The Farm Service Agency, Farm Loan Programs, will refer past due, legally enforceable debts which are over 180 days delinquent to the Secretary of the Treasury for collection by centralized administrative offset (TOP), Internal Revenue Service offset administered through TOP and Treasury's Cross-Servicing (Cross-Servicing) Program, which centralizes all Government debt collection actions. A borrower with a workout agreement in place, in bankruptcy or litigation, or meeting other exclusion criteria, may be excluded from TOP or Cross-Servicing. Guaranteed debtors will only be referred to TOP upon confirmation of payment on a final loss claim.

A 60 day due process notice will be sent to borrowers subject to TOP or Cross-Servicing by the Director of Kansas City Finance Office. The borrower will be given 60 days to resolve any delinquency before the debt is reported to Treasury. The notice will include:

The nature and amount of the debt, the intention of the Agency to collect the debt through TOP or Cross-Servicing, and an explanation of the debtor's rights;

An opportunity to inspect and copy the records related to the debt, from the Agency;

An opportunity to review the matter within the Agency; and

An opportunity to enter into a written repayment agreement.

In referring debt to the Department of Treasury the Agency will certify that:

The debt is past due and legally enforceable in the amount submitted and the Agency will ensure that collections are properly credited to the debt;

Except in the case of a judgment debt or as otherwise allowed by law, the debt is referred for offset within 10 years after the Agency's right of action accrues;

The Agency has made reasonable efforts to obtain payment; and

Payments that are prohibited by law from being offset are exempt from centralized administrative offset.