulted in referrals of $79.63 

billion as of September 30, 2004, a 51 percent increase in referrals from September 30, 

2000. 

• Referrals of nontax debts increased to $34.34 billion as of September 30, 2004, a 28 

percent increase in referrals from September 30, 2000. As of September 30, 2004, 

100 percent of the nontax debts eligible for mandatory referral to TOP have been 

referred. (See page 9 for a discussion on nontax debts eligible for referral to TOP.) 

 

• Referrals of state income tax debts rose to $5.26 billion at the end of FY 2004, a 27 

percent increase from the end of FY 2003. 

3. Collections 

• Total collections through TOP were $2.9 billion in FY 2004. Since enactment of the 

DCIA in April 1996, $20.7 billion has been collected through TOP. The chart below 

summarizes collections through TOP for the last five fiscal years. 

Collections Through TOP In Millions of Dollars 

Type of Collection FY 2000 FY 2001 FY 2002 FY 2003 FY 2004 

Administrative Offset* $17 $25 $84 $88 $109 

Tax Refund Offset – Child 

Support (excluding tax 

rebates) 

$1,389 $1,377 $1,463 $1,428 $1,487 

Tax Refund Offset – Federal 

Nontax Debt (excluding tax 

rebates) 

$1,167 $1,147 $1,048 $1,025 $974 

Tax Refund Offset – State 

Income Tax Debt (excluding 

tax rebates) 

$23 $79 $119 $152 $218 

Tax Refund Offset – Tax 

Rebates*** N/A $471 N/A $207 -- 

Continuous Tax Levy $0.1 $16 $60 $89 $114 

Total Collected $2,597** $3,117** $2,769 $2,990*** $2,902 

 *Collection of Federal nontax debts and child support debts by offsetting Federal nontax 

payments. 

 **Numbers in column do not equal total due to rounding. 

 ***Tax rebate offsets for FY 2003 are for offsets of advance child tax credit payments. 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 14

CROSS-SERVICING REFERRALS

$7.5

$4.6 $5.1

$7.9 $7.9

$0.0

$2.0

$4.0

$6.0

$8.0

$10.0

Dollars in 

Billions

Referred by End of

FY

$4.6 $5.1 $7.9 $7.9 $7.5 

FY 2000 FY 2001 FY 2002 FY 2003 FY 2004

• Excluding the offsets collected in FY 2003 against one time advance child tax credit 

payments, total collections through TOP, increased in FY 2004 by $119 million over 

total collections in FY 2003. 

• In FY 2004, administrative offset collections were $109 million, a 23.9 percent 

increase over the $88 million collected in FY 2003. 

• Tax refund offset collections (not including tax rebates) in FY 2004 increased slightly 

for child support debts (by $59 million), and decreased slightly for Federal nontax 

debts (by $51 million), as compared to FY 2003 collections. 

• Total collections of state income tax debts by offsetting Federal tax refunds increased by 

$66 million over the $152 million collected in FY 2003. 

• Collections under Continuous Tax Levy totaled $114 million in FY 2004, a 28.1 percent 

increase over the $89 million collected in FY 2003. The IRS maintains control over 

which Federal tax debts can be collected through the levy process. 

C - CROSS-SERVICING AT FMS

1. Description 

• Cross-Servicing is the process whereby agencies refer Federal nontax debts more than 

180 days delinquent to FMS for collection. Treasury applies a variety of collection 

tools once agencies refer their debts. Collection tools include Treasury demand 

letters, telephone calls to debtors, referral of debts to TOP, credit bureau reporting, 

use of PCAs, and referral of debts to DOJ for litigation. 

• Administrative wage garnishment (AWG) became available to Federal agencies 

through Cross-Servicing in FY 2001. Twelve agencies currently utilize AWG 

through the program, which resulted in $1.7 million in collections from AWG in FY 

2004. FMS continues to encourage Federal agencies to authorize the use of this debt 

collection tool through CrossServicing. 

2. Referrals 

• The calculation of the amount 

of debts eligible for referral is 

described in this report in 

Section II-B, above. The 

calculation of Cross-Servicing 

referrals excludes those debts 

no longer actively collected at 

FMS. 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 15

$10.9

$21.8

$8.4

$18.6

$27.8

$10.4

$24.2

$42.9

$18.5

$35.2

$73.3

$25.7

$32.6

$70.4

$24.7

$0.0

$50.0

$100.0

$150.0

Dollars in Millions

CROSS SERVICING & PRIVATE COLLECTION AGENCY 

(PCA) COLLECTIONS 

TOP $8.4 $10.4 $18.5 $25.7 $24.7

PCA $21.8 $27.8 $42.9 $73.3 $70.4

FMS $10.9 $18.6 $24.2 $35.2 $32.6

FY 

2000

FY 

2001

FY 

2002

FY 

2003

FY 

2004

• At the end of FY 2004, $7.5 billion in delinquent debts were at FMS for CrossServicing. This amount is slightly less than the $7.9 billion in Cross-Servicing at the 

end of FY 2002 and FY 2003 and reflects the maturation of the Cross-Servicing 

program, including the reduction of backlogs previously held by some agencies. 

• As of September 30, 2004, 97.4 percent of all eligible debts were submitted to FMS 

for Cross-Servicing. (See page 9 for a discussion on nontax debts eligible for referral 

to Cross-Servicing.) The increase in this percentage from that reported in the 

previous fiscal year (78 percent) was the result of cooperative efforts by FMS and the 

reporting agencies to: (1) improve eligibility reporting accuracy on the TROR; and 

(2) identify and refer all eligible debts. 

3. Collections 

• Since the inception of 

the Cross-Servicing 

program, FMS and the 

PCAs have brought in 

$479.9 million in 

collections. 

• In FY 2004, FMS and its 

PCAs collected $127.7 

million, a slight decrease 

from the $134.1 million* 

collected in FY 2003. 

The reduction in the 

collection amount 

parallels the decrease in 

Cross-Servicing referrals 

at fiscal year end previously discussed. 

 (*Number does not equal graph totals due to rounding.) 

• In addition to collecting debts, PCAs under contract with FMS also helped resolve 

delinquent debts by identifying debts that are not collectible due to reasons such as 

bankruptcy or death. In FY 2004, PCAs resolved debts valued at $111 million, a $23 

million increase in delinquent debt resolutions over FY 2003. Since the inception of 

the Cross-Servicing program in 1998, PCAs have resolved debts valued at over $361 

million. 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 16

$2.15 $2.34 $2.17

$1.42 $1.31

$0.00

$0.50

$1.00

$1.50

$2.00

$2.50

$3.00

Dollars in billions

PSC Receivables

Receivables $2.15 $2.34 $2.17 $1.42 $1.31 

FY 

2000

FY 

2001

FY 

2002

FY 

2003

FY 

2004

D – HHS’ DEBT COLLECTION CENTER 

1. Description 

• The Program Support Center (PSC), established in 1995, is an operating division 

within HHS that collects debts on a fee-for-service basis for 10 different agencies 

within HHS and 10 agencies outside of HHS. 

• In January 1999, Treasury granted a three-year debt collection center designation to 

the PSC to collect three types of HHS debts: Health Profession debts, Unfiled Cost 

Report debts, and Medicare Secondary Payer debts. 

• In May 2002, PSC's designation as a debt collection center was renewed and revised 

by Treasury. The current debt collection center designation covers HHS debts less 

than 180 days delinquent, HHS debts exempt from mandatory transfer to Treasury 

(i.e., Health Profession debts and Unfiled Cost Report debts), and grant audit and 

program disallowances owed to HHS and other agencies for a period of 180 days 

following the completion of any appeals. 

• PSC uses all appropriate and available debt collection tools to collect debts referred 

for collection, including: demand letters and telephone calls, internal offsets, credit 

bureau reporting, referrals to TOP, referrals to PCAs, and litigation. In addition, PSC 

applies special debt collection tools available to certain debt types. For example, PSC 

uses denial of Medicare/Medicaid participation and publication of debtor information 

in collecting Health Profession debts, where appropriate. 

• PSC also serves as HHS' conduit for referrals of delinquent debts to FMS for both 

TOP and Cross-Servicing. 

2. Referrals to the PSC 

• Debt referrals to PSC 

decreased significantly over 

the last 2 years due to the 

change in debt collection 

center designation in 2002. 

This change resulted in 

Medicare Secondary Payer 

debts being referred to FMS 

for Cross-Servicing rather than 

the PSC. 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 17

$216.9

$442.5 $403.5

$545.5 $544.6

$0.0

$200.0

$400.0

$600.0

Dollars in Millions

PSC Collections

Total Collected $216.9 $442.5 $403.5 $545.5 $544.6 

FY 

2000

FY 

2001

FY 

2002

FY 

2003

FY 

2004

Health Profession Debt

$307.4 $351.2 $356.8 $433.4 $413.5

$54.6 $64.5 $70.0 $79.8 $84.5

$0.0

$100.0

$200.0

$300.0

$400.0

$500.0

Dollars in millions

Delinquencies

> 180 days

$433.4 $413.5 $356.8 $351.2 $307.4

Collections $54.6 $64.5 $70.0 $79.8 $84.5

FY 2000 FY 2001 FY 2002 FY 2003 FY 2004

• PSC receivables do not include amounts referred to FMS for Cross-Servicing. PSC 

referrals of HHS delinquent debts to FMS for Cross-Servicing totaled $4.1 billion at 

the end of FY 2004. 

3. Collections 

• Since the inception of its 

debt collection program 

in 1995, PSC has 

brought in over $2.7 

billion in collections. 

• A sharp increase in 

collections began in FY 

2001 primarily due to 

increases in 

administrative (grant 

audit and program 

disallowance) debt 

collections. Collections in FY 2004 were slightly less than collections in FY 2003. 

4. Health Profession Debt 

• Over the last five years, 

PSC has been especially 

effective in collecting 

Health Profession debts. 

During this time, debts 

more than 180 days 

delinquent have 

decreased by 29 percent, 

while annual collections 

have increased by 55 

percent.

E - LITIGATION AT THE DEPARTMENT OF JUSTICE (DOJ) 

1. Description 

• DOJ serves as the Federal Government’s “collector of last resort.” When a Federal 

agency cannot collect a debt administratively using debt collection tools such as those 

available under the DCIA, the agency may refer the debt to DOJ to pursue enforced 

collection through the courts. FMS’s Cross-Servicing program also has the option to 

refer agency debts to DOJ. 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 18

$3.1 $2.9

$2.2

$3.1

$2.5

$0.0

$1.0

$2.0

$3.0

$4.0

Dollars in Billions

FY

2000

FY

2001

FY

2002

FY

2003

FY

2004

CASH COLLECTIONS FROM CIVIL LITIGATION 

AT DOJ 

• With judicial oversight, DOJ enforces collection by seizing bank, stock and similar 

accounts from debtors. In some cases, DOJ seizes and sells debtor-owned real estate 

and other property to enforce collection. DOJ also may garnish a higher percentage 

of the debtors’ wages than AWG allows. The courts can assist in establishing and 

enforcing payment arrangements for some debtors. 

• DOJ incorporates administrative debt collection tools, such as TOP, into the array of 

litigation tools available to enforce the collection of debts. 

• DOJ supplements its litigation resources by contracting with private counsel in 16 

judicial districts, and it plans to expand this program to additional districts in the 

future. 

2. Referrals 

• Federal creditor agencies determine 

when to refer debts to DOJ. Both 

the numbers of debts referred and 

their value vary greatly from year to 

year for this reason. Although the 

number of referrals to DOJ has 

declined in recent years, the average 

value of a debt referred has 

increased substantially. 

• Debt referrals vary greatly in 

amount, complexity and 

collectibility. Referrals include 

loans with clear debtor liability as well as multi-jurisdictional fraud cases which 

require extensive and lengthy investigation over a period of years to be resolved. 

3. Collections

• The amount DOJ collects in 

any fiscal year includes 

recoveries for debt referred 

in prior fiscal years. 

• DOJ has collected $13.8 

billion from civil litigation 

over the last five fiscal 

years. 

Fiscal 

Year 

Total Civil 

Referrals - new 

debts opened 

Value of New 

Debts 

(in billions) 

2000 50,572 $5.6 

2001 24,357 $5.4 

2002 8,443 $3.0 

2003 11,557 $2.1 

2004 7,165 $2.5 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 19

• DOJ has placed a greater emphasis on using its own litigation resources in recent 

years to pursue those who defraud America’s taxpayers. Much of the increase in the 

amounts collected by DOJ in recent years reflects the success of these efforts. 

F - DEBT CHECK – BARRING DELINQUENT DEBTORS

• Federal agencies are required to deny loans, loan insurance, and loan guarantees to 

entities that owe delinquent non-tax debt to the Federal government pursuant to 31 

U.S.C. § 3720B and 31 C.F.R. § 285.13. Executive Order 13019 extends this bar to 

delinquent child support debtors whose debts have been referred to TOP for 

administrative offset. 

• Debt Check is a initiative under the FMS debt program that is being employed to 

electronically identify delinquent debtors and potentially bar them from receiving 

federal loans, loan insurance, or loan guaranties. Initial roll out of Debt Check began 

in February 2003 with the SBA, and additional agencies will participate in the near 

future. 

• Presently, at least three other options exist for agencies and outside lenders to collect 

information on applicants: credit bureau reports, the Credit Alert Interactive Voice 

Response System (CAIVRS) managed by HUD, and the GSA sponsored web site listing 

those people or vendors barred from Federal procurement activities. Debt Check 

complements these and other systems, serving as an additional source of debt 

information. 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 20

IV – SPECIFIC AGENCY ACTIVITIES

A - EDUCATION STUDENT LOANS

• Since November 1998, Treasury has exempted student loan debts collected by 

Education from mandatory transfer to Treasury for Cross-Servicing, based on 

Education’s demonstrated expertise in collecting student loan debts. Federal Student 

Aid debt collection activities at Education are centralized in Education’s Borrower 

Services-Collections (BSC). BSC services Education's defaulted student loans (loans 

delinquent more than 270 days). Use of the full range of debt collection tools 

outlined in Education’s own statutes and the DCIA is authorized once the loan 

reaches default status. Additionally, BSC collects on student grant overpayments, 

which represent a very small amount of BSC’s total delinquent debt portfolio. 

• Total student loan receivables (principal and interest) serviced by BSC have increased 

from $11.9 billion at FY 2000 year-end to $17.5 billion at FY 2004 year-end; and 

collections have increased from $1.26 billion in FY 2000 to $1.81 billion in FY 2004. 

Education’s Use of Debt Collection Tools 

(in millions)

Collection Tools FY 2000 

Collections 

FY 2001 

Collections

FY 2002 

Collections

FY 2003 

Collections 

FY 2004 

Collections 

Private Collection Agency $228 $229 $260 $322 $362

Litigation (DOJ) $25 $30 $30 $27 $22

Internal Offset $5 $3 $3 $2 $2

AWG (at Education and PCAs) $110 $134 $136 $150 $186

Treasury Offset $431 $450 $368 $398 $389

Other Tools at Education $53 $39 $68 $59 $59

Total Loan Consolidations (at 

Education and at PCAs) $389 $464 $365 $290 $206

Total Loan Rehabilitations (at 

Education and at PCAs) $12 $25 $102 $369 $587

• Recoveries from TOP decreased slightly, by 2 percent, from FY 2003 to FY 2004. 

Education still relies heavily on PCAs and refers every eligible debt as quickly as 

practicable to one of its twelve PCAs. Education effectively uses AWG to collect 

debts, primarily through its PCAs, which collected $170 million of the $186 million 

collected through AWG in FY 2004. Education also uses loan consolidations and 

loan rehabilitations to further reduce delinquencies by moving debts back into current 

repayment status. 

• Collections by PCAs and by AWG have steadily increased over the last four years. 

Regarding PCAs, Education also tracks collection costs as a percent of collections. 

These costs have shown a declining trend from 18.6 percent in FY 1999 to 16 percent 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 21

in FY 2004. This decline is the direct result of reduced negotiated rates in the FY 

2000 PCA contracts and increased usage of lower cost PCA recovery tools such as 

rehabilitation and consolidation. 

• PCAs rehabilitated $587 million in delinquent loans in FY 2004. Student loan 

statutes allow borrowers to rehabilitate if they make 12 consecutive on-time monthly 

payments, which is the preferred method for borrowers to cure defaults (other than 

paying the debt in full). 

• Education has successfully implemented a matching program with HHS and the 

National Directory of New Hire Database that, for FY 2004, resulted in the capture of 

new debtor location information on over one million accounts. Use of the New Hire 

Database led to an additional $386 million in student loan recoveries. 

• BSC does not currently participate in the salary offset component of TOP, but plans 

to do so in FY 2006 when it phases in the applicable software component as part of 

its comprehensive upgrade of its debt collection systems. In the interim, Education 

uses all other available debt collection tools to collect debts owed by Federal 

employees. 

B - SBA AND HUD LOAN ASSET SALES

Small Business 

Administration 

Dept. of Housing and Urban 

Development Fiscal 

Year Unpaid 

Principal 

Balance 

Gross 

Proceeds 

Unpaid 

Principal 

Balance 

Gross 

Proceeds 

2000 $1.2 billion $530 million $480 million $467 million 

2001 $2.4 billion $1.6 billion $623 million $432 million 

2002 $1.27 billion $871 million $502 million $291 million 

2003 $651 million $444 million $1 billion $510 million 

2004 0 0 $1.18 billion $777 million 

TOTALS $5.5 billion $3.4 billion $3.8 billion $2.5 billion 

• SBA and HUD established Loan Asset Sales programs to sell performing and nonperforming loans to the public. SBA’s asset sales program included the sale of direct 

loans and defaulted guaranteed loans. HUD’s Federal Housing Administration is 

taking action to sell HUD’s entire inventory of single family and multifamily 

mortgage notes held by the Secretary of HUD. 

• SBA did not conduct any asset sales in fiscal year 2004 and has no plans for future 

sales at this time. However, SBA is exploring the possibility of partnering with 

another federal agency to include groups of loans in another agency's sales. 

• Over the last four fiscal years, SBA and HUD have sold over $9 billion in loan assets 

and collected almost $6 billion in gross proceeds from these sales. 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 22

APPENDIX I: FEDERAL RECEIVABLES AND DELINQUENT DEBT

The table below presents the ending balances, collections, write-offs, delinquencies, and 

delinquencies greater than 180 days for the credit agencies with the highest ending 

balances at the end of FY 2004. The table groups all other agencies into a single 

category. At the end of FY 2004, 95 percent of the receivables belonged to the 12 

agencies listed in the table below. 

Federal Receivables and Delinquent Debt

as of September 30, 2004 

(in millions) 

Agency Ending 

Balance 

Collections Writeoffs Delinquencies Delinquencies 

> 1801

 Currently 

Not 

Collectible 

Education $113,136 $19,804 $417 $33,611 $16,379 $447

USDA $99,003 $22,424 $678 $6,248 $2,637 $637

HUD $12,855 $5,749 $161 $763 $415 $236

SSA $12,489 $2,313 $893 $2,483 $1,695 $8,271

EXIM $9,944 $2,439 $66 $1,955 $428 0

DOD $8,131 $11,927 $466 $4,783 $4,202 $257

AID $8,116 $747 $1 $466 $454 0

FCC $7,787 $7,491 $10 $6,685 $6,608 0

SBA $7,064 $1,058 $531 $3,071 $2,578 $1,094

Energy $6,296 $4,437 $2 $2,278 $189 $2

HHS $5701 $15,051 $3,012 $2,010 $1,034 $6,022

FATP* $5,250 $1,467 $15 $1,166 $1,121 0

All Other $15,002 $27,027 $993 $5,433 $15,754 $622 

Gov’t 

Total $310,774 $121,934 $7,245 $70,952 $53,494 $17,588

*Funds Appropriated to the President 

Amounts reported as write-offs represent the dollar amount of uncollectible receivables 

written off during FY 2004. 

“Currently Not Collectible” (CNC) represents the dollar amount of all debts that have 

been written off by the agency but not yet closed out. Debts classified as CNC for any 

reporting period continue to be reported in that category in subsequent reporting periods 

until closed-out or collected. 

 

1

 Does not include write-offs reported as Currently Not Collectible. 
REPORT TO CONGRESS: RECEIVABLES AND DEBT COLLECTION ACTIVITIES OF

FEDERAL AGENCIES 23

APPENDIX II: SOURCES OF DATA 

 

Data contained in this report were obtained from the following sources: 

Part II – Government Debt Portfolio, Collection and Write-offs and 

Appendix I

Source – Treasury Report on Receivables Due From the Public – Fourth Quarter 

2004, as reported by Federal agencies to the Department of the Treasury. 

Part III – Government-Wide Collection Activities

 A – Use of Private Collection Agencies 

 Sources – Department of Education, Borrower Services-Collections 

 Department of the Treasury, Financial Management Service 

 Department of Health and Human Services, Program Support Center 

 B & C – Treasury Offset Program and Cross-Servicing 

 Source – Department of the Treasury, Financial Management Service 

D – HHS’ Debt Collection Center 

 Source – Department of Health and Human Services, Program Support Center 

E – Litigation at the Department of Justice 

Source – Department of Justice, Office of Debt Collection Management 

Part IV – Specific Agency Activities 

 A – Education Student Loans

 Source - Department of Education, Borrower Services-Collections 

 B – SBA and HUD Loan Asset Sales

 Sources – U.S. Small Business Administration 

 Department of Housing and Urban Development