When it becomes apparent during the course of the informal
conference that agreement on all issues cannot be reached, the district
director shall bring the conference to a close, shall evaluate all
evidence available to him or her, and after such evaluation shall
prepare a memorandum of conference setting forth all outstanding issues,
such facts or allegations as appear material and his or her
recommendations and rationale for resolution of such issues. Copies of
this memorandum shall then be sent to each of the parties or their
representatives, who shall then have 14 days within which to signify in
writing to the district director whether they agree or disagree with his
or her recommendations. If they agree, the district director shall
proceed as in Sec. 702.315(a). If they disagree (Caution: See
Sec. 702.134), then the district director may schedule such further
conference or conferences as, in his or her opinion, may bring about
agreement; if he or she is satisfied that any further conference would
be unproductive, or if any party has requested a hearing, the district
director shall prepare the case for transfer to the Office of the Chief
Administrative Law Judge (See Sec. 702.317, Secs. 702.331-702.351).
[42 FR 42551, Aug. 23, 1977, as amended at 60 FR 51348, Oct. 2, 1995]