The Internal Revenue Service said that it will renew contracts with two out of the three private agencies it signed to participate in a pilot program outsourcing debt collection. Conspicuously absent from that announcement was the fate of that third agency.The IRS said yesterday that it would extend the contracts of Waterloo, Iowa-based CBE Group Inc. and Arcade, N.Y.-based Pioneer Credit Recovery Inc., a unit of SLM Corp. The new contract will run through March 8, 2008.

The announcement didn't mention contract renewal for the third firm participating in the pilot, Austin, Texas-based Linebarger Goggan Blair & Sampson LLP. The IRS has declined further comment, citing federal procurement regulations.

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