Debt Collection Act of 1982
PL 97-365 (H.R.4613), enacted 10/25/1982

PUBLIC LAW 97-365—OCT. 25, 1982 
96 STAT. 1749 
Public Law 97-365 
97th Congress 
An Act 
To increase the efficiency of Government-wide efforts to collect debts owed the United 
States and to provide additional procedures for the collection of debts owed the 
United States. 
Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled. That this Act may 
be cited as the "Debt Collection Act of 1982". 
AMENDMENTS TO THE PRIVACY ACT 
SEC. 2. (a) Section 552a(b) of title 5, United States Code, is 
amended— 
(1) by striking out "or" at the end of paragraph (10); 
(2) by striking out the period at the end of paragraph (11) and 
inserting in lieu thereof "; or"; and 
(3) by adding at the end thereof the following new paragraph: 
"(12) to a consumer reporting agency in accordance with 
section 3(d) of the Federal Claims Collection Act of 1966 (31 
U.S.C. 952(d)).". 
(b) Section 552a(m) of such title is amended— 
(1) by inserting "(1)" immediately after "(m)"; and 
(2) by adding at the end thereof the following new paragraph: 
"(2) A consumer reporting agency to which a record is disclosed 
under section 3(d) of the Federal Claims Collection Act of 1966 (31 
U.S.C. 952(d)) shall not be considered a contractor for the purposes of 
this section.". 
Oct. 25, 1982 
[H.R. 4613] 
Debt Collection 
Act of 1982. 
5 u s e 5514 note. 
Infra. 
AMENDMENT TO THE FEDERAL CLAIMS COLLECTION ACT OF 1966 
SEC. 3. Section 3 of the Federal Claims Collection Act of 1966 (31 
U.S.C. 952) is amended by adding at the end thereof the following 
new subsection: 
"(d)(1) Whenever the head of an agency attempts to collect a claim 
of the United States under subsection (a) of this section, or under 
any other statutory authority except the Internal Revenue Code of 
1954, the head of the agency may disclose to a consumer reporting 
agency information from a system of records that an individual is 
responsible for a claim i
f
— 
"(A) the notice for the system of records required by section 
552a(e)(4) of title 5, United States Code, indicates that informa-
tion in the system may be disclosed to a consumer reporting 
agency; 
"(B) the head of the agency has reviewed the claim and 
determined that such claim is valid and overdue; 
"(C) the head of the agency has sent a written notice to the 
individual informing such individual— 
"(i) that the payment of the claim is overdue; 
"(ii) that the agency intends to disclose to a consumer 
reporting agency, within not less than sixty days after 
Information 
disclosure. 
26 u s e 1 et seq. 
96 STAT. 1750 
PUBLIC LAW 97-365—OCT. 25, 1982 
Review of 
individual 
obligation. 
Definitions. 
sending such notice, that the individual is responsible for 
such claim; 
"(iii) of the specific information intended to be disclosed 
to the consumer reporting agency; and 
"(iv) of the rights of such individual to a full explanation 
of the claim, to dispute any information in the records of 
the agency concerning the claim, and to administrative 
appeal or review with respect to the claim; 
"(D) such individual has not— 
"(i) repaid or agreed to repay such claim under a repay-
ment plan which is agreeable to the head of the agency and 
is in a written form signed by such individual; or 
"(ii) filed for review of such claim under paragraph (2) of 
this subsection; 
"(E) the agency has established procedures (i) for promptly 
disclosing, to each consumer reporting agency to which the 
original disclosure was made, any substantial change in the 
status or amount of the claim, (ii) for promptly verifying or 
correcting, as appropriate, information concerning the claim 
upon the request of any such consumer reporting agency for 
verification of any or all information so disclosed, and (iii) for 
obtaining satisfactory assurances from each such consumer re-
porting agency concerning compliance by such consumer report-
ing agency with the Fair Credit Reporting Act (15 U.S.C. 1681 et 
seq.) and any other Federal law governing the provision of 
consumer credit information; and 
"(F) the information disclosed to the consumer reporting 
agency is limited to (i) the name, address, taxpayer identifica-
tion number, and other information necessary to establish the 
identity of the individual, (ii) the amount, status, and history of 
the claim, and (iii) the agency or program under which the 
claim arose. 
"(2) Prior to a disclosure to any consumer reporting agency under 
paragraph (1) of this subsection and at such other times as may be 
permitted by law, the head of the agency shall, upon request of any 
individual alleged by the agency to be responsible for the claim, 
provide for the review of the obligation of such individual, including 
an opportunity for reconsideration of the initial decision concerning 
the claim. 
"(3) If an agency does not have a current address for an individual 
for the purpose of sending the notice required by paragraph (1)(C), 
the agency shall take reasonable action to locate the individual 
prior to disclosing any information to a consumer reporting agency 
under paragraph (1). 
"(4) For purposes of this subsection— 
"(A) the term 'consumer reporting agency' means— 
"(i) a consumer reporting agency within the meaning of 
section 603(0 of the Fair Credit Reporting Act (15 U.S.C. 
1681a(f)); or 
"(ii) any person who, for monetary fees, dues, or on a 
cooperative basis, regularly engages in whole or in part in 
the practice of (I) obtaining credit or other information on 
consumers for the purpose of furnishing such information 
to consumer reporting agencies (as defined in clause (i) of 
this subparagraph), or (II) serving as a marketing agent 
under arrangements enabling third parties to obtain such 
information from such reporting agencies; 
PUBLIC LAW 97-365—OCT. 25, 1982 
96 STAT. 1751 
"(B) the term 'system of records' has the meaning given such 
term under section 552a(a)(5) of title 5, United States Code; and 
"(C) the term 'head of an agency' includes a designee of the 
head of an agency.". 
REQUIREMENT THAT APPLICANT FURNISH TAXPAYER IDENTIFYING 
NUMBER 
SEC. 4. (a) IN GENERAL.—Each Federal agency administering an 
included Federal loan program shall require any person applying for 
a loan under such program to furnish such person's taxpayer identi-
fying number. 
(b) DEFINITIONS.—For purposes of this section— 
(1) INCLUDED FEDERAL LOAN PROGRAM.—The term "included 
Federal loan program" has the meaning given to such term by 
subparagraph (C) of section 6103(1)(3) of the Internal Revenue 
Code of 1954 (as added by section 7 of this Act). 
(2) TAXPAYER IDENTIFYING NUMBER.—The term "taxpayer 
identifying number" has the meaning given to such term by 
section 6109 of such Code. 
26 u s e 6103 
note. 
26 u s e 6109. 
SALARY OFFSET 
SEC. 5. (a) Subsection (a) of section 5514 of title 5, United States 
Code, is amended to read as follows: 
"(a)(1) When the head of an agency or his designee determines 
that an employee, member of the Armed Forces or Reserve of the 
Armed Forces, is indebted to the United States for debts to which 
the United States is entitled to be repaid at the time of the determi-
nation by the head of an agency or his designee, or is notified of such 
a debt by the head of another agency or his designee the amount of 
indebtedness may be collected in monthly installments, or at offi-
cially established pay intervals, by deduction from the current pay 
account of the individual. The deductions may be made from basic 
pay, special pay, incentive pay, retired pay, retainer pay, or, in the 
case of an individual not entitled to basic pay, other authorized pay. 
The amount deducted for any period may not exceed 15 percent of 
disposable pay, except that a greater percentage may be deducted 
upon the written consent of the individual involved. If the individual 
retires or resigns, or if his employment or period of active duty 
otherwise ends, before collection of the amount of the indebtedness 
is completed, deduction shall be made from subsequent payments of 
any nature due the individual from the agency concerned. 
"(2) Except as provided in paragraph (3) of this subsection, prior to 
initiating any proceedings under paragraph (1) of this subsection to 
collect any indebtedness of an individual, the head of the agency 
holding the debt or his designee, shall provide the individual with— 
"(A) a minimum of thirty days written notice, informing such 
individual of the nature and amount of the indebtedness deter-
mined by such agency to be due, the intention of the agency to 
initiate proceedings to collect the debt through deductions from 
pay, and an explanation of the rights of the individual under 
this subsection; 
"(B) an opportunity to inspect and copy Government records 
relating to the debt; 
"(C) an opportunity to enter into a written agreement with 
the agency, under terms agreeable to the head of the agency or 
Written notice. 
Record 
inspection. 
Written 
agreement. 
96 STAT. 1752 
PUBLIC LAW 97-365—OCT. 25, 1982 
Hearing. 
Petition filing. 
Definitions. 
his designee, to establish a schedule for the repayment of the 
debt; and 
"(D) an opportunity for a hearing on the determination of the 
agency concerning the existence or the amount of the debt, and 
in the case of an individual whose repayment schedule is estab-
lished other than by a written agreement pursuant to subpara-
graph (C), concerning the terms of the repayment schedule. 
A hearing, described in subparagraph (D), shall be provided if the 
individual, on or before the fifteenth day following receipt of the 
notice described in subparagraph (A), and in accordance with such 
procedures as the head of the agency may prescribe, files a petition 
requesting such a hearing. The timely filing of a petition for hearing 
shall stay the commencement of collection proceedings. A hearing 
under subparagraph (D) may not be conducted by an individual 
under the supervision or control of the head of the agency, except 
that nothing in this sentence shall be construed to prohibit the 
appointment of an administrative law judge. The hearing official 
shall issue a final decision at the earliest practicable date, but not 
later than sixty days after the filing of the petition requesting the 
hearing. 
"(3) The collection of any amount under this section shall be in 
accordance with the standards promulgated pursuant to the Federal 
Claims Collection Act of 1966 (31 U.S.C. 951 et seq.) or in accordance 
with any other statutory authority for the collection of claims of the 
United States or any agency thereof 
"(4) For purposes of this subsection— 
"(A) 'disposable pay' means that part of pay of any individual 
remaining after the deduction from those earnings of any 
amounts required by law to be withheld; and 
"(B) 'agency' includes the United States Postal Service and 
the Postal Rate Commission.". 
(b) Section 5514(b) of title 5, United States Code, is amended by 
inserting "(1)" immediately after "(b)" and by adding at the end 
thereof the following new paragraph: 
"(2) For purposes of section 7117(a) of this title, no regulation 
prescribed to carry out subsection (a)(2) of this section shall be 
considered to be a Government-wide rule or regulation.". 
(c) The section heading of section 5514 of title 5, United States 
Code, is amended to read as follows: 
*'§5514. Installment deduction for indebtedness to the United 
States". 
PROTECTION 
OF 
FEDERAL 
DEBT 
COLLECTORS 
SEC. 6. Section 1114 of title 18, United States Code, is amended— 
(1) by striking out "or" before "any attorney"; and 
(2) by inserting before "shall be punished" a comma and the 
following: "or any officer or employee of the United States or 
any agency thereof designated to collect or compromise a Fed-
eral claim in accordance with the Federal Claims Collection Act 
of 1966 (31 U.S.C. 951 et seq.) or other statutory authority". 
SCREENING POTENTIAL DEBTORS 
SEC. 7. (a) DISCLOSURE TO FEDERAL LENDING AGENCY THAT APPU-
C
A
N
T HAS TAX DEUNQUENT ACCOUNT.—Paragraph (3) of section 
PUBLIC LAW 97-365—OCT. 25, 1982 
96 STAT. 1753 
6103(1) of the Internal Revenue Code of 1954 is amended to read as 
26 use 6103. 
follows: 
"(3) DISCLOSURE THAT APPLICANT FOR FEDERAL LOAN HAS TAX 
DELINQUENT ACCOUNT.— 
"(A) IN GENERAL.—Upon written request, the Secretary 
may disclose to the head of the Federal agency administer-
ing any included Federal loan program whether or not an 
applicant for a loan under such program has a tax delin-
quent account, 
"(B) RESTRICTION ON DISCLOSURE.—Any disclosure under 
subparagraph (A) shall be made only for the purpose of, and 
to the extent necessary in, determining the creditworthi-
ness of the applicant for the loan in question. 
"(C) 
INCLUDED FEDERAL LOAN PROGRAM DEFINED.—For 
purposes of this paragraph, the term 'included Federal loan 
program' means any program— 
"(i) under which the United States or a Federal 
agency makes, guarantees, or insures loans, and 
"(ii) with respect to which there is in effect a determi-
nation by the Director of the Office of Management and 
Budget (which has been published in the Federal Regis-
ter) that the application of this paragraph to such 
program will substantially prevent or reduce future 
delinquencies under such program." 
(b) TECHNICAL AMENDMENTS.— 
(1) Clause (i) of section 6103(p)(3)(C) of such Code is amended 
by striking out "(1) (3) or (6)" and inserting in lieu thereof 
"(1)(6)". 
(2) Paragraph (4) of section 6103(p) of such Code is amended— 
(A) by striking out "(1) (1), (2)," in the matter preceding 
subparagraph (A) and inserting in lieu thereof "(1) (1), (2), 
(3),'\ 
(B) by striking out "(1) (3), (6)," and inserting in lieu 
thereof "(1)(6),", and 
(C) by striking out "(1) (1), (2), or (5), or (o)(l), the commis-
sion described in subsection (1X3)" in subparagraph (F)(ii) 
and inserting in lieu thereof "(1) (1), (2), (3), or (5), or (o)(l),". 
(c) EFFECTIVE DATE,—The amendments made by this section shall 
26 use 6103 
apply in the case of loan applications made after September 30, ^°^^-
1982. 
DISCLOSURE OF MAIUNG ADDRESS TO THIRD PARTIES FOR PURPOSES OF 
COLLECTING FEDERAL CLAIMS 
SEC. 8. (a) Paragraph (2) of section 6103(m) of the Internal Revenue 
Code of 1954 (relating to disclosure of taxpayer identity information) 
26 use 6103. 
is amended to read as follows: 
"(2) FEDERAL CLAIMS.— 
"(A) IN GENERAL.—Except as provided in subparagraph 
(B), the Secretary may, upon written request, disclose the 
mailing address of a taxpayer for use by officers, employees, 
or agents of a Federal agency for purposes of locating such 
taxpayer to collect or compromise a Federal claim against 
the taxpayer in accordance with section 3 of the Federal 
Claims Collection Act of 1966 (31 U.S.C. 952). 
"(B) SPECIAL RULE FOR CONSUMER REPORTING AGENCY.—In 
the case of an agent of a Federal agency which is a consum-
96 STAT. 1754 
PUBLIC LAW 97-365—OCT. 25, 1982 
er reporting agency (within the meaning of section 603(f) of 
the Fair Credit Reporting Act (15 U.S.C. 1681a(f))), the 
mailing address of a taxpayer may be disclosed to such 
agent under subparagraph (A) only for the purpose of allow-
ing such agent to prepare a commercial credit report on the 
taxpayer for use by such Federal agency in accordance with 
section 3 of the Federal Claims Collection Act of 1966 (31 
U.S.C. 952)." 
26 use 6103. 
(b) SAFEGUARDS.—Paragraph (4) of section 6103(p) of such Code 
(relating to safeguards) is amended by adding at the end thereof the 
following new sentence: "In the case of any agency which receives 
any mailing address under subsection (m) (2) or (4) and which 
discloses any such mailing address to any agent, this paragraph 
shall apply to such agency and each such agent (except that, in the 
case of an agent, any report to the Secretary or other action with 
respect to the Secretary shall be made or taken through such 
agency)." 
(c) TECHNICAL AMENDMENTS.— 
(1) Paragraph (3) of section 6103(a) of such Code is amended by 
striking out "subsection (m)(4)(B)" and inserting in lieu thereof 
"paragraph (2) or (4XB) of subsection (m)". 
26 use 7213. 
(2) Paragraph (2) of section 7213(a) of such Code (relating to 
unauthorized disclosure of information) is amended by striking 
out "(m)(4)" and inserting in lieu thereof "(m) (2) or (4)". 
26 use 6103 
((J) EFFECTIVE DATE.—The amendments made by this section shall 
"° ® 
take effect on the date of the enactment of this Act. 
5 use 5514 
(e) Except as otherwise provided in section 4 or 7 or the foregoing 
note. 
provisions of this section, nothing in this Act (or in the amendments 
made by this Act) shall apply to claims or indebtedness arising 
under, or amounts payable under, the Internal Revenue Code of 
26 use 1 et seq. 1954, the Social Security Act, or the tariff laws of the United States. 
42 u s e 1305. 
STATUTE OF LIMITATIONS WITH RESPECT TO ADMINISTRATIVE OFFSETS 
SEC. 9. Section 2415 of title 28, United States Code, is amended by 
adding at the end thereof the following new subsection: 
"(i) The provisions of this section shall not prevent the United 
States or an officer or agency thereof from collecting any claim of 
the United States by means of administrative offset, in accordance 
Infra. 
with section 5 of the Federal Claims Collection Act of 1966.". 
ADMINISTRATIVE OFFSETS 
SEC. 10. The Federal Claims Collection Act of 1966 (31 U.S.C. 951 
et seq.) is amended— 
31 use 951 note. 
(1) by redesignating section 5 as section 6; and 
(2) by adding the following new section 5: 
31 use 954. 
"SEC. 5. (a) The head of an agency or his designee may, after 
attempting to collect a claim from a person under section 3(a) of this 
Act, collect the claim by means of administrative offset, except that 
no claim under this Act that has been outstanding for more than ten 
years may be collected by means of administrative offset. 
"(b) The head of an agency or his designee may not collect any 
claim by administrative offset authorized by subsection (a) unless 
the agency head has prescribed regulations for the exercise of such 
administrative offset, based on the best interests of the United 
States, the likelihood of collecting a claim by administrative offset. 
PUBLIC LAW 97-365—OCT. 25, 1982 
96 STAT. 1755 
and, with respect to the collection of claims by means of administra-
tive offset after the six-year period provided in section 2415 of title 
28, United States Code, has expired for bringing an action on such a 
claim, the cost effectiveness of leaving such claim unresolved for 
more than six years. 
"(c) Prior to collecting any claim through administrative offset, 
the head of the agency or his designee shall provide the debtor 
with— 
"(1) written notification of the nature and amount of the 
claim, the intention of the agency to collect the claim through 
administrative offset, and an explanation of the rights of the 
debtor under this section; 
"(2) an opportunity to inspect and copy the records of the 
agency with respect to the claim; 
"(3) an opportunity for the review, within the agency, of the 
determination of the agency with respect to the claim; and 
"(4) an opportunity to enter into a written agreement with 
the head of the agency or his designee, for the repayment of the 
amount of the claim. 
"(d) The provisions of this section shall not apply in any case in 
which a statute either explicitly provides for or prohibits the collec-
tion through administrative offset of the claim or type of claim 
involved. 
"(e) For purposes of this section— 
"(1) the term 'administrative offset' means the withholding of 
money payable by the United States to or held by the United 
States on behalf of a person to satisfy a debt owed the United 
States by that person; and 
"(2) the term 'person' does not include any agency of the 
United States, or of any State or local government.". 
Provisions 
affecting 
debtor. 
"Administrative 
offset." 
"Person. 
INTEREST AND PENALTY ON INDEBTEDNESS TO THE UNITED STATES 
SEC. 11. Section 3 of the Federal Claims Collection Act of 1966 (31 
U.S.C. 952) (as amended by section 3 of this Act) is further amended 
by adding at the end thereof the following new subsection: 
"(e)(1) Except as provided in paragraph (3), the head of an agency 
or his designee shall charge a minimum annual rate of interest on 
outstanding debts on claims owed by persons that is equal to the 
average investment rate for the Treasury tax and loan accounts for 
the twelve-month period ending on September 30 of each year, 
rounded to the nearest whole per centum. The Secretary of the 
Treasury or his designee shall publish such rate each year not later 
than October 31 and such rate shall become effective on the first day 
of the next calendar quarter. The Secretary of the Treasury may 
revise such rate quarterly if the average investment rate for the 
twelve-month period ending at the close of that calendar quarter, 
rounded to the nearest whole per centum, is greater or less than the 
existing published rate by 2 per centum. For purposes of this 
paragraph, 'calendar quarter' means any three-month period begin-
ning on January 1, April 1, July 1, or October 1. 
"(2) Except as provided in paragraph (3), the head of an agency or 
his designee shall, with respect to claims owed by persons— 
"(A) assess charges to cover the costs of processing and han-
dling delinquent claims, and 
Publication 
of rate. 
"Calendar 
quarter." 
96 STAT. 1756 
PUBLIC LAW 97-365—OCT. 25, 1982 
"(B) assess a penalty charge, not to exceed 6 per centum per 
annum, for failure to pay any portion of a debt more than 
ninety days past due. 
"(3) Interest and charges under paragraphs (1) and (2) shall not 
apply if an applicable statute, a regulation required by statute, a 
loan agreement, or a contract either prohibit the charging of inter-
est or charges, or explicitly fix interest or charges that apply to 
Waivers. 
claims involved. The head of an agency or his designee may promul-
gate regulations identifying circumstances appropriate to waive 
collection of interest and charges in conformity with such standards 
as may be promulgated jointly by the Attorney General and the 
Comptroller General. Waivers in accordance with such regulations 
shall constitute compliance with the requirements of paragraphs (1) 
and (2). 
"(4) This subsection shall not apply to any claim under a contract 
which is executed before the effective date of this subsection and 
which is in effect on that date. 
Interest accrual. 
"(5) Subject to paragraph (6), interest under paragraph (1) shall 
accrue— 
"(A) except as provided in subparagraph (B), from the date on 
which notification of the amount due on the claim is first 
mailed to the debtor (using the most current address of such 
debtor that is available to the head of the agency or his desig-
nee); or 
"(B) if such notification was first mailed before the date of the 
Ante, p. 1749. 
enactment of the Debt Collection Act of 1982, from the date on 
which such notification is first mailed after such date of enact-
ment. 
The rate of interest to be charged on a claim under paragraph (1) 
shall be the rate in effect on the date from which interest accrues on 
the claim under subparagraph (A) or (B), and shall remain fixed at 
that rate for the duration of the indebtedness. 
"(6) Interest under paragraph (1) shall not be charged if the 
amount due on the claim is paid within thirty days after the date 
from which interest accrues under paragraph (5). The head of an 
agency may extend such thirty-day period. 
"(7) Interest under this subsection shall not accrue on any charges 
assessed pursuant to paragraph (2) of this subsection. 
"Person." 
"(8) For purposes of this subsection, the term 'person' does not 
include any agency of the United States or any State or local 
government." 
REPORT ON AGENCY DEBT COLLECTION ACTIVITIES 
31 use 955. 
SEC. 12. (a) The Director of the Office of Management and Budget, 
in consultation with the Secretary of the Treasury and Comptroller 
General of the United States, shall establish regulations requiring 
each agency with outstanding debts to prepare and transmit to the 
Director and the Secretary of the Treasury at least once each year a 
report which summarizes the status of loans and accounts receivable 
managed by each agency. The report shall contain information 
regarding— 
(1) the total amount of loans and accounts receivable owed to 
the agency and when the funds owed to the agency are due to be 
repaid; 
(2) the total amount of receivables and number of claims that 
are at least thirty days past due; 
PUBLIC LAW 97-365—OCT. 25, 1982 
96 STAT. 1757 
(3) the total amount written off as uncollectable, actual, and 
allowed for; 
(4) the rate of interest charged for overdue debts and the 
amount of interest charged and collected on debts; 
(5) the total number of claims and total amount collected; 
(6) the number of claims and the total amount of claims 
referred to the Department of Justice for settlement and the 
number of claims and the total amount of claims settled by such 
Department; 
(7) for each program or activity administered by the agency, 
the information described in clauses (1) through (6) of this 
. subsection; and 
(8) such other information as the Director finds necessary in 
order to determine whether the agency is engaging in aggres-
sive action to collect the claims of the agency. 
(b) The Director shall analyze the reports received by each agency 
under subsection (a) and shall report annually to the Congress on 
the management of agency debt collection activities, including the 
information provided to the Director under subsection (a) above. 
Report to 
Congress. 
CONTRACTS FOR COLLECTION SERVICES 
SEC. 13. (a) Section 3617 of the Revised Statutes (31 U.S.C. 484) is 
amended by striking out "section 487" and inserting in lieu thereof 
"sections 487 and 952(g)(2)". 
(b) Section 3 of the Federal Claims Collection Act of 1966 (31 
U.S.C. 952) (as amended by sections 3 and 11 of this Act) is further 
amended by adding at the end thereof the following new subsec-
tions: 
"(f)(1) Notwithstanding the provisions of any other law governing 
the collection of claims owed the United States, except for collec-
tions of unpaid or underpaid debts under the Internal Revenue Code 
of 1954, the head of an agency or his designee may enter into a 
contract with any person or organization, under such terms and 
conditions as the head of the agency or his designee considers 
appropriate, for collection services to recover indebtedness owed to 
the United States. Any such contract shall include provisions speci-
fying that the head of the agency or his designee retains the 
authority to resolve disputes, compromise claims, terminate collec-
tion action, and refer the matter to the Attorney General to initiate 
legal action, and that the contractor shall be subject to section 552a 
of title 5, United States Code, to the extent provided in subsection 
(m) of that section, and shall be subject to Federal and State laws 
and regulations pertaining to debt collection practices, including the 
Fair Debt Collection Practices Act (15 U.S.C. 1692 et seq.). 
"(2) Notwithstanding section 3617 of the Revised Statutes (31 
U.S.C. 484), the head of an agency or his designee may provide, as 
part of a contract described in paragraph (1), that appropriate fees 
charged by a contractor to recover indebtedness owed to the United 
States may be payable from the amount collected by such contrac-
tor. 
"(3) Any such contract shall be effective only to such extent and in 
such amounts as are provided in advance appropriation Acts. 
Contractor 
fees. 
96 STAT. 1758 
PUBLIC LAW 97-365—OCT. 25, 1982 
"Claim." 
"(g) For purposes of this Act, the term 'claim' includes amounts 
owing on account of loans insured or guaranteed by the United 
States and all other amounts due the United States from fees, 
duties, leases, rents, royalties, services, sales of real or personal 
property, overpayments, fines, penalties, damages, interest, taxes, 
forfeitures, and other sources.". 
Approved October 25, 1982. 
LEGISLATIVE HISTORY—H.R. 4613 (S. 1249): 
HOUSE REPORT No. 97-496 (Comm. on Ways and Means). 
SENATE REPORTS: No. 97-378 (Comm. on Governmental Affairs) and No. 97-287 
(Comm. on Finance) both accompanying S. 1249. 
CONGRESSIONAL RECORD, Vol. 128 (1982): 
May 4, 5, considered and passed House. 
Sept. 27, 28, considered and passed Senate, amended. 
Sept. 30, House concurred in Senate amendment with amendments. 
Oct. 1, Senate concurred in House amendments.