[Federal Register Volume 60, Number 58 (Monday, March 27, 1995)]
[Rules and Regulations]
[Pages 15674-15675]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-07460]



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DEPARTMENT OF JUSTICE

28 CFR Part 0

[AG Order No. 1958-95]


Authority of United States Attorneys To Compromise and Close 
Civil Claims

AGENCY: Department of Justice.

ACTION: Final rule.

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SUMMARY: This rule increases the United States Attorneys' settlement 
authority in civil matters. It also inserts appropriate references to 
the Associate Attorney General as an official with certain 
decisionmaking authority and to whom certain reports are to be made. 
This rule is being promulgated to increase Department efficiency.

EFFECTIVE DATE: March 27, 1995.

FOR FURTHER INFORMATION CONTACT:
Juliet A. Eurich, Legal Counsel, Executive Office for U.S. Attorneys, 
Department of Justice, Main Building, Room 1643, 10th & Pennsylvania 
Avenue NW., Washington, DC 20530; telephone (202) 514-4024.

SUPPLEMENTARY INFORMATION: In subpart Y of 28 CFR part 0, the Attorney 
General has delegated to the various Assistant Attorneys General 
certain of her authority to compromise and close civil claims. Section 
0.168(d) authorizes the various Assistant Attorneys General to 
redelegate certain of that authority to United States Attorneys. They 
have done so in various directives reprinted as appendices to subpart 
Y.
    This rule increases the dollar value of claims that may be settled 
by United States Attorneys. This change is occasioned in part by the 
increase in the value of the claims brought by and against the United 
States.
    This rule also inserts appropriate references to the Associate 
Attorney General as an official with certain decisionmaking authority 
in this area and to whom certain reports are to be made.
    This rule furthers the efficient operation of the Department of 
Justice and advances the goals of civil justice reform and alternative 
dispute resolution.
    As a regulation related to internal Department of Justice 
management, this rule may become effective without provision for public 
comment pursuant to 5 U.S.C. 553(b)(A). This rule is not a 
``significant regulatory action'' under section 3(f) of Executive Order 
12866 and, accordingly, it has not been reviewed by the Office of 
Management and Budget. Pursuant to 5 U.S.C. 605(b), the Attorney 
General certifies that this rule will not have a significant adverse 
economic impact on a substantial number of small business entities.

List of Subjects in 28 CFR Part 0

    Authority delegations (government agencies), Government employees, 
Organization and functions (government agencies), Whistleblowing.

    For the reasons set forth in the preamble, subpart Y of part 0 of 
chapter I of Title 28 of the Code of Federal Regulations is amended as 
follows:

PART 0--ORGANIZATION OF THE DEPARTMENT OF JUSTICE

Subpart Y--Authority To Compromise and Close Civil Claims and 
Responsibility for Judgments, Fines, Penalties, and Forfeitures

    1. The authority citation for Part 0 continues to read as follows:

    Authority: 5 U.S.C. 301; 28 U.S.C. 509, 510, 515-519.

    2. Section 0.160 is revised to read as follows:


Sec. 0.160   Offers that may be accepted by Assistant Attorneys 
General.

    (a) Subject to the limitations set forth in paragraph (c) of this 
section, Assistant Attorneys General are authorized, with respect to 
matters assigned to their respective divisions, to:
    (1) Accept offers in compromise of claims asserted by the United 
States in all cases in which the difference between the gross amount of 
the original claim and the proposed settlement does not exceed 
$2,000,000 or 15 percent of the original claim, whichever is greater;
    (2) Accept offers in compromise of, or settle administratively, 
claims against the United States in all cases in which the principal 
amount of the proposed settlement does not exceed $2,000,000; and
    (3) Accept offers in compromise in all nonmonetary cases.
    (b) Subject to the limitations set forth in paragraph (c) of this 
section, the Assistant Attorney General, Tax Division, is further 
authorized to accept offers in compromise of, or settle 
administratively, claims against the United States, regardless of the 
amount of the proposed settlement, in all cases in which the Joint 
Committee on Taxation has indicated that it has no adverse criticism of 
the proposed settlement.
    (c) Any proposed settlement, regardless of amount or circumstances, 
must be referred to the Deputy Attorney General or the Associate 
Attorney General, as appropriate:
    (1) When, for any reason, the compromise of a particular claim 
would, as a practical matter, control or adversely influence the 
disposition of other claims and the compromise of all the claims taken 
together would exceed the authority delegated by paragraph (a) of this 
section; or
    (2) When the Assistant Attorney General concerned is of the opinion 
that because of a question of law or policy presented, or because of 
opposition to the proposed settlement by a department or agency 
involved, or for any other reason, the proposed settlement should 
receive the personal attention of the Deputy Attorney General or the 
Associate Attorney General, as appropriate;
    (3) When the proposed settlement converts into a mandatory duty the 
otherwise discretionary authority of a department or agency to 
promulgate, revise, or rescind regulations;
    (4) When the proposed settlement commits a department or agency to 
expend funds that Congress has not appropriated and that have not been 
budgeted for the action in question, or commits a department or agency 
to seek particular appropriation or budget authorization; or
    (5) When the proposed settlement otherwise limits the discretion of 
a department or agency to make policy or managerial decisions committed 
to the department or agency by Congress or by the Constitution.
    3. Section 0.161 is revised to read as follows: [[Page 15675]] 


Sec. 0.161  Acceptance of certain offers by the Deputy Attorney General 
or Associate Attorney General, as appropriate.

    (a) In all cases in which the acceptance of a proposed offer in 
compromise would exceed the authority delegated by Sec. 0.160, the 
Assistant Attorney General concerned shall, when he is of the opinion 
that the proposed offer should be accepted, transmit his recommendation 
to that effect to the Deputy Attorney General or the Associate Attorney 
General, as appropriate.
    (b) The Deputy Attorney General or the Associate Attorney General, 
as appropriate, is authorized to exercise the settlement authority of 
the Attorney General as to all claims asserted by or against the United 
States.
    4. Section 0.164 is revised to read as follows:


Sec. 0.164  Civil claims that may be closed by Assistant Attorneys 
General.

    Assistant Attorneys General are authorized, with respect to matters 
assigned to their respective divisions, to close (other than by 
compromise or by entry of judgment) claims asserted by the United 
States in all cases in which they would have authority to accept offers 
in compromise of such claims under Sec. 0.160(a), except:
    (a) When for any reason, the closing of a particular claim would, 
as a practical matter, control or adversely influence the disposition 
of other claims and the closing of all the claims taken together would 
exceed the authority delegated by this section; or
    (b) When the Assistant Attorney General concerned is of the opinion 
that because of a question of law or policy presented, or because of 
opposition to the proposed closing by the department or agency 
involved, or for any other reason, the proposed closing should receive 
the personal attention of the Attorney General, the Deputy Attorney 
General or the Associate Attorney General, as appropriate.
    5. Section 0.165 is revised to read as follows:


Sec. 0.165  Recommendations to the Deputy Attorney General or Associate 
Attorney General, as appropriate, that certain claims be closed.

    In all cases in which the closing of a claim asserted by the United 
States would exceed the authority delegated by Secs. 0.160(a) and 
0.164, the Assistant Attorney General concerned shall, when he is of 
the opinion that the claim should be closed, transmit his 
recommendation to that effect, together with a report on the matter, to 
the Deputy Attorney General or the Associate Attorney General, as 
appropriate, for review and final action. Such report shall be in such 
form as the Deputy Attorney General or the Associate Attorney General 
may require.
    6. Section 0.168 is revised to read as follows:


Sec. 0.168  Redelegation by Assistant Attorneys General.

    (a) Assistant Attorneys General are authorized, with respect to 
matters assigned to their respective divisions, to redelegate to 
subordinate division officials and United States Attorneys any of the 
authority delegated by Secs. 0.160 (a) and (b), 0.162, 0.164, and 
0.172(b), except that any disagreement between a United States Attorney 
or other Department attorney and a client agency over a proposed 
settlement that cannot be resolved below the Assistant Attorney General 
level must be presented to the Assistant Attorney General for 
resolution.
    (b) Redelegations of authority under this section shall be in 
writing and shall be approved by the Deputy Attorney General or the 
Associate Attorney General, as appropriate, before taking effect.
    (c) Existing delegations and redelegations of authority to 
subordinate division officials and United States Attorneys to 
compromise or close civil claims shall continue in effect until 
modified or revoked by the respective Assistant Attorneys General.
    (d) Subject to the limitations set forth in Sec. 0.160(c) and 
paragraph (a) of this section, redelegations by the Assistant Attorneys 
General to United States Attorneys may include the authority to:
    (1) Accept offers in compromise of claims asserted by the United 
States in all cases in which the gross amount of the original claim 
does not exceed $5,000,000 and in which the difference between the 
original claim and the proposed settlement does not exceed $1,000,000; 
and
    (2) Accept offers in compromise of, or settle administratively, 
claims against the United States in all cases in which the principal 
amount of the proposed settlement does not exceed $1,000,000.

    Dated: March 21, 1995.
Janet Reno,
Attorney General.
[FR Doc. 95-07460 Filed 3-24-95; 8:45 am]
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