[Federal Register Volume 73, Number 48 (Tuesday, March 11, 2008)]
[Proposed Rules]
[Pages 12923-12925]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-4781]


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SOCIAL SECURITY ADMINISTRATION

20 CFR Parts 404 and 416

[Docket No. SSA 2008-0007]
RIN 0960-AG70


Representative Payment Under Titles II, VIII and XVI of the 
Social Security Act

AGENCY: Social Security Administration.

ACTION: Notice of Proposed Rulemaking.

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SUMMARY: We propose to amend our rules governing how we investigate 
representative payee applicants. Under these proposed rules, any payee 
who has previously satisfied the payee investigation process including 
a face-to-face interview and is currently serving as a payee, need not 
appear for another face-to-face interview when making a subsequent 
application to become a payee, unless we determine, within our 
discretion, that a new face-to-face interview is necessary. This change 
would streamline our representative payee application process, thereby 
allowing payee applicants to become qualified in a shorter timeframe 
when they have already been investigated. This should expedite the 
payment of benefits in certain representative payee situations. It will 
also reduce the burden to the public and reduce traffic in our field 
offices when a payee applicant has already satisfied the face-to-face 
interview required by law.

DATES: To be sure that we consider your comments, we must receive them 
no later than May 12, 2008.

ADDRESSES: You may submit comments by one of four methods--Internet, 
facsimile, regular mail, or hand-delivery. Please do not submit the 
same comments multiple times or by more than one method. Regardless of 
which of the following methods you choose, please state that your 
comments refer to Docket No. SSA-2008-0007 to ensure that we can 
associate your comments with the correct regulation:
    1. Federal eRulemaking portal at http://www.regulations.gov. (This 
is the most expedient method for submitting your comments, and we 
strongly urge you to use it.) In the Comment or Submission section of 
the webpage, type ``SSA-2008-0007'', select ``Go'', and then click 
``Send a Comment or Submission.'' The Federal eRulemaking portal issues 
you a tracking number when you submit a comment.
    2. Telefax to (410) 966-2830.
    3. Letter to the Commissioner of Social Security, P.O. Box 17703, 
Baltimore, Maryland 21235-7703.
    4. Deliver your comments to the Office of Regulations, Social 
Security Administration, 922 Altmeyer Building, 6401 Security 
Boulevard, Baltimore, Maryland 21235-6401, between 8 a.m. and 4:30 p.m. 
on regular business days.
    All comments are posted on the Federal eRulemaking portal, although 
they may not appear for several days after receipt of the comment. You 
may also inspect the comments on regular business days by making 
arrangements with the contact person shown in this preamble.
    Caution: Our policy for comments we receive from members of the 
public is to make them available for public viewing in their entirety 
on the Federal eRulemaking portal at http://www.regulations.gov. 
Therefore, you should be careful to include in your comments only 
information that you wish to make publicly available on the Internet. 
We strongly urge you not to include any personal information, such as 
your Social Security number or medical information, in your comments.

FOR FURTHER INFORMATION CONTACT: Jerome Albanese, Office of 
Regulations, Social Security Administration, 6401 Security Boulevard, 
Baltimore, MD 21235-6401, (404) 562-1024, for information about this 
notice. 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

    Under the authority of sections 205(j), 807 and 1631(a)(2) of the 
Social Security Act (the Act), we select a representative payee for 
certain persons eligible for Social Security benefits under title II of 
Act, special veteran's benefits (SVBs) under title VIII of the Act, or 
supplemental security income under title XVI of the Act. We select a 
representative payee if we believe that payment through a payee rather 
than direct payment of benefits is in the interest of that beneficiary. 
Subpart U of part 404, subpart F of part 408, and subpart F of part 416 
of our regulations explain the procedures that we follow in determining 
whether to make representative payment and in selecting a 
representative payee under the title II, VIII and XVI programs.

[[Page 12924]]

    Based on 205(j)(2), 807(b) and 1631(a)(2)(B) of the Act, our 
current rules at Sec. Sec.  404.2024 and 416.624 require that, before 
selecting an individual or organization to act as a person's 
representative payee, we will investigate a payee applicant to 
determine the applicant's suitability. Section 408.624 adopts these 
investigatory requirements for SVBs by cross-reference to Sec.  
404.2024.
    An investigation includes, among other things, a face-to-face 
interview unless it is impracticable to do so. The Act at 
205(j)(2)(A)(i), 807(b)(1)(A) and 1631(a)(2)(B)(i)(I) states that we 
conduct a face-to-face interview with a payee applicant to the extent 
practicable. Based on this authority, our current rules at Sec. Sec.  
404.2024 and 416.624 indicate that we generally conduct a face-to-face 
interview with a payee applicant each time they file to become a payee, 
regardless of whether the payee has already satisfied the investigation 
and undergone a prior face-to-face interview.
    Our current rules at Sec. Sec.  404.2024(b) and 416.624(b) appear 
to provide only one exception to the requirement for holding a face-to-
face interview, and that is when such an interview is impracticable. 
These sections explain that a face-to-face interview is impracticable 
if conducting one would cause undue hardship, such as when a payee 
applicant would have to travel a great distance to the field office. 
Our current rules also indicate that we may decide it is impracticable 
to require subsequent face-to-face interviews for organizational payees 
that are known by our field office as suitable payees. We base this 
decision on the organization's past performance, recent contacts, and 
the organization's knowledge of and compliance with our reporting 
requirements.

Explanation of Changes

    We propose to eliminate the requirement that we conduct a face-to-
face interview before selecting an individual or organization to be a 
representative payee if we have already conducted a face-to-face with 
that payee and the payee is qualified and currently acting as a payee. 
However, we would retain discretionary authority to require a 
subsequent face-to-face interview of any payee applicant. In this 
notice of proposed rulemaking, we have proposed revisions to Sec. Sec.  
404.2024(b) and 416.624(b) that would accomplish these rule changes.
    We propose adding a new paragraph (c), ``Impracticable,'' to 
Sec. Sec.  404.2024(c) and 416.624(c). This new paragraph would contain 
the first three sentences of current Sec. Sec.  404.2024(b) and 
416.624(b), with editorial changes. We are not proposing any 
substantive changes to this text.

Clarity of These Proposed Rules

    Executive Order (E.O.) 12866, as amended, requires each agency to 
write all rules in plain language. In addition to your substantive 
comments on these final 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 
isn't 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 public comments. Until the effective 
date of any final rules, we will continue to use our current rules.

Regulatory Procedures

Executive Order 12866, as Amended

    We have consulted with the Office of Management and Budget (OMB) 
and determined that these proposed rules meet the criteria for a 
significant regulatory action under E.O. 12866, as amended. Thus, they 
were subject to OMB review.

Regulatory Flexibility Act

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

Paperwork Reduction Act

    These regulations impose no reporting or recordkeeping requirements 
subject to OMB clearance.

(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; 96-006, 
Supplemental Security Income; 96-020, Special Benefits for Certain 
World War II Veterans.)

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: March 3, 2008.
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 of the 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 continues 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.  404.2024 by revising paragraphs (a)(1) and (b) and 
by adding new paragraph (c) as follows:


Sec.  404.2024  How do we investigate a representative payee applicant?

* * * * *
    (a) * * *
    (1) Conduct a face-to-face interview with the payee applicant 
unless it is impracticable as explained in paragraph (c) of this 
section.
* * * * *
    (b) Subsequent face-to-face interviews. After holding a face-to-
face interview with a payee applicant, subsequent face-to-face 
interviews are not required if that applicant continues to be qualified 
and currently is acting as a payee, unless we determine, within our 
discretion, that a new face-to-face interview is necessary. We base 
this decision on the payee's past performance and knowledge of and 
compliance with our reporting requirements.
    (c) Impracticable. We may consider a face-to-face interview 
impracticable if it

[[Page 12925]]

would cause the payee applicant undue hardship. For example, the payee 
applicant would have to travel a great distance to the field office. In 
this situation, we may conduct the investigation to determine the payee 
applicant's suitability to serve as a representative payee without a 
face-to-face interview.

PART 416--SUPPLEMENTAL SECURITY INCOME FOR THE AGED, BLIND, AND 
DISABLED

Subpart F--[Amended]

    1. The authority citation for subpart F continues 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)).

    2. Amend Sec.  416.624 by revising paragraphs (a)(1) and (b) and by 
adding new paragraph (c) as follows:


Sec.  416.624  How do we investigate a representative payee applicant?

* * * * *
    (a) * * *
    (1) Conduct a face-to-face interview with the payee applicant 
unless it is impracticable as explained in paragraph (c) of this 
section.
* * * * *
    (b) Subsequent face-to-face interviews. After holding a face-to-
face interview with a payee applicant, subsequent face-to-face 
interviews are not required if that applicant continues to be qualified 
and currently is acting as a payee, unless we determine, within our 
discretion, that a new face-to-face interview is necessary. We base 
this decision on the payee's past performance and knowledge of and 
compliance with our reporting requirements.
    (c) Impracticable. We may consider a face-to-face interview 
impracticable if it would cause the payee applicant undue hardship. For 
example, the payee applicant would have to travel a great distance to 
the field office. In this situation, we may conduct the investigation 
to determine the payee applicant's suitability to serve as a 
representative payee without a face-to-face interview.
[FR Doc. E8-4781 Filed 3-10-08; 8:45 am]
BILLING CODE 4191-02-P