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FOREST SERVICE MANUAL
MISSOULA, MONTANA
FSM 6500 - FINANCE AND ACCOUNTING
R-1 Supplement No. 6500-94-1
Effective October 7, 1994
POSTING NOTICE: Supplements to this title are numbered consecutively by title and calendar
year. Post by document name. Remove entire document and replace with this supplement.
Retain this transmittal as the first page of this document. The last supplement to this Title was
supplement 6500-93-1 chapter 6580.
Page Code
Superseded Sheets
6570.43
6570.6
6573.32
1
1
1
Supplements Covered
308,
305,
2/88
5/86
Document Name
(Number of Pages)
6570
3
Digest:
6570.13a
Displays delegation of settlement authority.
6570.43
Limits claims authority delegated to the Forest Administrative Officer.
Requires Regional Office review of all claims for the Government greater than
$100,000.
6570.6
Removed. Direction now covered under 6570.43 above.
6573.32
Removed. Direction now located in FSH 6509.11h, 33.3.
David F. Jolly
SUPPLEMENT 6500-94-1
EFFECTIVE 10/7/94
Regional Forester
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SUPPLEMENT 6500-94-1
EFFECTIVE 10/7/94
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TITLE 6500 - FINANCE AND ACCOUNTING
R1 SUPPLEMENT 6500-94-1
EFFECTIVE 10/7/94
CHAPTER 6570 - CLAIMS
6570. - Authority.
6570.1 - Settlement Authorities.
6570.13a - Settlement Authority for Claims of the United States.
Referral
Advice
Authority to
Settle
1. Claims of $5,000
or less.
RO
RA
AO
2. Interest, Administrative
Charges and Penalties
RO/
AO 1/
RA
RO/DO
3. Claims of $5,001 to
$100,000
SO to RO/DO
1/ The Forest Administrative Officer has authority to compromise, terminate or suspend
collection action on interest, administrative charges, and penalties where the total of these
charges is $5,000 or less and the amount of the original debt owed is $25,000 or less.
Key: AO - Forest Administrative Officer
6570.43 - National Forests. The Administrative Officers will serve as principle advisors and
Forest Claims Officers when carrying out the responsibilities related to claims for the
Government.
The Forest Administrative Officer is authorized to carry out the duties and exercise the authority
of the Regional Claims Officer, except that authority to compromise, terminate, or suspend
collection action shall not exceed $5,000, exclusive of interest, penalty, and administrative costs.
The amount is based on the original amount of the debt. When re-delegated by the Regional
Forester, individual Forest Administrative Officers may be delegated authority to compromise,
terminate, or suspend collection action not to exceed $25,000. Refer all doubtful claims to the
Regional Claims Officer, Administration, for review prior to Forest action to compromise,
terminate, or suspend collection action. A letter to the file, signed by the Forest Administrative
Officer, shall be prepared stating the legal basis for terminating, suspending, or compromising
collection action (refer to 4 CFR, Parts 103 and 104).
SUPPLEMENT 6500-94-1
EFFECTIVE 10/7/94
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The Forest Administrative Officer has authority to compromise, terminate or suspend collection
action on interest, administrative charges, and penalties where the following criteria are met:
1) The total sum of the interest, administrative charges, and penalties is $5,000 or less.
AND
2) The total amount of the principal owed is $25,000 or less.
This authority does not permit the Forest Administrative Officer to compromise, terminate, or
suspend collection action on principal amounts over $5,000. A letter to the file, with a copy to
the Regional Claims Officer, shall be prepared, documenting the specific legal basis for the
waiver of these charges (refer to 4 CFR, Parts 103 and 104).
The Forest Administrative Officer has authority to issue demand letters and accept full payment
in settlement of claims for the Government. All doubtful claims and claims greater than
$100,000.00 will be submitted to the Regional Claims Officer, Adminstration, for review prior to
issuance of a demand letter by the Forest.
Refer repayment agreements with debtors in excess of $5,000.00 to the Regional Claims Officer,
Administration, for review prior to executing the agreement.