[Congressional Record Volume 165, Number 187 (Thursday, November 21, 2019)]
[Senate]
[Pages S6764-S6766]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
REPRESENTATIVE PAYEE FRAUD PREVENTION ACT OF 2019
Mrs. FISCHER. Mr. President, I ask unanimous consent that the Senate
proceed to the immediate consideration of Calendar No. 148, S. 1430.
The PRESIDING OFFICER. The clerk will report the bill by title.
[[Page S6765]]
The senior assistant legislative clerk read as follows:
A bill (S. 1430) to amend title 5, United States Code, to
prevent fraud by representative payees.
There being no objection, the Senate proceeded to consider the bill,
which had been reported from the Committee on Homeland Security and
Governmental Affairs, with amendments, as follows:
(The parts of the bill intended to be stricken are shown in boldface
brackets and the parts of the bill intended to be inserted are shown in
italics.)
S. 1430
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Representative Payee Fraud
Prevention Act of 2019''.
SEC. 2. REPRESENTATIVE PAYEE FRAUD.
(a) Definitions.--
(1) CSRS.--Section 8331 of title 5, United States Code, is
amended--
(A) in paragraph (31), by striking ``and'' at the end;
(B) in paragraph (32), by striking the period at the end
and inserting ``; and''; and
(C) by adding at the end the following:
``(33) `representative payee' means a person (including an
organization) appointed under section 8345(e)(1) to receive
payments on behalf of a minor or an individual mentally
incompetent or under other legal disability.''.
(2) FERS.--Section 8401 of title 5, United States Code, is
amended--
(A) in paragraph (37), by striking ``and'' at the end;
(B) in paragraph (38), by striking the period at the end
and inserting ``; and''; and
(C) by adding at the end the following:
``(39) `representative payee' means a person (including an
organization) appointed under section 8466(c)(1) to receive
payments on behalf of a minor or an individual mentally
incompetent or under other legal disability.''.
(b) Embezzlement or Conversion.--
(1) CSRS.--Subchapter III of chapter 83 of title 5, United
States Code, is amended by inserting after section 8345 the
following:
``Sec. 8345a. Embezzlement or conversion of payments
``(a) Embezzling and Conversion Generally.--
``(1) In general.--It shall be unlawful for a
representative payee to embezzle or in any manner convert all
or any part of the amounts received from payments received as
a representative payee to a use other than for the use and
benefit of the minor or individual on whose behalf such
payments were received.
[``(2) Revocation.--If the Office determines that a
representative payee has embezzled or converted payments as
described in paragraph (1), the Office shall promptly revoke
payments to the representative payee.]
``(2) Revocation.--If the Office determines that a
representative payee has embezzled or converted payments as
described in paragraph (1), the Office shall promptly--
``(A) revoke the certification for payment of benefits to
the representative payee; and
``(B) certify payment--
``(i) to another representative payee; or
``(ii) if the interest of the individual under this title
would be served thereby, to the individual.
``(b) Penalty.--Any person who violates subsection (a)(1)
shall be fined under title 18, imprisoned for not more than 5
years, or both.''. [more than 5 years, or both.
``(c) Prima Facie Evidence.--Any willful neglect or refusal
by a representative payee to make and file proper accountings
or reports concerning the amounts received from payments
authorized under section 8345(e) as required by law shall be
taken to be sufficient evidence prima facie of the
embezzlement or conversion of such amounts.''.]
(2) FERS.--Subchapter VI of chapter 84 of title 5, United
States Code, is amended by inserting after section 8466 the
following:
``Sec. 8466a. Embezzlement or conversion of payments
``(a) Embezzling and Conversion Generally.--
``(1) In general.--It shall be unlawful for a
representative payee to embezzle or in any manner convert all
or any part of the amounts received from payments received as
a representative payee to a use other than for the use and
benefit of the minor or individual on whose behalf such
payments were received.
[``(2) Revocation.--If the Office determines that a
representative payee has embezzled or converted payments as
described in paragraph (1), the Office shall promptly revoke
payments to the representative payee.]
``(2) Revocation.--If the Office determines that a
representative payee has embezzled or converted payments as
described in paragraph (1), the Office shall promptly--
``(A) revoke the certification for payment of benefits to
the representative payee; and
``(B) certify payment--
``(i) to another representative payee; or
``(ii) if the interest of the individual under this title
would be served thereby, to the individual.
``(b) Penalty.--Any person who violates subsection (a)(1)
shall be fined under title 18, imprisoned for not more than 5
years, or both.''. [more than 5 years, or both.
``(c) Prima Facie Evidence.--Any willful neglect or refusal
by a representative payee to make and file proper accountings
or reports concerning the amounts received from payments
authorized under section 8466(c) as required by law shall be
taken to be sufficient evidence prima facie of the
embezzlement or conversion of such amounts.''.]
(3) Technical and conforming amendments.--
(A) The table of sections for chapter 83 of title 5, United
States Code, is amended by inserting after the item relating
to section 8345 the following:
``8345a. Embezzlement or conversion of payments.''.
(B) The table of sections for chapter 84 of title 5, United
States Code, is amended by inserting after the item relating
to section 8466 the following:
``8466a. Embezzlement or conversion of payments.''.
(c) Deferral of Payment Pending Appointment of
Representative Payee.--
(1) CSRS.--Section 8345(e) of title 5, United States Code,
is amended--
(A) by inserting ``(1)'' after ``(e)'';
(B) in the first sentence, by inserting ``(including an
organization)'' after ``person'';
(C) in the second sentence--
(i) by inserting ``(including an organization)'' after
``any person''; and
(ii) by inserting ``and may appropriately receive such
payments on behalf of the claimant'' after ``claimant'' the
second place it appears; and
(D) by adding at the end the following:
``(2) If the Office determines that direct payment of a
benefit to an individual mentally incompetent or under other
legal disability would cause substantial harm to the
individual, the Office may defer or suspend direct payment of
the benefit until such time as the appointment of a
representative payee is made. The Office shall resume payment
as soon as practicable, including all amounts due.''.
(2) FERS.--Section 8466(c) of title 5, United States Code,
is amended--
(A) by inserting ``(1)'' after ``(c)'';
(B) in the first sentence, by inserting ``(including an
organization)'' after ``person'';
(C) in the second sentence--
(i) by inserting ``(including an organization)'' after
``any person''; and
(ii) by inserting ``and may appropriately receive such
payments on behalf of the claimant'' after ``claimant'' the
second place it appears; and
(D) by adding at the end the following:
``(2) If the Office determines that direct payment of a
benefit to an individual mentally incompetent or under other
legal disability would cause substantial harm to the
individual, the Office may defer or suspend direct payment of
the benefit until such time as the appointment of a
representative payee is made. The Office shall resume payment
as soon as practicable, including all amounts due.''.
(d) Limitations on Appointments of Representative Payees.--
(1) CSRS.--Section 8345 of title 5, United States Code, is
amended by inserting after subsection (e) the following:
``(f) The Office may not authorize a person to receive
payments on behalf of a minor or individual of legal
disability under subsection (e) if that person has been
convicted of a violation of--
``(1) section 8345a or 8466a;
``(2) section 208 or 1632 of the Social Security Act (42
U.S.C. 408, [and] 1383a); or
``(3) section 6101 of title 38.''.
(2) FERS.--Section 8466 of title 5, United States Code, is
amended by adding at the end the following:
``(d) The Office may not authorize a person to receive
payments on behalf of a minor or individual of legal
disability under subsection (c) if that person has been
convicted of a violation of--
``(1) section 8345a or 8466a;
``(2) section 208 or 1632 of the Social Security Act (42
U.S.C. 408, [and] 1383a); or
``(3) section 6101 of title 38.''.
SEC. 3. IMPLEMENTATION.
[(a) Authorization of Payments.--Amounts in the Civil
Service Retirement and Disability Fund may be used by the
Office of Personnel Management, without further
appropriation, for the cost of activities of the Office
relating to preventing fraud by representative payees (as
defined in section 8331 and 8401 of title 5, United States
Code, as amended by this Act).]
(a) Authorization of Payments.--Section 8348(a)(1)(B) of
title 5, United States Code, is amended by inserting ``in
administering fraud prevention under sections 8345, 8345a,
8466, and 8466a of this title,'' after ``8465(b) of this
title,''.
(b) Regulations.--Not later than 1 year after the date of
enactment of this Act, the Office of Personnel Management--
(1) shall promulgate regulations to carry out the
amendments made by [this Act] section 2; and
(2) may promulgate additional regulations relating to the
administration of the representative payee program.
SEC. 4. EFFECTIVE DATE.
The amendments made by [this Act] section 2--
(1) shall take effect on the date of the enactment of this
Act; and
(2) apply on and after the effective date of the
regulations promulgated under section 3(b)(1).
Mrs. FISCHER. Mr. President, I ask unanimous consent that the
committee-reported amendments be agreed
[[Page S6766]]
to; that the Lankford amendment at the desk be agreed to; and that the
bill, as amended, be considered read a third time and passed; and that
the motion to reconsider be considered made and laid upon the table.
The PRESIDING OFFICER. Without objection, it is so ordered.
The committee-reported amendments were agreed to.
The amendment (No. 1251) is as follows:
(Purpose: To make certain corrections)
On page 2, line 11, strike ``appointed'' and insert
``designated''.
On page 2, line 23, strike ``appointed'' and insert
``designated''.
The bill (S. 1430), as amended, was ordered to be engrossed for a
third reading, was read the third time, and passed as follows:
S. 1430
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Representative Payee Fraud
Prevention Act of 2019''.
SEC. 2. REPRESENTATIVE PAYEE FRAUD.
(a) Definitions.--
(1) CSRS.--Section 8331 of title 5, United States Code, is
amended--
(A) in paragraph (31), by striking ``and'' at the end;
(B) in paragraph (32), by striking the period at the end
and inserting ``; and''; and
(C) by adding at the end the following:
``(33) `representative payee' means a person (including an
organization) designated under section 8345(e)(1) to receive
payments on behalf of a minor or an individual mentally
incompetent or under other legal disability.''.
(2) FERS.--Section 8401 of title 5, United States Code, is
amended--
(A) in paragraph (37), by striking ``and'' at the end;
(B) in paragraph (38), by striking the period at the end
and inserting ``; and''; and
(C) by adding at the end the following:
``(39) `representative payee' means a person (including an
organization) designated under section 8466(c)(1) to receive
payments on behalf of a minor or an individual mentally
incompetent or under other legal disability.''.
(b) Embezzlement or Conversion.--
(1) CSRS.--Subchapter III of chapter 83 of title 5, United
States Code, is amended by inserting after section 8345 the
following:
``Sec. 8345a. Embezzlement or conversion of payments
``(a) Embezzling and Conversion Generally.--
``(1) In general.--It shall be unlawful for a
representative payee to embezzle or in any manner convert all
or any part of the amounts received from payments received as
a representative payee to a use other than for the use and
benefit of the minor or individual on whose behalf such
payments were received.
``(2) Revocation.--If the Office determines that a
representative payee has embezzled or converted payments as
described in paragraph (1), the Office shall promptly--
``(A) revoke the certification for payment of benefits to
the representative payee; and
``(B) certify payment--
``(i) to another representative payee; or
``(ii) if the interest of the individual under this title
would be served thereby, to the individual.
``(b) Penalty.--Any person who violates subsection (a)(1)
shall be fined under title 18, imprisoned for not more than 5
years, or both.''.''
(2) FERS.--Subchapter VI of chapter 84 of title 5, United
States Code, is amended by inserting after section 8466 the
following:
``Sec. 8466a. Embezzlement or conversion of payments
``(a) Embezzling and Conversion Generally.--
``(1) In general.--It shall be unlawful for a
representative payee to embezzle or in any manner convert all
or any part of the amounts received from payments received as
a representative payee to a use other than for the use and
benefit of the minor or individual on whose behalf such
payments were received.
``(2) Revocation.--If the Office determines that a
representative payee has embezzled or converted payments as
described in paragraph (1), the Office shall promptly--
``(A) revoke the certification for payment of benefits to
the representative payee; and
``(B) certify payment--
``(i) to another representative payee; or
``(ii) if the interest of the individual under this title
would be served thereby, to the individual.
``(b) Penalty.--Any person who violates subsection (a)(1)
shall be fined under title 18, imprisoned for not more than 5
years, or both.''.''
(3) Technical and conforming amendments.--
(A) The table of sections for chapter 83 of title 5, United
States Code, is amended by inserting after the item relating
to section 8345 the following:
``8345a. Embezzlement or conversion of payments.''.
(B) The table of sections for chapter 84 of title 5, United
States Code, is amended by inserting after the item relating
to section 8466 the following:
``8466a. Embezzlement or conversion of payments.''.
(c) Deferral of Payment Pending Appointment of
Representative Payee.--
(1) CSRS.--Section 8345(e) of title 5, United States Code,
is amended--
(A) by inserting ``(1)'' after ``(e)'';
(B) in the first sentence, by inserting ``(including an
organization)'' after ``person'';
(C) in the second sentence--
(i) by inserting ``(including an organization)'' after
``any person''; and
(ii) by inserting ``and may appropriately receive such
payments on behalf of the claimant'' after ``claimant''the
second place it appears; and
(D) by adding at the end the following:
``(2) If the Office determines that direct payment of a
benefit to an individual mentally incompetent or under other
legal disability would cause substantial harm to the
individual, the Office may defer or suspend direct payment of
the benefit until such time as the appointment of a
representative payee is made. The Office shall resume payment
as soon as practicable, including all amounts due.''.
(2) FERS.--Section 8466(c) of title 5, United States Code,
is amended--
(A) by inserting ``(1)'' after ``(c)'';
(B) in the first sentence, by inserting ``(including an
organization)'' after ``person'';
(C) in the second sentence--
(i) by inserting ``(including an organization)'' after
``any person''; and
(ii) by inserting ``and may appropriately receive such
payments on behalf of the claimant'' after ``claimant''the
second place it appears; and
(D) by adding at the end the following:
``(2) If the Office determines that direct payment of a
benefit to an individual mentally incompetent or under other
legal disability would cause substantial harm to the
individual, the Office may defer or suspend direct payment of
the benefit until such time as the appointment of a
representative payee is made. The Office shall resume payment
as soon as practicable, including all amounts due.''.
(d) Limitations on Appointments of Representative Payees.--
(1) CSRS.--Section 8345 of title 5, United States Code, is
amended by inserting after subsection (e) the following:
``(f) The Office may not authorize a person to receive
payments on behalf of a minor or individual of legal
disability under subsection (e) if that person has been
convicted of a violation of--
``(1) section 8345a or 8466a;
``(2) section 208 or 1632 of the Social Security Act (42
U.S.C. 408, 1383a); or
``(3) section 6101 of title 38.''.
(2) FERS.--Section 8466 of title 5, United States Code, is
amended by adding at the end the following:
``(d) The Office may not authorize a person to receive
payments on behalf of a minor or individual of legal
disability under subsection (c) if that person has been
convicted of a violation of--
``(1) section 8345a or 8466a;
``(2) section 208 or 1632 of the Social Security Act (42
U.S.C. 408, 1383a); or
``(3) section 6101 of title 38.''.
SEC. 3. IMPLEMENTATION.
(a) Authorization of Payments.--Section 8348(a)(1)(B) of
title 5, United States Code, is amended by inserting ``in
administering fraud prevention under sections 8345, 8345a,
8466, and 8466a of this title,'' after ``8465(b) of this
title,''.
(b) Regulations.--Not later than 1 year after the date of
enactment of this Act, the Office of Personnel Management--
(1) shall promulgate regulations to carry out the
amendments made by section 2; and
(2) may promulgate additional regulations relating to the
administration of the representative payee program.
SEC. 4. EFFECTIVE DATE.
The amendments made by section 2--
(1) shall take effect on the date of the enactment of this
Act; and
(2) apply on and after the effective date of the
regulations promulgated under section 3(b)(1).
____________________