Accreditation of Service Organization Representatives and Agents, 58009-58013 [E7-20211]
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Federal Register / Vol. 72, No. 197 / Friday, October 12, 2007 / Rules and Regulations
DEPARTMENT OF VETERANS
AFFAIRS
38 CFR Part 14
RIN 2900–AM29
Accreditation of Service Organization
Representatives and Agents
Department of Veterans Affairs.
Final rule.
AGENCY:
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ACTION:
SUMMARY: The Department of Veterans
Affairs (VA) is amending its regulations
governing the accreditation of
representatives of claimants for
veterans’ benefits. As amended, the
regulations require service organizations
to recertify the qualifications of their
accredited representatives every 5 years,
and to notify VA when requesting
cancellation of a representative’s
accreditation based upon misconduct or
lack of competence, or if a
representative resigns to avoid
cancellation of accreditation for
misconduct or lack of competence. They
also clarify that VA’s authority to cancel
accreditation includes the authority to
suspend accreditation. The purpose of
these amendments is to ensure that
claimants for veterans’ benefits have
responsible, qualified representation in
the preparation, presentation, and
prosecution of claims.
DATES: Effective Date: This final rule is
effective January 10, 2008. See
SUPPLEMENTARY INFORMATION for initial
compliance dates.
FOR FURTHER INFORMATION CONTACT:
Michael G. Daugherty, Staff Attorney,
Office of the General Counsel (022G2),
Department of Veterans Affairs, 810
Vermont Avenue, NW., Washington, DC
20420, (202) 273–6315. This is not a
toll-free number.
SUPPLEMENTARY INFORMATION: In a
document published in the Federal
Register on December 23, 2005 (70 FR
76221), VA proposed to amend the
regulations governing the accreditation
of recognized veterans service
organization representatives and claims
agents. The public comment period
ended on February 21, 2006. VA
received comments from an individual
veteran, two State veterans service
organizations, and three national
veterans service organizations. These
comments are discussed below.
After the notice of proposed
rulemaking was published, Public Law
109–461 was enacted. Section 101 of
Public Law 109–461, the Veterans
Benefits, Health Care, and Information
Technology Act of 2006, amends
chapter 59 of title 38, United States
Code, governing the recognition of
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individuals for the preparation,
presentation, and prosecution of claims
for benefits before VA. The amendments
to chapter 59, among other things,
require VA to: (1) Regulate the
qualifications and standards of conduct
applicable to accredited agents and
attorneys; (2) annually collect
information about accredited agents’
and attorneys’ standing to practice or
appear before any court, bar, or Federal
or State agency; (3) add to the list of
grounds for suspension or exclusion of
agents or attorneys from further practice
before VA; and (4) subject veterans
service organization representatives and
individuals recognized for a particular
claim to suspension and exclusion from
further practice before VA on the same
grounds as apply to agents and
attorneys.
Section 101 of Public Law 109–461
also amends the fee provisions in
chapter 59. Prior to the amendments,
section 5904(c)(1) proscribed the
charging of fees by agents and attorneys
for services provided before a first final
Board of Veterans’ Appeals (Board)
decision in a case. Under the
amendments, accredited agents and
attorneys may charge fees for
representational services provided after
the claimant files a notice of
disagreement in a case, and may receive
fees for representation directly from VA
out of past-due benefits paid to
claimants.
These various amendments, viewed
together, indicate to us that Congress
intends VA to treat agents and attorneys
in the same manner for purposes of
accreditation, suspension or
cancellation of accreditation, and
payment of fees. To properly implement
the provisions of Public Law 109–461,
VA will withdraw the provisions of the
notice of proposed rulemaking relating
to the accreditation of claims agents and
will revisit the issue in a later
rulemaking.
Based on the rationale described in
this document and in the notice of
proposed rulemaking, VA adopts the
proposed rule as revised in this
document.
Section 14.629(a)—Periodic
Recertification of Service Organization
Representatives
Five commenters expressed overall
support for the concept of periodic
recertification of service organization
representatives. One of these
commenters, a national veterans service
organization, while supporting the
proposed rule, expressed concern with
its ability to recertify hundreds of
accredited representatives in a timely
manner after VA publishes a final rule.
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The commenter asked for a 6-month
grace period following the effective date
of the regulation to achieve initial
compliance and asked for a 4-month
grace period for each subsequent
recertification of an accredited
representative. VA acknowledges that
many service organizations, by virtue of
the size of their operations, will face
administrative challenges in recertifying
representatives accredited by VA more
than 5 years before the effective date of
this rule. To address this issue, the rule
is being made effective 90 days after the
date of publication in the Federal
Register and VA is establishing a
phased series of initial compliance dates
based on the first letter of
representatives’ last names. The initial
compliance date for service organization
representatives accredited more than 5
years before the effective date of this
rule is April 9, 2008 for representatives
with last names beginning with letters A
through F; July 8, 2008 for
representatives with last names
beginning with letters G through M;
October 6, 2008 for representatives with
last names beginning with letters N
through S; and January 5, 2009 for
representatives with last names
beginning with letters T through Z.
The delayed effective date and phased
initial compliance dates will permit
organizations to make conforming
changes to their procedures and phasein the recertification requirements over
a 15-month period. We believe that
these accommodations are sufficient to
avoid undue burdens on recognized
organizations. Thereafter, VA intends
that organizations will recertify their
accredited representatives before the
expiration of each 5-year certification
period. Accordingly, we will not make
further changes based on these
comments.
One commenter, a national veterans
service organization, requested
clarification about proposed § 14.629(a).
Specifically, the organization asked
whether VA’s amendment would
require accredited service organization
representatives ‘‘to take a written
examination administered by VA every
5 years as a prerequisite for
recertification’’ as proposed for agents
in § 14.629(b)(2). The organization does
not support such a requirement for its
accredited representatives. Another
commenter, a State veterans service
organization, expressed similar concern
that the rule would impose a new
testing requirement for representatives.
It is not VA’s intention to impose a
new testing requirement for
recertification of accredited
representatives of service organizations
under this rule. Section 14.629(a)
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outlines the initial accreditation and
periodic recertification requirements for
accredited representatives of service
organizations, and § 14.629(b) provides
the requirements for claims agents. To
recertify an accredited representative,
an organization files a VA Form 21
(Application for Accreditation as
Service Organization Representative)
with the signature of the certifying
official indicating the representative
continues to meet the requirements of
§ 14.629(a)(1) through (3) in that he or
she is of good character and reputation,
is qualified to represent veterans, meets
organizational membership
requirements or is a full-time employee
of the organization, and is not an
employee of the United States
Government. The organization may
determine for itself the best means to
determine the continuing qualifications
of its representatives. The service
organization’s filing of the VA Form 21
is the only requirement for
recertification of accredited
representatives under § 14.629(a).
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Section 14.629(b)—Agents
One commenter, a State veterans
service organization, objected to the
testing requirements in VA’s
accreditation regulations. However, the
successful completion of an
examination exists as a requirement for
the initial accreditation of claims agents
and the initial accreditation of county
veterans’ service officers recommended
by a recognized State organization, not
for service organization representatives
in general. For the reasons discussed
above relating to the enactment of
Public Law 109–461, VA will withdraw
the proposed amendments requiring
periodic recertification of claims agents
and will revisit the issue in a later
rulemaking.
Section 14.633—Suspension of
Accreditation
One commenter, a national veterans
service organization, suggested that VA
‘‘better define the circumstances under
which accreditation can be suspended’’
and ‘‘describe the maximum length of a
suspension and the mechanism for
obtaining reinstatement.’’ We agree.
Section 5904(b) permits VA to
suspend or exclude agents and attorneys
from practice before VA. VA has
interpreted section 5902 and its
predecessor, 38 U.S.C. 3402, as similarly
authorizing the suspension or exclusion
of accredited representatives of
recognized service organizations. See 38
CFR 14.627(c) (1965) (suspension or
exclusion for cause); see also 38 CFR
14.633(c) (1979) (suspension or
exclusion based upon a finding of clear
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and convincing evidence of proscribed
conduct). Moreover, in Public Law 109–
461, Congress amended section 5902 to
subject accredited representatives to
suspension and exclusion from further
practice before VA on the same grounds
as apply to agents and attorneys as
provided for in section 5904(b). VA
agrees that there is a need for greater
clarity in the procedures for
reinstatement. Accordingly, we have
revised the proposed amendments to the
rule concerning suspension to provide
that the General Counsel may suspend
accreditation for a definite period or
until the individual satisfies the
conditions established by the General
Counsel for reinstatement. The General
Counsel will reinstate suspended
accreditations at the end of the period
of suspension or upon verification that
the individual has satisfied the
conditions for reinstatement.
Concerning the circumstances under
which a representative may be
suspended, VA believes that further
clarification is unnecessary. The plain
language of section 5904(b) authorizes
VA to suspend or exclude from further
practice before VA agents or attorneys
found incompetent or to have engaged
in misconduct. Congress’ recent
amendment of section 5902 in Public
Law 109–461 codifies VA’s
longstanding interpretation of section
5902 by providing VA with authority to
suspend the accreditation of
representatives or exclude them from
further practice before VA on the same
grounds as apply to agents and
attorneys. VA’s decision to suspend or
cancel an individual’s accreditation will
be based on the facts and circumstances
of the particular case, with suspension
being appropriate in cases involving
extenuating circumstances or less
egregious conduct not warranting
permanent cancellation of accreditation.
Section 14.633—Duty To Inform VA of
Misconduct or Incompetence
Two commenters disagreed with the
proposed requirement for an
organization to inform VA of the reasons
for requesting cancellation of a
representative’s accreditation under 38
CFR 14.633(a) when the request is due
to the representative’s misconduct or
lack of competence or because the
representative resigned to avoid
cancellation of accreditation based upon
misconduct or lack of competence.
One commenter, a national service
organization, expressed concern that the
proposed requirement would create an
adversarial relationship between the
employer service organization and
employee representative and that it
would create ‘‘a potential ethical
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conflict in situations where the
representative is also represented by the
organization to which he or she is
accredited.’’ According to this
organization, ‘‘[p]roviding the VA with
information that may potentially
adversely impact the representative’s
entitlement to VA benefits is in direct
conflict with the organization’s
obligation as the individual’s
representative.’’ We disagree.
Under the law governing recognition,
service organizations have a legal duty
to assist VA in ensuring the competent
representation of claimants before The
Department. Section 5902(a) of title 38,
United States Code, authorizes VA to
recognize organizations for the limited
purpose of ensuring competent
representation of veterans in the
preparation, presentation, and
prosecution of claims for VA benefits.
See 38 CFR 14.626 (‘‘The purpose of the
regulation of representatives is to ensure
that claimants for [VA] benefits have
responsible, qualified representation in
the preparation, presentation, and
prosecution of claims for veterans’
benefits.’’). VA implemented this
authority in 38 CFR 14.628, which,
among other things, requires that an
organization applying for recognition
demonstrate a substantial service
commitment to veterans. An
organization applying for VA
recognition must demonstrate that it
satisfies the legal requirements for
recognition and then certify to VA that
each of the organization’s
representatives who will assist veterans
in the preparation, presentation, and
prosecution of claims before VA meets
the legal requirements for accreditation
in 38 CFR 14.629(a). Furthermore,
recognized organizations are required to
train and monitor their accredited
representatives to ensure the proper
handling of claims. 38 CFR
14.628(d)(1)(v). Thus, an organization’s
legal duty to establish systems to ensure
the competent representation of
claimants does not end with its
recognition, but continues as long as the
organization is recognized by VA.
Under current § 14.633(c) and (d),
cancellation of accreditation is
mandatory if the General Counsel finds
that a representative engaged in
misconduct or that a representative’s
performance before the Department
demonstrates a lack of the degree of
competence necessary to adequately
prepare, present, and prosecute claims.
However, under current § 14.633(a),
service organizations may request
cancellation of a representative’s
accreditation without informing VA of
the reason for the request. The
amendments to § 14.633(a), which
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require organizations to report the
reason for the request if it involves
misconduct or incompetence, will assist
VA in monitoring the qualifications of
individuals who apply for accreditation
or are cross-accredited through more
than one recognized organization.
The practice of cross-accreditation is
defined in 38 CFR 14.627(i) as
‘‘accreditation based on the status of a
representative as an accredited and
functioning representative of another
organization.’’ Although crossaccreditation enhances claimants’
opportunities for representation, it may
conceal a representative’s misconduct or
incompetence absent the amendments
to § 14.633(a) in this rule. Consider the
situation where a representative,
accredited by several organizations, is
discharged for an offense at one
organization that, if proven, would
clearly lead to cancellation of
accreditation by VA. If the organization
does not report the reason for the
discharge to VA when requesting
cancellation of the representative’s
accreditation, the individual’s
accreditations through other
organizations remain valid and the
representative may continue to provide
representation through those
organizations. As a result, an individual
who engages in unlawful, unethical or
unprofessional acts or is incompetent
may continue to represent veterans.
An additional rationale for the
amendment requiring notification is the
situation where a representative ends
his or her affiliation with the
organization in order to avoid
cancellation of accreditation based on
misconduct and then applies for
accreditation through another
organization that has no knowledge of
the misconduct. In this case, without
knowledge of the previous misconduct,
VA would likely accredit the
representative through the new
organization based upon the new
organization’s unknowing certification.
Certainly, if a representative engages in
misconduct or provides incompetent
representation at one organization, VA
should not accredit the individual
through another organization. This rule,
which requires organizations to notify
VA of the reason for requesting
cancellation of a representative’s
accreditation if that reason involves
misconduct or incompetence, closes
these gaps and better ensures the
competent representation of claimants.
VA believes that these benefits greatly
outweigh any potential effect on the
employer/employee relationship
between organizations and their
representatives.
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Regarding the commenter’s concern
about a potential adverse impact on a
veteran’s benefit entitlements by virtue
of the obligation to inform VA of
misconduct or incompetence, the
service organizations’ duty to inform
provides VA with the information
necessary to investigate misconduct and
incompetence and ensure competent
representation of claimants. It is not
clear how information about a
representative’s misconduct or
incompetence could adversely affect his
or her own entitlement to VA benefits,
unless the information relates to a
scheme of fraud in obtaining benefits.
Although an organization’s primary
purpose is to serve veterans, clearly this
obligation does not include concealing
fraud against the United States.
Recent changes in the law governing
representation reinforce the obligation
of service organizations to report a
representative’s misconduct or
incompetence to VA. As discussed
earlier, Public Law 109–461 amended
38 U.S.C. 5904(a) to require VA to
regulate the qualifications and standards
of conduct applicable to accredited
agents and attorneys. Amended section
5902(b)(2) subjects veterans service
organization representatives to
suspension and exclusion from further
practice before VA on the same grounds
as apply to agents and attorneys. VA’s
statutory obligation to regulate the
standards of conduct of accredited
representatives as reflected in
amendments to chapter 59 requires that
organizations fulfill the reporting
obligations described in § 14.633(a). In
May 2007, we published in the Federal
Register a notice of proposed
rulemaking implementing Public Law
109–461, which, among other things,
established standards of conduct for
practice before VA applicable to all
service organization representatives. 72
FR 25930.
The commenter also expressed
concern about the disclosure of
disaccreditation information providing a
basis for claimants to seek
readjudication of numerous claims.
However, VA decisions are final absent
reopening based on new and material
evidence or a finding of clear and
unmistakable error (CUE) in a prior
regional office or Board of Veterans’
Appeals (Board) decision. See 38 U.S.C.
5108, 5109A, 7111. To establish CUE in
a final VA decision, it must be shown
that VA committed a specific error in
adjudicating the claim and that the
outcome would have been manifestly
different but for the error. Cook v.
Principi, 318 F.3d 1334, 1343 (Fed. Cir.
2002). Therefore, an allegation that a
claimant was represented by a person
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later disaccredited for misconduct or
incompetence, by itself, would generally
not be sufficient to require
readjudication of a claim based on
conduct by the representative.
The commenter suggested that ‘‘very
few individuals would be brought to the
attention of the VA’’ for misconduct or
incompetence because it is likely those
individuals would resign before any
allegations of misconduct or
incompetence were ever substantiated.
The situation described by the
organization is foreseeable under
current § 14.633(a) and under the
amendments made by this rule. While
VA recognizes that individuals may
resign before any incompetence or
misconduct is substantiated as a means
to avoid a formal inquiry, this does not
mean that VA should forego any effort
to improve the quality of representation
in cases where an organization has
determined that misconduct or
incompetence is sufficient to request
cancellation of VA accreditation. With
the rule in effect, the organization will
be required to inform VA that a request
to cancel accreditation under § 14.633(a)
is based upon misconduct,
incompetence, or resignation to avoid
cancellation of accreditation for
misconduct or incompetence. Upon
receipt of such information, when
appropriate, VA will initiate the
procedures under 38 CFR 14.633(e) to
determine whether the representative
should be barred from further
representation of VA claimants. As a
result, VA, in cooperation with service
organizations, will seek to ensure the
competent representation of claimants.
Another commenter, a State
organization, expressed disagreement
with the proposed requirement to notify
VA in cases of cancellation of
accreditation for misconduct ‘‘unless
[VA] assumes all potential civil liability
for the accrediting organizations.’’ The
organization expressed concern that it
might incur civil liability as a result of
a lawsuit brought by a representative
after it provides accreditation
cancellation information to VA.
VA cannot guarantee immunity from
civil suit, nor can it underwrite an
organization’s potential liability
resulting from civil suit. While VA
acknowledges the potential for civil
liability in a defamation action under
state law for disclosure of employmentrelated information, this is a risk
incurred by all employers in providing
information about former employees to
current or potential employers. The sole
purpose of the requirement that service
organizations disclose the reason for
requesting cancellation of a
representative’s accreditation is to
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ensure competent representation of
claimants by cancelling accreditation
and preventing further accreditation in
appropriate cases. In the commenter’s
jurisdiction, section 47(b) of the
California Civil Code provides an
absolute privilege for a communication
‘‘in any other official proceeding
authorized by law.’’ See CAL. CIV.
CODE § 47(b). A ‘‘communication to an
official administrative agency, which
communication is designed to prompt
action by that agency’’ is considered
part of an official proceeding. See King
v. Borges, 104 Cal. Rptr. 414, 417 (Cal.
Ct. App. 1972). Thus, an organization’s
communication to VA concerning the
reasons for requesting cancellation of a
representative’s accreditation, a
communication required by law and
designed to prompt action by VA
concerning the representative’s
accreditation through other
organizations, is absolutely privileged
under California law.
Most States have statutory or common
law provisions that establish truth as a
defense in defamation actions and
protect certain communications as
privileged. Communication of
accreditation cancellation information
to VA by a service organization, without
malice, and within accepted limits,
would generally be privileged and thus
not likely to result in liability for
defamation damages. Even in the
absence of a privilege, the publication of
a true statement by a service
organization to VA would not lead to
liability for defamation. See Restatement
(Second) of Torts § 581A (1977) (‘‘One
who publishes a defamatory statement
of fact is not subject to liability for
defamation if the statement is true.’’).
Because the nature of defamation
liability and privileged communication
varies from State to State, VA
encourages organizations to seek
counsel regarding applicable laws. As
an additional protection from liability,
organizations should consider making
disclosure of accreditation cancellation
information to VA a condition of
employment by or affiliation with the
organization and obtaining prior written
authorization from the representative to
disclose such information.
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Paperwork Reduction Act
This document contains provisions
constituting collections of information
at 38 CFR 14.629(a), 14.629(b), and
14.633(a) under the Paperwork
Reduction Act (44 U.S.C. 3501–3521).
The Office of Management and Budget
(OMB) has approved these collections
and has assigned OMB control number
2900–0018.
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Regulatory Flexibility Act
The Secretary hereby certifies that
this final rule will not have a significant
economic impact on a substantial
number of small entities as they are
defined in the Regulatory Flexibility Act
(5 U.S.C 601–602). This rule will affect
the 87 veterans service organizations
recognized by VA to represent benefit
claimants. However, the rule would not
have a significant economic impact on
these organizations because it would
only impose certification requirements
the costs of which would not be
significant. Therefore, pursuant to 5
U.S.C. 605(b), this rule is exempt from
the final regulatory flexibility analysis
requirements of section 604.
Executive Order 12866
Executive Order 12866 directs
agencies to assess all costs and benefits
of available regulatory alternatives and,
when regulation is necessary, to select
regulatory approaches that maximize
net benefits (including potential
economic, environmental, public health
and safety, and other advantages;
distributive impacts; and equity). The
Order classifies a rule as a significant
regulatory action requiring review by
the Office of Management and Budget if
it meets any one of a number of
specified conditions, including: having
an annual effect on the economy of $100
million or more, creating a serious
inconsistency or interfering with an
action of another agency, materially
altering the budgetary impact of
entitlements or the rights of entitlement
recipients, or raising novel legal or
policy issues. VA has examined the
economic, legal, and policy implications
of this final rule and has concluded that
it is a significant regulatory action under
Executive Order 12866 because it raises
novel policy issues.
Unfunded Mandates
The Unfunded Mandates Reform Act
of 1995 requires, at 2 U.S.C. 1532, that
agencies prepare an assessment of
anticipated costs and benefits before
issuing any rule that may result in the
expenditure by State, local, and tribal
governments, in the aggregate, or by the
private sector, of $100 million or more
(adjusted annually for inflation) in any
year. This final rule would have no such
effect on State, local, and tribal
governments, or on the private sector.
Catalog of Federal Domestic Assistance
Numbers and Titles
There are no Federal Domestic
Assistance programs associated with
this final rule.
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List of Subjects in 38 CFR Part 14
Administrative practice and
procedure, Claims, Courts, Foreign
relations, Government employees,
Lawyers, Legal services, Organizations
and functions (Government agencies),
Reporting and recordkeeping
requirements, Surety bonds, Trusts and
trustees, Veterans.
Approved: July 2, 2007.
Gordon H. Mansfield,
Deputy Secretary of Veterans Affairs.
For the reasons set forth in the
preamble, the Department of Veterans
Affairs amends 38 CFR part 14 as
follows:
I
PART 14—LEGAL SERVICES,
GENERAL COUNSEL, AND
MISCELLANEOUS CLAIMS
1. The authority citation for part 14
continues to read as follows:
I
Authority: 5 U.S.C. 301; 28 U.S.C. 2671–
2680; 38 U.S.C. 501(a), 512, 515, 5502, 5902–
5905; 28 CFR part 14, appendix to part 14,
unless otherwise noted.
2. Revise § 14.629(a) introductory text
to read as follows:
I
§ 14.629 Requirements for accreditation of
service organization representatives;
agents; and attorneys.
*
*
*
*
*
(a) Service Organization
Representatives. A recognized
organization shall file with the Office of
the General Counsel VA Form 21
(Application for Accreditation as
Service Organization Representative) for
each person it desires accredited as a
representative of that organization. The
form must be signed by the prospective
representative and the organization’s
certifying official. For each of its
accredited representatives, a recognized
organization’s certifying official shall
complete, sign and file with the Office
of the General Counsel, not later than
five years after initial accreditation
through that organization or the most
recent recertification by that
organization, VA Form 21 to certify that
the representative continues to meet the
criteria for accreditation specified in
paragraph (a)(1), (2) and (3) of this
section. In recommending a person, the
organization shall certify that the
designee:
*
*
*
*
*
I 3. Section 14.633(a) is amended by:
I a. Revising paragraphs (a) and (e)(2)(i).
I b. In paragraphs (b), (c) introductory
text, and (d) adding ‘‘ suspended or ‘‘
before ‘‘canceled’’ each time it appears.
I c. In paragraph (e) introductory text
adding ‘‘suspension or’’ before
‘‘cancellation’’.
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I d. In paragraph (e)(1), removing ‘‘and
maintain the record for 3 years’’.
I e. In paragraph (e)(2)(ii), adding
‘‘further suspend or’’ before ‘‘cancel’’
and ‘‘suspension or’’ before
‘‘cancellation’’.
I f. Redesignating paragraph (g) as
paragraph (h).
I g. Adding new paragraph (g).
I h. In redesignated paragraph (h),
adding ‘‘suspension or’’ before
‘‘termination’’, and by removing the last
sentence of the paragraph.
I i. Adding a parenthetical at the end of
the section.
The revisions and addition read as
follows:
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§ 14.633 Termination of accreditation of
agents, attorneys, and representatives.
(a) Accreditation may be suspended
or canceled at the request of an agent,
attorney, representative, or organization.
When an organization requests
suspension or cancellation of the
accreditation of a representative due to
misconduct or lack of competence on
the part of the representative or because
the representative resigned to avoid
suspension or cancellation of
accreditation for misconduct or lack of
competence, the organization shall
inform VA of the reason for the request
for suspension or cancellation and the
facts and circumstances surrounding
any incident that led to the request.
*
*
*
*
*
(e) * * *
(2) * * *
(i) As to representatives, suspend
accreditation immediately and notify
the representative and the
representative’s organization of the
interim suspension and of an intent to
cancel or continue suspension of
accreditation. The notice to the
representative will also state the reasons
for the interim suspension and
impending cancellation or continuation
of suspension, and inform the
representative of a right to request a
hearing on the matter or to submit
additional evidence within 10 working
days following receipt of such notice.
Such time may be extended for a
reasonable period upon a showing of
sufficient cause.
*
*
*
*
*
(g) The General Counsel may suspend
the accreditation of a representative,
agent, or attorney, under paragraphs (b),
(c), or (d) of this section, for a definite
period or until the conditions for
reinstatement specified by the General
Counsel are satisfied. The General
Counsel shall reinstate an individual’s
accreditation at the end of the
suspension period or upon verification
VerDate Aug<31>2005
14:40 Oct 11, 2007
Jkt 214001
that the individual has satisfied the
conditions for reinstatement.
*
*
*
*
*
(The Office of Management and Budget has
approved the information collections
requirements in this section control number
2900–0018.)
[FR Doc. E7–20211 Filed 10–11–07; 8:45 am]
BILLING CODE 8320–01–P
ENVIRONMENTAL PROTECTION
AGENCY
40 CFR Part 52
[EPA–R09–OAR–2007–0657; FRL–8479–4]
Approval and Promulgation of
Implementation Plans; Revisions to the
California State Implementation Plan;
San Francisco Bay Area
Environmental Protection
Agency (EPA).
ACTION: Direct final rule.
AGENCY:
SUMMARY: EPA is taking direct final
action under the Clean Air Act to
approve a revision to the San Francisco
Bay Area portion of the California State
Implementation Plan (SIP). This
revision consists of transportation
conformity criteria and procedures
related to interagency consultation and
enforceability of certain transportationrelated control measures and mitigation
measures. The intended effect is to
update the transportation conformity
criteria and procedures in the applicable
SIP.
DATES: This rule is effective on
December 11, 2007 without further
notice, unless EPA receives adverse
comments by November 13, 2007. If we
receive such comments, we will publish
a timely withdrawal in the Federal
Register to notify the public that this
direct final rule will not take effect.
ADDRESSES: Submit comments,
identified by docket number EPA–R09–
OAR–2007–0657, by one of the
following methods:
1. Federal eRulemaking Portal:
www.regulations.gov. Follow the on-line
instructions.
2. E-mail: vagenas.ginger@epa.gov.
3. Mail or deliver: Ginger Vagenas
(Air–2), U.S. Environmental Protection
Agency Region IX, 75 Hawthorne Street,
San Francisco, CA 94105–3901.
Instructions: All comments will be
included in the public docket without
change and may be made available
online at www.regulations.gov,
including any personal information
provided, unless the comment includes
Confidential Business Information (CBI)
or other information whose disclosure is
PO 00000
Frm 00011
Fmt 4700
Sfmt 4700
58013
restricted by statute. Information that
you consider CBI or otherwise protected
should be clearly identified as such and
should not be submitted through
www.regulations.gov or e-mail. The
www.regulations.gov Web site is an
‘‘anonymous access’’ system, and EPA
will not know your identity or contact
information unless you provide it in the
body of your comment. If you send email directly to EPA, your e-mail
address will be automatically captured
and included as part of the public
comment. If EPA cannot read your
comment due to technical difficulties
and cannot contact you for clarification,
EPA may not be able to consider your
comment.
Docket: The index to the docket for
this action is available electronically at
www.regulations.gov and in hard copy
at EPA Region IX, 75 Hawthorne Street,
San Francisco, California. While all
documents in the docket are listed in
the index, some information may be
publicly available only at the hard copy
location (e.g., copyrighted material), and
some may not be publicly available in
either location (e.g., CBI). To inspect the
hard copy materials, please schedule an
appointment during normal business
hours with the contact listed in the FOR
FURTHER INFORMATION CONTACT section.
FOR FURTHER INFORMATION CONTACT:
Ginger Vagenas, EPA Region IX, (415)
972–3964, vagenas.ginger@epa.gov.
SUPPLEMENTARY INFORMATION:
Throughout this document, ‘‘we,’’ ‘‘us’’
and ‘‘our’’ refer to EPA. This
supplementary information section is
arranged as follows:
I. Transportation Conformity
II. Background for This Action
A. Federal Requirements
B. San Francisco Bay Area Conformity SIP
III. State Submittal and EPA Evaluation
IV. Public Comment and Final Action
V. Statutory and Executive Order Reviews
I. Transportation Conformity
Transportation conformity is required
under section 176(c) of the Clean Air
Act (CAA or Act) to ensure that
federally supported highway, transit
projects, and other activities are
consistent with (‘‘conform to’’) the
purpose of the SIP. Conformity
currently applies to areas that are
designated nonattainment, and to areas
that have been redesignated to
attainment after 1990 (maintenance
areas) with plans developed under
section 175A of the Act, for the
following transportation related criteria
pollutants: Ozone, particulate matter
(PM2.5 and PM10), carbon monoxide
(CO), and nitrogen dioxide (NO2).
Conformity to the purpose of the SIP
means that transportation activities will
E:\FR\FM\12OCR1.SGM
12OCR1
Agencies
[Federal Register Volume 72, Number 197 (Friday, October 12, 2007)]
[Rules and Regulations]
[Pages 58009-58013]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-20211]
[[Page 58009]]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF VETERANS AFFAIRS
38 CFR Part 14
RIN 2900-AM29
Accreditation of Service Organization Representatives and Agents
AGENCY: Department of Veterans Affairs.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: The Department of Veterans Affairs (VA) is amending its
regulations governing the accreditation of representatives of claimants
for veterans' benefits. As amended, the regulations require service
organizations to recertify the qualifications of their accredited
representatives every 5 years, and to notify VA when requesting
cancellation of a representative's accreditation based upon misconduct
or lack of competence, or if a representative resigns to avoid
cancellation of accreditation for misconduct or lack of competence.
They also clarify that VA's authority to cancel accreditation includes
the authority to suspend accreditation. The purpose of these amendments
is to ensure that claimants for veterans' benefits have responsible,
qualified representation in the preparation, presentation, and
prosecution of claims.
DATES: Effective Date: This final rule is effective January 10, 2008.
See SUPPLEMENTARY INFORMATION for initial compliance dates.
FOR FURTHER INFORMATION CONTACT: Michael G. Daugherty, Staff Attorney,
Office of the General Counsel (022G2), Department of Veterans Affairs,
810 Vermont Avenue, NW., Washington, DC 20420, (202) 273-6315. This is
not a toll-free number.
SUPPLEMENTARY INFORMATION: In a document published in the Federal
Register on December 23, 2005 (70 FR 76221), VA proposed to amend the
regulations governing the accreditation of recognized veterans service
organization representatives and claims agents. The public comment
period ended on February 21, 2006. VA received comments from an
individual veteran, two State veterans service organizations, and three
national veterans service organizations. These comments are discussed
below.
After the notice of proposed rulemaking was published, Public Law
109-461 was enacted. Section 101 of Public Law 109-461, the Veterans
Benefits, Health Care, and Information Technology Act of 2006, amends
chapter 59 of title 38, United States Code, governing the recognition
of individuals for the preparation, presentation, and prosecution of
claims for benefits before VA. The amendments to chapter 59, among
other things, require VA to: (1) Regulate the qualifications and
standards of conduct applicable to accredited agents and attorneys; (2)
annually collect information about accredited agents' and attorneys'
standing to practice or appear before any court, bar, or Federal or
State agency; (3) add to the list of grounds for suspension or
exclusion of agents or attorneys from further practice before VA; and
(4) subject veterans service organization representatives and
individuals recognized for a particular claim to suspension and
exclusion from further practice before VA on the same grounds as apply
to agents and attorneys.
Section 101 of Public Law 109-461 also amends the fee provisions in
chapter 59. Prior to the amendments, section 5904(c)(1) proscribed the
charging of fees by agents and attorneys for services provided before a
first final Board of Veterans' Appeals (Board) decision in a case.
Under the amendments, accredited agents and attorneys may charge fees
for representational services provided after the claimant files a
notice of disagreement in a case, and may receive fees for
representation directly from VA out of past-due benefits paid to
claimants.
These various amendments, viewed together, indicate to us that
Congress intends VA to treat agents and attorneys in the same manner
for purposes of accreditation, suspension or cancellation of
accreditation, and payment of fees. To properly implement the
provisions of Public Law 109-461, VA will withdraw the provisions of
the notice of proposed rulemaking relating to the accreditation of
claims agents and will revisit the issue in a later rulemaking.
Based on the rationale described in this document and in the notice
of proposed rulemaking, VA adopts the proposed rule as revised in this
document.
Section 14.629(a)--Periodic Recertification of Service Organization
Representatives
Five commenters expressed overall support for the concept of
periodic recertification of service organization representatives. One
of these commenters, a national veterans service organization, while
supporting the proposed rule, expressed concern with its ability to
recertify hundreds of accredited representatives in a timely manner
after VA publishes a final rule. The commenter asked for a 6-month
grace period following the effective date of the regulation to achieve
initial compliance and asked for a 4-month grace period for each
subsequent recertification of an accredited representative. VA
acknowledges that many service organizations, by virtue of the size of
their operations, will face administrative challenges in recertifying
representatives accredited by VA more than 5 years before the effective
date of this rule. To address this issue, the rule is being made
effective 90 days after the date of publication in the Federal Register
and VA is establishing a phased series of initial compliance dates
based on the first letter of representatives' last names. The initial
compliance date for service organization representatives accredited
more than 5 years before the effective date of this rule is April 9,
2008 for representatives with last names beginning with letters A
through F; July 8, 2008 for representatives with last names beginning
with letters G through M; October 6, 2008 for representatives with last
names beginning with letters N through S; and January 5, 2009 for
representatives with last names beginning with letters T through Z.
The delayed effective date and phased initial compliance dates will
permit organizations to make conforming changes to their procedures and
phase-in the recertification requirements over a 15-month period. We
believe that these accommodations are sufficient to avoid undue burdens
on recognized organizations. Thereafter, VA intends that organizations
will recertify their accredited representatives before the expiration
of each 5-year certification period. Accordingly, we will not make
further changes based on these comments.
One commenter, a national veterans service organization, requested
clarification about proposed Sec. 14.629(a). Specifically, the
organization asked whether VA's amendment would require accredited
service organization representatives ``to take a written examination
administered by VA every 5 years as a prerequisite for
recertification'' as proposed for agents in Sec. 14.629(b)(2). The
organization does not support such a requirement for its accredited
representatives. Another commenter, a State veterans service
organization, expressed similar concern that the rule would impose a
new testing requirement for representatives.
It is not VA's intention to impose a new testing requirement for
recertification of accredited representatives of service organizations
under this rule. Section 14.629(a)
[[Page 58010]]
outlines the initial accreditation and periodic recertification
requirements for accredited representatives of service organizations,
and Sec. 14.629(b) provides the requirements for claims agents. To
recertify an accredited representative, an organization files a VA Form
21 (Application for Accreditation as Service Organization
Representative) with the signature of the certifying official
indicating the representative continues to meet the requirements of
Sec. 14.629(a)(1) through (3) in that he or she is of good character
and reputation, is qualified to represent veterans, meets
organizational membership requirements or is a full-time employee of
the organization, and is not an employee of the United States
Government. The organization may determine for itself the best means to
determine the continuing qualifications of its representatives. The
service organization's filing of the VA Form 21 is the only requirement
for recertification of accredited representatives under Sec.
14.629(a).
Section 14.629(b)--Agents
One commenter, a State veterans service organization, objected to
the testing requirements in VA's accreditation regulations. However,
the successful completion of an examination exists as a requirement for
the initial accreditation of claims agents and the initial
accreditation of county veterans' service officers recommended by a
recognized State organization, not for service organization
representatives in general. For the reasons discussed above relating to
the enactment of Public Law 109-461, VA will withdraw the proposed
amendments requiring periodic recertification of claims agents and will
revisit the issue in a later rulemaking.
Section 14.633--Suspension of Accreditation
One commenter, a national veterans service organization, suggested
that VA ``better define the circumstances under which accreditation can
be suspended'' and ``describe the maximum length of a suspension and
the mechanism for obtaining reinstatement.'' We agree.
Section 5904(b) permits VA to suspend or exclude agents and
attorneys from practice before VA. VA has interpreted section 5902 and
its predecessor, 38 U.S.C. 3402, as similarly authorizing the
suspension or exclusion of accredited representatives of recognized
service organizations. See 38 CFR 14.627(c) (1965) (suspension or
exclusion for cause); see also 38 CFR 14.633(c) (1979) (suspension or
exclusion based upon a finding of clear and convincing evidence of
proscribed conduct). Moreover, in Public Law 109-461, Congress amended
section 5902 to subject accredited representatives to suspension and
exclusion from further practice before VA on the same grounds as apply
to agents and attorneys as provided for in section 5904(b). VA agrees
that there is a need for greater clarity in the procedures for
reinstatement. Accordingly, we have revised the proposed amendments to
the rule concerning suspension to provide that the General Counsel may
suspend accreditation for a definite period or until the individual
satisfies the conditions established by the General Counsel for
reinstatement. The General Counsel will reinstate suspended
accreditations at the end of the period of suspension or upon
verification that the individual has satisfied the conditions for
reinstatement.
Concerning the circumstances under which a representative may be
suspended, VA believes that further clarification is unnecessary. The
plain language of section 5904(b) authorizes VA to suspend or exclude
from further practice before VA agents or attorneys found incompetent
or to have engaged in misconduct. Congress' recent amendment of section
5902 in Public Law 109-461 codifies VA's longstanding interpretation of
section 5902 by providing VA with authority to suspend the
accreditation of representatives or exclude them from further practice
before VA on the same grounds as apply to agents and attorneys. VA's
decision to suspend or cancel an individual's accreditation will be
based on the facts and circumstances of the particular case, with
suspension being appropriate in cases involving extenuating
circumstances or less egregious conduct not warranting permanent
cancellation of accreditation.
Section 14.633--Duty To Inform VA of Misconduct or Incompetence
Two commenters disagreed with the proposed requirement for an
organization to inform VA of the reasons for requesting cancellation of
a representative's accreditation under 38 CFR 14.633(a) when the
request is due to the representative's misconduct or lack of competence
or because the representative resigned to avoid cancellation of
accreditation based upon misconduct or lack of competence.
One commenter, a national service organization, expressed concern
that the proposed requirement would create an adversarial relationship
between the employer service organization and employee representative
and that it would create ``a potential ethical conflict in situations
where the representative is also represented by the organization to
which he or she is accredited.'' According to this organization,
``[p]roviding the VA with information that may potentially adversely
impact the representative's entitlement to VA benefits is in direct
conflict with the organization's obligation as the individual's
representative.'' We disagree.
Under the law governing recognition, service organizations have a
legal duty to assist VA in ensuring the competent representation of
claimants before The Department. Section 5902(a) of title 38, United
States Code, authorizes VA to recognize organizations for the limited
purpose of ensuring competent representation of veterans in the
preparation, presentation, and prosecution of claims for VA benefits.
See 38 CFR 14.626 (``The purpose of the regulation of representatives
is to ensure that claimants for [VA] benefits have responsible,
qualified representation in the preparation, presentation, and
prosecution of claims for veterans' benefits.''). VA implemented this
authority in 38 CFR 14.628, which, among other things, requires that an
organization applying for recognition demonstrate a substantial service
commitment to veterans. An organization applying for VA recognition
must demonstrate that it satisfies the legal requirements for
recognition and then certify to VA that each of the organization's
representatives who will assist veterans in the preparation,
presentation, and prosecution of claims before VA meets the legal
requirements for accreditation in 38 CFR 14.629(a). Furthermore,
recognized organizations are required to train and monitor their
accredited representatives to ensure the proper handling of claims. 38
CFR 14.628(d)(1)(v). Thus, an organization's legal duty to establish
systems to ensure the competent representation of claimants does not
end with its recognition, but continues as long as the organization is
recognized by VA.
Under current Sec. 14.633(c) and (d), cancellation of
accreditation is mandatory if the General Counsel finds that a
representative engaged in misconduct or that a representative's
performance before the Department demonstrates a lack of the degree of
competence necessary to adequately prepare, present, and prosecute
claims. However, under current Sec. 14.633(a), service organizations
may request cancellation of a representative's accreditation without
informing VA of the reason for the request. The amendments to Sec.
14.633(a), which
[[Page 58011]]
require organizations to report the reason for the request if it
involves misconduct or incompetence, will assist VA in monitoring the
qualifications of individuals who apply for accreditation or are cross-
accredited through more than one recognized organization.
The practice of cross-accreditation is defined in 38 CFR 14.627(i)
as ``accreditation based on the status of a representative as an
accredited and functioning representative of another organization.''
Although cross-accreditation enhances claimants' opportunities for
representation, it may conceal a representative's misconduct or
incompetence absent the amendments to Sec. 14.633(a) in this rule.
Consider the situation where a representative, accredited by several
organizations, is discharged for an offense at one organization that,
if proven, would clearly lead to cancellation of accreditation by VA.
If the organization does not report the reason for the discharge to VA
when requesting cancellation of the representative's accreditation, the
individual's accreditations through other organizations remain valid
and the representative may continue to provide representation through
those organizations. As a result, an individual who engages in
unlawful, unethical or unprofessional acts or is incompetent may
continue to represent veterans.
An additional rationale for the amendment requiring notification is
the situation where a representative ends his or her affiliation with
the organization in order to avoid cancellation of accreditation based
on misconduct and then applies for accreditation through another
organization that has no knowledge of the misconduct. In this case,
without knowledge of the previous misconduct, VA would likely accredit
the representative through the new organization based upon the new
organization's unknowing certification. Certainly, if a representative
engages in misconduct or provides incompetent representation at one
organization, VA should not accredit the individual through another
organization. This rule, which requires organizations to notify VA of
the reason for requesting cancellation of a representative's
accreditation if that reason involves misconduct or incompetence,
closes these gaps and better ensures the competent representation of
claimants. VA believes that these benefits greatly outweigh any
potential effect on the employer/employee relationship between
organizations and their representatives.
Regarding the commenter's concern about a potential adverse impact
on a veteran's benefit entitlements by virtue of the obligation to
inform VA of misconduct or incompetence, the service organizations'
duty to inform provides VA with the information necessary to
investigate misconduct and incompetence and ensure competent
representation of claimants. It is not clear how information about a
representative's misconduct or incompetence could adversely affect his
or her own entitlement to VA benefits, unless the information relates
to a scheme of fraud in obtaining benefits. Although an organization's
primary purpose is to serve veterans, clearly this obligation does not
include concealing fraud against the United States.
Recent changes in the law governing representation reinforce the
obligation of service organizations to report a representative's
misconduct or incompetence to VA. As discussed earlier, Public Law 109-
461 amended 38 U.S.C. 5904(a) to require VA to regulate the
qualifications and standards of conduct applicable to accredited agents
and attorneys. Amended section 5902(b)(2) subjects veterans service
organization representatives to suspension and exclusion from further
practice before VA on the same grounds as apply to agents and
attorneys. VA's statutory obligation to regulate the standards of
conduct of accredited representatives as reflected in amendments to
chapter 59 requires that organizations fulfill the reporting
obligations described in Sec. 14.633(a). In May 2007, we published in
the Federal Register a notice of proposed rulemaking implementing
Public Law 109-461, which, among other things, established standards of
conduct for practice before VA applicable to all service organization
representatives. 72 FR 25930.
The commenter also expressed concern about the disclosure of
disaccreditation information providing a basis for claimants to seek
readjudication of numerous claims. However, VA decisions are final
absent reopening based on new and material evidence or a finding of
clear and unmistakable error (CUE) in a prior regional office or Board
of Veterans' Appeals (Board) decision. See 38 U.S.C. 5108, 5109A, 7111.
To establish CUE in a final VA decision, it must be shown that VA
committed a specific error in adjudicating the claim and that the
outcome would have been manifestly different but for the error. Cook v.
Principi, 318 F.3d 1334, 1343 (Fed. Cir. 2002). Therefore, an
allegation that a claimant was represented by a person later
disaccredited for misconduct or incompetence, by itself, would
generally not be sufficient to require readjudication of a claim based
on conduct by the representative.
The commenter suggested that ``very few individuals would be
brought to the attention of the VA'' for misconduct or incompetence
because it is likely those individuals would resign before any
allegations of misconduct or incompetence were ever substantiated. The
situation described by the organization is foreseeable under current
Sec. 14.633(a) and under the amendments made by this rule. While VA
recognizes that individuals may resign before any incompetence or
misconduct is substantiated as a means to avoid a formal inquiry, this
does not mean that VA should forego any effort to improve the quality
of representation in cases where an organization has determined that
misconduct or incompetence is sufficient to request cancellation of VA
accreditation. With the rule in effect, the organization will be
required to inform VA that a request to cancel accreditation under
Sec. 14.633(a) is based upon misconduct, incompetence, or resignation
to avoid cancellation of accreditation for misconduct or incompetence.
Upon receipt of such information, when appropriate, VA will initiate
the procedures under 38 CFR 14.633(e) to determine whether the
representative should be barred from further representation of VA
claimants. As a result, VA, in cooperation with service organizations,
will seek to ensure the competent representation of claimants.
Another commenter, a State organization, expressed disagreement
with the proposed requirement to notify VA in cases of cancellation of
accreditation for misconduct ``unless [VA] assumes all potential civil
liability for the accrediting organizations.'' The organization
expressed concern that it might incur civil liability as a result of a
lawsuit brought by a representative after it provides accreditation
cancellation information to VA.
VA cannot guarantee immunity from civil suit, nor can it underwrite
an organization's potential liability resulting from civil suit. While
VA acknowledges the potential for civil liability in a defamation
action under state law for disclosure of employment-related
information, this is a risk incurred by all employers in providing
information about former employees to current or potential employers.
The sole purpose of the requirement that service organizations disclose
the reason for requesting cancellation of a representative's
accreditation is to
[[Page 58012]]
ensure competent representation of claimants by cancelling
accreditation and preventing further accreditation in appropriate
cases. In the commenter's jurisdiction, section 47(b) of the California
Civil Code provides an absolute privilege for a communication ``in any
other official proceeding authorized by law.'' See CAL. CIV. CODE Sec.
47(b). A ``communication to an official administrative agency, which
communication is designed to prompt action by that agency'' is
considered part of an official proceeding. See King v. Borges, 104 Cal.
Rptr. 414, 417 (Cal. Ct. App. 1972). Thus, an organization's
communication to VA concerning the reasons for requesting cancellation
of a representative's accreditation, a communication required by law
and designed to prompt action by VA concerning the representative's
accreditation through other organizations, is absolutely privileged
under California law.
Most States have statutory or common law provisions that establish
truth as a defense in defamation actions and protect certain
communications as privileged. Communication of accreditation
cancellation information to VA by a service organization, without
malice, and within accepted limits, would generally be privileged and
thus not likely to result in liability for defamation damages. Even in
the absence of a privilege, the publication of a true statement by a
service organization to VA would not lead to liability for defamation.
See Restatement (Second) of Torts Sec. 581A (1977) (``One who
publishes a defamatory statement of fact is not subject to liability
for defamation if the statement is true.''). Because the nature of
defamation liability and privileged communication varies from State to
State, VA encourages organizations to seek counsel regarding applicable
laws. As an additional protection from liability, organizations should
consider making disclosure of accreditation cancellation information to
VA a condition of employment by or affiliation with the organization
and obtaining prior written authorization from the representative to
disclose such information.
Paperwork Reduction Act
This document contains provisions constituting collections of
information at 38 CFR 14.629(a), 14.629(b), and 14.633(a) under the
Paperwork Reduction Act (44 U.S.C. 3501-3521). The Office of Management
and Budget (OMB) has approved these collections and has assigned OMB
control number 2900-0018.
Regulatory Flexibility Act
The Secretary hereby certifies that this final rule will not have a
significant economic impact on a substantial number of small entities
as they are defined in the Regulatory Flexibility Act (5 U.S.C 601-
602). This rule will affect the 87 veterans service organizations
recognized by VA to represent benefit claimants. However, the rule
would not have a significant economic impact on these organizations
because it would only impose certification requirements the costs of
which would not be significant. Therefore, pursuant to 5 U.S.C. 605(b),
this rule is exempt from the final regulatory flexibility analysis
requirements of section 604.
Executive Order 12866
Executive Order 12866 directs agencies to assess all costs and
benefits of available regulatory alternatives and, when regulation is
necessary, to select regulatory approaches that maximize net benefits
(including potential economic, environmental, public health and safety,
and other advantages; distributive impacts; and equity). The Order
classifies a rule as a significant regulatory action requiring review
by the Office of Management and Budget if it meets any one of a number
of specified conditions, including: having an annual effect on the
economy of $100 million or more, creating a serious inconsistency or
interfering with an action of another agency, materially altering the
budgetary impact of entitlements or the rights of entitlement
recipients, or raising novel legal or policy issues. VA has examined
the economic, legal, and policy implications of this final rule and has
concluded that it is a significant regulatory action under Executive
Order 12866 because it raises novel policy issues.
Unfunded Mandates
The Unfunded Mandates Reform Act of 1995 requires, at 2 U.S.C.
1532, that agencies prepare an assessment of anticipated costs and
benefits before issuing any rule that may result in the expenditure by
State, local, and tribal governments, in the aggregate, or by the
private sector, of $100 million or more (adjusted annually for
inflation) in any year. This final rule would have no such effect on
State, local, and tribal governments, or on the private sector.
Catalog of Federal Domestic Assistance Numbers and Titles
There are no Federal Domestic Assistance programs associated with
this final rule.
List of Subjects in 38 CFR Part 14
Administrative practice and procedure, Claims, Courts, Foreign
relations, Government employees, Lawyers, Legal services, Organizations
and functions (Government agencies), Reporting and recordkeeping
requirements, Surety bonds, Trusts and trustees, Veterans.
Approved: July 2, 2007.
Gordon H. Mansfield,
Deputy Secretary of Veterans Affairs.
0
For the reasons set forth in the preamble, the Department of Veterans
Affairs amends 38 CFR part 14 as follows:
PART 14--LEGAL SERVICES, GENERAL COUNSEL, AND MISCELLANEOUS CLAIMS
0
1. The authority citation for part 14 continues to read as follows:
Authority: 5 U.S.C. 301; 28 U.S.C. 2671-2680; 38 U.S.C. 501(a),
512, 515, 5502, 5902-5905; 28 CFR part 14, appendix to part 14,
unless otherwise noted.
0
2. Revise Sec. 14.629(a) introductory text to read as follows:
Sec. 14.629 Requirements for accreditation of service organization
representatives; agents; and attorneys.
* * * * *
(a) Service Organization Representatives. A recognized organization
shall file with the Office of the General Counsel VA Form 21
(Application for Accreditation as Service Organization Representative)
for each person it desires accredited as a representative of that
organization. The form must be signed by the prospective representative
and the organization's certifying official. For each of its accredited
representatives, a recognized organization's certifying official shall
complete, sign and file with the Office of the General Counsel, not
later than five years after initial accreditation through that
organization or the most recent recertification by that organization,
VA Form 21 to certify that the representative continues to meet the
criteria for accreditation specified in paragraph (a)(1), (2) and (3)
of this section. In recommending a person, the organization shall
certify that the designee:
* * * * *
0
3. Section 14.633(a) is amended by:
0
a. Revising paragraphs (a) and (e)(2)(i).
0
b. In paragraphs (b), (c) introductory text, and (d) adding ``
suspended or `` before ``canceled'' each time it appears.
0
c. In paragraph (e) introductory text adding ``suspension or'' before
``cancellation''.
[[Page 58013]]
0
d. In paragraph (e)(1), removing ``and maintain the record for 3
years''.
0
e. In paragraph (e)(2)(ii), adding ``further suspend or'' before
``cancel'' and ``suspension or'' before ``cancellation''.
0
f. Redesignating paragraph (g) as paragraph (h).
0
g. Adding new paragraph (g).
0
h. In redesignated paragraph (h), adding ``suspension or'' before
``termination'', and by removing the last sentence of the paragraph.
0
i. Adding a parenthetical at the end of the section.
The revisions and addition read as follows:
Sec. 14.633 Termination of accreditation of agents, attorneys, and
representatives.
(a) Accreditation may be suspended or canceled at the request of an
agent, attorney, representative, or organization. When an organization
requests suspension or cancellation of the accreditation of a
representative due to misconduct or lack of competence on the part of
the representative or because the representative resigned to avoid
suspension or cancellation of accreditation for misconduct or lack of
competence, the organization shall inform VA of the reason for the
request for suspension or cancellation and the facts and circumstances
surrounding any incident that led to the request.
* * * * *
(e) * * *
(2) * * *
(i) As to representatives, suspend accreditation immediately and
notify the representative and the representative's organization of the
interim suspension and of an intent to cancel or continue suspension of
accreditation. The notice to the representative will also state the
reasons for the interim suspension and impending cancellation or
continuation of suspension, and inform the representative of a right to
request a hearing on the matter or to submit additional evidence within
10 working days following receipt of such notice. Such time may be
extended for a reasonable period upon a showing of sufficient cause.
* * * * *
(g) The General Counsel may suspend the accreditation of a
representative, agent, or attorney, under paragraphs (b), (c), or (d)
of this section, for a definite period or until the conditions for
reinstatement specified by the General Counsel are satisfied. The
General Counsel shall reinstate an individual's accreditation at the
end of the suspension period or upon verification that the individual
has satisfied the conditions for reinstatement.
* * * * *
(The Office of Management and Budget has approved the information
collections requirements in this section control number 2900-0018.)
[FR Doc. E7-20211 Filed 10-11-07; 8:45 am]
BILLING CODE 8320-01-P