[Federal Register Volume 68, Number 241 (Tuesday, December 16, 2003)]
[Proposed Rules]
[Pages 69978-69980]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-30965]


 ========================================================================
 Proposed Rules
                                                 Federal Register
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 This section of the FEDERAL REGISTER contains notices to the public of 
 the proposed issuance of rules and regulations. The purpose of these 
 notices is to give interested persons an opportunity to participate in 
 the rule making prior to the adoption of the final rules.
 
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  Federal Register / Vol. 68, No. 241 / Tuesday, December 16, 2003 / 
Proposed Rules  

[[Page 69978]]



SOCIAL SECURITY ADMINISTRATION

20 CFR Part 422

[Regulations No. 22]
RIN 0960-AF87


Evidence Requirements for Assignment of Social Security Numbers 
(SSNs); Assignment of SSNs to Foreign Academic Students in F-1 Status

AGENCY: Social Security Administration (SSA).

ACTION: Proposed rules.

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SUMMARY: We propose to clarify our rules for assigning SSNs to foreign 
academic students in Bureau of Citizenship and Immigration Services 
(BCIS, formerly the Immigration and Naturalization Service or INS) 
classification status F-1 (referred to throughout this preamble as F-1 
students). Specifically, we propose to add additional evidentiary 
requirements for F-1 students who are applying for an SSN. In addition 
to meeting SSA's requirement to provide evidence of age, identity, 
legal alien status, and work authorization, F-1 students would also be 
required to present evidence that employment has been secured before we 
will assign the F-1 student an SSN. These rules would further enhance 
the integrity of SSA's enumeration processes for assigning SSNs by 
reducing the opportunity for fraud through misuse of SSNs.

DATES: To be sure that your comments are considered, we must receive 
them by February 17, 2004.

ADDRESSES: You may give us your comments by: using our Internet 
facility (i.e., Social Security Online) at http://policy.ssa.gov/pnpublic.nsf/LawsRegs or the Federal eRulemaking Portal: http://www.regulations.gov; email to [email protected]; telefax to (410) 
966-2830; or letter to the Commissioner of Social Security, P.O. Box 
17703, Baltimore, MD 21235-7703. You may also deliver them to the 
Office of Regulations, Social Security Administration, 100 Altmeyer 
Building, 6401 Security Boulevard, Baltimore, MD 21235-6401, between 8 
a.m. and 4:30 p.m. on regular business days. Comments are posted on our 
Internet site, or you may inspect them physically on regular business 
days by making arrangements with the contact person shown in this 
preamble.

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. It is also available on the Internet site for SSA (i.e., 
Social Security Online) at http://policy.ssa.gov/pnpublic.nsf/LawsRegs.

FOR FURTHER INFORMATION CONTACT: Robert J. Augustine, Social Insurance 
Specialist, Office of Regulations, 100 Altmeyer Building, Social 
Security Administration, 6401 Security Boulevard, Baltimore, MD 21235-
6401, (410) 965-0020, or TTY (410) 966-5609. For information on 
eligibility or filing for benefits, call our national toll-free 
numbers, 1-800-772-1213 or TTY 1-800-325-0778, or visit our Internet 
web site, Social Security Online, at http://www.socialsecurity.gov.

SUPPLEMENTARY INFORMATION:

Background

    Under section 205(c)(2)(A) of the Social Security Act (the Act), 
the Commissioner of Social Security is required to ``establish and 
maintain records of the amounts of wages paid to * * * each individual 
and of the periods in which such wages were paid * * *'' In addition, 
under section 205(c)(2)(B)(i)(I) of the Act, the Commissioner is 
required to assign Social Security numbers ``to the maximum extent 
practicable * * * to aliens at the time of their lawful admission to 
the United States either for permanent residence or under other 
authority of law permitting them to engage in employment in the United 
States and to other aliens at such time as their status is so changed 
as to make it lawful for them to engage in such employment.''

Current SSA Rules

    Our regulations at 20 CFR 422.105 currently state that a 
nonimmigrant alien whose INS Form I-94, Arrival/Departure Record, does 
not reflect a classification permitting work must submit a current 
document issued by INS that verifies authorization to work has been 
granted.
    Our regulations at 20 CFR 422.107(e) currently state that ``When a 
person who is not a U.S. citizen applies for an original social 
security number or a duplicate or corrected social security number 
card, he or she is required to submit, as evidence of alien status, a 
current document issued by the [INS] in accordance with [its] 
regulations. The document must show that the applicant has been 
lawfully admitted to the United States, either for permanent residence 
or under authority of law permitting him or her to work in the United 
States, or that the applicant's alien status has changed so that it is 
lawful for him or her to work.'' If the applicant submits a valid 
unexpired INS document(s) that shows current authorization to work, we 
will assign an SSN and issue a card that is valid for work.
    Current SSA procedures require an F-1 student who needs an SSN for 
work to present evidence of age, identity, lawful F-1 alien status, and 
work authorization. This work authorization can either be from BCIS in 
the form of an employment authorization document (EAD) or from the F-1 
student's school. In the past, when an F-1 student applied for an SSN, 
we believed that the student had a job or imminent plans to secure a 
job. However, our recent experience has shown that some F-1 students 
apply for an SSN even when there is limited or no employment available. 
F-1 students often inform us that they do not intend to work but need 
an SSN to obtain goods or services in the community.
    Additional evidence requirements for F-1 student SSN applicants are 
needed because available SSA data suggest that some F-1 students 
assigned SSNs misuse those SSNs to work illegally in the U.S. (i.e., in 
work not permitted by their classification under immigration 
regulations at 8 CFR 274a.12) or engage in other fraudulent activities. 
(See the SSA Office of the Inspector General (OIG) study, ``Using 
Social Security Numbers To Commit Fraud'' (A-08-99-42002, May 1999) at 
http://www.ssa.gov/oig/ADOBEPDF/A-08-99-42002.pdf).
    Wages have been reported to us for F-1 students who have been 
engaged in

[[Page 69979]]

off-campus employment without proper authorization from their schools 
or BCIS. SSN misuse can impact society in the form of illegal 
employment in the U.S., fraudulent entitlement to Federal and State 
benefits and services, and other types of illegal activity such as bank 
and credit card fraud and identity theft.
    In order to strengthen the security of the enumeration process, we 
propose to require additional evidence from F-1 students before we will 
assign SSNs to them.

Explanation of Additional Evidentiary Requirements

422.105 Presumption of Authority of Nonimmigrant Alien To Accept 
Employment

    We propose to revise Sec.  422.105 to state that, unless the F-1 
student has an employment authorization document issued by BCIS, the F-
1 student applicant must provide additional documentation that confirms 
both that he or she has authorization from the school to engage in 
employment and has secured authorized employment. (As of March 1, 2003, 
INS's benefit functions became part of the BCIS in the Department of 
Homeland Security.) We understand from discussions with BCIS officials 
that they support our plans to assign SSNs only to those F-1 students 
who have secured a job. The proposed revision includes a cross-
reference to Sec.  422.107(e)(2), where the specific evidence 
requirements will be explained.

422.107 Evidence Requirements

    We propose to revise paragraph (e) of Sec.  422.107 of our 
regulations by redesignating paragraph (e) as paragraph (e)(1) and 
adding a new paragraph (e)(2) to specify that if an F-1 student does 
not have an employment authorization document, the F-1 student must 
provide documentation of both work authorization and employment before 
we will assign an SSN to the student. First, the F-1 student would need 
to provide documentation from the school that he or she will be 
engaging in authorized employment. Under this clarification of our 
policy, we would not assign an SSN to the F-1 student unless the 
student provides a Form I-20, Certificate of Eligibility for 
Nonimmigrant (F-1) Status, and provides written confirmation from the 
designated school official (DSO) of (1) the nature of the employment 
the F-1 student is or will be engaged in and (2) the identification of 
the employer for whom the F-1 student is or will be working.
    Second, we also propose to require that the F-1 student provide us 
with documentation that he or she is engaged in or has secured 
employment, e.g., a statement from the F-1 student's employer.
    By adding these additional evidentiary requirements, we believe 
there will be fewer opportunities for abuse of the enumeration process 
without having any adverse effects on F-1 students who need to work 
while they are in the U.S. The additional documentation we would 
require should be readily available.

Clarity of These Regulations

    Executive Order 12866, as amended by Executive Order 13258, 
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 these rules easier to understand. For example:
    [sbull] Have we organized the material to suit your needs?
    [sbull] Are the requirements in the rules clearly stated?
    [sbull] Do the rules contain technical language or jargon that is 
unclear?
    [sbull] Would a different format (grouping and order of sections, 
use of headings, paragraphing) make the rules easier to understand?
    [sbull] Would more (but shorter) sections be better?
    [sbull] Could we improve clarity by adding tables, lists or 
diagrams?
    [sbull] What else could we do to make the rules easier to 
understand?

Regulatory Procedures

Executive Order 12866, as Amended by Executive Order 13258

    The Office of Management and Budget (OMB) has reviewed these 
proposed rules in accordance with Executive Order 12866, as amended by 
Executive Order 13258.

Regulatory Flexibility Act

    We certify that these proposed rules will not have a significant 
economic impact on a substantial number of small entities because they 
would affect only individuals. Thus, a regulatory flexibility analysis 
as provided in the Regulatory Flexibility Act, as amended, is not 
required.

Federalism

    We have reviewed these proposed rules under the threshold criteria 
of Executive Order 13132 and have determined that they would not have 
substantial direct effects on the States, on the relationship between 
the national government and the States, or on the distribution of power 
and responsibilities among the various levels of government. There may 
be some minimal impact on those States whose academic institutions have 
not developed an alternative method in their record-keeping systems for 
identifying F-1 students not eligible for SSNs. There may also be some 
minimal impact on States whose academic institutions may be an F-1 
student's employer.

Paperwork Reduction Act

    These proposed rules contain reporting requirements as shown in the 
table below. Where the public reporting burden is accounted for in 
Information Collection Requests for the various forms that the public 
uses to submit the information to SSA, a 1-hour placeholder burden is 
being assigned to the specific reporting requirement(s) contained in 
these rules; we are seeking clearance of these burdens because they 
were not considered during the clearance of the forms.

----------------------------------------------------------------------------------------------------------------
                                                     Number of     Frequency of   Average burden     Estimated
                  CFR citation                      respondents      response      per response    annual burden
----------------------------------------------------------------------------------------------------------------
422.105(a); 422.107.............................               1               1               1               1
422.105(b)......................................         125,000               1        1 minute     2,083 hours
----------------------------------------------------------------------------------------------------------------

    An Information Collection Request has been submitted to OMB for 
clearance. We are soliciting comments on the burden estimate; the need 
for the information; its practical utility; ways to enhance its 
quality, utility and clarity; and on ways to minimize the burden on 
respondents, including the use of automated collection techniques or 
other forms of information technology. Comments should be submitted to 
the Office of Management and Budget at the following fax number and to 
the Social Security Administration at the following address or fax 
number:

[[Page 69980]]

    Office of Management and Budget, Attn: Desk Officer for SSA, Fax 
Number: 202-395-6974.
    Social Security Administration, Attn: SSA Reports Clearance 
Officer, 1338 Annex Building, 6401 Security Boulevard, Baltimore, MD 
21235-6401, Fax Number: 410-965-6400.
    Comments can be received for between 30 and 60 days after 
publication of this notice and will be most useful if received by SSA 
within 30 days of publication.

(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)

List of Subjects in 20 CFR Part 422

    Administrative practice and procedure, Organization and functions 
(Government agencies), Reporting and recordkeeping requirements, Social 
Security.

    Dated: November 13, 2003.
Jo Anne B. Barnhart,
Commissioner of Social Security.

    For the reasons set forth in the preamble, we propose to amend part 
422, subpart B, chapter III of title 20, Code of Federal Regulations as 
follows:

PART 422--ORGANIZATION AND PROCEDURES

Subpart B--[Amended]

    1. The authority citation for subpart B of part 422 continues to 
read as follows:

    Authority: Secs. 205, 232, 702(a)(5), 1131, and 1143 of the 
Social Security Act (42 U.S.C. 405, 432, 902(a)(5), 1320b-1, and 
1320b-13).

    2. Section 422.105 is revised to read as follows:


Sec.  422.105  Presumption of authority of nonimmigrant alien to engage 
in employment.

    (a) General rule. Except as provided in paragraph (b) of this 
section, if you are a nonimmigrant alien, we will presume that you have 
permission to engage in employment if you present a Form I-94 issued by 
the Bureau of Citizenship and Immigration Services that reflects a 
classification permitting work. (See 8 CFR 274a.12 for Form I-94 
classifications.) If you have not been issued a Form I-94, or if your 
Form I-94 does not reflect a classification permitting work, you must 
submit a current document authorized by the Bureau of Citizenship and 
Immigration Services that verifies authorization to work has been 
granted, e.g., an employment authorization document, to enable SSA to 
issue an SSN card that is valid for work.
    (b) Exception to presumption for foreign academic students in 
Bureau of Citizenship and Immigration Services classification status F-
1. If you are an F-1 student and do not have a separate Bureau of 
Citizenship and Immigration Services employment authorization document 
as described in paragraph (a) of this section, we will not presume you 
have authority to engage in employment without additional evidence. 
Before we will assign an SSN to you that is valid for work, you must 
give us proof (as explained in Sec.  422.107(e)(2)) that:
    (1) You have authorization from your school to engage in 
employment, and
    (2) You are engaging in, or have secured, employment.
    3. Section 422.107 is amended by redesignating paragraph (e) as 
paragraph (e)(1), adding a heading for paragraph (e)(1), and adding a 
new paragraph (e)(2) to read as follows:


Sec.  422.107  Evidence requirements.

* * * * *
    (e) Evidence of alien status. (1) General evidence rules. * * *
    (2) Additional evidence rules for F-1 students. (i) Evidence from 
your designated school official. If you are an F-1 student, you must 
give us documentation from your designated school official that you are 
authorized to engage in employment. You must submit your Form I-20, the 
Certificate of Eligibility for Nonimmigrant (F-1) Status. You must also 
submit documentation from your designated school official that 
includes:
    (A) The nature of the employment you are or will be engaged in, and
    (B) The identification of the employer for whom you are or will be 
working.
    (ii) Evidence of your employment. You must also provide us with 
documentation that you are engaging in, or have secured employment; 
e.g., a statement from your employer.
* * * * *
[FR Doc. 03-30965 Filed 12-15-03; 8:45 am]
BILLING CODE 4191-02-P