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AFMD-84-71 1 (1984-09-28)

handle is hein.gao/gaobabnmw0001 and id is 1 raw text is: United States ' General Accounting Office 323 Memorandum ITD DISTRIBMIION Date: July 25, 1988 To: Associate Director, AFMD/FA - Robert W. Gramling Thru: Associate General Counsel - Richard R. Pierson From: Senior Attorney, OGC - Jeffrey A. Jacobson Subject: Legal Issues Related to EPA's Fiscal Year 1987 Financial Statements (Code 917137; B-216351) This responds to questions 4, 5, and 6 of your February 18, 1988, memo regarding the indemnity payments made to pesticide owners under section 15 of the Federal Insectic' e, Fungicide, and Rodenticide Act (FIFRA), 7 U.S.C. SV36m (1982). Specifically, you ask whether the 1988 continuing resolution requires that all indemnity payments made in fiscal year 1988 be from the Judgment Fund rather than from Environmental Protection Agency (EPA) appropriations, regardless of when EPA became liable for such payments. If not, you ask when EPA liability occurs and should the liability be recorded as an obligation against prior year appropriations.l/ The continuing resolution for fiscal year 1988 provides that none of the funds appropriated in the act are available for FIFRA ind mnity payments. Pub. L. No. 100-202, 101 Stat. 1329-199,IDecember 22, 1987. The permanent indefinite appropriation (Judgment Fund) is available to pay final judgments, awards, and compromise settlemepts when payment is not otherwise provided for. 31 U.S.C.(1304(a) (1982). Liability to pay a FIFRA indemnity claim arises when (1) a final decision is reached that a claimant is eligible for an indemnity payment, and (2) a final determination is made on how much the claimant is entitled to receive. While court decrees and EPA or Justice Department settlement agreements I/ After consultation with David Grindstaff and John Reilly of your office on March 11, 1988, and because the enumerated questions are closely related, we agreed at the questions would be addressed collectively. Operations Improvement

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