CFR > Title 34 - Education > SUBTITLE A—Office of the Secretary, Department of Education > PART 30—DEBT COLLECTION > SUBPART C—What Provisions Apply to Administrative Offset? (§30.20 to §30.35) > 30.21—When may the Secretary offset a debt?

30.21—When may the Secretary offset a debt?

(a) The Secretary may offset a debt if:
(1) The debt is liquidated or certain in amount; and
(2) Offset is feasible and not otherwise prohibited.
(b) (1) Whether offset is feasible is determined by the Secretary in the exercise of sound discretion on a case-by-case basis, either:
(i) For each individual debt or offset; or
(ii) For each class of similar debts or offsets.
(2) The Secretary considers the following factors in making this determination:
(i) Whether offset can be practically and legally accomplished.
(ii) Whether offset will further and protect the interests of the United States.
(c) The Secretary may switch advance funded grantees to a reimbursement payment system before initiating an offset.

Code of Federal Regulations

(Authority: 20 U.S.C. 1221e-3(a)(1) and 1226a-1, 31 U.S.C. 3716(b))