FCC 1.1919 Revised as of October 1, 2006
Goto Year:2005 |
2007
Sec. 1.1919 Contracting for collection services.
(a) Subject to the provisions of paragraph (b) of this section, the
Commission may contract with private collection contractors, as defined in
31 U.S.C. 3701(f), to recover delinquent debts. In that regard, the
Commission:
(1) Retains the authority to resolve disputes, compromise debts, suspend or
terminate collection activity, and refer debts for litigation;
(2) Restricts the private collection contractor from offering, as an
incentive for payment, the opportunity to pay the debt less the private
collection contractor's fee unless the Commission has granted such authority
prior to the offer;
(3) Specifically requires, as a term of its contract with the private
collection contractor, that the private collection contractor is subject to
the Privacy Act of 1974 to the extent specified in 5 U.S.C. 552a(m), and to
applicable Federal and state laws and regulations pertaining to debt
collection practices, including but not limited to the Fair Debt Collection
Practices Act, 15 U.S.C. 1692; and
(4) The private collection contractor is required to account for all amounts
collected.
(b) Although the Commission will use government-wide debt collection
contracts to obtain debt collection services provided by private collection
contractors, the Commission may refer debts to private collection
contractors pursuant to a contract between the Commission and the private
collection contractor in those situations where the Commission is not
required to transfer debt to the Secretary of the Treasury for debt
collection.
(c) Agencies may fund private collection contractor in accordance with 31
U.S.C. 3718(d), or as otherwise permitted by law.
(d) The Commission may enter into contracts for locating and recovering
assets of the United States, such as unclaimed assets, but it will first
establish procedures that are acceptable to Treasury before entering into
contracts to recover assets of the United States held by a state government
or a financial institution.
(e) The Commission may enter into contracts for debtor asset and income
search reports. In accordance with 31 U.S.C. 3718(d), such contracts may
provide that the fee a contractor charges the Commission for such services
may be payable from the amounts recovered, unless otherwise prohibited by
statute. In that regard, fees for those services will be added to the amount
collected and are part of the administrative collection costs passed on to
the debtor. See Sec. 1.1940.
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