SECTION 7. COMMENTS

The Service invites interested persons to comment on this pilot program. Written comments on the announcement should be delivered or mailed by December 3, 2004, to:

any local or national organization that provides a roster of qualified neutrals. To qualify, the proposed non-Service comediator must have completed mediation training, have previous mediation experience, and have a substantive knowledge of relevant tax law or knowledge of industry practices.

.04 Generally, the Appeals Mediator begins the TEB Mediation with an initial joint session at which all parties are present. Both the Issuer and TEB will be provided ample opportunity to present their respective positions. After the initial joint session, the Appeals Mediator may hold, as necessary, individual sessions with the parties, or additional joint sessions, as deemed appropriate in the sole judgment of the Appeals Mediator.

.05 During the TEB Mediation session, both the Issuer and TEB will have at least one representative present with decisionmaking authority, unless there is an agreement to the contrary ( e.g., a decision maker, while not physically present, must be available by telephone). The Issuer and TEB should also include individuals with the information and expertise necessary to assist the parties and the Appeals Mediator during the mediation process. In cases where doing so will facilitate the process, the Appeals Mediator may ask that the number of participants be limited. Any person engaged in practice before the Service, as defined in Publication 216, Conference and Practice Requirements, must have a power of attorney from the issuer or other represented party (Form 2848, Power of Attor- ney and Declaration of Representative ).

.06 The goal of the TEB Mediation Program is to complete the mediation process in approximately 60 days.

.07 The TEB mediation session generally will be held at the Appeals Mediator’s office, unless the TEB Field Manager and the Issuer specify another neutral location, on a date agreeable to the parties.

.08 The TEB mediation process is confidential. All information concerning any dispute resolution communication is confidential and may not be disclosed by any party, participant, observer or mediator, except as provided by statute, such as in sections 6103 and 7214(a)(8) and 5 U.S.C. § 574. A dispute resolution communication includes all oral or written communications prepared for purposes of a dis

pute resolution proceeding, including the mediator’s report prepared at the conclusion of the mediation process.

.09 In executing the TEB Agreement to Mediate, the Issuer consents under section 6103 to the disclosure by the Service of its returns and return information incident to the TEB Mediation to any participant or observer identified in the initial lists of participants and observers and to any subsequent participants and observers identified in writing by the parties. ( See Exhibit 1 of this announcement). In addition, the Issuer may authorize any person ( e.g., conduit borrower) to inspect or receive confidential information during the mediation process by submitting a duly executed Form 8821, Tax Information Author- ization, to the TEB Field Manager. Where appropriate for the mediation of the issues involved, the conduit borrower (or any other interested party participating in the TEB Mediation) must consent under section 6103 to the disclosure by the Service of its returns and return information incident to the TEB Mediation to any participant or observer identified in the initial lists of participants and to any subsequent participants and observers identified in writing by the parties.

.10 The Issuer may authorize certain persons to represent the Issuer during the mediation process by submitting a duly executed Form 2848, Power of Attorney and Declaration of Representative, to the TEB Field Manager. If the TEB Agreement to Mediate is executed by a person pursuant to a Form 2848, that power of attorney must clearly express the Issuer’s grant of authority to consent to disclose its returns and return information by the Service to third parties, and a copy of that power of attorney must be attached to the agreement.

.11 Employees of the Service and the Treasury Department who participate in or observe the mediation process in any way, and any person under contract to the Service, pursuant to section 6103(n), that the Service invites to participate or observe, will be subject to the confidentiality and disclosure provisions of the Code, including sections 6103, 7213, and 7431.

.12 The prohibition of ex parte communications between Appeals Officers and other Service employees provided by § 1001(a) of the Internal Revenue Service Restructuring and Reform Act of 1998 does not apply to the communications aris

2003–25 I.R.B. 1094 June 23, 2003

Internal Revenue Service Office of the Chief, Appeals 1099 14 ^th Street, NW Suite 4035 - East Washington, D.C. 20005

Alternatively, comments may be submitted by e-mail to the following address: Notice.comments@irscounsel.treas.gov .