Suspension and termination of payments in discrimination proceedings
Imposition and Continuation of Suspensions.—
In general.—
The Secretary shall suspend payment under this chapter to a unit of general local government—
if an administrative law judge appointed under section 3105 of title 5, United States Code, issues a preliminary decision in a proceeding under section 6712(d)(1) that the government is not likely to prevail in showing compliance with section 6711(a) and (b);
if the administrative law judge decides at the end of the proceeding that the government has not complied with section 6711(a) or (b), unless the government makes a compliance agreement under section 6714 by the 30th day after the decision; or
if required under section 6712(c).
Effectiveness.—
A suspension already ordered under paragraph (1)(A) continues in effect if the administrative law judge makes a decision under paragraph (1)(B).
Lifting of Suspensions and Terminations.—
If a holding of discrimination is reversed by an appellate court, a suspension or termination of payments in a proceeding based on the holding shall be discontinued.
Resumption of Payments Upon Attaining Compliance.—
The Secretary may resume payment to a unit of general local government of payments suspended by the Secretary only—
as of the time of, and under the conditions stated in—
the approval by the Secretary of a compliance agreement under section 6714(a)(1); or
a compliance agreement entered into by the Secretary under section 6714(a)(2);
if the government complies completely with an order of a United States court, a State court, or administrative law judge that covers all matters raised in a notice of noncompliance submitted by the Secretary under section 6712(a);
if a United States court, a State court, or an administrative law judge decides (including a judge in a proceeding under section 6712(d)(1)), that the government has complied with sections 1
if a suspension is discontinued under subsection (b).
Payment of Damages as Compliance.—
For purposes of subsection (c)(2), compliance by a government may consist of the payment of restitution to a person injured because the government did not comply with section 6711(a) or (b).
Resumption of Payments Upon Reversal by Court.—
The Secretary may resume payment to a unit of general local government of payments terminated under section 6712(d)(2)(A) only if the decision resulting in the termination is reversed by an appellate court.