FR Doc 06-6887

[Federal Register: August 11, 2006 (Volume 71, Number 155)]
[Page 46204-46205]
From the Federal Register Online via GPO Access []
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Intent To Compromise Claim Against the State of Michigan State 
Department of Corrections

AGENCY: Department of Education.

ACTION: Notice of intent to compromise a claim with request for 


SUMMARY: The U.S. Department of Education (Department) intends to 
compromise a claim against the Michigan State Department of Corrections 
(MDC) now pending before the Office of Administrative Law Judges 
(OALJ), Docket No. 05-37-R. Before compromising the claim, the 
Department must publish its intent to do so in the Federal Register and 
provide the public an opportunity to comment on that action (20 U.S.C. 

DATES: We must receive your comments on the proposed action on or 
before September 25, 2006.

ADDRESSES: Address all comments concerning the proposed action to John 
R. Mason, Esq., Office of the General Counsel, U.S. Department of 
Education, 400 Maryland Avenue, SW., room 6E112, Washington, DC 20202-

FOR FURTHER INFORMATION CONTACT: John R. Mason, Esq. Telephone (202) 
401-6057. If you use a telecommunications device for the deaf (TDD), 
you may call the Federal Relay Service (FRS) at 1-800-877-8339.
    Individuals with disabilities may obtain this document in 
alternative format (e.g., Braille, large print, audio tape, or computer 
diskette) on request to the contact person listed under FOR FURTHER 


Invitation To Comment

    We invite you to submit comments regarding this proposed action. 
During and after the comment period, you may inspect all public 
comments in room 6E112, FB-6, 400 Maryland Avenue, SW., Washington, DC 
between the hours of 8:30 a.m. and 4 p.m. Eastern time, Monday through 
Friday of each week except Federal holidays.

Assistance to Individuals With Disabilities in Reviewing Comments

    On request, we will supply an appropriate aid, such as a reader or 
print magnifier, to an individual with a disability who needs 
assistance to review the comments. If you want to schedule an 
appointment for this type of aid, please contact the person listed 


    The claim in question arose when the Department's Assistant Deputy 
Secretary for Safe and Drug-Free Schools issued a program determination 
letter (PDL) on April 29, 2005. The PDL demanded a refund of $114,923 
of funds awarded to the MDC by the Department under the Youth Offenders 
program for fiscal years 2001 through 2003. This program, authorized by 
20 U.S.C. 1151, provides State grants for workplace and community 
transition training for incarcerated youth offenders. The Assistant 
Deputy Secretary determined that a total of $114,923 had been misspent 
for inappropriate space rental charges, excess costs for materials and 
textbooks, and payments for classes not begun by certain prisoners.
    MDC filed a timely request for review of the PDL with the OALJ. The 
Administrative Law Judge suspended proceedings so that the parties 
could discuss settlement. During settlement discussions, the MDC 
provided the Assistant Deputy Secretary additional documentation and 
materials for review. After consideration of those materials, the 
Department proposes to compromise the claim of $114,923 for $78,965, 
nearly sixty-nine percent of the amount the Assistant Deputy Secretary 
disallowed in the PDL.
    Based on the amount that would be repaid by MDC, the additional 
materials and documentation submitted by MDC while this appeal has been 
pending before the OALJ, and litigation risks and costs of proceeding 
through the administrative, and possibly, court

[[Page 46205]]

process for this appeal, the Department has determined that it would 
not be practical or in the public interest to continue this proceeding. 
Rather, under the authority in 20 U.S.C. 1234a(j), the Department has 
determined that compromise of this claim for a refund of $78,965 is 
appropriate. The public is invited to comment on the Department's 
intent to compromise this claim. Additional information may be obtained 
by calling or writing to John R. Mason, Esq. at the telephone number 
listed under FOR FURTHER INFORMATION CONTACT or the address listed 
    Electronic Access to This Document: You may view this document, as 
well as all other documents of this Department published in the Federal 
Register, in text or Adobe Portable Document Format (PDF) on the 
Internet at the following site:

    To use PDF you must have Adobe Acrobat Reader, which is available 
free at this site. If you have questions about using PDF, call the U.S. 
Government Printing Office (GPO), toll free, at 1-888-293-6498; or in 
the Washington, DC area at (202) 512-1530.

    Note: The official version of this document is the document 
published in the Federal Register. Free Internet access to the 
official edition of the Federal Register and the Code of Federal 
Regulations is available on GPO Access at:

    Program Authority:  20 U.S.C. 1234a(j).

    Dated: August 9, 2006.
Lawrence A. Warder,
Chief Financial Officer.
[FR Doc. 06-6887 Filed 8-10-06; 8:45 am]