(a) The Hearing Official may determine that the employee has waived their right to a hearing and that administrative offset may be initiated if the employee does not show good cause for failing to file a timely petition.

(b) The Hearing Official may grant a petition, and as appropriate, invalidate a debt if, in the absence of good cause and after failing to comply with an order by the Hearing Official, the Postal Service fails to file a timely answer. If the petition is granted for this reason, the Postal Service will be prohibited from collecting the debt by involuntary administrative salary offset.

(c) If a party fails to comply with this part or the Hearing Official's orders, the Hearing Official may take reasonable and proper action under the circumstances, including dismissing, denying, or granting the petition as appropriate.