Advance Designation of Representative Payees for Social Security Beneficiaries, 7661-7665 [2020-02409]
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Federal Register / Vol. 85, No. 28 / Tuesday, February 11, 2020 / Rules and Regulations
(c) Applicability
This AD applies to all Airbus SAS
airplanes, certificated in any category,
identified in paragraphs (c)(1) through (5) of
this AD.
(1) Model A300 B4–601, B4–603, B4–620,
and B4–622 airplanes.
(2) Model A300 B4–605R and B4–622R
airplanes.
(3) Model A300 F4–605R and F4–622R
airplanes.
(4) Model A300 C4–605R Variant F
airplanes.
(5) Model A310–304, –322, –324, and –325
airplanes.
(d) Subject
Air Transport Association (ATA) of
America Code 28, Fuel.
(e) Unsafe Condition
This AD was prompted by the FAA’s
analysis of fuel system reviews on the
affected airplanes conducted by the
manufacturer. The FAA is issuing this AD to
prevent ignition sources inside the center
fuel tank, which, in combination with
flammable fuel vapors, could result in a fuel
tank explosion and consequent loss of the
airplane.
(f) Compliance
Comply with this AD within the
compliance times specified, unless already
done.
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(g) Modification
Within 72 months after the effective date
of this AD, modify the fuel quantity
indicating system (FQIS) to prevent
development of an ignition source inside the
center fuel tank due to electrical fault
conditions, using a method approved by the
Manager, International Section, Transport
Standards Branch, FAA.
(h) Alternative Actions for Cargo Airplanes
For airplanes used exclusively for cargo
operations: As an alternative to the
requirements of paragraph (g) of this AD, do
the actions specified in paragraphs (h)(1) and
(h)(2) of this AD. To exercise this alternative,
operators must perform the first inspection
required under paragraph (h)(1) of this AD
within 6 months after the effective date of
this AD. To exercise this alternative for
airplanes returned to service after conversion
of the airplane from a passenger
configuration to an all-cargo configuration
more than 6 months after the effective date
of this AD, operators must perform the first
inspection required under paragraph (h)(1) of
this AD prior to further flight after the
conversion.
(1) Within 6 months after the effective date
of this AD, record the existing fault codes
stored in the fuel quantity indicating (FQI)
computer, and before further flight thereafter,
do a BITE check (check of built-in test
equipment) of the FQI computer, using a
method approved by the Manager,
International Section, Transport Standards
Branch, FAA. If any fault code is recorded
prior to the BITE check or as a result of the
BITE check, before further flight, do all
applicable repairs and repeat the BITE check
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until a successful test is performed with no
fault found, using a method approved by the
Manager, International Section, Transport
Standards Branch, FAA. Repeat these actions
thereafter at intervals not to exceed 750 flight
hours. Modification as specified in paragraph
(h)(2) of this AD does not terminate the
repetitive BITE check requirement of this
paragraph.
(2) Within 72 months after the effective
date of this AD, modify the airplane by
separating FQIS wiring that runs between the
FQI computer and the center fuel tank wall
penetrations, including any circuits that
might pass through a main fuel tank, from
other airplane wiring that is not intrinsically
safe, using methods approved by the
Manager, International Section, Transport
Standards Branch, FAA.
(i) Alternative Methods of Compliance
(AMOCs)
(1) The Manager, International Section,
Transport Standards Branch, FAA, has the
authority to approve AMOCs for this AD, if
requested using the procedures found in 14
CFR 39.19. In accordance with 14 CFR 39.19,
send your request to your principal inspector
or local Flight Standards District Office, as
appropriate. If sending information directly
to the manager of the International Section,
send it to the attention of the person
identified in paragraph (j) of this AD.
(2) Before using any approved AMOC,
notify your appropriate principal inspector,
or lacking a principal inspector, the manager
of the local flight standards district office/
certificate holding district office.
(j) Related Information
For more information about this AD,
contact Dan Rodina, Aerospace Engineer,
International Section, Transport Standards
Branch, FAA, 2200 South 216th St., Des
Moines, WA 98198; telephone and fax 206–
231–3225.
(k) Material Incorporated by Reference
None.
Issued on January 31, 2020.
Michael Kaszycki,
Acting Director, System Oversight Division,
Aircraft Certification Service.
[FR Doc. 2020–02512 Filed 2–10–20; 8:45 am]
BILLING CODE 4910–13–P
SOCIAL SECURITY ADMINISTRATION
20 CFR Parts 404, 408, and 416
[Docket No. SSA–2018–0028]
RIN 0960–AI33
Advance Designation of
Representative Payees for Social
Security Beneficiaries
Social Security Administration.
ACTION: Final rule.
AGENCY:
We are finalizing our
proposed regulations specifying the
information Social Security
SUMMARY:
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7661
beneficiaries and applicants must
provide to designate individuals as their
possible representative payee in
advance of our determination that the
beneficiary needs a representative
payee. These regulations additionally
set forth how we will consider an
individual’s advance designation when
we select a representative payee, and
fulfill our obligation under 201 of the
Strengthening Protections for Social
Security Beneficiaries Act of 2018.
DATES: This final rule is effective
February 25, 2020.
FOR FURTHER INFORMATION CONTACT:
Peter Smith, Office of Income Security
Programs, Social Security
Administration, 6401 Security
Boulevard, Baltimore, MD 21235–6401,
(410) 966–3235. 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 https://www.socialsecurity.gov.
SUPPLEMENTARY INFORMATION:
Background
A representative payee is a person or
organization that we select to receive
and manage Social Security benefits,
special veterans benefits, and
Supplemental Security Income (SSI)
payments on behalf of a beneficiary.
Generally, beneficiaries have the right to
receive their benefits directly and
manage them independently. However,
we may determine that a beneficiary is
unable to manage or direct the
management of benefit payments
because of the beneficiary’s mental or
physical condition, or because of the
beneficiary’s youth.1 In these cases, we
appoint a representative payee when we
believe it will serve the beneficiary’s
interest to receive benefits through a
representative payee instead of
receiving them directly.2
On April 13, 2018, President Trump
signed into law the Strengthening
Protections for Social Security
Beneficiaries Act of 2018 (Strengthening
Protections Act).3 Section 201 of the
Strengthening Protections Act, entitled
‘‘Advance Designation of Representative
Payees,’’ amended section 205(j)(1) of
the Social Security Act 4 to allow for
advance designation of representative
payees. It also required us to promulgate
regulations specifying the information
1 See 42 U.S.C. 405(j)(1), 807(a), 1383(a)(2)(A)(ii);
20 CFR 404.2001(b), 408.601(b), 416.601(b).
2 See 20 CFR 404.2001(a), 20 CFR 408.601(a), and
20 CFR 416.601(a).
3 Public Law 115–165, 132 Stat. 1257. Available
at: https://www.congress.gov/115/plaws/publ165/
PLAW–115publ165.pdf.
4 42 U.S.C. 405(j)(1).
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that an individual must provide to
designate a representative payee in
advance.
To help us develop the information
that we need, we hosted a National
Disability Forum (NDF) on Advance
Designation of Representative Payees on
October 30, 2018 5, at which we
received feedback from panelists with
experience in fields relevant to our
representative payee program.
Following the NDF and taking the
feedback we received into
consideration, we published a Notice of
Proposed Rulemaking (NPRM) in the
Federal Register on November 26,
2019.6 In the NPRM, we proposed that
applicants or beneficiaries may
designate one or more potential
representative payees, provided that we
have not determined the applicant or
beneficiary to be mentally or physically
incapable of managing benefit
payments, or that the applicant or
beneficiary has not been found legally
incompetent. Consistent with the
Strengthening Protections Act, we
proposed to permit advance
designations of individuals only, not
organizations.7
We proposed that eligible individuals
may designate potential representative
payees in advance by providing us with
the information we require. This
required information includes the name
and telephone number of each advance
designee and the priority order in which
the individual would like us to consider
the advance designees, if more than one
is designated. We noted that current
systems limitations allow us to receive
up to three advance designations. We
also proposed to consider advance
designees first when selecting a
representative payee. When we
determine that a representative payee is
necessary,8 we would first review the
advance designees previously identified
by the individual (if any), in the order
of priority established by the individual.
Finally, we proposed that individuals
who are eligible to make advance
designations may withdraw or revise
their advance designations at any time,
provided that at the time of
modification they are still eligible to
make advanced designations.
Individuals could withdraw or revise
their advance designations by informing
us of the change in writing, in person,
5 Information related to this NDF is available on
our internet site at https://www.ssa.gov/ndf/ndf_
outreach.htm, under the October 30, 2018 tab.
6 84 FR 65040.
7 See section 205(j)(1)(C)(ii) of the Act, as
amended by the section 201(a) of the Strengthening
Protections Act, 42 U.S.C. 405(j)(1)(C)(ii).
8 See 20 CFR 404.2010 and 416.610 for when we
will make payment to a representative payee.
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by telephone, or by direct electronic
submission through our website. We
also proposed that individuals who
wish to revise their advance
designations must provide the required
information for any newly designated
individuals.
In response to the NPRM, we received
four timely proffered comment
submissions. Below, we did not
summarize or respond to one comment
that was outside the scope of the
proposed rule, and one comment that
agreed with the proposal and did not
suggest any changes. All comments are
viewable through the eRulemaking
docket, available online at
www.regulations.gov, docket number
SSA–2018–0028.
Public Comments and Discussion
Comment: One commenter suggested
that to assess the suitability of a person
whom a beneficiary wishes to advance
designate, including any risk of
coercion, undue influence, or
exploitation, we should interview
proposed advance designees in person
and in the company of the beneficiary.
If an in-person interview is not possible,
the commenter suggested that
interviews could take place by video or
phone.
Response: The commenter is asking
that we use different procedures for
representative payees who are advanced
designated than for any other applicants
we are considering for representative
payee appointment. This would be
unnecessary and would establish a
disparate standard. In response to the
commenter’s concern that we ensure the
potential representative payee is
appropriate, we reiterate that we will
not appoint someone to be a
representative payee solely because the
individual designated them in advance.
As stated in the NPRM, all advance
designees will undergo the same
procedures as anyone else under
consideration to be a representative
payee.
For example, we interview payee
applicants as part of our normal
selection procedures.9 These same
selection procedures will apply when
we evaluate an advance designee at the
time that a representative payee is
needed. We conduct interviews in
person, except under certain
circumstances. In those situations where
we do not conduct an in-person
interview, we generally require one by
phone or videoconference. However, we
9 See 20 CFR 404.2024, 408.624, 416.624 for how
we investigate a representative payee applicant,
including when we conduct a face-to-face interview
with the payee applicant.
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do not require that the payee applicant
interview occur in the company of the
beneficiary. Under existing regulations,
beneficiaries receive advance notice of
payee appointments and are afforded
the right to appeal the selection.10
Additionally, the payee applicant’s
responses during the interview are given
under penalty of perjury.
Comment: One commenter
recommended that before appointing an
advance designee as a representative
payee, we should confirm the
beneficiary still prefers the advance
designee to serve as representative
payee.
Response: Before appointing any
representative payee, we always provide
advance notice to the beneficiary
notifying him or her of the need for a
payee and identifying the payee. The
advance notice also provides the
beneficiary with the right to appeal the
selection. Additionally, once advance
designation begins, we will send a
notice annually to beneficiaries who
have advance designations on record
reminding them of their advance
designees. The notice will instruct the
beneficiary to review the advance
designees to confirm the accuracy of the
information and to update the
information as necessary. So, the
information in a beneficiary’s advance
designation will be relatively recent
regardless of when the beneficiary
initially submitted the advance
designation.
Comment: One commenter suggested
that our field office staff should fully
document reasons for a determination
not to select an advance designee.
Response: Under existing procedure,
whenever we do not select a payee
applicant, we document the nonselection reason in our electronic
Representative Payee System (eRPS)
(OMB No. 0960–0814). We will include
an option in the eRPS system to
annotate advance designee status for the
payee applicant. We are also building
functionality in the system’s new
Advance Designation screens to
document the contacts made with
advance designees and why we did not
select an advance designee. Our
program instructions will direct staff to
include notes explaining the decision
any time an advance designee is not
selected as payee.
Comment: One commenter
recommended that we should annually
notify the beneficiary to remind them of
advance designees and ask for any
updates or changes to their contact
information.
10 20
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CFR 404.2030, 408.630, 416.630.
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Response: This will be part of our
process, as we explained in the NPRM.
Section 201(d) of the Strengthening
Protections Act requires that annually
‘‘the Commissioner of Social Security
shall notify each individual entitled to
a benefit under title II, VIII, or XVI of
the Social Security Act of the name of
any individual designated to serve as
the individual’s representative
payee. . . .’’ So, we will send a notice
annually to beneficiaries reminding
them of their advance designees. The
notice will instruct the beneficiary to
review the accuracy of the advance
designee information and to update the
information if necessary.
Comment: One commenter suggested
that when a beneficiary designates an
individual, we should provide notice of
the designation to the advance designee.
Response: We considered whether to
notify individuals who are advance
designated at the time that the advance
designation occurs. We decided against
this action because the burden on the
public and us outweighed the benefit of
notifying individuals that they had been
advance designated, because a designee
may never be called upon to serve as a
payee. At the time that we determine
that a beneficiary is incapable and we
begin development of a payee, we will
contact the advance designee to
determine the person’s availability,
willingness, and suitability to serve as a
payee.
Comment: One commenter suggested
that the information we are proposing to
collect might not be enough to identify
the advance designees and that we
should consider collecting more
information, including date of birth and
current address.11
Response: We considered whether to
collect additional information about the
advance designees, but we determined
that their names and telephone numbers
are sufficient to contact the advance
designee. We also considered whether
to collect advance designees’ current
addresses; however, our process for
contacting advance designees will only
include contacting them by telephone. If
an advance designee is unreachable by
telephone, we will contact the
beneficiary to obtain updated contact
information for the individual.
The commenter noted that a long time
may have passed between the time the
the beneficiary originally makes the
advance designation and when we
attempt to contact the advance designee.
For this reason, we will send a notice
11 The information we proposed to collect in the
NPRM included the name and telephone number of
each advance designee and the priority order in
which the individual would like us to consider the
advance designees, if more than one are designated.
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annually to beneficiaries who have
made advance designations reminding
them of their advance designees. The
notice will instruct the beneficiary to
review the advance designees to assess
the accuracy of the information
provided and to update the information
if necessary. We will not collect an
advance designee’s date of birth at the
time of advance designation because
this information is unnecessary. Once
we determine that a beneficiary is
incapable and we need to appoint a
payee, we will confirm the identity of
the advance designee as part of our
normal payee development procedures.
Comment: One commenter suggested
that we communicate the option of
advance designation to current
beneficiaries.
Response: We agree with this
suggestion. The agency is developing
marketing tools and external
communication plans to create a broad
awareness of advance designation
procedures.
Regulatory Procedures
We follow the Administrative
Procedure Act (APA) rulemaking
procedures specified in 5 U.S.C. 553 in
promulgating regulations. Section
702(a)(5) of the Social Security Act, 42
U.S.C. 902(a)(5). Generally, final rules
become effective 30 days following their
publication in the Federal Register.
However, the APA provides exceptions
to allow for earlier effective dates
including ‘‘as otherwise provided by the
agency for good cause found and
published with the rule’’ 5 U.S.C.
553(d)(3).
We determined that good cause exists
for dispensing with the 30-day delay in
the effective date of this final rule. This
final rule merely codifies a statutory
directive which the agency is required
by law to begin by April 2020. As well,
the public comments did not raise any
novel issues or concerns. We therefore
find it is in the public interest to make
this final rule effective 14 days after its
publication in the Federal Register.
Executive Order 12866, as
Supplemented by Executive Order
13563
We consulted with the Office of
Management and Budget (OMB) and
OMB determined that this final rule
does not meet the criteria for a
significant regulatory action under
Executive Order 12866, as
supplemented by Executive Order
13563. Thus, OMB did not formally
review this final rule.
We also determined that this final
rule meets the plain language
requirement of Executive Order 12866.
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Executive Order 13132 (Federalism)
We analyzed this final rule in
accordance with the principles and
criteria established by Executive Order
13132, and determined that the final
rule will not have sufficient Federalism
implications to warrant the preparation
of a Federalism assessment. We also
determined that this final rule would
not preempt any State law or State
regulation or affect the States’ abilities
to discharge traditional State
governmental functions.
Regulatory Flexibility Act
We certify that this final rule will not
have a significant economic impact on
a substantial number of small entities
because they affect only individuals.
Therefore, the Regulatory Flexibility
Act, as amended, does not require us to
prepare a regulatory flexibility analysis.
E.O. 13771
This final rule is not subject to the
requirements of Executive Order 13771
because it is not a significant regulatory
action under E.O. 12866.
Anticipated Costs to Our Programs
Our Office of the Chief Actuary
estimates that implementing this final
rule will result in a very small increase
in program costs for the Social Security
and Supplemental Security Income
programs over the 10-year period 2020
through 2029.
Anticipated Administrative Costs to
SSA
Our Office of Budget, Finance, and
Management estimates that this change
will result in administrative costs to the
agency of approximately $275 million
over 10 years, with none of the annual
costs meeting or exceeding the E.O.
12866 ‘‘economically significant’’
threshold of $100 million. The
administrative estimates comprise the
costs for creating and running the online
application; field office interviews;
employee processing time; and sending
annual mailers.
Congressional Review Act (CRA)
Pursuant to the Congressional Review
Act (5 U.S.C. 801, et seq.), the Office of
Information and Regulatory Affairs
designated this rule as not a ‘‘major
rule,’’ as defined by 5 U.S.C. 804(2).
Paperwork Reduction Act (PRA)
Section 404.2018 of this final rule
imposes a new public reporting burden:
the requirement for affected members of
the public to use our prescribed paper
form or online application to submit the
names and telephone numbers of
advance designees. We previously
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solicited comment on these proposed
information collection instruments via a
notice published in the Federal
Register.12 In response to that notice,
several members of the public submitted
comments. We previously provided a
document detailing these comments, as
well as our responses, in the rulemaking
docket on Regulations.gov under
Supporting and Related Material for this
rule’s NPRM.
We did not change the proposed
Information Collection Request (ICR)
originally shared with the publication of
the above-referenced standalone Federal
Register notice. However, we again
solicited comment on the proposed ICR
for section 404.2018 as part of the
NPRM. We did not receive any further
comments or requests for information
relating to the PRA in response to that
solicitation of comment, and we are not
making any further changes to this ICR
now. Accordingly, OMB pre-approved
the ICR under OMB number No. 0960–
0814. This approval will be considered
final when this final rule becomes
effective.
(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 408
Administrative practice and
procedure; Reporting and recordkeeping
requirements; Social security;
Supplemental Security Income (SSI),
Veterans.
20 CFR Part 416
Administrative practice and
procedure; Reporting and recordkeeping
requirements; Social security;
Supplemental Security Income (SSI).
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Dated: January 31, 2020.
Andrew Saul,
Commissioner of Social Security.
For the reasons stated in the
preamble, we are amending subpart U of
part 404, subpart F of part 408, and
subpart F of part 416 of title 20 of the
Code of Federal Regulations as set forth
below:
12 84
FR 40121 (August 13, 2019).
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PART 404—FEDERAL OLD–AGE,
SURVIVORS AND DISABILITY
INSURANCE (1950-)
1. The authority citation for subpart U
of part 404 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. Add section § 404.2018 to read as
follows:
■
§ 404.2018 Advance designation of
representative payees
(a) General. An individual who:
(1) Is entitled to or an applicant for a
benefit and;
(2) Has attained 18 years of age or is
an emancipated minor, may designate in
advance one or more individuals to
possibly serve as a representative payee
for the individual if we determine that
payment will be made to a
representative payee (see § 404.2010(a)).
An individual may not designate in
advance possible representative payees
if we have information that the
individual is either-legally incompetent
or mentally incapable of managing his
or her benefit payments; or physically
incapable of managing or directing the
management of his or her benefit
payments.
(b) How to designate possible
representative payees in advance.
Individuals who meet the requirements
in paragraph (a) of this section may
designate in advance their choice(s) for
possible representative payees by
indicating their decision to designate a
representative payee in advance and
providing us with the required
information. In addition to the required
information, an individual may choose
to provide us with the relationship of
the advance designee(s) to the
individual. The information we require
before we will consider an advance
designee as a possible representative
payee is:
(1) The name of the advance designee,
(2) A telephone number of the
advance designee, and
(3) The order of priority in which the
individual would like us to consider the
advance designees, if he or she
designates more than one advance
designee.
(c) How to make changes to advance
designation. Individuals who meet the
requirements in paragraph (a) of this
section may change their advance
designees by informing us of the change
and providing the required information
(see paragraphs (b)(1) through (3) of this
section) to us. Individuals who meet the
requirements in paragraph (a) of this
section may withdraw their advance
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designation by informing us of the
withdrawal.
(d) How we consider advance
designation when we select a
representative payee. (1) If we
determine that payment will be made to
a representative payee, we will review
an individual’s advance designees in the
order listed by the individual and select
the first advance designee who meets
the criteria for selection. To meet the
criteria for selection—
(i) The advance designee must be
willing and able to serve as a
representative payee,
(ii) Appointment of the advance
designee must comply with the
requirements in section 205(j)(2) of the
Social Security Act, and
(iii) There must be no other good
cause (see §§ 404.2020 and 404.2021) to
prevent us from selecting the advance
designee.
(2) If none of the advance designees
meet the criteria for selection, we will
use our list of categories of preferred
payees (see § 404.2021), along with our
other regulations in subpart U of this
part, as a guide to select a suitable
representative payee.
(e) How we consider advance
designation when we select a
subsequent representative payee. If an
individual who currently has a
representative payee requires a change
of representative payee, we will
consider any other designees identified
by the individual at a time in which that
individual was eligible to make an
advanced designation, under paragraph
(d) of this section.
(f) Organizations. An individual may
not designate in advance an
organization to serve as his or her
possible representative payee.
■ 3. Amend § 404.2020 by revising
paragraphs (e) and (f) and adding
paragraph (g) to read as follows:
§ 404.2020 Information considered in
selecting a representative payee
*
*
*
*
*
(e) Whether the potential payee is in
a position to know of and look after the
needs of the beneficiary;
(f) The potential payee’s criminal
history; and
(g) Whether the beneficiary made an
advance designation (see § 404.2018).
■ 4. Amend § 404.2021 by revising the
introductory text to read as follows:
§ 404.2021 What is our order of preference
in selecting a representative payee for you?
As a guide in selecting a
representative payee, we have
established categories of preferred
payees. These preferences are flexible.
We will consider an individual’s
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advance designee(s) (see § 404.2018)
before we consider other potential
representative payees in the categories
of preferred payees listed in this section.
When we select a representative payee,
we will choose the designee of the
beneficiary’s highest priority, provided
that the designee is willing and able to
serve, is not prohibited from serving
(see § 404.2022), and supports the best
interest of the beneficiary (see
§ 404.2020). The preferences are:
*
*
*
*
*
PART 408—SPECIAL BENEFITS FOR
CERTAIN WORLD WAR II VETERANS
5. The authority citation for subpart F
of part 408 is revised to read as follows:
■
Authority: Secs. 205(j)(1)(C), 702(a)(5),
807, and 810 of the Social Security Act (42
U.S.C. 405(j)(1)(C), 902(a)(5), 1007, and
1010).
6. Add § 408.618 to subpart F to read
as follows:
■
§ 408.618 Advance designation of
representative payees.
For information about advance
designation, how to designate
representative payees in advance, how
to make changes to advance
designations, how we consider an
advance designation when we select a
representative payee, how we consider
an advance designation when we select
a subsequent representative payee, and
other relevant information, see
§§ 404.2018, 404.2020, and 404.2021 of
this chapter.
PART 416—SUPPLEMENTAL
SECURITY INCOME FOR THE AGED,
BLIND, AND DISABLED
7. The authority citation for subpart F
of part 416 is revised to read as follows:
■
Authority: Secs. 205(j)(1)(C), 702(a)(5),
1631(a)(2) and (d)(1) of the Social Security
Act (42 U.S.C. 405(j)(1)(C), 902(a)(5),
1383(a)(2) and (d)(1)).
8. Add § 416.618 to subpart F to read
as follows:
■
khammond on DSKJM1Z7X2PROD with RULES
§ 416.618 Advance designation of
representative payees
(a) General. An individual who:
(1) Is eligible for or an applicant for
a benefit; and
(2) Has attained 18 years of age or is
an emancipated minor, may designate in
advance one or more individuals to
possibly serve as a representative payee
for the individual if we determine that
payment will be made to a
representative payee (see § 416.610(a)).
VerDate Sep<11>2014
15:44 Feb 10, 2020
Jkt 250001
An individual may not designate in
advance possible representative payees
if we have information that the
individual is either legally incompetent
or mentally incapable of managing his
or her benefit payments; or physically
incapable of managing or directing the
management of his or her benefit
payments.
(b) How to designate possible
representative payees in advance.
Individuals who meet the requirements
in paragraph (a) of this section may
designate in advance their choice(s) for
possible representative payees by
indicating their decision to designate a
representative payee in advance and
providing us with the required
information. In addition to the required
information, an individual may choose
to provide us with the relationship of
the advance designee to the individual.
The information we require before we
will consider an advance designee as a
possible representative payee is:
(1) The name of the advance designee,
(2) A telephone number of the
advance designee, and
(3) The order of priority in which the
individual would like us to consider the
advance designees if he or she
designates more than one advance
designee.
(c) How to make changes to advance
designation. Individuals who meet the
requirements in paragraph (a) of this
section may change their advance
designees by informing us of the change
and providing the required information
(see paragraphs (b)(1) through (3) of this
section) to us. Individuals who meet the
requirements in paragraph (a) of this
section may withdraw their advance
designation by informing us of the
withdrawal.
(d) How we consider advance
designation when we select a
representative payee. (1) If we
determine that payment will be made to
a representative payee, we will review
advance designees in the order listed by
the individual and select the first
advance designee who meets the criteria
for selection. To meet the criteria for
selection—
(i) The advance designee must be
willing and able to serve as a
representative payee,
(ii) Appointment of the advance
designee must comply with the
requirements in section 205(j)(2) of the
Social Security Act, and
PO 00000
Frm 00013
Fmt 4700
Sfmt 4700
7665
(iii)There must be no other good cause
(see §§ 416.620 and 416.621) to prevent
us from selecting the advance designee.
(2) If none of the advance designees
meet the criteria for selection, we will
use our list of categories of preferred
payees (see § 416.621), along with our
other regulations in subpart F of this
part, as a guide to select a suitable
representative payee.
(e) How we consider advance
designation when we select a
subsequent representative payee. If an
individual who currently has a
representative payee requires a change
of representative payee, we will
consider any other designees identified
by the individual at a time in which that
individual was eligible to make an
advanced designation, under paragraph
(d) of this section.
(f) Organizations. An individual may
not designate in advance an
organization to serve as his or her
possible representative payee.
■ 9. Amend § 416.620 by revising
paragraphs (e) and (f) and adding
paragraph (g) to read as follows:
§ 416.620 Information considered in
selecting a representative payee.
*
*
*
*
*
(e) Whether the potential payee is in
a position to know of and look after the
needs of the beneficiary;
(f) The potential payee’s criminal
history; and
(g) Whether the beneficiary made an
advance designation (see § 416.618).
■ 10. Amend § 416.621 by revising the
introductory text to read as follows:
§ 416.621 What is our order of preference
in selecting a representative payee for you?
As a guide in selecting a
representative payee, we have
established categories of preferred
payees. These preferences are flexible.
We will consider an individual’s
advance designees (see § 416.618) before
we consider other potential
representative payees in the categories
of preferred payees listed in this section.
When we select a representative payee,
we will choose the designee of the
beneficiary’s highest priority, provided
that the designee is willing and able to
serve, is not prohibited from serving
(see § 416.622), and supports the best
interest of the beneficiary (see
§ 416.620). The preferences are:
*
*
*
*
*
[FR Doc. 2020–02409 Filed 2–10–20; 8:45 am]
BILLING CODE 4191–02–P
E:\FR\FM\11FER1.SGM
11FER1
]]>Agencies
[Federal Register Volume 85, Number 28 (Tuesday, February 11, 2020)]
[Rules and Regulations]
[Pages 7661-7665]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-02409]
=======================================================================
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SOCIAL SECURITY ADMINISTRATION
20 CFR Parts 404, 408, and 416
[Docket No. SSA-2018-0028]
RIN 0960-AI33
Advance Designation of Representative Payees for Social Security
Beneficiaries
AGENCY: Social Security Administration.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: We are finalizing our proposed regulations specifying the
information Social Security beneficiaries and applicants must provide
to designate individuals as their possible representative payee in
advance of our determination that the beneficiary needs a
representative payee. These regulations additionally set forth how we
will consider an individual's advance designation when we select a
representative payee, and fulfill our obligation under 201 of the
Strengthening Protections for Social Security Beneficiaries Act of
2018.
DATES: This final rule is effective February 25, 2020.
FOR FURTHER INFORMATION CONTACT: Peter Smith, Office of Income Security
Programs, Social Security Administration, 6401 Security Boulevard,
Baltimore, MD 21235-6401, (410) 966-3235. 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 https://www.socialsecurity.gov.
SUPPLEMENTARY INFORMATION:
Background
A representative payee is a person or organization that we select
to receive and manage Social Security benefits, special veterans
benefits, and Supplemental Security Income (SSI) payments on behalf of
a beneficiary. Generally, beneficiaries have the right to receive their
benefits directly and manage them independently. However, we may
determine that a beneficiary is unable to manage or direct the
management of benefit payments because of the beneficiary's mental or
physical condition, or because of the beneficiary's youth.\1\ In these
cases, we appoint a representative payee when we believe it will serve
the beneficiary's interest to receive benefits through a representative
payee instead of receiving them directly.\2\
---------------------------------------------------------------------------
\1\ See 42 U.S.C. 405(j)(1), 807(a), 1383(a)(2)(A)(ii); 20 CFR
404.2001(b), 408.601(b), 416.601(b).
\2\ See 20 CFR 404.2001(a), 20 CFR 408.601(a), and 20 CFR
416.601(a).
---------------------------------------------------------------------------
On April 13, 2018, President Trump signed into law the
Strengthening Protections for Social Security Beneficiaries Act of 2018
(Strengthening Protections Act).\3\ Section 201 of the Strengthening
Protections Act, entitled ``Advance Designation of Representative
Payees,'' amended section 205(j)(1) of the Social Security Act \4\ to
allow for advance designation of representative payees. It also
required us to promulgate regulations specifying the information
[[Page 7662]]
that an individual must provide to designate a representative payee in
advance.
---------------------------------------------------------------------------
\3\ Public Law 115-165, 132 Stat. 1257. Available at: https://www.congress.gov/115/plaws/publ165/PLAW-115publ165.pdf.
\4\ 42 U.S.C. 405(j)(1).
---------------------------------------------------------------------------
To help us develop the information that we need, we hosted a
National Disability Forum (NDF) on Advance Designation of
Representative Payees on October 30, 2018 \5\, at which we received
feedback from panelists with experience in fields relevant to our
representative payee program. Following the NDF and taking the feedback
we received into consideration, we published a Notice of Proposed
Rulemaking (NPRM) in the Federal Register on November 26, 2019.\6\ In
the NPRM, we proposed that applicants or beneficiaries may designate
one or more potential representative payees, provided that we have not
determined the applicant or beneficiary to be mentally or physically
incapable of managing benefit payments, or that the applicant or
beneficiary has not been found legally incompetent. Consistent with the
Strengthening Protections Act, we proposed to permit advance
designations of individuals only, not organizations.\7\
---------------------------------------------------------------------------
\5\ Information related to this NDF is available on our internet
site at https://www.ssa.gov/ndf/ndf_outreach.htm, under the October
30, 2018 tab.
\6\ 84 FR 65040.
\7\ See section 205(j)(1)(C)(ii) of the Act, as amended by the
section 201(a) of the Strengthening Protections Act, 42 U.S.C.
405(j)(1)(C)(ii).
---------------------------------------------------------------------------
We proposed that eligible individuals may designate potential
representative payees in advance by providing us with the information
we require. This required information includes the name and telephone
number of each advance designee and the priority order in which the
individual would like us to consider the advance designees, if more
than one is designated. We noted that current systems limitations allow
us to receive up to three advance designations. We also proposed to
consider advance designees first when selecting a representative payee.
When we determine that a representative payee is necessary,\8\ we would
first review the advance designees previously identified by the
individual (if any), in the order of priority established by the
individual. Finally, we proposed that individuals who are eligible to
make advance designations may withdraw or revise their advance
designations at any time, provided that at the time of modification
they are still eligible to make advanced designations. Individuals
could withdraw or revise their advance designations by informing us of
the change in writing, in person, by telephone, or by direct electronic
submission through our website. We also proposed that individuals who
wish to revise their advance designations must provide the required
information for any newly designated individuals.
---------------------------------------------------------------------------
\8\ See 20 CFR 404.2010 and 416.610 for when we will make
payment to a representative payee.
---------------------------------------------------------------------------
In response to the NPRM, we received four timely proffered comment
submissions. Below, we did not summarize or respond to one comment that
was outside the scope of the proposed rule, and one comment that agreed
with the proposal and did not suggest any changes. All comments are
viewable through the eRulemaking docket, available online at
www.regulations.gov, docket number SSA-2018-0028.
Public Comments and Discussion
Comment: One commenter suggested that to assess the suitability of
a person whom a beneficiary wishes to advance designate, including any
risk of coercion, undue influence, or exploitation, we should interview
proposed advance designees in person and in the company of the
beneficiary. If an in-person interview is not possible, the commenter
suggested that interviews could take place by video or phone.
Response: The commenter is asking that we use different procedures
for representative payees who are advanced designated than for any
other applicants we are considering for representative payee
appointment. This would be unnecessary and would establish a disparate
standard. In response to the commenter's concern that we ensure the
potential representative payee is appropriate, we reiterate that we
will not appoint someone to be a representative payee solely because
the individual designated them in advance. As stated in the NPRM, all
advance designees will undergo the same procedures as anyone else under
consideration to be a representative payee.
For example, we interview payee applicants as part of our normal
selection procedures.\9\ These same selection procedures will apply
when we evaluate an advance designee at the time that a representative
payee is needed. We conduct interviews in person, except under certain
circumstances. In those situations where we do not conduct an in-person
interview, we generally require one by phone or videoconference.
However, we do not require that the payee applicant interview occur in
the company of the beneficiary. Under existing regulations,
beneficiaries receive advance notice of payee appointments and are
afforded the right to appeal the selection.\10\ Additionally, the payee
applicant's responses during the interview are given under penalty of
perjury.
---------------------------------------------------------------------------
\9\ See 20 CFR 404.2024, 408.624, 416.624 for how we investigate
a representative payee applicant, including when we conduct a face-
to-face interview with the payee applicant.
\10\ 20 CFR 404.2030, 408.630, 416.630.
---------------------------------------------------------------------------
Comment: One commenter recommended that before appointing an
advance designee as a representative payee, we should confirm the
beneficiary still prefers the advance designee to serve as
representative payee.
Response: Before appointing any representative payee, we always
provide advance notice to the beneficiary notifying him or her of the
need for a payee and identifying the payee. The advance notice also
provides the beneficiary with the right to appeal the selection.
Additionally, once advance designation begins, we will send a notice
annually to beneficiaries who have advance designations on record
reminding them of their advance designees. The notice will instruct the
beneficiary to review the advance designees to confirm the accuracy of
the information and to update the information as necessary. So, the
information in a beneficiary's advance designation will be relatively
recent regardless of when the beneficiary initially submitted the
advance designation.
Comment: One commenter suggested that our field office staff should
fully document reasons for a determination not to select an advance
designee.
Response: Under existing procedure, whenever we do not select a
payee applicant, we document the non-selection reason in our electronic
Representative Payee System (eRPS) (OMB No. 0960-0814). We will include
an option in the eRPS system to annotate advance designee status for
the payee applicant. We are also building functionality in the system's
new Advance Designation screens to document the contacts made with
advance designees and why we did not select an advance designee. Our
program instructions will direct staff to include notes explaining the
decision any time an advance designee is not selected as payee.
Comment: One commenter recommended that we should annually notify
the beneficiary to remind them of advance designees and ask for any
updates or changes to their contact information.
[[Page 7663]]
Response: This will be part of our process, as we explained in the
NPRM. Section 201(d) of the Strengthening Protections Act requires that
annually ``the Commissioner of Social Security shall notify each
individual entitled to a benefit under title II, VIII, or XVI of the
Social Security Act of the name of any individual designated to serve
as the individual's representative payee. . . .'' So, we will send a
notice annually to beneficiaries reminding them of their advance
designees. The notice will instruct the beneficiary to review the
accuracy of the advance designee information and to update the
information if necessary.
Comment: One commenter suggested that when a beneficiary designates
an individual, we should provide notice of the designation to the
advance designee.
Response: We considered whether to notify individuals who are
advance designated at the time that the advance designation occurs. We
decided against this action because the burden on the public and us
outweighed the benefit of notifying individuals that they had been
advance designated, because a designee may never be called upon to
serve as a payee. At the time that we determine that a beneficiary is
incapable and we begin development of a payee, we will contact the
advance designee to determine the person's availability, willingness,
and suitability to serve as a payee.
Comment: One commenter suggested that the information we are
proposing to collect might not be enough to identify the advance
designees and that we should consider collecting more information,
including date of birth and current address.\11\
---------------------------------------------------------------------------
\11\ The information we proposed to collect in the NPRM included
the name and telephone number of each advance designee and the
priority order in which the individual would like us to consider the
advance designees, if more than one are designated.
---------------------------------------------------------------------------
Response: We considered whether to collect additional information
about the advance designees, but we determined that their names and
telephone numbers are sufficient to contact the advance designee. We
also considered whether to collect advance designees' current
addresses; however, our process for contacting advance designees will
only include contacting them by telephone. If an advance designee is
unreachable by telephone, we will contact the beneficiary to obtain
updated contact information for the individual.
The commenter noted that a long time may have passed between the
time the the beneficiary originally makes the advance designation and
when we attempt to contact the advance designee. For this reason, we
will send a notice annually to beneficiaries who have made advance
designations reminding them of their advance designees. The notice will
instruct the beneficiary to review the advance designees to assess the
accuracy of the information provided and to update the information if
necessary. We will not collect an advance designee's date of birth at
the time of advance designation because this information is
unnecessary. Once we determine that a beneficiary is incapable and we
need to appoint a payee, we will confirm the identity of the advance
designee as part of our normal payee development procedures.
Comment: One commenter suggested that we communicate the option of
advance designation to current beneficiaries.
Response: We agree with this suggestion. The agency is developing
marketing tools and external communication plans to create a broad
awareness of advance designation procedures.
Regulatory Procedures
We follow the Administrative Procedure Act (APA) rulemaking
procedures specified in 5 U.S.C. 553 in promulgating regulations.
Section 702(a)(5) of the Social Security Act, 42 U.S.C. 902(a)(5).
Generally, final rules become effective 30 days following their
publication in the Federal Register. However, the APA provides
exceptions to allow for earlier effective dates including ``as
otherwise provided by the agency for good cause found and published
with the rule'' 5 U.S.C. 553(d)(3).
We determined that good cause exists for dispensing with the 30-day
delay in the effective date of this final rule. This final rule merely
codifies a statutory directive which the agency is required by law to
begin by April 2020. As well, the public comments did not raise any
novel issues or concerns. We therefore find it is in the public
interest to make this final rule effective 14 days after its
publication in the Federal Register.
Executive Order 12866, as Supplemented by Executive Order 13563
We consulted with the Office of Management and Budget (OMB) and OMB
determined that this final rule does not meet the criteria for a
significant regulatory action under Executive Order 12866, as
supplemented by Executive Order 13563. Thus, OMB did not formally
review this final rule.
We also determined that this final rule meets the plain language
requirement of Executive Order 12866.
Executive Order 13132 (Federalism)
We analyzed this final rule in accordance with the principles and
criteria established by Executive Order 13132, and determined that the
final rule will not have sufficient Federalism implications to warrant
the preparation of a Federalism assessment. We also determined that
this final rule would not preempt any State law or State regulation or
affect the States' abilities to discharge traditional State
governmental functions.
Regulatory Flexibility Act
We certify that this final rule will not have a significant
economic impact on a substantial number of small entities because they
affect only individuals. Therefore, the Regulatory Flexibility Act, as
amended, does not require us to prepare a regulatory flexibility
analysis.
E.O. 13771
This final rule is not subject to the requirements of Executive
Order 13771 because it is not a significant regulatory action under
E.O. 12866.
Anticipated Costs to Our Programs
Our Office of the Chief Actuary estimates that implementing this
final rule will result in a very small increase in program costs for
the Social Security and Supplemental Security Income programs over the
10-year period 2020 through 2029.
Anticipated Administrative Costs to SSA
Our Office of Budget, Finance, and Management estimates that this
change will result in administrative costs to the agency of
approximately $275 million over 10 years, with none of the annual costs
meeting or exceeding the E.O. 12866 ``economically significant''
threshold of $100 million. The administrative estimates comprise the
costs for creating and running the online application; field office
interviews; employee processing time; and sending annual mailers.
Congressional Review Act (CRA)
Pursuant to the Congressional Review Act (5 U.S.C. 801, et seq.),
the Office of Information and Regulatory Affairs designated this rule
as not a ``major rule,'' as defined by 5 U.S.C. 804(2).
Paperwork Reduction Act (PRA)
Section 404.2018 of this final rule imposes a new public reporting
burden: the requirement for affected members of the public to use our
prescribed paper form or online application to submit the names and
telephone numbers of advance designees. We previously
[[Page 7664]]
solicited comment on these proposed information collection instruments
via a notice published in the Federal Register.\12\ In response to that
notice, several members of the public submitted comments. We previously
provided a document detailing these comments, as well as our responses,
in the rulemaking docket on Regulations.gov under Supporting and
Related Material for this rule's NPRM.
---------------------------------------------------------------------------
\12\ 84 FR 40121 (August 13, 2019).
---------------------------------------------------------------------------
We did not change the proposed Information Collection Request (ICR)
originally shared with the publication of the above-referenced
standalone Federal Register notice. However, we again solicited comment
on the proposed ICR for section 404.2018 as part of the NPRM. We did
not receive any further comments or requests for information relating
to the PRA in response to that solicitation of comment, and we are not
making any further changes to this ICR now. Accordingly, OMB pre-
approved the ICR under OMB number No. 0960-0814. This approval will be
considered final when this final rule becomes effective.
(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 408
Administrative practice and procedure; Reporting and recordkeeping
requirements; Social security; Supplemental Security Income (SSI),
Veterans.
20 CFR Part 416
Administrative practice and procedure; Reporting and recordkeeping
requirements; Social security; Supplemental Security Income (SSI).
Dated: January 31, 2020.
Andrew Saul,
Commissioner of Social Security.
For the reasons stated in the preamble, we are amending subpart U
of part 404, subpart F of part 408, and subpart F of part 416 of title
20 of the Code of Federal Regulations as set forth below:
PART 404--FEDERAL OLD-AGE, SURVIVORS AND DISABILITY INSURANCE
(1950-)
0
1. The authority citation for subpart U of part 404 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)).
0
2. Add section Sec. 404.2018 to read as follows:
Sec. 404.2018 Advance designation of representative payees
(a) General. An individual who:
(1) Is entitled to or an applicant for a benefit and;
(2) Has attained 18 years of age or is an emancipated minor, may
designate in advance one or more individuals to possibly serve as a
representative payee for the individual if we determine that payment
will be made to a representative payee (see Sec. 404.2010(a)). An
individual may not designate in advance possible representative payees
if we have information that the individual is either-legally
incompetent or mentally incapable of managing his or her benefit
payments; or physically incapable of managing or directing the
management of his or her benefit payments.
(b) How to designate possible representative payees in advance.
Individuals who meet the requirements in paragraph (a) of this section
may designate in advance their choice(s) for possible representative
payees by indicating their decision to designate a representative payee
in advance and providing us with the required information. In addition
to the required information, an individual may choose to provide us
with the relationship of the advance designee(s) to the individual. The
information we require before we will consider an advance designee as a
possible representative payee is:
(1) The name of the advance designee,
(2) A telephone number of the advance designee, and
(3) The order of priority in which the individual would like us to
consider the advance designees, if he or she designates more than one
advance designee.
(c) How to make changes to advance designation. Individuals who
meet the requirements in paragraph (a) of this section may change their
advance designees by informing us of the change and providing the
required information (see paragraphs (b)(1) through (3) of this
section) to us. Individuals who meet the requirements in paragraph (a)
of this section may withdraw their advance designation by informing us
of the withdrawal.
(d) How we consider advance designation when we select a
representative payee. (1) If we determine that payment will be made to
a representative payee, we will review an individual's advance
designees in the order listed by the individual and select the first
advance designee who meets the criteria for selection. To meet the
criteria for selection--
(i) The advance designee must be willing and able to serve as a
representative payee,
(ii) Appointment of the advance designee must comply with the
requirements in section 205(j)(2) of the Social Security Act, and
(iii) There must be no other good cause (see Sec. Sec. 404.2020
and 404.2021) to prevent us from selecting the advance designee.
(2) If none of the advance designees meet the criteria for
selection, we will use our list of categories of preferred payees (see
Sec. 404.2021), along with our other regulations in subpart U of this
part, as a guide to select a suitable representative payee.
(e) How we consider advance designation when we select a subsequent
representative payee. If an individual who currently has a
representative payee requires a change of representative payee, we will
consider any other designees identified by the individual at a time in
which that individual was eligible to make an advanced designation,
under paragraph (d) of this section.
(f) Organizations. An individual may not designate in advance an
organization to serve as his or her possible representative payee.
0
3. Amend Sec. 404.2020 by revising paragraphs (e) and (f) and adding
paragraph (g) to read as follows:
Sec. 404.2020 Information considered in selecting a representative
payee
* * * * *
(e) Whether the potential payee is in a position to know of and
look after the needs of the beneficiary;
(f) The potential payee's criminal history; and
(g) Whether the beneficiary made an advance designation (see Sec.
404.2018).
0
4. Amend Sec. 404.2021 by revising the introductory text to read as
follows:
Sec. 404.2021 What is our order of preference in selecting a
representative payee for you?
As a guide in selecting a representative payee, we have established
categories of preferred payees. These preferences are flexible. We will
consider an individual's
[[Page 7665]]
advance designee(s) (see Sec. 404.2018) before we consider other
potential representative payees in the categories of preferred payees
listed in this section. When we select a representative payee, we will
choose the designee of the beneficiary's highest priority, provided
that the designee is willing and able to serve, is not prohibited from
serving (see Sec. 404.2022), and supports the best interest of the
beneficiary (see Sec. 404.2020). The preferences are:
* * * * *
PART 408--SPECIAL BENEFITS FOR CERTAIN WORLD WAR II VETERANS
0
5. The authority citation for subpart F of part 408 is revised to read
as follows:
Authority: Secs. 205(j)(1)(C), 702(a)(5), 807, and 810 of the
Social Security Act (42 U.S.C. 405(j)(1)(C), 902(a)(5), 1007, and
1010).
0
6. Add Sec. 408.618 to subpart F to read as follows:
Sec. 408.618 Advance designation of representative payees.
For information about advance designation, how to designate
representative payees in advance, how to make changes to advance
designations, how we consider an advance designation when we select a
representative payee, how we consider an advance designation when we
select a subsequent representative payee, and other relevant
information, see Sec. Sec. 404.2018, 404.2020, and 404.2021 of this
chapter.
PART 416--SUPPLEMENTAL SECURITY INCOME FOR THE AGED, BLIND, AND
DISABLED
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7. The authority citation for subpart F of part 416 is revised to read
as follows:
Authority: Secs. 205(j)(1)(C), 702(a)(5), 1631(a)(2) and (d)(1)
of the Social Security Act (42 U.S.C. 405(j)(1)(C), 902(a)(5),
1383(a)(2) and (d)(1)).
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8. Add Sec. 416.618 to subpart F to read as follows:
Sec. 416.618 Advance designation of representative payees
(a) General. An individual who:
(1) Is eligible for or an applicant for a benefit; and
(2) Has attained 18 years of age or is an emancipated minor, may
designate in advance one or more individuals to possibly serve as a
representative payee for the individual if we determine that payment
will be made to a representative payee (see Sec. 416.610(a)). An
individual may not designate in advance possible representative payees
if we have information that the individual is either legally
incompetent or mentally incapable of managing his or her benefit
payments; or physically incapable of managing or directing the
management of his or her benefit payments.
(b) How to designate possible representative payees in advance.
Individuals who meet the requirements in paragraph (a) of this section
may designate in advance their choice(s) for possible representative
payees by indicating their decision to designate a representative payee
in advance and providing us with the required information. In addition
to the required information, an individual may choose to provide us
with the relationship of the advance designee to the individual. The
information we require before we will consider an advance designee as a
possible representative payee is:
(1) The name of the advance designee,
(2) A telephone number of the advance designee, and
(3) The order of priority in which the individual would like us to
consider the advance designees if he or she designates more than one
advance designee.
(c) How to make changes to advance designation. Individuals who
meet the requirements in paragraph (a) of this section may change their
advance designees by informing us of the change and providing the
required information (see paragraphs (b)(1) through (3) of this
section) to us. Individuals who meet the requirements in paragraph (a)
of this section may withdraw their advance designation by informing us
of the withdrawal.
(d) How we consider advance designation when we select a
representative payee. (1) If we determine that payment will be made to
a representative payee, we will review advance designees in the order
listed by the individual and select the first advance designee who
meets the criteria for selection. To meet the criteria for selection--
(i) The advance designee must be willing and able to serve as a
representative payee,
(ii) Appointment of the advance designee must comply with the
requirements in section 205(j)(2) of the Social Security Act, and
(iii)There must be no other good cause (see Sec. Sec. 416.620 and
416.621) to prevent us from selecting the advance designee.
(2) If none of the advance designees meet the criteria for
selection, we will use our list of categories of preferred payees (see
Sec. 416.621), along with our other regulations in subpart F of this
part, as a guide to select a suitable representative payee.
(e) How we consider advance designation when we select a subsequent
representative payee. If an individual who currently has a
representative payee requires a change of representative payee, we will
consider any other designees identified by the individual at a time in
which that individual was eligible to make an advanced designation,
under paragraph (d) of this section.
(f) Organizations. An individual may not designate in advance an
organization to serve as his or her possible representative payee.
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9. Amend Sec. 416.620 by revising paragraphs (e) and (f) and adding
paragraph (g) to read as follows:
Sec. 416.620 Information considered in selecting a representative
payee.
* * * * *
(e) Whether the potential payee is in a position to know of and
look after the needs of the beneficiary;
(f) The potential payee's criminal history; and
(g) Whether the beneficiary made an advance designation (see Sec.
416.618).
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10. Amend Sec. 416.621 by revising the introductory text to read as
follows:
Sec. 416.621 What is our order of preference in selecting a
representative payee for you?
As a guide in selecting a representative payee, we have established
categories of preferred payees. These preferences are flexible. We will
consider an individual's advance designees (see Sec. 416.618) before
we consider other potential representative payees in the categories of
preferred payees listed in this section. When we select a
representative payee, we will choose the designee of the beneficiary's
highest priority, provided that the designee is willing and able to
serve, is not prohibited from serving (see Sec. 416.622), and supports
the best interest of the beneficiary (see Sec. 416.620). The
preferences are:
* * * * *
[FR Doc. 2020-02409 Filed 2-10-20; 8:45 am]
BILLING CODE 4191-02-P
