[Federal Register Volume 74, Number 197 (Wednesday, October 14, 2009)]
[Proposed Rules]
[Pages 52706-52708]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-24648]
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SOCIAL SECURITY ADMINISTRATION
20 CFR Parts 404 and 416
[Docket No. SSA-2009-0067]
RIN 0960-AH08
Transfer of Accumulated Benefit Payments
AGENCY: Social Security Administration (SSA).
ACTION: Notice of proposed rulemaking.
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SUMMARY: We propose to amend our regulations to allow a representative
payee who will no longer be serving in that capacity to transfer
accumulated
[[Page 52707]]
benefit payments and interest directly to a beneficiary if we determine
that it would be in the best interest of the beneficiary. This change
would give us more flexibility in deciding how conserved funds should
be handled in these circumstances. The change would also reduce or
eliminate delays in the delivery of conserved funds to some
beneficiaries.
DATES: To be sure that we consider your comments, we must receive them
by December 14, 2009.
ADDRESSES: You may submit comments by any one of four methods--
Internet, fax, mail, or hand delivery. Do not submit the same comments
multiple times or by more than one method. Regardless of which method
you choose, please state that your comments refer to Docket No. SSA-
2009-0067 so that we may associate your comments with the correct
regulation.
Caution: You should be careful to include in your comments only
information that you wish to make publicly available. We strongly urge
you not to include in your comments any personal information, such as
Social Security numbers or medical information.
1. Internet: We strongly recommend this method for submitting your
comments. Visit the Federal eRulemaking portal at http://www.regulations.gov. Use the Search function of the webpage to find
docket number SSA-2009-0067, then submit your comment. Once you submit
your comment, the system will issue you a tracking number to confirm
your submission. You will not be able to view your comment immediately
as we must manually post each comment. It may take up to a week for
your comment to be viewable.
2. Fax: Fax comments to (410) 966-2830.
3. Mail: Address your comments to the Commissioner of Social
Security, P.O. Box 17703, Baltimore, MD 21235-7703.
4. Hand delivery: Deliver your comments to the Office of
Regulations, Social Security Administration, 137 Altmeyer Building,
6401 Security Boulevard, Baltimore, Maryland 21235-6401, between 8 a.m.
and 4:30 p.m., Eastern Time, business days.
Comments are available for public viewing on the Federal
eRulemaking portal at http://www.regulations.gov or in person, during
regular business hours, by arranging with the contact person identified
below.
FOR FURTHER INFORMATION CONTACT: Richard Bresnick, Office of
Regulations, Social Security Administration, 6401 Security Boulevard,
Baltimore, MD 21235-6401, (410) 965-1758. For information on
eligibility or filing for benefits, call our national toll-free number,
1-800-772-1213 or TTY 1-800-325-0778, or visit our Internet site,
Social Security Online, at http://www.socialsecurity.gov.
SUPPLEMENTARY INFORMATION:
Electronic Version
The electronic file of this document is available on the date of
publication in the Federal Register at http://www.gpoaccess.gov/fr/index.html.
Background
Our representative payment regulations are in Subpart U of part 404
and subpart F of part 416. In certain cases, we will appoint a
representative payee to receive benefit payments on behalf of a
beneficiary. Generally, we appoint a representative payee if we have
determined that the beneficiary is not able to manage his or her own
benefits or direct the management of benefit payments in his or her
interest. The payee must use the payments only for the beneficiary's
use and benefit. The payee must conserve or invest for the beneficiary
any funds remaining after paying for the beneficiary's current needs.
If a payee is no longer going to serve in that capacity, our
regulations require the payee to return conserved funds to us or
transfer them to a successor payee, as we will specify. The payee is
not permitted to transfer these conserved funds to a beneficiary
directly. 20 CFR 404.2060 and 416.660. The payee's inability to
directly transfer funds to a beneficiary can cause difficulty for both
the beneficiary and the representative payee. When we determine that a
payee is no longer needed because the beneficiary has become capable of
managing his or her own benefits, this two-step process delays our
payment of the conserved funds to the beneficiary.
Our regulatory process is particularly problematic for those
beneficiaries transitioning out of foster care and for their payees.
These beneficiaries might need immediate access to the conserved funds
to pay for rent or other necessities. Additionally, at least one State
law requires State agency representative payees for beneficiaries in
foster care to turn over all conserved funds directly to the
beneficiary when he or she transitions out of foster care.
Explanation of Changes
We propose to revise Sec. Sec. 404.2060 and 416.660 of our
regulations to permit a payee to transfer conserved funds to a
beneficiary if we so specify. The proposed change would give us the
discretion to authorize a payee-to-beneficiary transfer of conserved
funds and make the representative payment process more efficient.
Allowing direct transfer would conserve our scarce administrative
resources and provide faster access to beneficiaries who have become
capable of managing their own benefits.
Clarity of These Proposed Rules
Executive Order 12866 requires each agency to write all rules in
plain language. In addition to your substantive comments on these
proposed rules, we invite your comments on how to make them easier to
understand. For example:
Have we organized the material to suit your needs?
Are the requirements in the rules clearly stated?
Do the rules contain technical language or jargon that is
not clear?
Would a different format (grouping and order of sections,
use of headings, paragraphing) make the rules easier to understand?
Would more (but shorter) sections be better?
Could we improve clarity by adding tables, lists or
diagrams?
What else could we do to make the rules easier to
understand?
When Will We Start To Use These Rules?
We will not use these rules until we evaluate the public comments
we receive on them, determine whether they should be issued as final
rules, and issue final rules in the Federal Register. If we publish
final rules, we will explain in the preamble how we will apply them,
and summarize and respond to the significant public comments. Until the
effective date of any final rules, we will continue to use our current
rules.
Regulatory Procedures
Executive Order 12866
We have consulted with the Office of Management and Budget (OMB)
and determined that these proposed rules do not meet the requirements
for a significant regulatory action under Executive Order 12866. Thus,
they were not reviewed by OMB.
Regulatory Flexibility Act
We certify that these proposed rules, if published in final, would
not have a significant economic impact on a substantial number of small
entities because they would affect primarily individuals. Accordingly,
a regulatory flexibility analysis as provided in the
[[Page 52708]]
Regulatory Flexibility Act, as amended, is not required.
Paperwork Reduction Act
This rule does not create any new, or affect any existing,
collections, and therefore, does not require OMB approval under the
Paperwork Reduction Act.
(Catalog of Federal Domestic Assistance Program Nos. 96.001, Social
Security--Disability Insurance; 96.002, Social Security--Retirement
Insurance; 96.004, Social Security--Survivors Insurance; and 96.006,
Supplemental Security Income)
List of Subjects
20 CFR Part 404
Administrative practice and procedure; Blind; Disability benefits;
Old-Age, Survivors, and Disability Insurance; Reporting and
recordkeeping requirements; Social Security.
20 CFR Part 416
Administrative practice and procedure; Aged, Blind, Disability
benefits, Public assistance programs; Reporting and recordkeeping
requirements; Supplemental Security Income (SSI).
Dated: October 2, 2009.
Michael J. Astrue,
Commissioner of Social Security.
For the reasons set out in the preamble, we propose to amend
subpart U of part 404 and subpart F of part 416 of chapter III of title
20 Code of Federal Regulations as set forth below:
PART 404--FEDERAL OLD-AGE, SURVIVORS AND DISABILITY INSURANCE
(1950- )
Subpart U--[Amended]
1. The authority citation for subpart U of part 404 is revised to
read as follows:
Authority: Secs. 205(a), (j), and (k), and 702(a)(5) of the
Social Security Act (42 U.S.C. 405(a), (j), and (k), and 902(a)(5)).
2. Amend Sec. 404.2060 by revising the first sentence to read as
follows:
Sec. 404.2060 Transfer of accumulated benefit payments.
A representative payee who has conserved or invested benefit
payments shall transfer these funds and the interest earned from the
invested funds to either a successor payee, to the beneficiary, or to
us, as we will specify. * * *
PART 416--SUPPLEMENTAL SECURITY INCOME FOR THE AGED, BLIND, AND
DISABLED
Subpart F--[Amended]
3. The authority citation for subpart F of part 416 is revised to
read as follows:
Authority: Secs. 702(a)(5), 1631(a)(2) and (d)(1) of the Social
Security Act (42 U.S.C. 902(a)(5) and 1383(a)(2) and (d)(1)).
4. Amend Sec. 416.660 by revising the first sentence to read as
follows:
Sec. 416.660 Transfer of accumulated benefit payments.
A representative payee who has conserved or invested benefit
payments shall transfer these funds, and the interest earned from the
invested funds, to either a successor payee, to the beneficiary, or to
us, as we will specify. * * *
[FR Doc. E9-24648 Filed 10-13-09; 8:45 am]
BILLING CODE 4191-02-P