---
kind: "section"
citation: "20 C.F.R. § 683.730"
title: "20"
number: "683.730"
heading: "When can the Secretary waive the imposition of sanctions?"
url: "https://uscodex.org/cfr/20/683.730"
---

# §683.730. When can the Secretary waive the imposition of sanctions?

- (a)
  - (1) A recipient of title I funds may request that the Secretary waive the imposition of sanctions authorized under WIOA [sec. 184](/cfr/20/184.md).
  - (2) A Grant officer may approve the waiver described in [paragraph (a)(1)](#a-1) of this section if the grant officer finds that the recipient has demonstrated substantial compliance with the requirements of WIOA [sec. 184(d)(2)](/cfr/20/184.md?p=d-2).
- (b)
  - (1) When the debt for which a waiver request was established in a non-Federal resolution proceeding, the resolution report must accompany the waiver request.
  - (2) When the waiver request is made during the ETA Grant Officer resolution process, the request must be made during the informal resolution period described in [§ 683.440(c)](/cfr/20/683.440.md?p=c).
- (c) A waiver of the recipient's liability must be considered by the Grant Officer only when:
  - (1) The misexpenditure of WIOA funds occurred at a subrecipient's level;
  - (2) The misexpenditure was not due to willful disregard of the requirements of title I of WIOA, gross negligence, failure to observe accepted standards of administration, and did not constitute fraud or failure to make the required disclosures in accordance with [2 CFR 200.113](/cfr/2/200.113.md) addressing all violations of Federal criminal law involving fraud, bribery or gratuity violations (2 CFR part [180](/cfr/2/part180.md) and [31](/cfr/2/part31.md) U.S.C. 3321)
  - (3) If fraud did exist, was perpetrated against the recipient/subrecipients, and:
    - (i) The recipient/subrecipients discovered, investigated, reported, and cooperated in any prosecution of the perpetrator of the fraud; and
    - (ii) After aggressive debt collection action, it has been documented that further attempts at debt collection from the perpetrator of the fraud would be inappropriate or futile;
  - (4) The recipient has issued a final determination which disallows the misexpenditure, the recipient's appeal process has been exhausted, and a debt has been established; and
  - (5) The recipient provides documentation to demonstrate that it has substantially complied with the requirements of WIOA [sec. 184(d)(2)](/cfr/20/184.md?p=d-2) and this section.
- (d) The recipient will not be released from liability for misspent funds under the determination required by WIOA [sec. 184(d)](/cfr/20/184.md?p=d) unless the Grant Officer determines that further collection action, either by the recipient or subrecipient(s), would be inappropriate or would prove futile.

## Notes

### Authority

Authority: Secs. 102, 116, 121, 127, 128, 132, 133, 147, 167, 169, 171, 181, 185, 186, 189, 195, 503, Public Law 113-128, 128 Stat. 1425 (Jul. 22, 2014).

### Source

Source: 81 FR 56410, Aug. 19, 2016, unless otherwise noted.