83 FR 64422 - Review and Reassessment of the Social Security Administration's (SSA) Representative Payee Selection and Replacement Policies

SOCIAL SECURITY ADMINISTRATION

Federal Register Volume 83, Issue 240 (December 14, 2018)

Page Range		64422-64423
FR Document		2018-27051

We are requesting information on the appropriateness of our order of preference lists for selecting representative payees (payees) and the effectiveness of our policy and operational procedures in determining when to change a payee. We are seeking this information to determine whether and how we should make any changes to our representative payee program to help ensure that we select suitable payees for our beneficiaries.

Federal Register, Volume 83 Issue 240 (Friday, December 14, 2018)

[Federal Register Volume 83, Number 240 (Friday, December 14, 2018)]
[Notices]
[Pages 64422-64423]
From the Federal Register Online [www.thefederalregister.org]
[FR Doc No: 2018-27051]

=======================================================================
-----------------------------------------------------------------------

SOCIAL SECURITY ADMINISTRATION

[Docket No. SSA-2018-0048]

Review and Reassessment of the Social Security Administration's
(SSA) Representative Payee Selection and Replacement Policies

AGENCY: Social Security Administration.

ACTION: Notice; request for comments.

-----------------------------------------------------------------------

SUMMARY: We are requesting information on the appropriateness of our
order of preference lists for selecting representative payees (payees)
and the effectiveness of our policy and operational procedures in
determining when to change a payee. We are seeking this information to
determine whether and how we should make any changes to our
representative payee program to help ensure that we select suitable
payees for our beneficiaries.

DATES: To ensure that your comments are considered, we must receive
them no later than January 28, 2019.

ADDRESSES: You may submit comments by any one of three methods--
internet, fax, or mail. 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-2018-0048 so
that we may associate your comments with the correct document.
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 that you submit your comments
via the internet. Please visit the Federal eRulemaking portal at http://www.regulations.gov. Use the Search function to find docket number
SSA-2018-0048. The system will issue you a tracking number to confirm
your submission. You will not be able to view your comment immediately
because we must post each comment manually. 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 Office of Regulations and
Reports Clearance, Social Security Administration, 3100 West High Rise
Building, 6401 Security Boulevard, Baltimore, Maryland 21235-6401.
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: Erinn Demers, Office of Income
Security Programs, Social Security Administration, 6401 Security
Boulevard, Baltimore, MD 21235-6401, (877) 405-3671 x23810. 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:

Background

On April 13, 2018, Congress passed the Strengthening Protections
for Social Security Beneficiaries Act of 2018, Public Law 115-165.
Section 204 of that law requires the Commissioner to conduct a review
and reassessment, with opportunity for public comment, of the
appropriateness of the order of preference for selecting representative
payees (payees) and the effectiveness of our policy and operations for
changing payees. We will submit a report on the results of the review
and reassessment to Congress within 18 months of enactment.
A person who receives benefits from us may be unable to manage
those benefits for reasons such as his or her young age or mental or
physical impairment. In these cases, we select a payee if we believe
that representative payment, rather than direct payment of benefits,
will better serve the beneficiary's interest. Generally, we select a
payee if we determine that the beneficiary is not able to manage or
direct the management of benefit payments in his or her interest. The
payee may be an organization or a person, such as a parent, relative,
or friend of the beneficiary.
We review and evaluate each representative payee application
individually to determine the best representative payee. We carefully
screen and consider all applicants, before we make a selection, to
ensure the beneficiary's best interest is served. In determining the
best payee choice, we consider all factors, including the applicant's
relationship to the beneficiary, the applicant's concern for the
beneficiary's well-being, whether

[[Page 64423]]

there is a financial relationship (creditor) between the applicant and
the beneficiary, and whether or not the applicant has custody of the
beneficiary.
Sections 205(j) and 1631(a)(2) of the Social Security Act (Act),
our regulations at 20 CFR 404.2021 and 20 CFR 416.621, and our Program
Operations Manual System (POMS) instructions at GN 00502.105 \1\
provide guidelines for payee preference that we use as a developmental
guide in selecting a representative payee. The payee preference lists
do not negate our responsibility to investigate whether we should
select a payee applicant to serve a beneficiary. Our primary concern is
to select the payee who will best serve the beneficiary's interest.
Generally, the applicants on the payee preference lists are the
preferred candidates shown in the preferred order of selection. For
example, for beneficiaries 18 years or older (except those who are
disabled and also have a drug addiction or alcoholism condition) the
regulations indicate that a legal guardian, spouse, or other relative
who has custody of the beneficiary or who demonstrates strong concern
for the beneficiary generally has a higher preference than an
organization. For disabled beneficiaries 18 years or older with a drug
addiction or alcohol condition, the regulations reflect the statutory
preference for certain agencies and organizations over a family member.
For beneficiaries under age 18, the regulations indicate that a natural
or adoptive parent with custody of the beneficiary, or a guardian
generally has a higher preference than a relative who does not have
custody.
---------------------------------------------------------------------------

\1\ Available at: https://secure.ssa.gov/apps10/poms.nsf/lnx/0200502105.
---------------------------------------------------------------------------

We are seeking comment about whether our existing order of payee
preference is appropriate, particularly with respect to the selection
of public or non-profit agencies or institutions and for-profit
institutions or creditors of the beneficiary as representative payees.
Our POMS at GN 00501.013 \2\ define different organizations as follows.
State and local institutions are institutions funded and operated by a
State or local government. Typical examples are State psychiatric
institutions, county developmental centers for individuals with
intellectual disabilities and State hospitals. A private or for-profit
is an institution operated by an individual or corporation to make a
profit. Privately owned nursing homes, board and care homes, and
extended care facilities are examples of these institutions. A non-
profit institution is a not-for-profit, non-governmental institution,
such as a home operated by a religious organization or charity. A
financial organization is an organization with the primary purpose of
handling money, such as a bank, credit union, or savings and loan
association. A ``social agency'' is a non-custodial entity that
provides social service assistance to the community, such as State or
county Department of Social Services, Child Protective Services,
Catholic Charities, Lutheran Social Services, and United Way agencies.
An official is an agent of a State or other governmental entity who
performs duties as a job function rather than as an individual in the
community. Officials are typically public guardians and officers of the
court. Our POMS at GN 00502.135 \3\ defines a creditor as an individual
or organization who provides the beneficiary with goods or services for
monetary consideration. Under the Act, we will generally not appoint a
creditor of a beneficiary to serve as the beneficiary's representative
payee. However, there are exceptions, such as when the creditor is a
relative living in the same household, a legal guardian, or a facility
that is licensed or certified as a care facility under the laws of a
State or political subdivision.\4\ The order of preference list does
not incorporate creditor status.
---------------------------------------------------------------------------

\2\ Available at: https://secure.ssa.gov/apps10/poms.nsf/lnx/0200501013.
\3\ Available at: https://secure.ssa.gov/apps10/poms.nsf/lnx/0200502135.
\4\ Sections 205(j)(2)(C)(i)(III) and (iii) and
1631(a)(2)(B)(iii)(III) and (v) of the Act, 42 U.S.C.
405(j)(2)(C)(i)(III) and (iii), and 1383(a)(2)(B)(iii)(III) and (v).
---------------------------------------------------------------------------

We are also seeking comment about whether our policies and controls
are sufficient to prevent an inappropriate change of payee. Under
existing policies and procedures, if we need to change a payee, we
identify a new payee using the order of preference list and our other
policies in our POMS at GN 00502.100 through GN 00502.181.\5\ We are
also attentive to any indication that an adult beneficiary no longer
needs a representative payee. If we are considering making the payee
change, we generally contact the current payee for his or her input,
unless it would be inappropriate to do so. During our contact with the
current payee, we discuss issues such as:
---------------------------------------------------------------------------

\5\ Available at: https://secure.ssa.gov/apps10/poms.nsf/subchapterlist!openview&restricttocategory=02005.
---------------------------------------------------------------------------

The payee's knowledge of the beneficiary's whereabouts and
living arrangements;
His/her reasons for wanting or not wanting to continue as
payee; and
Any information pertinent to the beneficiary's capability.
We evaluate the results obtained from the contact with the current
payee and exercise judgment when determining if we should appoint
another payee.

Request for Comments

We ask for your comments about the appropriateness of our order of
preference lists for selecting payees and the effectiveness of our
policy and operational procedures in determining when to change a
representative payee. We ask that, in preparing comments, you address
questions such as:
(1) Is the current order of preference list appropriate when
selecting or changing a representative payee?
(2) If you believe that the order of preference list is not
appropriate, what would you change about the order of preference list?
(3) Should we change how we consider public and non-profit agencies
or institutions and private, for-profit institutions in our order of
preference list?
(4) Since there are statutory provisions that generally prevent a
creditor from serving as a representative payee, should we consider
creditor status in our order of preference list? If so, how should we
consider creditor status in light of the statute?
(5) Are our policy and operational procedures effective in properly
determining whether to change a representative payee?
(6) Do we effectively determine when to change from a payee that
has a higher order of preference (such as a family member) to a payee
that has a lower order of preference (such as a creditor)?
(7) When a request to change a payee arises from someone other than
the beneficiary, do we effectively determine the need to change the
payee?
(8) What would you change about our policies and procedures to help
us determine when to change a payee?
(9) Is there any evidence of difficulty in finding suitable payees,
over time and in various circumstances? If so, how should this evidence
influence our order of preference list and our policies for changing
payees?
Please see the information under ADDRESSES earlier in this document
for methods to give us your comments. We will not respond to your
comments, but we will consider them as we review our policies and
instructions to determine if we should revise or update them.

Nancy A. Berryhill,
Acting Commissioner of Social Security.
[FR Doc. 2018-27051 Filed 12-13-18; 8:45 am]
BILLING CODE 4191-02-P

Document Created: 2018-12-14 03:50:44
Document Modified: 2018-12-14 03:50:44

Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Notices
Action		Notice; request for comments.
Dates		To ensure that your comments are considered, we must receive them no later than January 28, 2019.
Contact		Erinn Demers, Office of Income Security Programs, Social Security Administration, 6401 Security Boulevard, Baltimore, MD 21235-6401, (877) 405-3671 x23810. 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.
FR Citation		83 FR 64422