Administrative Claims Under the Federal Tort Claims Act and Related Statutes, 22204-22215 [2012-8741]

Agencies

• Employment and Training Administration
• DEPARTMENT OF LABOR
• Office of the Secretary

[Federal Register Volume 77, Number 72 (Friday, April 13, 2012)]
[Rules and Regulations]
[Pages 22204-22215]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-8741]


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DEPARTMENT OF LABOR

Office of the Secretary

29 CFR Part 15

Employment and Training Administration

20 CFR Parts 638 and 670

RIN 1290-AA25


Administrative Claims Under the Federal Tort Claims Act and 
Related Statutes

AGENCY: Office of the Secretary, Employment and Training 
Administration, Labor.

ACTION: Direct final rule.

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SUMMARY: This amendment revises the Department of Labor's (DOL) 
regulations governing administrative claims submitted to DOL pursuant 
to the Federal Tort Claims Act (FTCA), the Military Personnel and 
Civilian Employees' Claims Act (MPCECA), and for payment of claims 
arising out of the operation of the Job Corps. The regulations 
governing such claims were last revised in 1995. MPCECA has since been 
amended to allow payment of up to $100,000 if the claim arose from an 
emergency or extraordinary circumstance. Further, the implementing 
authority for the Job Corps was changed to the Workforce Investment Act 
(WIA) since the last time the regulations were updated. These 
regulations are being amended to reflect those changes, improve the 
clarity and ease of use of the regulations, and to harmonize the 
regulations governing these claims between those regulations in titles 
20 and 29 of the CFR, which includes deleting the references to these 
claims in 20 CFR part 638 as these revisions have rendered those 
sections unnecessary. Finally, the regulations in title 20 have also 
been updated to reflect the recently revised regulations regarding 
claims of Job Corps students under the Federal Employees' Compensation 
Act (FECA).

DATES: This direct final rule is effective July 12, 2012 without 
further action, unless adverse comment is received by June 12, 2012. If 
an adverse comment is received, DOL will publish a timely withdrawal of 
the rule in the Federal Register.

ADDRESSES: You may submit comments on the direct final rule, identified 
by Regulatory Information Number (RIN) 1290-AA25, by one of the 
following methods: Federal e-Rulemaking Portal: The Internet address to 
submit comments on the rule is https://www.regulations.gov. Follow the 
Web site instructions for submitting comments.
    Mail: Submit written comments to Catherine P. Carter, Counsel for 
Claims and Compensation, Office of the Solicitor, U.S. Department of 
Labor, Room S-4325, 200 Constitution Avenue NW., Washington, DC 20210. 
Because of security measures, mail directed to Washington, DC is 
sometimes delayed. We will only consider comments postmarked by the 
U.S. Postal Service or other delivery service on or before the deadline 
for comments.
    Instructions: All comments must include the RIN 1290-AA25 for this 
rulemaking. Receipt of any comments, whether by mail or Internet, will 
not be acknowledged. Because DOL continues to experience delays in 
receiving postal mail in the Washington, DC area, commenters are 
encouraged to submit any comments by mail early.
    Comments on the direct final rule will be available for public 
inspection during normal business hours at the address listed above for 
mailed comments. Persons who need assistance to review the comments 
will be provided with appropriate aids such as readers or print 
magnifiers. Copies of this direct final rule may be obtained in 
alternative formats (e.g., large print, audiotape or disk) upon 
request. To schedule an appointment to review the comments and/or to 
obtain the direct final rule in an alternative format, contact DOL at 
202-693-5320 (this is not a toll-free number).

FOR FURTHER INFORMATION CONTACT: Catherine P. Carter, Counsel for 
Claims and Compensation, Office of the Solicitor, U.S. Department of 
Labor, Room S-4325, 200 Constitution Avenue NW., Washington, DC 20210, 
Telephone: 202-693-5320 (this is not a toll-free number).
    Individuals with hearing or speech impairments may access this 
telephone number via TTY by calling the toll-free Federal Information 
Relay Service at 1-800-877-8339.

SUPPLEMENTARY INFORMATION:

I. Direct Final Rule and Concurrent, Identical Proposed Rule

    Since this rule is not controversial and primarily concerns agency 
procedures, we have determined that the subject of this rulemaking is 
suitable for a direct final rule. No significant adverse comments are 
anticipated. However, concurrent with this direct final rule, a 
separate, identical proposed rule is published in today's issue of the 
Federal Register. The duplicate proposed rule will expedite rulemaking 
in the event we receive significant adverse comments and we withdraw 
this direct final rule. All interested parties should comment at this 
time because we will not initiate an additional comment period. If no 
significant adverse comments to the accompanying proposed rule are 
received on or before June 12, 2012, this direct final rule will become 
effective July 12, 2012 without further notice.
    If significant adverse comments are received, we will publish a 
timely notice in the Federal Register withdrawing this direct final 
rule, and will then proceed with the rulemaking by addressing the 
comments and developing a final rule from the proposed rule published 
elsewhere in today's issue of the Federal Register. For purposes of 
withdrawing this direct final rule, a significant adverse comment is 
one that explains (1) why the direct final rule is inappropriate, 
including challenges to the rule's underlying premise or approach; or 
(2) why the direct final rule will be ineffective or unacceptable 
without a change. In determining whether a significant adverse comment

[[Page 22205]]

necessitates withdrawal of this direct final rule, we will consider 
whether the comment raises an issue serious enough to warrant a 
substantive response through the notice and comment process. A comment 
recommending an addition to the rule will not be considered significant 
and adverse unless the comment explains how this rule would be 
ineffective without the addition.

II. Background

    The FTCA surrenders the sovereign immunity of the United States for 
the negligent or wrongful act or omission of a Government employee 
acting within the scope of his or her employment. The MPCECA authorizes 
payment of claims of employees of the Government for loss of, or damage 
to, property incident to Government service. The WIA provides that Job 
Corps students are Federal employees for purposes of claims under the 
FTCA and authorizes payment of claims arising out of the operation of 
the Job Corps that are not cognizable under the FTCA. Parts 638 and 670 
of title 20 and part 15 of title 29 of the Code of Federal Regulations 
currently contain regulations implementing these three claims 
authorities.

III. Overview of the Regulations

    The regulations reflect statutory changes and are otherwise largely 
unchanged. The majority of changes were made to change the format of 29 
CFR part 15 to question and answer format, and to improve the structure 
and readability of the regulations in both 20 CFR part 670 and 29 CFR 
part 15. Furthermore, the numbering of sections in 29 CFR part 15 was 
changed to improve structure and to allow for splitting of current 
sections for improved clarity and readability.

20 CFR Part 638

Sections 638.526 Through 638.527

    As the changes made to 20 CFR part 670 and 29 CFR part 15 have 
rendered these sections unnecessary, the regulations delete these 
sections.

20 CFR Part 670

Sections 670.900 Through 670.905

    These sections were changed to direct possible claimants to 29 CFR 
part 15, which provides the actual regulations that govern such claims. 
This change was made to reduce the possibility of conflicting 
regulations and to clarify which regulations provide the decision 
making authority for such claims.

Sections 670.910 Through 670.930

    These sections provide information for Job Corps students regarding 
their rights under the FECA. These sections were similarly amended to 
provide cross-references to the regulations governing claims under the 
FECA, while still providing the statutory information regarding the 
status of such students under the WIA. Sections no longer necessary as 
a result were removed.

29 CFR Part 15

    As discussed above, 29 CFR part 15 was reorganized and the 
regulations themselves were modified to change to a question and answer 
format to promote clarity and readability of these regulations. As part 
of the reorganization, a new subpart A was added to this part, with the 
other subparts redesignated accordingly.

Subpart A

    Subpart A of part 15 is a new subpart. It includes introductory 
information, such as describing the contents of the other subparts and 
definitions that apply to all subparts in this part.

Subpart B

    Subpart B is largely subpart A of the old regulations. The text in 
this subpart is largely unchanged, although some of the old regulations 
have been broken out into new sections in order to promote clarity and 
use of a question and answer format. Changes in these sections are 
described below.
    Section 15.102 is a new section that describes the filing of a 
claim by an insurance company and compiles the requirements into one 
section. The language of this section has also been rewritten for 
clarity.
    Section 15.103 is a new section that addresses legal 
representatives and compiles them into one section. The statutory 
limitation on representative fees has also been included for ease of 
use.
    Section 15.104 (formerly Sec.  15.4) has been amended to clarify 
that the $25,000 jurisdictional limit applies to the aggregate of 
claims resulting from one incident. Furthermore, this section has been 
amended to codify the official duty stations' current practice of 
forwarding the FTCA claims to the Regional Offices of the Office of the 
Solicitor with the documentation they have regarding that claim.
    Section 15.106 (formerly Sec.  15.6) has been amended to include a 
requirement that all organizational units within the Department appoint 
an FTCA contact, unless that requirement for a contact is waived. For 
example, a small entity within the Office of the Secretary for which 
claims are rarely received would not be required to designate an FTCA 
contact. This section has also been amended to require the FTCA contact 
to submit an administrative report to the deciding official within 30 
days.
    Section 15.108 (formerly Sec.  15.7) has been amended to clarify 
that the $25,000 jurisdictional limit applies to the aggregate of 
claims resulting from one incident.
    Section 15.111 (formerly Sec.  15.10) has been amended to clarify 
that the $25,000 jurisdictional limit applies to the aggregate of 
claims resulting from one incident and to update the forms used by the 
Department of Justice in settling and paying FTCA claims.

Subpart C

    As above, subpart C is largely a redesignated version of former 
subpart B. The text in this subpart is largely unchanged, although some 
of the old regulations have been broken out into new sections in order 
to promote clarity. Changes in these sections are described below.
    Section 15.202 (formerly a subsection of Sec.  15.21) has been 
amended to include a reference to a sample claim for MPCECA claims and 
to note that the SF-95 form should not be used to file a claim under 
this subpart. This section has also been amended to allow the deciding 
official to waive the requirement of submitting two estimates of repair 
where unnecessary, lessening the burden on claimants in submitting 
these claims.
    Section 15.206 is a new section that covers MPCECA claims made for 
damage to property at Telework locations and at residences.
    Section 15.207 (formerly Sec.  15.22) has been amended to include 
language allowing claims for loss or damage incident to service to 
cellular phones, personal data assistants and similar communication and 
electronic devices.
    Section 15.210 has been amended to allow the deciding official to 
waive the requirement of filing a claim under the employee's insurance 
policy where such a claim is impracticable or inequitable.

Subpart D

    As above, subpart D is largely a redesignated version of former 
subpart C. This subpart, however, has been reorganized to clearly 
delineate the types of claims that are covered by this subpart. Changes 
in these sections are described below.
    Section 15.300 is a new section that has been drafted to 
specifically categorize the types of claims covered by this subpart. 
This section also clearly indicates that this includes claims

[[Page 22206]]

involving Job Corps Centers run by other Federal agencies.
    Section 15.301 (part of former Sec.  15.42) has been amended to 
clearly delineate which Department official has responsibility for 
which type of claim and for what amounts. It more clearly describes and 
explains the procedures for processing claims of loss or damage to 
persons or personal property of Job Corps students than the current 
regulations. In particular, it provides that the Regional Solicitor is 
responsible for such claims in excess of $300 and the Job Corps 
Regional Director is responsible for such claims of $300 or less.
    Section 15.302 is a new section that has been added to distinguish 
what procedures apply to the different types of claims covered by this 
subpart.
    Section 15.303 (part of former Sec.  15.42) has been amended to 
change the process as to where claims under this subpart are initially 
filed. The new procedures require all claims under the WIA must first 
be filed with the Job Corps Regional Office.
    Section 15.304 combines all prior subsections regarding limits on 
claims under the WIA into one new section.

IV. Administrative Requirements for the Direct Final Rulemaking

Executive Orders 12866 and 13563

    Executive Order 12866 directs agencies to assess all costs and 
benefits of available regulatory alternatives and, if regulation is 
necessary, to select regulatory approaches that maximize net benefits 
(including potential economic, environmental, public health and safety 
effects; distributive impacts; and equity). Executive Order 13563 is 
supplemental to and reaffirms the principles, structures, and 
definitions governing regulatory review as established in Executive 
Order 12866.
    The Department has determined that this final rule is not a 
``significant regulatory action'' under Executive Order 12866, section 
3(f). Accordingly, there is no requirement for an assessment of 
potential costs and benefits under section 6(a)(3) of that order.

Regulatory Flexibility Act of 1980

    This final rule has been reviewed in accordance with the Regulatory 
Flexibility Act of 1980, as amended by the Small Business Regulatory 
Enforcement Fairness Act of 1996, 5 U.S.C. 601-612. The Department has 
concluded that the final rule does not involve regulatory and 
informational requirements regarding businesses, organizations, and 
governmental jurisdictions subject to regulation.

Paperwork Reduction Act (PRA)

    This final rule is not subject to the Paperwork Reduction Act (PRA) 
of 1995, 44 U.S.C. 3501, et seq., since it does not contain any new 
collection of information requirements.

The National Environmental Policy Act of 1969

    The Department certifies that this final rule has been assessed in 
accordance with the requirements of the National Environmental Policy 
Act of 1969, 42 U.S.C. 4321 et seq. (NEPA). The Department concludes 
that NEPA requirements do not apply to this rulemaking because this 
final rule includes no provisions impacting the maintenance, 
preservation, or enhancement of a healthful environment.

Federal Regulations and Policies on Families

    The Department has reviewed this final rule in accordance with the 
requirements of section 654 of the Treasury and General Government 
Appropriations Act of 1999, 5 U.S.C. 601 note. This final rule was not 
found to have a potential negative effect on family well-being as it is 
defined thereunder.

Executive Order 13045: Protection of Children From Environmental Health 
Risks and Safety Risks

    The Department certifies that this final rule has been assessed 
regarding environmental health risks and safety risks that may 
disproportionately affect children. This final rule was not found to 
have a potential negative effect on the health or safety of children.

Unfunded Mandates Reform Act of 1995 and Executive Order 13132

    The Department has reviewed this final rule in accordance with the 
requirements of Executive Order 13132, 64 FR 43225, Aug. 10, 1999, and 
the Unfunded Mandates Reform Act of 1995, 2 U.S.C. 1501 et seq., and 
has found no potential or substantial direct effects on the States, on 
the relationship between the national government and the States, or on 
the distribution of power and responsibilities among the various levels 
of government. As there is no Federal mandate contained herein that 
could result in increased expenditures by State, local, or tribal 
governments or by the private sector, the Department has not prepared a 
budgetary impact statement.

Executive Order 13175: Consultation and Coordination With Indian Tribal 
Governments

    The Department has reviewed this final rule in accordance with 
Executive Order 13175, 65 FR 67249, Nov. 9, 2000, and has determined 
that it does not have ``tribal implications.'' The final rule does not 
``have substantial direct effects on one or more Indian tribes, on the 
relationship between the Federal government and Indian tribes, or on 
the distribution of power and responsibilities between the Federal 
government and Indian tribes.''

Executive Order 12630: Governmental Actions and Interference With 
Constitutionally Protected Property Rights

    The Department has reviewed this final rule in accordance with 
Executive Order 12630, 53 FR 8859, Mar. 15, 1988, and has determined 
that it does not contain any ``policies that have takings 
implications'' in regard to the ``licensing, permitting, or other 
condition requirements or limitations on private property use, or that 
require dedications or exactions from owners of private property.''

Executive Order 13211: Energy Supply, Distribution, or Use

    The Department has reviewed this final rule and has determined that 
the provisions of Executive Order 13211, 66 FR 28355, May 18, 2001, are 
not applicable as there are no direct or implied effects on energy 
supply, distribution, or use.

The Privacy Act of 1974, 5 U.S.C. 552a, as Amended

    Claims filed under these regulations are subject to the current 
Privacy Act System of Records DOL/SOL-3, Tort Claims Files; DOL/SOL-
5,Workforce Investment Act Tort Claims Files; DOL/SOL-6, Military 
Personnel and Civilian Employees' Claims; and DOL/GOVT-1, Office of 
Workers' Compensation Programs, Federal Employees' Compensation Act 
File. 67 FR 16816, Apr 8, 2002.

Clarity of This Regulation

    Executive Order 12866, 58 FR 51735, Sept. 30, 1993, and the 
President's memorandum of June 1, 1998, require each agency to write 
all rules in plain language. This final rule was written to improve the 
clarity of the rule in accordance with that Order.

[[Page 22207]]

List of Subjects

20 CFR Part 638

    Administrative practice and procedure, Claims, Government 
employees, Labor, Workers' compensation.

20 CFR Part 670

    Administrative practice and procedure, Claims, Government 
employees, Labor, Workers' compensation.

29 CFR Part 15

    Tort claims, Indemnity payments, Administrative practice and 
procedure, Government employees.

    For the reasons set forth in the preamble, the Department of Labor 
amends 20 CFR parts 638 and 670 and 29 CFR part 15 as follows:

Title 20--Employees' Benefits

PART 638--JOB CORPS PROGRAM UNDER TITLE IV-B OF THE JOB TRAINING 
PARTNERSHIP ACT

0
1. The authority citation for 20 CFR part 638 continues to read as 
follows:

    Authority:  29 U.S.C. 1579(a).


0
2. Remove Sec. Sec.  638.526 and 638.527.

PART 670--THE JOB CORPS UNDER TITLE I OF THE WORKFORCE INVESTMENT 
ACT

0
3. The authority citation for 20 CFR part 670 continues to read as 
follows:

    Authority:  Subtitle C of Title I, sec. 506(c), Pub. L. 105-220, 
112 Stat. 936 (20 U.S.C. 2881 et seq. and 9276(c)); 5 U.S.C. 301; 
Executive Order 13198, 66 FR 8497, 3 CFR 2001 Comp., p. 750; 
Executive Order 13279, 67 FR 77141, 3 CFR 2002 Comp., p. 258.


0
4. Revise Sec.  670.900 to read as follows:


Sec.  670.900  Are damages caused by the acts or omissions of students 
eligible for payment under the Federal Tort Claims Act?

    Yes, students are considered Federal employees for purposes of the 
FTCA (28 U.S.C. 2671 et seq.). Claims for such damage should be filed 
pursuant to the procedures found in 29 CFR part 15, subpart D.


0
5. Revise Sec.  670.905 to read as follows:


Sec.  670.905  Are loss and damages that occur to persons or personal 
property of students at Job Corps centers eligible for reimbursement?

    Yes, the Job Corps may pay students for valid claims under the 
procedures found in 29 CFR part 15, subpart D.


0
6. Revise Sec.  670.910 to read as follows:


Sec.  670.910  If a student is injured in the performance of duty as a 
Job Corps Student, what benefits may they receive?

    (a) Job Corps students are considered Federal employees for 
purposes of the Federal Employees' Compensation Act (FECA) as specified 
in 29 U.S.C. 2897.
    (b) Job Corps students may be entitled to benefits under FECA as 
provided by 5 U.S.C. 8143 for injuries occurring in the performance of 
duty.
    (c) Job Corps students must meet the same eligibility tests for 
FECA benefits that apply to all other Federal employees. The 
requirements for FECA benefits may be found at 5 U.S.C. 8101, et seq. 
and part 10 of this title. The Department of Labor's Office of Workers' 
Compensation Programs (OWCP) administers the FECA program; all FECA 
determinations are within the exclusive authority of the OWCP, subject 
to appeal to the Employees' Compensation Appeals Board.
    (d) Whenever a student is injured, develops an occupationally 
related illness, or dies while in the performance of duty, the 
procedures of the OWCP, at part 10 of this title, must be followed. To 
assist OWCP in determining FECA eligibility, a thorough investigation 
of the circumstances and a medical evaluation must be completed and 
required forms must be timely filed by the center operator with the 
DOL's OWCP. Additional information regarding Job Corps FECA claims may 
be found in OWCP's regulations and procedures available on DOL's Web 
site located at www.dol.gov.


0
7. Revise Sec.  670.915 to read as follows:


Sec.  670.915  When is a Job Corps student considered to be in the 
performance of duty?

    (a) Performance of duty is a determination that must be made by the 
OWCP under FECA, and is based on the individual circumstances in each 
claim.
    (b) In general, residential students may be considered to be in the 
``performance of duty'' when:
    (1) They are on center under the supervision and control of Job 
Corps officials;
    (2) They are engaged in any authorized Job Corps activity;
    (3) They are in authorized travel status; or
    (4) They are engaged in any authorized offsite activity.
    (c) Non-resident students are generally considered to be ``in 
performance of duty'' as Federal employees when they are engaged in any 
authorized Job Corps activity, from the time they arrive at any 
scheduled center activity until they leave the activity. The standard 
rules governing coverage of Federal employees during travel to and from 
work apply. These rules are described in guidance issued by the 
Secretary.
    (d) Students are generally considered to be not in the performance 
of duty when:
    (1) They are Absent Without Leave (AWOL);
    (2) They are at home, whether on pass or on leave;
    (3) They are engaged in an unauthorized offsite activity; or
    (4) They are injured or ill due to their own willful misconduct, 
intent to cause injury or death to oneself or another or through 
intoxication or illegal use of drugs.


0
8. Remove Sec. Sec.  670.920, 670.925, and 670.930.

Title 29--Labor

0
9. Revise Part 15 to read as follows:

PART 15--ADMINISTRATIVE CLAIMS UNDER THE FEDERAL TORT CLAIMS ACT 
AND RELATED CLAIMS STATUTES

Sec.
Subpart A--Introduction
15.1 What is the scope and purpose of this part?
15.2 What definitions apply to this part?
Subpart B--Claims Against the Government Under the Federal Tort Claims 
Act
15.100 What claims against the Department are covered by the FTCA?
15.101 Who may file an administrative claim under the FTCA against 
the Department?
15.102 May an insurance company file an FTCA administrative claim on 
behalf of a claimant?
15.103 May an agent or legal representative file an FTCA 
administrative claim on behalf of a claimant?
15.104 Where should the FTCA administrative claim be filed?
15.105 What information and evidence should be provided to DOL to 
substantiate an FTCA administrative claim?
15.106 How is the administrative claim processed?
15.107 What must be provided in the administrative report?
15.108 Who is authorized to decide an administrative claim?
15.109 What if the claim is denied?
15.110 What must a claimant do if the administrative claim is 
approved?
15.111 If the administrative claim is approved, how is the award 
paid?
Subpart C--Claims Under the Military Personnel and Civilian Employees' 
Claims Act of 1964
15.200 What is a claim under the MPCECA and who may file such a 
claim?
15.201 Where should the MPCECA claim be filed?

[[Page 22208]]

15.202 How is a claim filed under the MPCECA?
15.203 When should a claim under the MPCECA be filed?
15.204 Are there limits on claims under the MPCECA?
15.205 What types of claims for property damage are allowed under 
the MPCECA?
15.206 What claims arising at a residence or Telework location may 
be covered under the MPCECA?
15.207 What are examples of claims allowed under the MPCECA?
15.208 What are the restrictions on otherwise allowable claims?
15.209 What claims are not allowed?
15.210 What affect does insurance have on a claim under the MPCECA?
15.211 How is a claim under this subpart processed?
15.212 How is the amount of the award under this subpart calculated?
15.213 Are there limits to representatives' fees for claims under 
this subpart?
15.214 How may a decision under this subpart be reconsidered?
Subpart D--Claims Arising Out of the Operation of the Job Corps
15.300 How are claims involving the Job Corps initiated?
15.301 What office is responsible for determining liability in 
claims arising out of the Job Corps?
15.302 What procedures apply to these claims?
15.303 How does a Job Corps student file a claim for loss of or 
damages to personal property under the WIA?
15.304 Are there limits to claims for loss of or damages to personal 
property under the WIA?

    Authority:  28 U.S.C. 2672; 28 CFR Sec.  14.11; 31 U.S.C. 3721; 
29 U.S.C. 2897(b).

Subpart A--Introduction


Sec.  15.1  What is the scope and purpose of this part?

    (a) The regulations in this part provide procedures to be followed 
for claims asserted against the Department of Labor under the Federal 
Tort Claims Act, 28 U.S.C. 2671, et seq., under the Military Personnel 
and Civilian Employees' Claims Act of 1964, 31 U.S.C. 3721, and for 
claims arising out of the operation of Job Corps Centers under the 
Workforce Investment Act of 1998, 29 U.S.C. 2897(b).
    (b) Subpart B of this part provides the procedures followed in 
processing claims asserted under the Federal Tort Claims Act, as 
amended, for money damages against the United States for injury to or 
loss of property or personal injury or death caused by the negligent or 
wrongful act or omission of an officer or employee of the Department of 
Labor while acting within the scope of his or her office or employment. 
This subpart is issued subject to and consistent with applicable 
regulations on administrative claims under the Federal Tort Claims Act 
issued by the Attorney General (28 CFR part 14).
    (c) Subpart C of this part provides the procedures for processing 
claims filed by or on behalf of employees of the Department of Labor 
for loss of or damage to personal property incident to their service 
with the Department under the Military Personnel and Civilian 
Employees' Claims Act of 1964.
    (d) Subpart D of this part provides the procedures used in 
processing claims relating to damage to persons or property arising out 
of the operation of Job Corps, pursuant to the Workforce Investment 
Act, including damages under the Federal Tort Claims Act, damage to 
personal property of Job Corps students, and claims which the Secretary 
of Labor finds to be a proper charge against the United States but 
which are not cognizable under the Federal Tort Claims Act.


Sec.  15.2  What definitions apply to this part?

    (a) Department means the Department of Labor.
    (b) Organizational unit means the jurisdictional area of each 
Assistant Secretary and each office head within the Department 
reporting directly to the Secretary.
    (c) Counsel for Claims and Compensation means the Department's 
deciding official in the Office of the Solicitor for certain 
administrative claims under this part. The address for the Counsel for 
Claims and Compensation is U.S. Department of Labor, 200 Constitution 
Avenue NW., Suite S4325, Washington, DC 20210. Telephone and fax 
numbers for this official may be found on the Department's Web site at 
www.dol.gov.
    (d) Regional Solicitor means the head of the appropriate Regional 
Office (Regional Solicitor) or Branch Office (Associate Regional 
Solicitor) of the Office of Solicitor with jurisdiction to handle 
certain claims under this part.
    (e) FTCA means the Federal Tort Claims Act, as amended, 28 U.S.C. 
1346(b), 28 U.S.C. 2671, et seq.
    (f) MPCECA means the Military Personnel and Civilian Employees' 
Claims Act of 1964, 31 U.S.C. 3721.
    (g) WIA means the Workforce Investment Act of 1998, 29 U.S.C. 
2897(b).

Subpart B--Claims Against the Government Under the Federal Tort 
Claims Act


Sec.  15.100  What claims against the Department are covered by the 
FTCA?

    (a) The FTCA is a limited waiver of sovereign immunity that allows 
claims for money damages against the Department for negligent acts or 
omissions of its employees acting within the course and scope of their 
employment. Subject to the exception set forth in paragraph (b) of this 
section, all such claims against the Department should be handled under 
the procedures in this subpart.
    (b) In instances where a third party has agreed to insure the 
Federal government, such as under a U.S. Government Car Rental 
Agreement, claimants are required to pursue those claims in accordance 
with such agreements.


Sec.  15.101  Who may file an administrative claim under the FTCA 
against the Department?

    (a) A claim for the injury to or loss of property may be presented 
by the owner of the property, his or her duly authorized agent, or his 
or her legal representative.
    (b) A claim for personal injury may be presented by the injured 
person, his or her duly authorized agent, or his or her legal 
representative.
    (c) A claim for death may be presented by the executor or 
administrator of the decedent's estate or by any other person legally 
entitled to assert such a claim in accordance with applicable State 
law.
    (d) A claim presented by an agent or legal representative shall be 
presented in the name of the claimant, be signed by the agent or 
representative, show the title or legal capacity of the person signing 
and be accompanied by evidence of his or her authority to present a 
claim on behalf of the claimant as agent, executor, administrator, 
parent, guardian, or legal representative.
    (e) Only claims involving alleged acts or omissions of Department 
employees (including Job Corps students) should be presented to the 
Department.


Sec.  15.102  May an insurance company file an FTCA administrative 
claim on behalf of a claimant?

    (a) A claim for loss wholly compensated by an insurance company may 
be presented by that company.
    (b) A claim for loss partially compensated by an insurance company 
may be presented by the company or the insured individually, in 
accordance with their respective interests or jointly. It should be 
noted, however, that if the insurance company claims only part of the 
insured's interests, an acceptance of that claim may bar any additional 
claim by the insured for damages beyond that claimed by the insurance 
company as such acceptance would be in full and

[[Page 22209]]

final settlement of all such claims arising out the incident that gave 
rise to the claim as described in Sec.  15.110(b).
    (c) If the claimant is directly compensated by the Department for 
medical bills under this subpart, the claimant may be required to 
reimburse his or her insurance company in accordance with the terms of 
his or her insurance policy if the company has already paid those 
bills.
    (d) Whenever an insurance company presents a claim on behalf of the 
insured (such as a claim for an auto loss that includes the 
deductible), it shall present with its claim appropriate evidence that 
it has the rights of a subrogee, such as a copy of the signed policy.


Sec.  15.103  May an agent or legal representative file an FTCA 
administrative claim on behalf of a claimant?

    (a) An agent or legal representative may file a claim on behalf of 
a claimant.
    (b) Representative's fees are limited to not more than 20 percent 
of the amount paid for a claim settled in an administrative claim, and 
to not more than 25 percent of a judgment or settlement award after 
litigation is initiated. 28 U.S.C. 2678.
    (c) If a representative is dismissed from representing a claimant 
before the claim is resolved, the representative may not place a lien 
on the claimant's recoveries under the claim.
    (d) Any purported representative of a minor must provide 
documentation that he or she is the legal agent of that minor.


Sec.  15.104  Where should the FTCA administrative claim be filed?

    (a) Only claims involving alleged acts or omissions of Department 
employees should be presented to the Department. For the purposes of 
this subpart, an FTCA claim shall be deemed to have been presented when 
the Department receives, at a place designated in paragraph (b) of this 
section, a properly executed ``Claim for Damage, Injury, or Death'' on 
Standard Form 95, or other written notification of an incident 
accompanied by a claim for money damages in a sum certain for injury to 
or loss of property or personal injury or death by reason of the 
incident.
    (b) In any FTCA case where the claim seeks damages for an incident 
resulting in aggregate claims in excess of $25,000 or which involves an 
alleged act or omission of an employee of the Department whose official 
duty station is in Washington, DC, the claimant shall mail or deliver 
the claim for money damages for injury to or loss of property or 
personal injury or death caused by the negligent or wrongful act or 
omission of any employee of the Department while acting within the 
scope of office or employment to the Counsel for Claims and 
Compensation, Office of the Solicitor, U.S. Department of Labor, 200 
Constitution Avenue NW., Suite S4325, Washington, DC 20210.
    (c) In all other cases, the claimant shall submit his or her claim 
to the official duty station of the employee whose act or omission 
forms the basis of the complaint, which should be immediately forwarded 
to the appropriate Regional Office of the Office of the Solicitor with 
all currently available documentation (such as a Standard Form 91, 
Motor Vehicle Accident Report).


Sec.  15.105  What information and evidence should be provided to DOL 
to substantiate an FTCA administrative claim?

    (a) Personal injury. In support of a claim for personal injury, 
including pain and suffering, the claimant is required to submit the 
following evidence or information:
    (1) A written report by the attending physician or dentist setting 
forth the nature and extent of the injury, nature and extent of 
treatment, any degree of temporary or permanent impairment, the 
prognosis, period of hospitalization, if any, and any diminished 
earning capacity. In addition, the claimant may be required to submit 
to a physical or mental examination by a physician employed or 
designated by the Department or another Federal agency. A copy of the 
report of the examining physician shall be made available to the 
claimant upon the claimant's written request.
    (2) Itemized bills for medical, dental and hospital, or any other, 
expenses incurred or itemized receipts of payment for such expenses.
    (3) If the prognosis reveals the necessity for future treatment, a 
statement of expected expenses for such treatment.
    (4) Any other evidence or information which may have a bearing on 
either the responsibility of the United States for the personal injury 
or the damages claimed.
    (b) Death. In support of a claim based on death, the claimant may 
be required to submit the following evidence or information:
    (1) An authenticated death certificate, an autopsy report and or 
other competent evidence that includes cause or causes of death, date 
of death, and age of the decedent.
    (2) Decedent's employment or occupation at the time of death, 
including his or her monthly or yearly salary or earnings (if any), and 
the duration of his or her last employment or occupation.
    (3) Full name, address, birth date, kinship and marital status of 
the decedent's survivors, including identification of those survivors 
who were dependent for support upon the decedent at the time of his or 
her death.
    (4) Degree of support afforded by the decedent to each survivor 
dependent upon him or her for support at the time of his or her death.
    (5) Decedent's general physical and mental condition before his or 
her death.
    (6) Itemized bills for medical and burial expenses incurred by 
reason of the incident causing death, or itemized receipts of payment 
for such expenses.
    (7) If damages for pain and suffering prior to death are claimed, a 
physician's detailed statement specifying the injuries suffered, 
duration of pain and suffering, any drugs administered for pain, and 
the decedent's physical condition in the interval between injury and 
death.
    (8) Any other evidence or information which may have a bearing on 
either the responsibility of the United States for the death or damages 
claimed.
    (c) Property damages. In support of a claim for injury to or loss 
of property, real or personal, the claimant may be required to submit 
the following evidence or information with respect to each item of 
property:
    (1) Proof of ownership.
    (2) A detailed statement of the amount claimed.
    (3) An itemized receipt of payment for necessary repairs or 
itemized written estimates of the cost of such repairs.
    (4) A statement listing date of purchase, purchase price, and 
salvage value where repair is not economical.
    (5) Any other evidence or information which may have a bearing on 
either the responsibility of the United States for the injury to or 
loss of property or the damages claimed.
    (d) Loss of income. In support of a claim based on loss of income, 
the claimant may be required to submit the following evidence or 
information:
    (1) A written statement from his or her employer showing actual 
time lost from employment, whether he or she is a full or part-time 
employee, and wages or salary actually lost.
    (2) If the claimant is self-employed, documentary evidence showing 
the amount of earnings lost such as:
    (i) Income tax returns for several years prior to the injury in 
question and the year in which the injury occurred may be used to 
indicate or measure lost income; or
    (ii) A statement of the actual or projected cost for the claimant 
to hire

[[Page 22210]]

someone else to do the same work he or she was doing at the time of 
injury.
    (3) Any other evidence or information which may have a bearing on 
either the responsibility of the United States for the personal injury 
or the damages claimed.


Sec.  15.106  How is the administrative claim processed?

    (a) Investigation. When an organizational unit learns of an 
incident that reasonably can be expected to result in an allegation of 
harm caused to an individual or organization by an alleged negligent 
act or omission by an employee of that organizational unit or when it 
learns of an administrative claim or of litigation alleging such harm, 
it has the responsibility to fully investigate the incident and to take 
all actions necessary to preserve all relevant documents and other 
evidence. Each organizational unit should institute appropriate 
procedures to ensure that notification of such incidents are reported 
to the office responsible for ensuring that evidence is preserved and 
investigation undertaken.
    (b) Notification. Upon receipt of an administrative claim under the 
Act or of notice of litigation seeking damages for an alleged negligent 
act or omission of an employee of the Department acting within the 
scope of his or her employment, the Office of the Solicitor shall 
notify the organizational unit responsible for the activity which gave 
rise to the claim or litigation and shall provide a copy of the 
administrative claim or the claim filed in the litigation.
    (c) FTCA Contact. Each organizational unit will establish an FTCA 
contact, unless this requirement is waived by the Counsel for Claims 
and Compensation. The FTCA contact will coordinate and oversee the 
preservation of documents related to the circumstances of all claims 
arising from his or her organizational unit. The FTCA contact will 
arrange for the preparation and submission of the Administrative Report 
relating to each claim within 30 days after notification of receipt of 
an administrative claim, unless the Office of the Solicitor grants 
additional time.
    (d) Litigation. During the course of any litigation, organizational 
units are responsible for providing assistance to the Office of the 
Solicitor in responding to discovery requests such as interrogatories 
and requests to produce documents, for providing assistance in 
analyzing factual and program issues, for providing witnesses for 
depositions and trials, and for assistance in producing affidavits and 
exhibits for use in the litigation.


Sec.  15.107  What must be provided in the administrative report?

    (a) The administrative report shall be in the form of a single 
memorandum in narrative form with attachments. It should contain all of 
the following elements, unless permission is obtained from the Office 
of the Solicitor to dispense with a particular element:
    (1) A brief explanation of the organization and operation of the 
program involved including statutory authority and applicable 
regulations;
    (2) A complete description of the events that gave rise to the 
claim or litigation, including a specific response to every allegation 
in the claim or litigation;
    (3) Any information available regarding the questions of whether 
the claimant or plaintiff actually suffered the harm alleged in the 
claim or litigation and what individual or organization caused any harm 
which appears to have occurred;
    (4) Any information available regarding the damages claimed;
    (5) Any policy reasons which the organizational unit wishes to 
advance for or against settlement of the claim or litigation; and
    (6) Details of any claims the Department may have against the 
claimant or plaintiff, whether or not they appear to be related to the 
subject matter of the claim or litigation.
    (b) A copy of all documents relevant to the issues involved in the 
claim or litigation should be attached to each copy of the 
Administrative Report. Original records should not be forwarded to the 
Office of the Solicitor unless specifically requested. They should be 
preserved, however, and remain available for litigation if necessary.
    (c) Organizational units should ensure that all Administrative 
Reports are either prepared or reviewed by an official of the 
organizational unit who was not personally involved in the incident in 
question prior to filing of the claim or suit.
    (d) The Office of the Solicitor may waive the requirement of an 
Administrative Report. If the Administrative Report is waived, the 
organizational unit or units involved in the circumstances of the claim 
or litigation shall provide certification from the supervisor of the 
employee whose alleged negligent act or omission gave rise to the 
claim, certifying that the employee was acting within the scope of his 
or her employment at the time of the alleged negligent act or omission.


Sec.  15.108  Who is authorized to decide an administrative claim?

    (a) The Counsel for Claims and Compensation shall have the 
authority to consider, ascertain, adjust, determine, compromise and 
settle claims pursuant to the Federal Tort Claims Act which involve an 
alleged negligent or wrongful act or omission of an employee whose 
official duty station is the Department's national office in 
Washington, DC, or which involve aggregate claims in excess of $25,000, 
or which involve a new point of law or a question of policy.
    (b) Regional Solicitors and the Associate Regional Solicitors are 
authorized to consider, ascertain, adjust, determine, compromise and 
settle claims arising in their respective jurisdictions pursuant to the 
Federal Tort Claims Act where the aggregate claimed does not exceed 
$25,000 in amount and which do not involve a new point of law or a 
question of policy.


Sec.  15.109  What if the claim is denied?

    Denial of an administrative claim under this subpart shall be in 
writing, and notification of denial shall be sent to the claimant, or 
his or her attorney or legal representative by certified or registered 
mail. The notification of final denial shall include a statement of the 
reasons for the denial and shall include a statement that, if the 
claimant is dissatisfied with the Department's action, that claimant 
may file suit in an appropriate U.S. District Court not later than 6 
months after the date of mailing of the notification.


Sec.  15.110  What must a claimant do if the administrative claim is 
approved?

    (a) Payment of a claim approved under this subpart is contingent 
upon claimant's execution of the appropriate forms, such as the SF-194, 
SF-196, or SF-197, in accordance with instructions by the Department of 
Justice and/or the Judgment Fund. When a claimant is represented by an 
attorney, the voucher for payment shall designate the claimant as payee 
(as the beneficial interest holder), and the check shall be delivered 
to the attorney whose address appears on the voucher.
    (b) Acceptance by the claimant, or his or her agent or legal 
representative, of an award, compromise, or settlement under 28 U.S.C. 
2672 or 28 U.S.C. 2677 is final and conclusive on the claimant, his or 
her agent or legal representative, and any other person on whose behalf 
or for whose benefit the claim has been presented and constitutes a 
complete release of any claim against the United States and against any 
officer or employee of the Government whose act

[[Page 22211]]

or omission gave rise to the claim by reason of the same subject 
matter.


Sec.  15.111  If the administrative claim is approved, how is the award 
paid?

    (a) Any award, compromise, or settlement in the amount of $2,500 or 
less made pursuant to this section shall be paid by the Secretary of 
Labor out of appropriations available to the Department.
    (b) Payment of an award, compromise, or settlement in an amount in 
excess of $2,500 made pursuant to this subpart shall be made in 
accordance with 28 CFR 14.10.
    (c) An award, compromise or settlement of a claim under 28 U.S.C. 
2672 and this subpart in excess of $25,000 may be effected only with 
the prior written approval of the Attorney General or his designee. For 
the purpose of this subpart, a principal claim and any derivative or 
subrogated claim shall be treated as a single claim.

Subpart C--Claims Under the Military Personnel and Civilian 
Employees' Claims Act of 1964


Sec.  15.200  What is a claim under the MPCECA and who may file such a 
claim?

    (a) A claim under the MPCECA for damage or loss is allowable only 
if the property involved was being used incident to service with the 
Department.
    (b) A claim may be made under this subpart by an employee of the 
Department or by a spouse or authorized agent, or legal representative 
on behalf of the employee. If the employee is deceased, the claim may 
be filed by a survivor in the following order of preference: Spouse, 
children, parent, brother or sister or the authorized agent or legal 
representative of such person or persons.
    (c) An MPCECA claim may not be made by or for the benefit of an 
insurance company, subrogee, assignee, conditional vendor or other 
third party.


Sec.  15.201  Where should the MPCECA claim be filed?

    (a) If the claimant's official duty station is at the Department's 
national office in Washington, DC, or if the claim is for an amount in 
excess of $25,000, the claim should be filed with the Counsel for 
Claims and Compensation, Office of the Solicitor of Labor, U.S. 
Department of Labor, Suite S4325, 200 Constitution Avenue NW., 
Washington, DC, 20210.
    (b) In all other cases, the claimant shall address the claim to the 
regional or branch office of the Office of the Solicitor servicing the 
claimant's official duty station.


Sec.  15.202  How is a claim filed under the MPCECA?

    (a) A claim under this subpart must be presented in writing. A 
sample claim, located on the Department's Office of the Solicitor, 
Federal Employees' and Energy Workers' Compensation Division Web site 
at www.dol.gov, is provided as an example for convenience of filing. 
The SF-95 for FTCA claims is not an appropriate form for a MPCECA 
claim.
    (b) The claimant is responsible for substantiating ownership or 
possession, the facts surrounding the loss or damage, and the value of 
the property. Any claim filed must be accompanied by the following:
    (1) A written statement, signed by the claimant or his or her 
authorized agent, setting forth the circumstances under which the 
damage or loss occurred. This statement may also include:
    (i) A description of the type, design, model number or other 
identification of the property.
    (ii) The date of purchase or acquisition and the original cost of 
the property.
    (iii) The location of the property when the loss or damage 
occurred.
    (iv) The value of the property when lost or damaged.
    (v) The actual or estimated cost of the repair of any damaged item.
    (vi) The purpose of and authority for travel, if the loss or damage 
occurred incident to transportation or to the use of a motor vehicle.
    (vii) Any and all available information as to the party responsible 
for the loss or damage, if such party is someone other than the 
claimant, and all information as to insurance contracts, whether held 
by the claimant or by the party responsible.
    (2) Copies of all available and appropriate documents such as bills 
of sale, estimates of repairs, or travel orders. In the case of an 
automobile, the claimant must file two estimates of repair or a 
certified paid bill showing the damage incurred and the cost of all 
parts, labor and other items necessary to the repair of the vehicle or 
a statement from an authorized dealer or repair garage showing that the 
cost of such repairs exceeds the value of the vehicle. The Office of 
the Solicitor may waive the requirement of two estimates of repair.
    (3) A copy of the power of attorney or other authorization if 
someone other than the employee files the claim.
    (4) A statement from the employee's immediate supervisor confirming 
that possession of the property was reasonable, useful or proper under 
the circumstances and that the damage or loss was incident to service.


Sec.  15.203  When should a claim under the MPCECA be filed?

    A claim under this subpart may be allowed only if it is filed in 
writing within 2 years after accrual of the claim. For the purpose of 
this part, a claim accrues at the later of:
    (a) The time of the accident or incident causing the loss or 
damage;
    (b) Such time as the loss or damage should have been discovered by 
the claimant by the exercise of due diligence; or
    (c) Such time as cause preventing filing no longer exists or as war 
or armed conflict ends, whichever is earlier, if a claim otherwise 
accrues during war or an armed conflict or has accrued within 2 years 
before war or an armed conflict begins, and for cause shown.


Sec.  15.204  Are there limits on claims under the MPCECA?

    (a) The maximum amount that can be paid for any claim under the 
MPCECA is $40,000, or, if the claim arises from emergency evacuation or 
extraordinary circumstances, up to $100,000, and property may be 
replaced in kind at the option of the Government. 31 U.S.C. 3721(b)(1).
    (b) The Department is not an insurer and does not underwrite all 
personal property losses that an employee may sustain. Employees are 
encouraged to carry private insurance to the maximum extent practicable 
to avoid losses, which may not be recoverable from the Department.


Sec.  15.205  What types of claims for property damage are allowed 
under the MPCECA?

    (a) Claims for property damage are allowed under the MPCECA only if 
the property involved was being used incident to service with the 
Department and:
    (l) The damage or loss was not caused wholly or partly by the 
negligent or wrongful act or omission of the claimant, his or her 
agent, the members of his or her family, or his or her private employee 
(the standard to be applied is that of reasonable care under the 
circumstances); and
    (2) The possession of the property lost or damaged and the quantity 
and the quality possessed is determined by the claimant's supervisor to 
have been reasonable, useful or proper under the circumstances; and
    (3) The claim is substantiated by proper and convincing evidence.
    (b) Claims otherwise allowable under this subpart shall not be 
disallowed solely because the claimant was not the legal owner of the 
property for which the claim is made.

[[Page 22212]]

Sec.  15.206  What claims arising at a residence or Telework location 
may be covered under the MPCECA?

    (a) Claims arising at a residence, Telework center or other 
flexiplace location may be covered under the MPCECA.
    (b) For the purpose of this subpart, residence means a house, 
apartment or other location that is a Department employee's principal 
abode.
    (c) Claims for property damage at an alternative work location at 
which the employee is performing duties pursuant to an approved 
Telework agreement may be covered by the MPCECA if the property was 
being used incident to service with the Department, as, for the 
purposes of this subpart, that location is considered to be an official 
duty station. Under most circumstances, property damage will only be 
allowed if it occurs at or in connection with the employee's 
workstation.
    (d) Claims under the MPCECA at a residence not covered by paragraph 
(c) of this section may be allowable for damage to, or loss of, 
property arising from fire, flood, hurricane, other natural disaster, 
theft, or other unusual occurrence, if the property was being used 
incident to service with the Department, while such property is located 
at:
    (1) Residences within the 50 States or the District of Columbia 
that were assigned to the claimant or otherwise provided in kind by the 
United States; or
    (2) Residences outside the 50 States and the District of Columbia 
that were occupied by the claimant, whether or not they were assigned 
or otherwise provided in kind by the United States, except when the 
claimant is a civilian employee who is a local inhabitant; or
    (3) Any warehouse, office, working area or other place (except 
residences) authorized or apparently authorized for the reception or 
storage of property.


Sec.  15.207  What are examples of claims allowed under the MPCECA?

    The following are examples of the principal types of allowable 
claims, but these examples are not exclusive; other claims may be 
allowed, unless hereinafter excluded:
    (a) Transportation or travel losses. Claims may be allowed for 
damage to, or loss of, property incident to transportation or storage 
pursuant to order or in connection with travel under orders, including 
property in the custody of a carrier, an agent or agency of the 
Government, or the claimant.
    (b) Enemy action or public service. Claims may be allowed for 
damage to, or loss of, property as a direct consequence of:
    (1) Enemy action or threat thereof, or terrorism, combat, 
guerrilla, brigandage, or other belligerent activity, or unjust 
confiscation by a foreign power or its nationals.
    (2) Action by the claimant to quiet a civil disturbance or to 
alleviate a public disaster.
    (3) Efforts by the claimant to save human life or Government 
property.
    (c) Property used for the benefit of the Government. Claims may be 
allowed for damage to, or loss, of property when used for the benefit 
of the Government at the request of, or with the knowledge and consent 
of superior authority.
    (d) Electronics and cellular phones. Claims may be allowed for loss 
of, or damage to, cellular phones, personal data assistants and similar 
communication and electronic devices subject to the limitations in 
Sec.  15.209(e).
    (e) Clothing and Accessories. Claims may be allowed for damage to, 
or loss of, clothing and accessories customarily worn on the person, 
such as eyeglasses, hearing aids, or dentures subject to the 
limitations in Sec.  15.209(e).
    (f) Expenses incident to repair. Claimants may be reimbursed for 
the payment of any sales tax incurred in connection with repairs to an 
item. The costs of obtaining estimates of repair (subject to the 
limitations set forth in Sec.  15.208(c)) are also allowable.


Sec.  15.208  What are the restrictions on otherwise allowable claims?

    (a) Money or currency. Claims may be allowed for loss of money or 
currency (which includes coin collections) only when lost incident to 
fire, flood, hurricane, other natural disaster, or by theft from 
residence (as limited by Sec.  15.206). In incidents of theft from a 
residence, it must be conclusively shown that the residence was locked 
at the time of the theft. Reimbursement for loss of money or currency 
is limited to an amount, which is determined to have been reasonable 
for the claimant to have had in his or her possession at the time of 
the loss.
    (b) Government property. Claims may only be allowed for property 
owned by the United States for which the claimant is financially 
responsible to an agency of the Government other than the Department.
    (c) Estimate fees. Claims may include fees paid to obtain estimates 
of repairs only when it is clear that an estimate could not have been 
obtained without paying a fee. In that case, the fee may be allowed 
only in an amount determined to be reasonable in relation to the value 
of the property or the cost of the repairs.
    (d) Automobiles and motor vehicles. Claims may only be allowed for 
damage to, or loss of automobiles and other motor vehicles if:
    (1) Such motor vehicles were required to be used for official 
Government business (official Government business, as used here, does 
not include travel, or parking incident thereto, between residence and 
office, or use of vehicles for the convenience of the owner. However, 
it does include travel, and parking incident thereto, between a 
residence and an assigned place of duty specifically authorized or 
otherwise shown to be permitted by the employee's supervisor as being 
more advantageous to the Government); or
    (2) Shipment of such motor vehicles was being furnished or provided 
by the Government, subject to the provisions of Sec.  15.210.


Sec.  15.209  What claims are not allowed?

    (a) Unassigned residences in United States. Property loss or damage 
in quarters occupied by the claimant within the 50 States or the 
District of Columbia that were not assigned to him or otherwise 
provided in kind by the United States or part of an approved Telework 
agreement.
    (b) Business property. Property used for business or profit.
    (c) Unserviceable property. Wornout or unserviceable property.
    (d) Illegal possession. Property acquired, possessed or transferred 
in violation of the law or in violation of applicable regulations or 
directives.
    (e) Articles of extraordinary value. Valuable articles, such as 
watches, jewelry, furs, clothes, electronics or other articles of 
extraordinary value. This prohibition does not apply to articles in the 
personal custody of the claimant or articles properly checked, if the 
claimant has taken reasonable protection or security measures.
    (f) Intangible property. Loss of property that has no extrinsic and 
marketable value but is merely representative or evidence of value 
(such as a non-negotiable stock certificate or warehouse receipt) is 
not compensable. Intangible value is not compensable.
    (g) Incidental expenses and consequential damages. The MPCECA and 
this subpart authorize payment for loss of or damage to personal 
property only. Except as provided in Sec.  15.207(f), consequential 
damages or other types of loss or incidental expenses (such as loss of 
use, interest, carrying charges, cost of lodging or food while awaiting 
arrival of shipment, attorney fees, telephone calls,

[[Page 22213]]

cost of transporting claimant or family members, inconvenience, time 
spent in preparation of claim, or cost of insurance premiums) are not 
compensable.
    (h) Real property. Damage to real property is not compensable. In 
determining whether an item is considered to be an item of personal 
property, as opposed to real property, normally, any movable item is 
considered personal property even if physically joined to the land.
    (i) Commercial property. Articles acquired or held for sale or 
disposition by other commercial transactions on more than an occasional 
basis, or for use in a private profession or business enterprise.
    (j) Commercial storage. Property stored at a commercial facility 
for the convenience of the claimant and at his or her expense.
    (k) Minimum amount. Loss or damage amounting to less than $40.


Sec.  15.210  What affect does insurance have on a claim under the 
MPCECA?

    In the event the property, which is the subject of the claim, was 
lost or damaged while in the possession of a commercial carrier or was 
insured, the following procedures will apply:
    (a) Whenever property is damaged, lost or destroyed while being 
shipped pursuant to authorized travel orders, the owner must file a 
written claim for reimbursement with the last commercial carrier known 
or believed to have handled the goods, or the carrier known to be in 
possession of the property when the damage or loss occurred, according 
to the terms of its bill of lading or contract, before submitting a 
claim against the Government under this subpart.
    (b) Whenever property is damaged, lost or destroyed incident to the 
claimant's service and is insured in whole or in part, the claimant 
should make demand in writing against the insurer for reimbursement 
under the terms and conditions of the insurance coverage, prior to the 
filing of the claim against the Government, unless, in the subsequent 
determination of the deciding official, the filing of such a demand was 
impracticable or inequitable. For example, if the value of a claim is 
$535 and the insurance deductible is $500, the deciding official may 
determine that no claim need be made against the insurer.
    (c) Unless the deciding official determines that no demand should 
have been or need be made, failure to make a demand on a carrier or 
insurer or to make all reasonable efforts to protect and prosecute 
rights available against a carrier or insurer and to collect the amount 
recoverable from the carrier or insurer may result in reducing the 
amount recoverable from the Government by the maximum amount which 
would have been recoverable from the carrier or insurer had the claim 
been timely or diligently prosecuted.
    (d) Following the submission of the claim against the carrier or 
insurer, the claimant may immediately submit his claim against the 
Government in accordance with the provisions of this subpart, without 
waiting until either final approval or denial of the claim is made by 
the carrier or insurer.
    (1) Upon submitting his or her claim, the claimant shall certify in 
the claim that he or she has or has not gained any recovery from a 
carrier or insurer, and enclose all correspondence pertinent thereto.
    (2) If final action has not been taken by the carrier or insurer on 
the claim, the claimant shall immediately notify them to address all 
correspondence in regard to the claim to the appropriate Office of the 
Solicitor of Labor.
    (3) The claimant shall advise the appropriate Office of the 
Solicitor of any action taken by the carrier or insurer on the claim 
and, upon request, shall furnish all correspondence, documents, and 
other evidence pertinent to the matter.
    (e) The claimant shall assign to the United States, to the extent 
of any payment on the claim accepted by him or her, all rights, title 
and interest in any claim he or she may have against any carrier, 
insurer, or other party arising out of the incident on which the claim 
against the United States is based. After payment of the claim by the 
United States, the claimant shall, upon receipt of any payment from a 
carrier or insurer, pay the proceeds to the United States to the extent 
of the payment received by him or her from the United States.
    (f) Where a claimant recovers for the loss from the carrier or 
insurer before his or her claim under this subpart is settled, the 
amount of recovery shall be applied to the claim as follows:
    (1) When the amount recovered from a carrier, insurer, or other 
third party is greater than or equal to the claimant's total loss as 
determined under this part, no compensation is allowable under this 
subpart.
    (2) When the amount recovered is less than such total loss, the 
allowable amount is determined by deducting the recovery from the 
amount of such total loss.
    (3) For this purpose, the claimant's total loss is to be determined 
without regard to the maximum payment limitations set forth in Sec.  
15.204. However, if the resulting amount, after making this deduction 
exceeds the maximum payment limitations, the claimant shall be allowed 
only the maximum amount set forth in Sec.  15.204.


Sec.  15.211  How is a claim under this subpart processed?

    (a) The Counsel for Claims and Compensation, the Regional 
Solicitors, and the Associate Regional Solicitors are authorized to 
consider, ascertain, adjust, determine, compromise and settle claims 
filed under this subpart that arise within their respective 
jurisdictions, except that any claim for an amount in excess of $25,000 
shall fall within the exclusive jurisdiction of the Counsel for Claims 
and Compensation.
    (b) Any writing received by the Office of the Solicitor within the 
time limits set forth in Sec.  15.203 will be accepted and considered a 
claim under the MPCECA if it constitutes a demand for compensation from 
the Department. A sample claim, located on the Department's Office of 
the Solicitor, Federal Employees' and Energy Workers' Compensation 
Division Web site at www.dol.gov, is provided for convenience of 
filing. The SF-95 form used to file a claim under the FTCA is not an 
appropriate form for a claim under the MPCECA claim.
    (c) A demand is not required to be for a specific sum of money.
    (d) The determination upon the claim shall be provided to the 
claimant in writing by the deciding official.


Sec.  15.212  How is the amount of the award under this subpart 
calculated?

    (a) The amount allowable for damage to or loss of any item of 
property may not exceed the lowest of:
    (1) The amount requested by the claimant for the item as a result 
of its loss, damage or the cost of its repair;
    (2) The actual or estimated cost of its repair; or
    (3) The actual value at the time of its loss, damage, or 
destruction. The actual value is determined by using the current 
replacement cost or the depreciated value of the item since its 
acquisition, whichever is lower, less any salvage value of the item in 
question.
    (b) Depreciation in value is determined by considering the type of 
article involved, its cost, its condition when damaged or lost, and the 
time elapsed between the date of acquisition and the date of damage or 
loss.
    (c) Current replacement cost and depreciated value are determined 
by use of publicly available adjustment rates or through use of other 
reasonable methods at the discretion of the official authorized to 
issue a determination upon the claim in question.

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    (d) Replacement of lost or damaged property may be made in kind 
wherever appropriate.
    (e) At the discretion of the official authorized to issue the 
determination upon the claim in question, a claimant may be required to 
turn over an item alleged to have been damaged beyond economical repair 
to the United States, in which case no deduction for salvage value will 
be made in the calculation of actual value.
    (f) Notwithstanding any other provisions of law, settlement of 
claims under the MPCECA is final and conclusive.


Sec.  15.213  Are there limits to representatives' fees for claims 
under this subpart?

    Yes. No more than 10 percent of the amount in settlement of each 
individual claim submitted and settled under this subpart shall be paid 
or delivered to or received by any agent or attorney on account of 
services rendered in connection with that claim. 31 U.S.C. 3721(i).


Sec.  15.214  How may a decision under this subpart be reconsidered?

    (a) While there is no appeal from the decision of the deciding 
official in regard to claims under the MPCECA, the deciding official 
may always reconsider his or her determination of a claim.
    (b) A claimant may request reconsideration from the deciding 
official by directing a written request for reconsideration to the 
deciding official within 60 days of the date of the original 
determination. The claimant must clearly state the factual or legal 
basis upon which he or she rests the request for a more favorable 
determination.
    (c) The determination upon the reconsideration will be provided to 
the claimant in writing by the deciding official.

Subpart D--Claims Arising Out of the Operation of the Job Corps


Sec.  15.300  How are claims involving the Job Corps initiated?

    (a) Claims involving the Job Corps, including claims against Job 
Corps Centers run by other Federal agencies, claims by third parties 
involving the acts or omissions of students of Job Corps, and claims 
involving the loss of personal property of students of Job Corps should 
be submitted to the appropriate Job Corps Regional Office. Claims under 
the MPCECA for non-Department Federal employees should be sent to and 
must be handled by their respective Federal employer, subject to that 
employer's procedures. FTCA claims over $25,000 should be sent to and 
must be handled by the Counsel for Claims and Compensation under 
subpart B of this part.
    (b) The Job Corps Regional Office shall investigate all facts of 
the claim, including accident and medical reports, interview witnesses, 
and, where necessary, prepare the appropriate administrative reports.
    (c) Following the investigation, the Job Corps Regional Office will 
determine the appropriate reviewing official and if necessary forward 
the claim to the appropriate office immediately with all currently 
available documentation, as described in Sec.  15.301.


Sec.  15.301  What office is responsible for determining liability in 
claims arising out of the Job Corps?

    (a) The Director of the appropriate Job Corps Regional Office is 
responsible for claims not cognizable under the FTCA pursuant to the 
WIA arising out of the operation of the Job Corps involving loss or 
damage to persons or personal property of students of Job Corps Centers 
that do not exceed $300.
    (b) The Regional Solicitor is responsible for claims not cognizable 
under the FTCA pursuant to the WIA arising out of the operation of the 
Job Corps involving loss or damage to persons or personal property of 
students of Job Corps Centers for claims exceeding $300.
    (c) The Regional Solicitor is responsible for all FTCA claims 
involving damage to persons or property arising out of an act or 
omission of a Job Corps student or Federal employee that do not exceed 
$25,000 and do not involve a new point of law or a question of policy.
    (d) All remaining claims with aggregate damages of $25,000 or more 
are the responsibility of the Counsel for Claims and Compensation.
    (e) The Job Corps Regional Office Director, the Regional Solicitors 
and the Associate Regional Solicitors are authorized to consider, 
determine and settle claims filed under this subpart that arose within 
their respective jurisdictions.


Sec.  15.302  What procedures apply to these claims?

    (a) Claims involving the negligent acts or omissions of Job Corps 
students or Federal employees are claims under the FTCA and are 
determined under the procedures in subpart B of this part. FTCA claims 
must be forwarded to and decided by the responsible Solicitor's Office.
    (b) Claims involving loss or damage to persons or the personal 
property of Job Corps students are covered by the WIA, 29 U.S.C. 
2897(b), which provides that the Secretary of Labor may adjust or 
settle claims for damages to a person or property of up to $1,500 if 
those claims are found to be a proper charge against the United States 
and are not cognizable under the FTCA.


Sec.  15.303  How does a Job Corps student file a claim for loss of or 
damages to personal property under the WIA?

    (a) A WIA claim under this subpart must be in writing and signed by 
the claimant or by an authorized representative. In order to be a 
proper claim, a WIA claim must fully describe the property and the 
circumstances that gave rise to the loss or damage.
    (b) All WIA claims under this subpart must be filed with the 
appropriate Job Corps Regional Office within 2 years of the date upon 
which the claim accrued. The Job Corps Regional Office may consult with 
the Regional Solicitor and/or Counsel for Claims and Compensation as 
necessary.
    (c) The determination upon the claim shall be provided to the 
claimant in writing by the appropriate deciding official.
    (d) Reconsideration of a determination under this subpart shall be 
available upon written request received within 60 days by the 
appropriate deciding official. The deciding official will provide a 
written response to the claimant within 60 days of such request. No 
further review of the matter will be permitted.


Sec.  15.304  Are there limits to claims for loss of or damages to 
personal property under the WIA?

    (a) Only claims involving damage or loss to personal property that 
occurred while at the Job Corps Center or while on authorized travel, 
training or other authorized activities may be considered under the 
WIA.
    (b) The Job Corps will only reimburse up to $300.00 per item for 
claims for loss or damage of personal property under the WIA, up to a 
maximum of $1,500 per occurrence.
    (c) If the property in question is not of a type that the student 
is authorized to bring to the Job Corps Center, no compensation will be 
made under this subpart. For example, if the Job Corps Center has 
explicit written rules imposing limitations on the type of electronic 
equipment or other personal items such as jewelry that may be brought 
to the center, no compensation will be awarded for the loss or damage 
of such property.


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    Signed at Washington, DC, this 4th of April 2012.
M. Patricia Smith,
Solicitor of Labor, U.S. Department of Labor.
[FR Doc. 2012-8741 Filed 4-12-12; 8:45 am]
BILLING CODE 4510-23-P