19–008

108TH CONGRESS REPORT " HOUSE OF REPRESENTATIVES ! 1st Session 108–54

PROVIDING FOR CONSIDERATION OF H.R. 743, SOCIAL 

SECURITY PROTECTION ACT OF 2003

APRIL 1, 2003.—Referred to the House Calendar and ordered to be printed 

Mr. LINDER, from the Committee on Rules, 

submitted the following 

R E P O R T 

[To accompany H. Res. 168]

The Committee on Rules, having had under consideration House 

Resolution 168, by a nonrecord vote, report the same to the House 

with the recommendation that the resolution be adopted. 

SUMMARY OF PROVISIONS OF THE RESOLUTION

The resolution provides for the consideration of House Resolution 

743, the Social Security Protection Act of 2003, under a modified 

closed rule. The rule provides one hour of debate in the House 

equally divided and controlled by the chairman and ranking minority member of the Committee on Ways and Means. The rule waives 

all points of order against consideration of the bill. 

The rule provides that the amendment recommended by the 

Committee on Ways and Means now printed in the bill shall be 

considered as adopted. The rule provides for consideration of the 

amendment printed in this report, if offered by Representative 

Green of Texas or his designee, which shall be considered as read, 

and shall be separately debatable for 40 minutes equally divided 

and controlled by the proponent and an opponent. The rule waives 

all points of order against the amendment printed in this report. 

Finally, the rule provides one motion to recommit with or without instructions.

COMMITTEE VOTES

Pursuant to clause 3(b) of House rule XIII the results of each 

record vote on an amendment or motion to report, together with 

the names of those voting for and against, are printed below: 

Rules Committee Record Vote No. 43

Date: April 1, 2003. 

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Measure: H.R. 743, the Social Security Protection Act of 2003. 

Motion by: Mr. Frost. 

Summary of motion: To make in order the amendment in the nature of a substitute offered by Representative Doggett of Texas to 

reduce the Government Pension Offset of Social Security spousal 

and survivors benefits by two-thirds to one third of the government 

pension. Holds trust funds harmless for the cost of this benefit improvement by making annual transfers from the general funds to 

the Social Security trust funds. 

Results: Defeated 2 to 5. 

Vote by Members: Hastings (WA)—Nay; Myrick—Nay; Sessions—Nay; Reynolds—Nay; Frost—Yea; McGovern—Yea; Dreier— Nay. 

SUMMARY OF AMENDMENT MADE IN ORDER UNDER THE RULE

Green (TX): 

Amendment in the Nature of a Substitute. Strikes section 418 of 

the bill. Section 418 replaces the ‘‘last day of covered employment’’

exemption to the Government Pension Offset (GPO) that is in current law with a requirement that Federal, State and local government employees be covered by Social Security throughout their last 

60 months of employment with the governmental entity in order to 

be exempt from the GPO. (40 minutes) 

TEXT OF AMENDMENT MADE IN ORDER UNDER THE RULE

Strike all after the enacting clause and insert the following:

SECTION 1. SHORT TITLE AND TABLE OF CONTENTS. 

(a) SHORT TITLE.—This Act may be cited as the ‘‘Social Security 

Protection Act of 2003’’. 

(b) TABLE OF CONTENTS.—The table of contents is as follows:

Sec. 1. Short title and table of contents. 

TITLE I—PROTECTION OF BENEFICIARIES 

Subtitle A—Representative Payees 

Sec. 101. Authority to reissue benefits misused by organizational representative 

payees. 

Sec. 102. Oversight of representative payees. 

Sec. 103. Disqualification from service as representative payee of persons convicted 

of offenses resulting in imprisonment for more than 1 year or fleeing 

prosecution, custody, or confinement. 

Sec. 104. Fee forfeiture in case of benefit misuse by representative payees. 

Sec. 105. Liability of representative payees for misused benefits. 

Sec. 106. Authority to redirect delivery of benefit payments when a representative 

payee fails to provide required accounting. 

Subtitle B—Enforcement 

Sec. 111. Civil monetary penalty authority with respect to wrongful conversions by 

representative payees. 

TITLE II—PROGRAM PROTECTIONS 

Sec. 201. Civil monetary penalty authority with respect to knowing withholding of 

material facts. 

Sec. 202. Issuance by Commissioner of Social Security of receipts to acknowledge 

submission of reports of changes in work or earnings status of disabled 

beneficiaries. 

Sec. 203. Denial of title II benefits to persons fleeing prosecution, custody, or confinement, and to persons violating probation or parole. 

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Sec. 204. Requirements relating to offers to provide for a fee a product or service 

available without charge from the Social Security Administration. 

Sec. 205. Refusal to recognize certain individuals as claimant representatives. 

Sec. 206. Penalty for corrupt or forcible interference with administration of Social 

Security Act. 

Sec. 207. Use of symbols, emblems, or names in reference to social security or 

medicare. 

Sec. 208. Disqualification from payment during trial work period upon conviction of 

fraudulent concealment of work activity. 

Sec. 209. Authority for judicial orders of restitution. 

TITLE III—ATTORNEY FEE PAYMENT SYSTEM IMPROVEMENTS 

Sec. 301. Cap on attorney assessments. 

Sec. 302. Extension of attorney fee payment system to title XVI claims. 

TITLE IV—MISCELLANEOUS AND TECHNICAL AMENDMENTS 

Subtitle A—Amendments Relating to the Ticket to Work and Work Incentives 

Improvement Act of 1999

Sec. 401. Application of demonstration authority sunset date to new projects. 

Sec. 402. Expansion of waiver authority available in connection with demonstration 

projects providing for reductions in disability insurance benefits based 

on earnings. 

Sec. 403. Funding of demonstration projects provided for reductions in disability insurance benefits based on earnings. 

Sec. 404. Availability of Federal and State work incentive services to additional individuals. 

Sec. 405. Technical amendment clarifying treatment for certain purposes of individual work plans under the Ticket to Work and Self-Sufficiency Program. 

Subtitle B—Miscellaneous Amendments 

Sec. 411. Elimination of transcript requirement in remand cases fully favorable to 

the claimant. 

Sec. 412. Nonpayment of benefits upon removal from the United States. 

Sec. 413. Reinstatement of certain reporting requirements. 

Sec. 414. Clarification of definitions regarding certain survivor benefits. 

Sec. 415. Clarification respecting the FICA and SECA tax exemptions for an individual whose earnings are subject to the laws of a totalization agreement partner. 

Sec. 416. Coverage under divided retirement system for public employees in Kentucky. 

Sec. 417. Compensation for the Social Security Advisory Board. 

Subtitle C—Technical Amendments 

Sec. 421. Technical correction relating to responsible agency head. 

Sec. 422. Technical correction relating to retirement benefits of ministers. 

Sec. 423. Technical corrections relating to domestic employment. 

Sec. 424. Technical corrections of outdated references. 

Sec. 425. Technical correction respecting self-employment income in community 

property States.

TITLE I—PROTECTION OF 

BENEFICIARIES 

Subtitle A—Representative Payees 

SEC. 101. AUTHORITY TO REISSUE BENEFITS MISUSED BY ORGANIZATIONAL REPRESENTATIVE PAYEES. 

(a) TITLE II AMENDMENTS.— (1) REISSUANCE OF BENEFITS.—Section 205(j)(5) of the Social 

Security Act (42 U.S.C. 405(j)(5)) is amended by inserting after 

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the first sentence the following new sentences: ‘‘In any case in 

which a representative payee that— ‘‘(A) is not an individual (regardless of whether it is a ‘qualified organization’ within the meaning of paragraph (4)(B)); or ‘‘(B) is an individual who, for any month during a period 

when misuse occurs, serves 15 or more individuals who are 

beneficiaries under this title, title VIII, title XVI, or any combination of such titles; 

misuses all or part of an individual’s benefit paid to such representative payee, the Commissioner of Social Security shall certify 

for payment to the beneficiary or the beneficiary’s alternative representative payee an amount equal to the amount of such benefit 

so misused. The provisions of this paragraph are subject to the 

limitations of paragraph (7)(B).’’. (2) MISUSE OF BENEFITS DEFINED.—Section 205(j) of such Act 

(42 U.S.C. 405(j)) is amended by adding at the end the following new paragraph: ‘‘(8) For purposes of this subsection, misuse of benefits by a representative payee occurs in any case in which the representative 

payee receives payment under this title for the use and benefit of 

another person and converts such payment, or any part thereof, to 

a use other than for the use and benefit of such other person. The 

Commissioner of Social Security may prescribe by regulation the 

meaning of the term ‘use and benefit’ for purposes of this paragraph.’’. (b) TITLE VIII AMENDMENTS.— (1) REISSUANCE OF BENEFITS.—Section 807(i) of the Social 

Security Act (42 U.S.C. 1007(i)) (as amended by section 

209(b)(1) of this Act) is amended further by inserting after the 

first sentence the following new sentences: ‘‘In any case in 

which a representative payee that— ‘‘(A) is not an individual; or 

‘‘(B) is an individual who, for any month during a period 

when misuse occurs, serves 15 or more individuals who are 

beneficiaries under this title, title II, title XVI, or any combination of such titles; 

misuses all or part of an individual’s benefit paid to such representative payee, the Commissioner of Social Security shall 

pay to the beneficiary or the beneficiary’s alternative representative payee an amount equal to the amount of such benefit so misused. The provisions of this paragraph are subject to 

the limitations of subsection (l)(2).’’. 

(2) MISUSE OF BENEFITS DEFINED.—Section 807 of such Act 

(42 U.S.C. 1007) is amended by adding at the end the following new subsection: 

‘‘(j) MISUSE OF BENEFITS.—For purposes of this title, misuse of 

benefits by a representative payee occurs in any case in which the 

representative payee receives payment under this title for the use 

and benefit of another person under this title and converts such 

payment, or any part thereof, to a use other than for the use and 

benefit of such person. The Commissioner of Social Security may 

prescribe by regulation the meaning of the term ‘use and benefit’ for purposes of this subsection.’’. (3) TECHNICAL AMENDMENT.—Section 807(a) of such Act (42 

U.S.C. 1007(a)) is amended, in the first sentence, by striking 

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‘‘for his or her benefit’’ and inserting ‘‘for his or her use and 

benefit’’. (c) TITLE XVI AMENDMENTS.— (1) REISSUANCE OF BENEFITS.—Section 1631(a)(2)(E) of such 

Act (42 U.S.C. 1383(a)(2)(E)) is amended by inserting after the 

first sentence the following new sentences: ‘‘In any case in 

which a representative payee that— ‘‘(i) is not an individual (regardless of whether it is a ‘qualified organization’ within the meaning of subparagraph (D)(ii)); 

or ‘‘(ii) is an individual who, for any month during a period 

when misuse occurs, serves 15 or more individuals who are 

beneficiaries under this title, title II, title VIII, or any combination of such titles; 

misuses all or part of an individual’s benefit paid to the representative payee, the Commissioner of Social Security shall pay to the 

beneficiary or the beneficiary’s alternative representative payee an 

amount equal to the amount of the benefit so misused. The provisions of this subparagraph are subject to the limitations of subparagraph (H)(ii).’’. (2) EXCLUSION OF REISSUED BENEFITS FROM RESOURCES.— Section 1613(a) of such Act (42 U.S.C. 1382b(a)) is amended— (A) in paragraph (12), by striking ‘‘and’’ at the end; 

(B) in paragraph (13), by striking the period and inserting ‘‘; and’’; and 

(C) by inserting after paragraph (13) the following new 

paragraph: ‘‘(14) for the 9-month period beginning after the month in 

which received, any amount received by such individual (or 

spouse) or any other person whose income is deemed to be included in such individual’s (or spouse’s) income for purposes of 

this title as restitution for benefits under this title, title II, or 

title VIII that a representative payee of such individual (or 

spouse) or such other person under section 205(j), 807, or 

1631(a)(2) has misused.’’. (3) MISUSE OF BENEFITS DEFINED.—Section 1631(a)(2)(A) of 

such Act (42 U.S.C. 1383(a)(2)(A)) is amended by adding at the 

end the following new clause: ‘‘(iv) For purposes of this paragraph, misuse of benefits by a representative payee occurs in any case in which the representative 

payee receives payment under this title for the use and benefit of 

another person and converts such payment, or any part thereof, to 

a use other than for the use and benefit of such other person. The 

Commissioner of Social Security may prescribe by regulation the 

meaning of the term ‘use and benefit’ for purposes of this clause.’’. 

(d) EFFECTIVE DATE.—The amendments made by this section 

shall apply to any case of benefit misuse by a representative payee 

with respect to which the Commissioner makes the determination 

of misuse on or after January 1, 1995. 

SEC. 102. OVERSIGHT OF REPRESENTATIVE PAYEES. 

(a) CERTIFICATION OF BONDING AND LICENSING REQUIREMENTS

FOR NONGOVERNMENTAL ORGANIZATIONAL REPRESENTATIVE PAY- EES.—

(1) TITLE II AMENDMENTS.—Section 205(j) of the Social Security Act (42 U.S.C. 405(j)) is amended—

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(A) in paragraph (2)(C)(v), by striking ‘‘a communitybased nonprofit social service agency licensed or bonded by 

the State’’ in subclause (I) and inserting ‘‘a certified community-based nonprofit social service agency (as defined in 

paragraph (9))’’; 

(B) in paragraph (3)(F), by striking ‘‘community-based 

nonprofit social service agencies’’ and inserting ‘‘certified 

community-based nonprofit social service agencies (as defined in paragraph (9))’’; 

(C) in paragraph (4)(B), by striking ‘‘any communitybased nonprofit social service agency which is bonded or licensed in each State in which it serves as a representative 

payee’’ and inserting ‘‘any certified community-based nonprofit social service agency (as defined in paragraph (9))’’; 

and 

(D) by adding after paragraph (8) (as added by section 

101(a)(2) of this Act) the following new paragraph: ‘‘(9) For purposes of this subsection, the term ‘certified community-based nonprofit social service agency’ means a communitybased nonprofit social service agency which is in compliance with 

requirements, under regulations which shall be prescribed by the 

Commissioner, for annual certification to the Commissioner that it 

is bonded in accordance with requirements specified by the Commissioner and that it is licensed in each State in which it serves 

as a representative payee (if licensing is available in such State) 

in accordance with requirements specified by the Commissioner. 

Any such annual certification shall include a copy of any independent audit on such agency which may have been performed 

since the previous certification.’’. (2) TITLE XVI AMENDMENTS.—Section 1631(a)(2) of such Act 

(42 U.S.C. 1383(a)(2)) is amended— (A) in subparagraph (B)(vii), by striking ‘‘a communitybased nonprofit social service agency licensed or bonded by 

the State’’ in subclause (I) and inserting ‘‘a certified community-based nonprofit social service agency (as defined in 

subparagraph (I))’’; 

(B) in subparagraph (D)(ii)—

(i) by striking ‘‘or any community-based’’ and all 

that follows through ‘‘in accordance’’ in subclause (II) 

and inserting ‘‘or any certified community-based nonprofit social service agency (as defined in subparagraph (I)), if the agency, in accordance’’; 

(ii) by redesignating items (aa) and (bb) as subclauses (I) and (II), respectively (and adjusting the 

margination accordingly); and 

(iii) by striking ‘‘subclause (II)(bb)’’ and inserting 

‘‘subclause (II)’’; and 

(C) by adding at the end the following new subparagraph: 

‘‘(I) For purposes of this paragraph, the term ‘certified community-based nonprofit social service agency’ means a communitybased nonprofit social service agency which is in compliance with 

requirements, under regulations which shall be prescribed by the 

Commissioner, for annual certification to the Commissioner that it 

is bonded in accordance with requirements specified by the ComVerDate Jan 31 2003 02:07 Apr 02, 2003 Jkt 019008 PO 00000 Frm 00006 Fmt 6659 Sfmt 6602 E:\HR\OC\HR054.XXX HR054
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missioner and that it is licensed in each State in which it serves 

as a representative payee (if licensing is available in the State) in 

accordance with requirements specified by the Commissioner. Any 

such annual certification shall include a copy of any independent 

audit on the agency which may have been performed since the previous certification.’’. (3) EFFECTIVE DATE.—The amendments made by this subsection shall take effect on the first day of the thirteenth 

month beginning after the date of the enactment of this Act. 

(b) PERIODIC ONSITE REVIEW.— (1) TITLE II AMENDMENT.—Section 205(j)(6) of such Act (42 

U.S.C. 405(j)(6)) is amended to read as follows: ‘‘(6)(A) In addition to such other reviews of representative payees 

as the Commissioner of Social Security may otherwise conduct, the 

Commissioner shall provide for the periodic onsite review of any 

person or agency located in the United States that receives the 

benefits payable under this title (alone or in combination with benefits payable under title VIII or title XVI) to another individual 

pursuant to the appointment of such person or agency as a representative payee under this subsection, section 807, or section 

1631(a)(2) in any case in which— ‘‘(i) the representative payee is a person who serves in that 

capacity with respect to 15 or more such individuals; ‘‘(ii) the representative payee is a certified community-based 

nonprofit social service agency (as defined in paragraph (9) of 

this subsection or section 1631(a)(2)(I)); or ‘‘(iii) the representative payee is an agency (other than an 

agency described in clause (ii)) that serves in that capacity 

with respect to 50 or more such individuals. ‘‘(B) Within 120 days after the end of each fiscal year, the Commissioner shall submit to the Committee on Ways and Means of 

the House of Representatives and the Committee on Finance of the 

Senate a report on the results of periodic onsite reviews conducted 

during the fiscal year pursuant to subparagraph (A) and of any 

other reviews of representative payees conducted during such fiscal 

year in connection with benefits under this title. Each such report 

shall describe in detail all problems identified in such reviews and 

any corrective action taken or planned to be taken to correct such 

problems, and shall include—

‘‘(i) the number of such reviews; 

‘‘(ii) the results of such reviews; 

‘‘(iii) the number of cases in which the representative payee 

was changed and why; 

‘‘(iv) the number of cases involving the exercise of expedited, 

targeted oversight of the representative payee by the Commissioner conducted upon receipt of an allegation of misuse of 

funds, failure to pay a vendor, or a similar irregularity; 

‘‘(v) the number of cases discovered in which there was a 

misuse of funds; 

‘‘(vi) how any such cases of misuse of funds were dealt with 

by the Commissioner; 

‘‘(vii) the final disposition of such cases of misuse of funds, 

including any criminal penalties imposed; and 

‘‘(viii) such other information as the Commissioner deems appropriate.’’. 

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(2) TITLE VIII AMENDMENT.—Section 807 of such Act (as 

amended by section 101(b)(2) of this Act) is amended further 

by adding at the end the following new subsection: 

‘‘(k) PERIODIC ONSITE REVIEW.—(1) In addition to such other reviews of representative payees as the Commissioner of Social Security may otherwise conduct, the Commissioner may provide for the 

periodic onsite review of any person or agency that receives the 

benefits payable under this title (alone or in combination with benefits payable under title II or title XVI) to another individual pursuant to the appointment of such person or agency as a representative payee under this section, section 205(j), or section 1631(a)(2) 

in any case in which—

‘‘(A) the representative payee is a person who serves in that 

capacity with respect to 15 or more such individuals; or 

‘‘(B) the representative payee is an agency that serves in 

that capacity with respect to 50 or more such individuals. 

‘‘(2) Within 120 days after the end of each fiscal year, the Commissioner shall submit to the Committee on Ways and Means of 

the House of Representatives and the Committee on Finance of the 

Senate a report on the results of periodic onsite reviews conducted 

during the fiscal year pursuant to paragraph (1) and of any other 

reviews of representative payees conducted during such fiscal year 

in connection with benefits under this title. Each such report shall 

describe in detail all problems identified in such reviews and any 

corrective action taken or planned to be taken to correct such problems, and shall include—

‘‘(A) the number of such reviews; 

‘‘(B) the results of such reviews; 

‘‘(C) the number of cases in which the representative payee 

was changed and why; 

‘‘(D) the number of cases involving the exercise of expedited, 

targeted oversight of the representative payee by the Commissioner conducted upon receipt of an allegation of misuse of 

funds, failure to pay a vendor, or a similar irregularity; 

‘‘(E) the number of cases discovered in which there was a 

misuse of funds; 

‘‘(F) how any such cases of misuse of funds were dealt with 

by the Commissioner; 

‘‘(G) the final disposition of such cases of misuse of funds, including any criminal penalties imposed; and 

‘‘(H) such other information as the Commissioner deems appropriate.’’. 

(3) TITLE XVI AMENDMENT.—Section 1631(a)(2)(G) of such Act 

(42 U.S.C. 1383(a)(2)(G)) is amended to read as follows: 

‘‘(G)(i) In addition to such other reviews of representative payees 

as the Commissioner of Social Security may otherwise conduct, the 

Commissioner shall provide for the periodic onsite review of any 

person or agency that receives the benefits payable under this title 

(alone or in combination with benefits payable under title II or title 

VIII) to another individual pursuant to the appointment of the person or agency as a representative payee under this paragraph, section 205(j), or section 807 in any case in which—

‘‘(I) the representative payee is a person who serves in that 

capacity with respect to 15 or more such individuals; 

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‘‘(II) the representative payee is a certified community-based 

nonprofit social service agency (as defined in subparagraph (I) 

of this paragraph or section 205(j)(9)); or 

‘‘(III) the representative payee is an agency (other than an 

agency described in subclause (II)) that serves in that capacity 

with respect to 50 or more such individuals. 

‘‘(ii) Within 120 days after the end of each fiscal year, the Commissioner shall submit to the Committee on Ways and Means of 

the House of Representatives and the Committee on Finance of the 

Senate a report on the results of periodic onsite reviews conducted 

during the fiscal year pursuant to clause (i) and of any other reviews of representative payees conducted during such fiscal year in 

connection with benefits under this title. Each such report shall 

describe in detail all problems identified in the reviews and any 

corrective action taken or planned to be taken to correct the problems, and shall include—

‘‘(I) the number of the reviews; 

‘‘(II) the results of such reviews; 

‘‘(III) the number of cases in which the representative payee 

was changed and why; 

‘‘(IV) the number of cases involving the exercise of expedited, 

targeted oversight of the representative payee by the Commissioner conducted upon receipt of an allegation of misuse of 

funds, failure to pay a vendor, or a similar irregularity; 

‘‘(V) the number of cases discovered in which there was a 

misuse of funds; 

‘‘(VI) how any such cases of misuse of funds were dealt with 

by the Commissioner; 

‘‘(VII) the final disposition of such cases of misuse of funds, 

including any criminal penalties imposed; and 

‘‘(VIII) such other information as the Commissioner deems 

appropriate.’’.

SEC. 103. DISQUALIFICATION FROM SERVICE AS REPRESENTATIVE 

PAYEE OF PERSONS CONVICTED OF OFFENSES RESULTING IN IMPRISONMENT FOR MORE THAN 1 YEAR OR FLEEING PROSECUTION, CUSTODY, OR CONFINEMENT. 

(a) TITLE II AMENDMENTS.—Section 205(j)(2) of the Social Security Act (42 U.S.C. 405(j)(2)) is amended—

(1) in subparagraph (B)(i)—

(A) by striking ‘‘and’’ at the end of subclause (III); 

(B) by redesignating subclause (IV) as subclause (VI); 

and 

(C) by inserting after subclause (III) the following new 

subclauses: 

‘‘(IV) obtain information concerning whether such person has 

been convicted of any other offense under Federal or State law 

which resulted in imprisonment for more than 1 year, 

‘‘(V) obtain information concerning whether such person is a 

person described in section 202(x)(1)(A)(iv), and’’; 

(2) in subparagraph (B), by adding at the end the following 

new clause: 

‘‘(iii) Notwithstanding the provisions of section 552a of title 5, 

United States Code, or any other provision of Federal or State law 

(other than section 6103 of the Internal Revenue Code of 1986 and 

section 1106(c) of this Act), the Commissioner shall furnish any 

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Federal, State, or local law enforcement officer, upon the written 

request of the officer, with the current address, social security account number, and photograph (if applicable) of any person investigated under this paragraph, if the officer furnishes the Commissioner with the name of such person and such other identifying information as may reasonably be required by the Commissioner to 

establish the unique identity of such person, and notifies the Commissioner that—

‘‘(I) such person is described in section 202(x)(1)(A)(iv), 

‘‘(II) such person has information that is necessary for the officer to conduct the officer’s official duties, and 

‘‘(III) the location or apprehension of such person is within 

the officer’s official duties.’’; 

(3) in subparagraph (C)(i)(II), by striking ‘‘subparagraph 

(B)(i)(IV),,’’ and inserting ‘‘subparagraph (B)(i)(VI)’’ and striking ‘‘section 1631(a)(2)(B)(ii)(IV)’’ and inserting ‘‘section 

1631(a)(2)(B)(ii)(VI)’’; and 

(4) in subparagraph (C)(i)—

(A) by striking ‘‘or’’ at the end of subclause (II); 

(B) by striking the period at the end of subclause (III) 

and inserting a comma; and 

(C) by adding at the end the following new subclauses: 

‘‘(IV) such person has previously been convicted as described 

in subparagraph (B)(i)(IV), unless the Commissioner determines that such certification would be appropriate notwithstanding such conviction, or 

‘‘(V) such person is person described in section 

202(x)(1)(A)(iv).’’. 

(b) TITLE VIII AMENDMENTS.—Section 807 of such Act (42 

U.S.C. 1007) is amended—

(1) in subsection (b)(2)—

(A) by striking ‘‘and’’ at the end of subparagraph (C); 

(B) by redesignating subparagraph (D) as subparagraph 

(F); and 

(C) by inserting after subparagraph (C) the following 

new subparagraphs: 

‘‘(D) obtain information concerning whether such person 

has been convicted of any other offense under Federal or 

State law which resulted in imprisonment for more than 

1 year; 

‘‘(E) obtain information concerning whether such person 

is a person described in section 804(a)(2); and’’; 

(2) in subsection (b), by adding at the end the following new 

paragraph: 

‘‘(3) Notwithstanding the provisions of section 552a of title 5, 

United States Code, or any other provision of Federal or State 

law (other than section 6103 of the Internal Revenue Code of 

1986 and section 1106(c) of this Act), the Commissioner shall 

furnish any Federal, State, or local law enforcement officer, 

upon the written request of the officer, with the current address, social security account number, and photograph (if applicable) of any person investigated under this subsection, if the 

officer furnishes the Commissioner with the name of such person and such other identifying information as may reasonably 

11

be required by the Commissioner to establish the unique identity of such person, and notifies the Commissioner that— ‘‘(A) such person is described in section 804(a)(2), 

‘‘(B) such person has information that is necessary for 

the officer to conduct the officer’s official duties, and ‘‘(C) the location or apprehension of such person is within the officer’s official duties.’’; and 

(3) in subsection (d)(1)— (A) by striking ‘‘or’’ at the end of subparagraph (B); 

(B) by striking the period at the end of subparagraph (C) 

and inserting a semicolon; and 

(C) by adding at the end the following new subparagraphs: ‘‘(D) such person has previously been convicted as described in subsection (b)(2)(D), unless the Commissioner 

determines that such payment would be appropriate notwithstanding such conviction; or ‘‘(E) such person is a person described in section 

804(a)(2).’’. (c) TITLE XVI AMENDMENTS.—Section 1631(a)(2)(B) of such Act 

(42 U.S.C. 1383(a)(2)(B)) is amended— (1) in clause (ii)— (A) by striking ‘‘and’’ at the end of subclause (III);

(B) by redesignating subclause (IV) as subclause (VI); 

and 

(C) by inserting after subclause (III) the following new 

subclauses: ‘‘(IV) obtain information concerning whether the person has 

been convicted of any other offense under Federal or State law 

which resulted in imprisonment for more than 1 year; ‘‘(V) obtain information concerning whether such person is a 

person described in section 1611(e)(4)(A); and’’; 

(2) in clause (iii)(II)— (A) by striking ‘‘clause (ii)(IV)’’ and inserting ‘‘clause 

(ii)(VI)’’; and 

(B) by striking ‘‘section 205(j)(2)(B)(i)(IV)’’ and inserting 

‘‘section 205(j)(2)(B)(i)(VI)’’; 

(3) in clause (iii)—

(A) by striking ‘‘or’’ at the end of subclause (II); 

(B) by striking the period at the end of subclause (III) 

and inserting a semicolon; and 

(C) by adding at the end the following new subclauses: 

‘‘(IV) the person has previously been convicted as described 

in clause (ii)(IV) of this subparagraph, unless the Commissioner determines that the payment would be appropriate notwithstanding the conviction; or 

‘‘(V) such person is a person described in section 

1611(e)(4)(A).’’; and 

(4) by adding at the end the following new clause: 

‘‘(xiv) Notwithstanding the provisions of section 552a of title 5, 

United States Code, or any other provision of Federal or State law 

(other than section 6103 of the Internal Revenue Code of 1986 and 

section 1106(c) of this Act), the Commissioner shall furnish any 

Federal, State, or local law enforcement officer, upon the written 

request of the officer, with the current address, social security acVerDate Jan 31 2003 02:07 Apr 02, 2003 Jkt 019008 PO 00000 Frm 00011 Fmt 6659 Sfmt 6602 E:\HR\OC\HR054.XXX HR054
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count number, and photograph (if applicable) of any person investigated under this subparagraph, if the officer furnishes the Commissioner with the name of such person and such other identifying 

information as may reasonably be required by the Commissioner to 

establish the unique identity of such person, and notifies the Commissioner that—

‘‘(I) such person is described in section 1611(e)(4)(A), 

‘‘(II) such person has information that is necessary for the officer to conduct the officer’s official duties, and 

‘‘(III) the location or apprehension of such person is within 

the officer’s official duties.’’. 

(d) EFFECTIVE DATE.—The amendments made by this section 

shall take effect on the first day of the thirteenth month beginning 

after the date of the enactment of this Act. 

(e) REPORT TO THE CONGRESS.—The Commissioner of Social Security, in consultation with the Inspector General of the Social Security Administration, shall prepare a report evaluating whether 

the existing procedures and reviews for the qualification (including 

disqualification) of representative payees are sufficient to enable 

the Commissioner to protect benefits from being misused by representative payees. The Commissioner shall submit the report to 

the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate no later than 

270 days after the date of the enactment of this Act. The Commissioner shall include in such report any recommendations that the 

Commissioner considers appropriate. 

SEC. 104. FEE FORFEITURE IN CASE OF BENEFIT MISUSE BY REPRESENTATIVE PAYEES. 

(a) TITLE II AMENDMENTS.—Section 205(j)(4)(A)(i) of the Social 

Security Act (42 U.S.C. 405(j)(4)(A)(i)) is amended—

(1) in the first sentence, by striking ‘‘A’’ and inserting ‘‘Except as provided in the next sentence, a’’; and 

(2) in the second sentence, by striking ‘‘The Secretary’’ and 

inserting the following: 

‘‘A qualified organization may not collect a fee from an individual 

for any month with respect to which the Commissioner of Social 

Security or a court of competent jurisdiction has determined that 

the organization misused all or part of the individual’s benefit, and 

any amount so collected by the qualified organization for such 

month shall be treated as a misused part of the individual’s benefit 

for purposes of paragraphs (5) and (6). The Commissioner’’. 

(b) TITLE XVI AMENDMENTS.—Section 1631(a)(2)(D)(i) of such Act 

(42 U.S.C. 1383(a)(2)(D)(i)) is amended—

(1) in the first sentence, by striking ‘‘A’’ and inserting ‘‘Except as provided in the next sentence, a’’; and 

(2) in the second sentence, by striking ‘‘The Commissioner’’

and inserting the following: ‘‘A qualified organization may not 

collect a fee from an individual for any month with respect to 

which the Commissioner of Social Security or a court of competent jurisdiction has determined that the organization misused all or part of the individual’s benefit, and any amount so 

collected by the qualified organization for such month shall be 

treated as a misused part of the individual’s benefit for purposes of subparagraphs (E) and (F). The Commissioner’’. 

13

(c) EFFECTIVE DATE.—The amendments made by this section 

shall apply to any month involving benefit misuse by a representative payee in any case with respect to which the Commissioner of 

Social Security or a court of competent jurisdiction makes the determination of misuse after 180 days after the date of the enactment of this Act. 

SEC. 105. LIABILITY OF REPRESENTATIVE PAYEES FOR MISUSED BENEFITS. 

(a) TITLE II AMENDMENTS.—Section 205(j) of the Social Security 

Act (42 U.S.C. 405(j)) (as amended by sections 101 and 102) is 

amended further—

(1) by redesignating paragraphs (7), (8), and (9) as paragraphs (8), (9), and (10), respectively; 

(2) in paragraphs (2)(C)(v), (3)(F), and (4)(B), by striking 

‘‘paragraph (9)’’ and inserting ‘‘paragraph (10)’’;

(3) in paragraph (6)(A)(ii), by striking ‘‘paragraph (9)’’ and inserting ‘‘paragraph (10)’’; and 

(4) by inserting after paragraph (6) the following new paragraph: 

‘‘(7)(A) If the Commissioner of Social Security or a court of competent jurisdiction determines that a representative payee that is 

not a Federal, State, or local government agency has misused all 

or part of an individual’s benefit that was paid to such representative payee under this subsection, the representative payee shall be 

liable for the amount misused, and such amount (to the extent not 

repaid by the representative payee) shall be treated as an overpayment of benefits under this title to the representative payee for all 

purposes of this Act and related laws pertaining to the recovery of 

such overpayments. Subject to subparagraph (B), upon recovering 

all or any part of such amount, the Commissioner shall certify an 

amount equal to the recovered amount for payment to such individual or such individual’s alternative representative payee. 

‘‘(B) The total of the amount certified for payment to such individual or such individual’s alternative representative payee under 

subparagraph (A) and the amount certified for payment under 

paragraph (5) may not exceed the total benefit amount misused by 

the representative payee with respect to such individual.’’. 

(b) TITLE VIII AMENDMENT.—Section 807 of such Act (as amended by section 102(b)(2)) is amended further by adding at the end 

the following new subsection: 

‘‘(l) LIABILITY FOR MISUSED AMOUNTS.—

‘‘(1) IN GENERAL.—If the Commissioner of Social Security or 

a court of competent jurisdiction determines that a representative payee that is not a Federal, State, or local government 

agency has misused all or part of a qualified individual’s benefit that was paid to such representative payee under this section, the representative payee shall be liable for the amount 

misused, and such amount (to the extent not repaid by the representative payee) shall be treated as an overpayment of benefits under this title to the representative payee for all purposes 

of this Act and related laws pertaining to the recovery of such 

overpayments. Subject to paragraph (2), upon recovering all or 

any part of such amount, the Commissioner shall make payment of an amount equal to the recovered amount to such 

14

qualified individual or such qualified individual’s alternative 

representative payee. 

‘‘(2) LIMITATION.—The total of the amount paid to such individual or such individual’s alternative representative payee 

under paragraph (1) and the amount paid under subsection (i) 

may not exceed the total benefit amount misused by the representative payee with respect to such individual.’’. 

(c) TITLE XVI AMENDMENTS.—Section 1631(a)(2) of such Act (42 

U.S.C. 1383(a)(2)) (as amended by section 102(b)(3)) is amended 

further—

(1) in subparagraph (G)(i)(II), by striking ‘‘section 205(j)(9)’’

and inserting ‘‘section 205(j)(10)’’; and 

(2) by striking subparagraph (H) and inserting the following: 

‘‘(H)(i) If the Commissioner of Social Security or a court of competent jurisdiction determines that a representative payee that is 

not a Federal, State, or local government agency has misused all 

or part of an individual’s benefit that was paid to the representative payee under this paragraph, the representative payee shall be 

liable for the amount misused, and the amount (to the extent not 

repaid by the representative payee) shall be treated as an overpayment of benefits under this title to the representative payee for all 

purposes of this Act and related laws pertaining to the recovery of 

the overpayments. Subject to clause (ii), upon recovering all or any 

part of the amount, the Commissioner shall make payment of an 

amount equal to the recovered amount to such individual or such 

individual’s alternative representative payee. 

‘‘(ii) The total of the amount paid to such individual or such individual’s alternative representative payee under clause (i) and the 

amount paid under subparagraph (E) may not exceed the total benefit amount misused by the representative payee with respect to 

such individual.’’. 

(d) EFFECTIVE DATE.—The amendments made by this section 

shall apply to benefit misuse by a representative payee in any case 

with respect to which the Commissioner of Social Security or a 

court of competent jurisdiction makes the determination of misuse 

after 180 days after the date of the enactment of this Act. 

SEC. 106. AUTHORITY TO REDIRECT DELIVERY OF BENEFIT PAYMENTS WHEN A REPRESENTATIVE PAYEE FAILS TO PROVIDE REQUIRED ACCOUNTING. 

(a) TITLE II AMENDMENTS.—Section 205(j)(3) of the Social Security Act (42 U.S.C. 405(j)(3)) (as amended by sections 102(a)(1)(B) 

and 105(a)(2)) is amended—

(1) by redesignating subparagraphs (E) and (F) as subparagraphs (F) and (G), respectively; and 

(2) by inserting after subparagraph (D) the following new 

subparagraph: 

‘‘(E) In any case in which the person described in subparagraph 

(A) or (D) receiving payments on behalf of another fails to submit 

a report required by the Commissioner of Social Security under 

subparagraph (A) or (D), the Commissioner may, after furnishing 

notice to such person and the individual entitled to such payment, 

require that such person appear in person at a field office of the 

Social Security Administration serving the area in which the individual resides in order to receive such payments.’’.

15

(b) TITLE VIII AMENDMENTS.—Section 807(h) of such Act (42 

U.S.C. 1007(h)) is amended— (1) by redesignating paragraphs (3) and (4) as paragraphs (4) 

and (5), respectively; and 

(2) by inserting after paragraph (2) the following new paragraph: ‘‘(3) AUTHORITY TO REDIRECT DELIVERY OF BENEFIT PAYMENTS

WHEN A REPRESENTATIVE PAYEE FAILS TO PROVIDE REQUIRED

ACCOUNTING.—In any case in which the person described in 

paragraph (1) or (2) receiving benefit payments on behalf of a 

qualified individual fails to submit a report required by the 

Commissioner of Social Security under paragraph (1) or (2), the 

Commissioner may, after furnishing notice to such person and 

the qualified individual, require that such person appear in 

person at a United States Government facility designated by 

the Social Security Administration as serving the area in 

which the qualified individual resides in order to receive such 

benefit payments.’’. (c) TITLE XVI AMENDMENT.—Section 1631(a)(2)(C) of such Act (42 

U.S.C. 1383(a)(2)(C)) is amended by adding at the end the following new clause: ‘‘(v) In any case in which the person described in clause (i) or (iv) 

receiving payments on behalf of another fails to submit a report required by the Commissioner of Social Security under clause (i) or 

(iv), the Commissioner may, after furnishing notice to the person 

and the individual entitled to the payment, require that such person appear in person at a field office of the Social Security Administration serving the area in which the individual resides in order 

to receive such payments.’’. (d) EFFECTIVE DATE.—The amendment made by this section shall 

take effect 180 days after the date of the enactment of this Act. 

Subtitle B—Enforcement 

SEC. 111. CIVIL MONETARY PENALTY AUTHORITY WITH RESPECT TO 

WRONGFUL CONVERSIONS BY REPRESENTATIVE PAYEES. 

(a) IN GENERAL.—Section 1129(a) of the Social Security Act (42 

U.S.C. 1320a–8) is amended by adding at the end the following 

new paragraph: ‘‘(3) Any person (including an organization, agency, or other entity) who, having received, while acting in the capacity of a representative payee pursuant to section 205(j), 807, or 1631(a)(2), a 

payment under title II, VIII, or XVI for the use and benefit of another individual, converts such payment, or any part thereof, to a 

use that such person knows or should know is other than for the 

use and benefit of such other individual shall be subject to, in addition to any other penalties that may be prescribed by law, a civil 

money penalty of not more than $5,000 for each such conversion. Such person shall also be subject to an assessment, in lieu of 

damages sustained by the United States resulting from the conversion, of not more than twice the amount of any payments so converted.’’. (b) EFFECTIVE DATE.—The amendment made by this section shall 

apply with respect to violations committed after the date of the enactment of this Act. 

16

TITLE II—PROGRAM PROTECTIONS 

SEC. 201. CIVIL MONETARY PENALTY AUTHORITY WITH RESPECT TO 

KNOWING WITHHOLDING OF MATERIAL FACTS. 

(a) TREATMENT OF WITHHOLDING OF MATERIAL FACTS.—

(1) CIVIL PENALTIES.—Section 1129(a)(1) of the Social Security Act (42 U.S.C. 1320a–8(a)(1)) is amended—

(A) by striking ‘‘who’’ in the first sentence and inserting 

‘‘who—’’; 

(B) by striking ‘‘makes’’ in the first sentence and all that 

follows through ‘‘shall be subject to,’’ and inserting the following: 

‘‘(A) makes, or causes to be made, a statement or representation of a material fact, for use in determining any initial or 

continuing right to or the amount of monthly insurance benefits under title II or benefits or payments under title VIII or 

XVI, that the person knows or should know is false or misleading, 

‘‘(B) makes such a statement or representation for such use 

with knowing disregard for the truth, or 

‘‘(C) omits from a statement or representation for such use, 

or otherwise withholds disclosure of, a fact which the person 

knows or should know is material to the determination of any 

initial or continuing right to or the amount of monthly insurance benefits under title II or benefits or payments under title 

VIII or XVI, if the person knows, or should know, that the 

statement or representation with such omission is false or misleading or that the withholding of such disclosure is misleading, 

shall be subject to,’’; 

(C) by inserting ‘‘or each receipt of such benefits or payments while withholding disclosure of such fact’’ after 

‘‘each such statement or representation’’ in the first sentence; 

(D) by inserting ‘‘or because of such withholding of disclosure of a material fact’’ after ‘‘because of such statement 

or representation’’ in the second sentence; and 

(E) by inserting ‘‘or such a withholding of disclosure’’

after ‘‘such a statement or representation’’ in the second 

sentence. 

(2) ADMINISTRATIVE PROCEDURE FOR IMPOSING PENALTIES.—

Section 1129A(a) of such Act (42 U.S.C. 1320a–8a(a)) is 

amended—

(A) by striking ‘‘who’’ the first place it appears and inserting ‘‘who—’’; and 

(B) by striking ‘‘makes’’ and all that follows through 

‘‘shall be subject to,’’ and inserting the following: 

‘‘(1) makes, or causes to be made, a statement or representation of a material fact, for use in determining any initial or 

continuing right to or the amount of monthly insurance benefits under title II or benefits or payments under title XVI that 

the person knows or should know is false or misleading, ‘‘(2) makes such a statement or representation for such use 

with knowing disregard for the truth, or 

17

‘‘(3) omits from a statement or representation for such use, 

or otherwise withholds disclosure of, a fact which the person 

knows or should know is material to the determination of any 

initial or continuing right to or the amount of monthly insurance benefits under title II or benefits or payments under title 

XVI, if the person knows, or should know, that the statement 

or representation with such omission is false or misleading or 

that the withholding of such disclosure is misleading, 

shall be subject to,’’. 

(b) CLARIFICATION OF TREATMENT OF RECOVERED AMOUNTS.—

Section 1129(e)(2)(B) of such Act (42 U.S.C. 1320a–8(e)(2)(B)) is 

amended by striking ‘‘In the case of amounts recovered arising out 

of a determination relating to title VIII or XVI,’’ and inserting ‘‘In 

the case of any other amounts recovered under this section,’’. 

(c) CONFORMING AMENDMENTS.—

(1) Section 1129(b)(3)(A) of such Act (42 U.S.C. 1320a–

8(b)(3)(A)) is amended by striking ‘‘charging fraud or false 

statements’’. 

(2) Section 1129(c)(1) of such Act (42 U.S.C. 1320a–8(c)(1)) is 

amended by striking ‘‘and representations’’ and inserting ‘‘, 

representations, or actions’’. 

(3) Section 1129(e)(1)(A) of such Act (42 U.S.C. 1320a–

8(e)(1)(A)) is amended by striking ‘‘statement or representation 

referred to in subsection (a) was made’’ and inserting ‘‘violation 

occurred’’. 

(d) EFFECTIVE DATE.—The amendments made by this section 

shall apply with respect to violations committed after the date on 

which the Commissioner implements the centralized computer file 

described in section 202. 

SEC. 202. ISSUANCE BY COMMISSIONER OF SOCIAL SECURITY OF RECEIPTS TO ACKNOWLEDGE SUBMISSION OF REPORTS OF 

CHANGES IN WORK OR EARNINGS STATUS OF DISABLED 

BENEFICIARIES. 

Effective as soon as possible, but not later than 1 year after the 

date of the enactment of this Act, until such time as the Commissioner of Social Security implements a centralized computer file recording the date of the submission of information by a disabled 

beneficiary (or representative) regarding a change in the beneficiary’s work or earnings status, the Commissioner shall issue a 

receipt to the disabled beneficiary (or representative) each time he 

or she submits documentation, or otherwise reports to the Commissioner, on a change in such status. 

SEC. 203. DENIAL OF TITLE II BENEFITS TO PERSONS FLEEING PROSECUTION, CUSTODY, OR CONFINEMENT, AND TO PERSONS 

VIOLATING PROBATION OR PAROLE. 

(a) IN GENERAL.—Section 202(x) of the Social Security Act (42 

U.S.C. 402(x)) is amended—

(1) in the heading, by striking ‘‘Prisoners’’ and all that follows and inserting the following: ‘‘Prisoners, Certain Other Inmates of Publicly Funded Institutions, Fugitives, Probationers, 

and Parolees’’; 

(2) in paragraph (1)(A)(ii)(IV), by striking ‘‘or’’ at the end; 

(3) in paragraph (1)(A)(iii), by striking the period at the end 

and inserting a comma; 

(4) by inserting after paragraph (1)(A)(iii) the following: 

18

‘‘(iv) is fleeing to avoid prosecution, or custody or confinement after conviction, under the laws of the place from which 

the person flees, for a crime, or an attempt to commit a crime, 

which is a felony under the laws of the place from which the 

person flees, or which, in the case of the State of New Jersey, 

is a high misdemeanor under the laws of such State, or ‘‘(v) is violating a condition of probation or parole imposed 

under Federal or State law. 

In the case of an individual from whom such monthly benefits have 

been withheld pursuant to clause (iv) or (v), the Commissioner 

may, for good cause shown, pay such withheld benefits to the individual.’’; and 

(5) in paragraph (3), by adding at the end the following new 

subparagraph: ‘‘(C) Notwithstanding the provisions of section 552a of title 5, 

United States Code, or any other provision of Federal or State law 

(other than section 6103 of the Internal Revenue Code of 1986 and 

section 1106(c) of this Act), the Commissioner shall furnish any 

Federal, State, or local law enforcement officer, upon the written 

request of the officer, with the current address, Social Security 

number, and photograph (if applicable) of any beneficiary under 

this title, if the officer furnishes the Commissioner with the name 

of the beneficiary, and other identifying information as reasonably 

required by the Commissioner to establish the unique identity of 

the beneficiary, and notifies the Commissioner that— ‘‘(i) the beneficiary— ‘‘(I) is described in clause (iv) or (v) of paragraph (1)(A); 

and ‘‘(II) has information that is necessary for the officer to 

conduct the officer’s official duties; and ‘‘(ii) the location or apprehension of the beneficiary is within 

the officer’s official duties.’’. (b) REGULATIONS.—Not later than the first day of the first month 

that begins on or after the date that is 9 months after the date of 

the enactment of this Act, the Commissioner of Social Security 

shall promulgate regulations governing payment by the Commissioner, for good cause shown, of withheld benefits, pursuant to the 

last sentence of section 202(x)(1)(A) of the Social Security Act (as 

amended by subsection (a)). 

(c) EFFECTIVE DATE.—The amendments made by subsection (a) 

shall take effect on the first day of the first month that begins on 

or after the date that is 9 months after the date of the enactment 

of this Act. 

SEC. 204. REQUIREMENTS RELATING TO OFFERS TO PROVIDE FOR A 

FEE A PRODUCT OR SERVICE AVAILABLE WITHOUT 

CHARGE FROM THE SOCIAL SECURITY ADMINISTRATION. 

(a) IN GENERAL.—Section 1140 of the Social Security Act (42 

U.S.C. 1320b–10) is amended—

(1) in subsection (a), by adding at the end the following new 

paragraph: ‘‘(4)(A) No person shall offer, for a fee, to assist an individual to 

obtain a product or service that the person knows or should know 

is provided free of charge by the Social Security Administration unless, at the time the offer is made, the person provides to the individual to whom the offer is tendered a notice that—

19

‘‘(i) explains that the product or service is available free of 

charge from the Social Security Administration, and 

‘‘(ii) complies with standards prescribed by the Commissioner 

of Social Security respecting the content of such notice and its 

placement, visibility, and legibility. 

‘‘(B) Subparagraph (A) shall not apply to any offer—

‘‘(i) to serve as a claimant representative in connection with 

a claim arising under title II, title VIII, or title XVI; or 

‘‘(ii) to prepare, or assist in the preparation of, an individual’s plan for achieving self-support under title XVI.’’; and 

(2) in the heading, by striking ‘‘PROHIBITION OF MISUSE OF

SYMBOLS, EMBLEMS, OR NAMES IN REFERENCE’’ and inserting 

‘‘PROHIBITIONS RELATING TO REFERENCES’’. 

(b) EFFECTIVE DATE.—The amendments made by this section 

shall apply to offers of assistance made after the sixth month ending after the Commissioner of Social Security promulgates final 

regulations prescribing the standards applicable to the notice required to be provided in connection with such offer. The Commissioner shall promulgate such final regulations within 1 year after 

the date of the enactment of this Act. 

SEC. 205. REFUSAL TO RECOGNIZE CERTAIN INDIVIDUALS AS CLAIMANT REPRESENTATIVES. 

Section 206(a)(1) of the Social Security Act (42 U.S.C. 406(a)(1)) 

is amended by inserting after the second sentence the following: 

‘‘Notwithstanding the preceding sentences, the Commissioner, after 

due notice and opportunity for hearing, (A) may refuse to recognize 

as a representative, and may disqualify a representative already 

recognized, any attorney who has been disbarred or suspended 

from any court or bar to which he or she was previously admitted 

to practice or who has been disqualified from participating in or appearing before any Federal program or agency, and (B) may refuse 

to recognize, and may disqualify, as a non-attorney representative 

any attorney who has been disbarred or suspended from any court 

or bar to which he or she was previously admitted to practice. A 

representative who has been disqualified or suspended pursuant to 

this section from appearing before the Social Security Administration as a result of collecting or receiving a fee in excess of the 

amount authorized shall be barred from appearing before the Social Security Administration as a representative until full restitution is made to the claimant and, thereafter, may be considered for 

reinstatement only under such rules as the Commissioner may prescribe.’’. 

SEC. 206. PENALTY FOR CORRUPT OR FORCIBLE INTERFERENCE 

WITH ADMINISTRATION OF SOCIAL SECURITY ACT. 

Part A of title XI of the Social Security Act (42 U.S.C. 1301 et 

seq.) is amended by inserting after section 1129A the following new 

section: 

‘‘ATTEMPTS TO INTERFERE WITH ADMINISTRATION OF SOCIAL

SECURITY ACT

‘‘SEC. 1129B. Whoever corruptly or by force or threats of force 

(including any threatening letter or communication) attempts to intimidate or impede any officer, employee, or contractor of the Social 

Security Administration (including any State employee of a disVerDate Jan 31 2003 02:07 Apr 02, 2003 Jkt 019008 PO 00000 Frm 00019 Fmt 6659 Sfmt 6602 E:\HR\OC\HR054.XXX HR054
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ability determination service or any other individual designated by 

the Commissioner of Social Security) acting in an official capacity 

to carry out a duty under this Act, or in any other way corruptly 

or by force or threats of force (including any threatening letter or 

communication) obstructs or impedes, or attempts to obstruct or 

impede, the due administration of this Act, shall be fined not more 

than $5,000, imprisoned not more than 3 years, or both, except 

that if the offense is committed only by threats of force, the person 

shall be fined not more than $3,000, imprisoned not more than 1 

year, or both. In this subsection, the term ‘threats of force’ means 

threats of harm to the officer or employee of the United States or 

to a contractor of the Social Security Administration, or to a member of the family of such an officer or employee or contractor.’’. 

SEC. 207. USE OF SYMBOLS, EMBLEMS, OR NAMES IN REFERENCE TO 

SOCIAL SECURITY OR MEDICARE. 

(a) IN GENERAL.—Section 1140(a)(1) of the Social Security Act 

(42 U.S.C. 1320b–10(a)(1)) is amended— (1) in subparagraph (A), by inserting ‘‘ ‘Centers for Medicare 

& Medicaid Services’,’’ after ‘‘ ‘Health Care Financing Administration’,’’, by striking ‘‘or ‘Medicaid’, ’’ and inserting ‘‘ ‘Medicaid’, ‘Death Benefits Update’, ‘Federal Benefit Information’, ‘Funeral Expenses’, or ‘Final Supplemental Plan’,’’ and by inserting ‘‘ ‘CMS’,’’ after ‘‘ ‘HCFA’,’’; 

(2) in subparagraph (B), by inserting ‘‘Centers for Medicare 

& Medicaid Services,’’ after ‘‘Health Care Financing Administration,’’ each place it appears; and 

(3) in the matter following subparagraph (B), by striking ‘‘the Health Care Financing Administration,’’ each place it appears and inserting ‘‘the Centers for Medicare & Medicaid 

Services,’’. (b) EFFECTIVE DATE.—The amendments made by this section 

shall apply to items sent after 180 days after the date of the enactment of this Act. 

SEC. 208. DISQUALIFICATION FROM PAYMENT DURING TRIAL WORK 

PERIOD UPON CONVICTION OF FRAUDULENT CONCEALMENT OF WORK ACTIVITY. 

(a) IN GENERAL.—Section 222(c) of the Social Security Act (42 

U.S.C. 422(c)) is amended by adding at the end the following new 

paragraph: 

‘‘(5) Upon conviction by a Federal court that an individual has 

fraudulently concealed work activity during a period of trial work 

from the Commissioner of Social Security by—

‘‘(A) providing false information to the Commissioner of Social Security as to whether the individual had earnings in or 

for a particular period, or as to the amount thereof; 

‘‘(B) receiving disability insurance benefits under this title 

while engaging in work activity under another identity, including under another social security account number or a number 

purporting to be a social security account number; or 

‘‘(C) taking other actions to conceal work activity with an intent fraudulently to secure payment in a greater amount than 

is due or when no payment is authorized, 

no benefit shall be payable to such individual under this title with 

respect to a period of disability for any month before such conviction during which the individual rendered services during the peVerDate Jan 31 2003 02:07 Apr 02, 2003 Jkt 019008 PO 00000 Frm 00020 Fmt 6659 Sfmt 6602 E:\HR\OC\HR054.XXX HR054
21

riod of trial work with respect to which the fraudulently concealed 

work activity occurred, and amounts otherwise due under this title 

as restitution, penalties, assessments, fines, or other repayments 

shall in all cases be in addition to any amounts for which such individual is liable as overpayments by reason of such concealment.’’. (b) EFFECTIVE DATE.—The amendment made by subsection (a) 

shall apply with respect to work activity performed after the date 

of the enactment of this Act. 

SEC. 209. AUTHORITY FOR JUDICIAL ORDERS OF RESTITUTION. 

(a) AMENDMENTS TO TITLE II.—Section 208 of the Social Security 

Act (42 U.S.C. 408) is amended— (1) by redesignating subsections (b), (c), and (d) as subsections (c), (d), and (e), respectively; and 

(2) by inserting after subsection (a) the following new subsection: ‘‘(b)(1) Any Federal court, when sentencing a defendant convicted 

of an offense under subsection (a), may order, in addition to or in 

lieu of any other penalty authorized by law, that the defendant 

make restitution to the Social Security Administration. ‘‘(2) Sections 3612, 3663, and 3664 of title 18, United States 

Code, shall apply with respect to the issuance and enforcement of 

orders of restitution under this subsection. In so applying such sections, the Social Security Administration shall be considered the 

victim. ‘‘(3) If the court does not order restitution, or orders only partial 

restitution, under this subsection, the court shall state on the 

record the reasons therefor.’’. (b) AMENDMENTS TO TITLE VIII.—Section 807(i) of such Act (42 

U.S.C. 1007(i)) is amended— (1) by striking ‘‘(i) RESTITUTION.—In any case where’’ and inserting the following: ‘‘(i) RESTITUTION.— ‘‘(1) IN GENERAL.—In any case where’’; and 

(2) by adding at the end the following new paragraph: 

‘‘(2) COURT ORDER FOR RESTITUTION.— ‘‘(A) IN GENERAL.—Any Federal court, when sentencing a 

defendant convicted of an offense under subsection (a), 

may order, in addition to or in lieu of any other penalty 

authorized by law, that the defendant make restitution to 

the Social Security Administration. ‘‘(B) RELATED PROVISIONS.—Sections 3612, 3663, and 

3664 of title 18, United States Code, shall apply with respect to the issuance and enforcement of orders of restitution under this paragraph. In so applying such sections, 

the Social Security Administration shall be considered the 

victim. 

‘‘(C) STATED REASONS FOR NOT ORDERING RESTITUTION.—

If the court does not order restitution, or orders only partial restitution, under this paragraph, the court shall state 

on the record the reasons therefor.’’. 

(c) AMENDMENTS TO TITLE XVI.—Section 1632 of such Act (42 

U.S.C. 1383a) is amended—

(1) by redesignating subsection (b) as subsection (c); and 

(2) by inserting after subsection (a) the following new subsection: 

22

‘‘(b)(1) Any Federal court, when sentencing a defendant convicted 

of an offense under subsection (a), may order, in addition to or in 

lieu of any other penalty authorized by law, that the defendant 

make restitution to the Social Security Administration. ‘‘(2) Sections 3612, 3663, and 3664 of title 18, United States 

Code, shall apply with respect to the issuance and enforcement of 

orders of restitution under this subsection. In so applying such sections, the Social Security Administration shall be considered the 

victim. ‘‘(3) If the court does not order restitution, or orders only partial 

restitution, under this subsection, the court shall state on the 

record the reasons therefor.’’. 

(d) SPECIAL ACCOUNT FOR RECEIPT OF RESTITUTION PAYMENTS.—

Section 704(b) of such Act (42 U.S.C. 904(b)) is amended by adding 

at the end the following new paragraph: 

‘‘(3)(A) Except as provided in subparagraph (B), amounts received 

by the Social Security Administration pursuant to an order of restitution under section 208(b), 807(i), or 1632(b) shall be credited to 

a special fund established in the Treasury of the United States for 

amounts so received or recovered. The amounts so credited, to the 

extent and in the amounts provided in advance in appropriations 

Acts, shall be available to defray expenses incurred in carrying out 

titles II, VIII, and XVI. 

‘‘(B) Subparagraph (A) shall not apply with respect to amounts 

received in connection with misuse by a representative payee (within the meaning of sections 205(j), 807, and 1631(a)(2)) of funds paid 

as benefits under title II, VIII, or XVI. Such amounts received in 

connection with misuse of funds paid as benefits under title II shall 

be transferred to the Managing Trustee of the Federal Old-Age and 

Survivors Insurance Trust Fund or the Federal Disability Insurance Trust Fund, as determined appropriate by the Commissioner 

of Social Security, and such amounts shall be deposited by the 

Managing Trustee into such Trust Fund. All other such amounts 

shall be deposited by the Commissioner into the general fund of the 

Treasury as miscellaneous receipts.’’. 

(e) EFFECTIVE DATE.—The amendments made by subsections (a), 

(b), and (c) shall apply with respect to violations occurring on or 

after the date of the enactment of this Act. 

TITLE III—ATTORNEY FEE PAYMENT 

SYSTEM IMPROVEMENTS 

SEC. 301. CAP ON ATTORNEY ASSESSMENTS. 

(a) IN GENERAL.—Section 206(d)(2)(A) of the Social Security Act 

(42 U.S.C. 406(d)(2)(A)) is amended—

(1) by inserting ‘‘, except that the maximum amount of the 

assessment may not exceed the greater of $75 or the adjusted 

amount as provided pursuant to the following two sentences’’ after ‘‘subparagraph (B)’’; and 

(2) by adding at the end the following new sentence: ‘‘In the 

case of any calendar year beginning after the amendments 

made by section 301 of the Social Security Protection Act of 

2003 take effect, the dollar amount specified in the preceding 

sentence (including a previously adjusted amount) shall be adVerDate Jan 31 2003 02:07 Apr 02, 2003 Jkt 019008 PO 00000 Frm 00022 Fmt 6659 Sfmt 6602 E:\HR\OC\HR054.XXX HR054
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justed annually under the procedures used to adjust benefit 

amounts under section 215(i)(2)(A)(ii), except such adjustment 

shall be based on the higher of $75 or the previously adjusted 

amount that would have been in effect for December of the preceding year, but for the rounding of such amount pursuant to 

the following sentence. Any amount so adjusted that is not a 

multiple of $1 shall be rounded to the next lowest multiple of 

$1, but in no case less than $75.’’. (b) EFFECTIVE DATE.—The amendments made by this section 

shall apply with respect to fees for representation of claimants 

which are first required to be certified or paid under section 206 

of the Social Security Act on or after the first day of the first month 

that begins after 180 days after the date of the enactment of this 

Act. 

SEC. 302. EXTENSION OF ATTORNEY FEE PAYMENT SYSTEM TO TITLE 

XVI CLAIMS. 

(a) IN GENERAL.—Section 1631(d)(2) of the Social Security Act 

(42 U.S.C. 1383(d)(2)) is amended— (1) in subparagraph (A), in the matter preceding clause (i)— (A) by striking ‘‘section 206(a)’’ and inserting ‘‘section 

206’’; 

(B) by striking ‘‘(other than paragraph (4) thereof)’’ and 

inserting ‘‘(other than subsections (a)(4) and (d) thereof)’’; 

and 

(C) by striking ‘‘paragraph (2) thereof’’ and inserting ‘‘such section’’; 

(2) in subparagraph (A)(i), by striking ‘‘in subparagraphs 

(A)(ii)(I) and (C)(i),’’ and inserting ‘‘in subparagraphs (A)(ii)(I) 

and (D)(i) of subsection (a)(2)’’, and by striking ‘‘and’’ at the 

end; 

(3) by striking subparagraph (A)(ii) and inserting the following: ‘‘(ii) by substituting, in subsections (a)(2)(B) and (b)(1)(B)(i), 

the phrase ‘section 1631(a)(7)(A) or the requirements of due 

process of law’ for the phrase ‘subsection (g) or (h) of section 

223’; 

‘‘(iii) by substituting, in subsection (a)(2)(C)(i), the phrase 

‘under title II’ for the phrase ‘under title XVI’; 

‘‘(iv) by substituting, in subsection (b)(1)(A), the phrase ‘pay 

the amount of such fee’ for the phrase ‘certify the amount of 

such fee for payment’ and by striking, in subsection (b)(1)(A), 

the phrase ‘or certified for payment’; and ‘‘(v) by substituting, in subsection (b)(1)(B)(ii), the phrase ‘deemed to be such amounts as determined before any applicable reduction under section 1631(g), and reduced by the 

amount of any reduction in benefits under this title or title II 

made pursuant to section 1127(a)’ for the phrase ‘determined 

before any applicable reduction under section 1127(a))’.’’; and 

(4) by striking subparagraph (B) and inserting the following 

new subparagraphs: ‘‘(B) Subject to subparagraph (C), if the claimant is determined 

to be entitled to past-due benefits under this title and the person 

representing the claimant is an attorney, the Commissioner of Social Security shall pay out of such past-due benefits to such attorney an amount equal to the lesser of—

24

‘‘(i) so much of the maximum fee as does not exceed 25 percent of such past-due benefits (as determined before any applicable reduction under section 1631(g) and reduced by the 

amount of any reduction in benefits under this title or title II 

pursuant to section 1127(a)), or ‘‘(ii) the amount of past-due benefits available after any applicable reductions under sections 1631(g) and 1127(a). ‘‘(C)(i) Whenever a fee for services is required to be paid to an 

attorney from a claimant’s past-due benefits pursuant to subparagraph (B), the Commissioner shall impose on the attorney an assessment calculated in accordance with clause (ii). ‘‘(ii)(I) The amount of an assessment under clause (i) shall be 

equal to the product obtained by multiplying the amount of the 

representative’s fee that would be required to be paid by subparagraph (B) before the application of this subparagraph, by the percentage specified in subclause (II), except that the maximum 

amount of the assessment may not exceed $75. In the case of any 

calendar year beginning after the amendments made by section 

302 of the Social Security Protection Act of 2003 take effect, the 

dollar amount specified in the preceding sentence (including a previously adjusted amount) shall be adjusted annually under the procedures used to adjust benefit amounts under section 

215(i)(2)(A)(ii), except such adjustment shall be based on the higher 

of $75 or the previously adjusted amount that would have been in 

effect for December of the preceding year, but for the rounding of 

such amount pursuant to the following sentence. Any amount so 

adjusted that is not a multiple of $1 shall be rounded to the next 

lowest multiple of $1, but in no case less than $75. ‘‘(II) The percentage specified in this subclause is such percentage rate as the Commissioner determines is necessary in order to 

achieve full recovery of the costs of determining and approving fees 

to attorneys from the past-due benefits of claimants, but not in excess of 6.3 percent. ‘‘(iii) The Commissioner may collect the assessment imposed on 

an attorney under clause (i) by offset from the amount of the fee 

otherwise required by subparagraph (B) to be paid to the attorney 

from a claimant’s past-due benefits. 

‘‘(iv) An attorney subject to an assessment under clause (i) may 

not, directly or indirectly, request or otherwise obtain reimbursement for such assessment from the claimant whose claim gave rise 

to the assessment. 

‘‘(v) Assessments on attorneys collected under this subparagraph 

shall be deposited in the Treasury in a separate fund created for 

this purpose. 

‘‘(vi) The assessments authorized under this subparagraph shall 

be collected and available for obligation only to the extent and in 

the amount provided in advance in appropriations Acts. Amounts 

so appropriated are authorized to remain available until expended, 

for administrative expenses in carrying out this title and related 

laws.’’. 

(b) EFFECTIVE DATE.—

(1) IN GENERAL.—The amendments made by this section 

shall apply with respect to fees for representation of claimants 

which are first required to be certified or paid under section 

1631(d)(2) of the Social Security Act on or after the first day 

25

of the first month that begins after 270 days after the date of 

the enactment of this Act. 

(2) SUNSET.—Such amendments shall not apply with respect 

to fees for representation of claimants in the case of any claim 

for benefits with respect to which the agreement for representation is entered into after 5 years after the date on which the 

Commissioner of Social Security first implements the amendments made by this section. 

(c) STUDY REGARDING FEE-WITHHOLDING FOR NON-ATTORNEY

REPRESENTATIVES.— (1) STUDY.—As soon as practicable after the date of the enactment of this Act, the Comptroller General of the United 

States shall undertake a study regarding fee-withholding for 

non-attorney representatives representing claimants before the 

Social Security Administration. 

(2) MATTERS TO BE STUDIED.—In conducting the study under 

this subsection, the Comptroller General shall—

(A) compare the non-attorney representatives who seek 

fee approval for representing claimants before the Social 

Security Administration to attorney representatives who 

seek such fee approval, with regard to—

(i) their training, qualifications, and competency, 

(ii) the type and quality of services provided, and 

(iii) the extent to which claimants are protected 

through oversight of such representatives by the Social Security Administration or other organizations, 

and 

(B) consider the potential results of extending to non-attorney representatives the fee withholding procedures that 

apply under titles II and XVI of the Social Security Act for 

the payment of attorney fees, including the effect on claimants and program administration. 

(3) REPORT.—Not later than 1 year after the date of the enactment of this Act, the Comptroller General shall submit to 

the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate a report 

detailing the results of the Comptroller General’s study conducted pursuant to this subsection. 

TITLE IV—MISCELLANEOUS AND 

TECHNICAL AMENDMENTS 

Subtitle A—Amendments Relating to the 

Ticket to Work and Work Incentives Improvement Act of 1999

SEC. 401. APPLICATION OF DEMONSTRATION AUTHORITY SUNSET 

DATE TO NEW PROJECTS. 

Section 234 of the Social Security Act (42 U.S.C. 434) is amended—

(1) in the first sentence of subsection (c), by striking ‘‘conducted under subsection (a)’’ and inserting ‘‘initiated under 

subsection (a) on or before December 17, 2004’’; and 

26

(2) in subsection (d)(2), by amending the first sentence to 

read as follows: ‘‘The authority to initiate projects under the 

preceding provisions of this section shall terminate on December 18, 2004.’’.

SEC. 402. EXPANSION OF WAIVER AUTHORITY AVAILABLE IN CONNECTION WITH DEMONSTRATION PROJECTS PROVIDING FOR 

REDUCTIONS IN DISABILITY INSURANCE BENEFITS 

BASED ON EARNINGS. 

Section 302(c) of the Ticket to Work and Work Incentives Improvement Act of 1999 (42 U.S.C. 434 note) is amended by striking 

‘‘(42 U.S.C. 401 et seq.),’’ and inserting ‘‘(42 U.S.C. 401 et seq.) 

and the requirements of section 1148 of such Act (42 

U.S.C. 1320b–19) as they relate to the program established under 

title II of such Act,’’. 

SEC. 403. FUNDING OF DEMONSTRATION PROJECTS PROVIDED FOR 

REDUCTIONS IN DISABILITY INSURANCE BENEFITS 

BASED ON EARNINGS. 

Section 302(f) of the Ticket to Work and Work Incentives Improvement Act of 1999 (42 U.S.C. 434 note) is amended to read as 

follows: 

‘‘(f) EXPENDITURES.—Administrative expenses for demonstration 

projects under this section shall be paid from funds available for 

the administration of title II or XVIII of the Social Security Act, as 

appropriate. Benefits payable to or on behalf of individuals by reason of participation in projects under this section shall be made 

from the Federal Disability Insurance Trust Fund and the Federal 

Old-Age and Survivors Insurance Trust Fund, as determined appropriate by the Commissioner of Social Security, and from the 

Federal Hospital Insurance Trust Fund and the Federal Supplementary Medical Insurance Trust Fund, as determined appropriate 

by the Secretary of Health and Human Services, from funds available for benefits under such title II or XVIII.’’. 

SEC. 404. AVAILABILITY OF FEDERAL AND STATE WORK INCENTIVE 

SERVICES TO ADDITIONAL INDIVIDUALS. 

(a) FEDERAL WORK INCENTIVES OUTREACH PROGRAM.—

(1) IN GENERAL.—Section 1149(c)(2) of the Social Security Act 

(42 U.S.C. 1320b–20(c)(2)) is amended to read as follows: 

‘‘(2) DISABLED BENEFICIARY.—The term ‘disabled beneficiary’

means an individual—

‘‘(A) who is a disabled beneficiary as defined in section 

1148(k)(2) of this Act; 

‘‘(B) who is receiving a cash payment described in section 1616(a) of this Act or a supplementary payment described in section 212(a)(3) of Public Law 93–66 (without 

regard to whether such payment is paid by the Commissioner pursuant to an agreement under section 1616(a) of 

this Act or under section 212(b) of Public Law 93–66); 

‘‘(C) who, pursuant to section 1619(b) of this Act, is considered to be receiving benefits under title XVI of this Act; 

or 

‘‘(D) who is entitled to benefits under part A of title 

XVIII of this Act by reason of the penultimate sentence of 

section 226(b) of this Act.’’. 

(2) EFFECTIVE DATE.—The amendment made by this subsection shall apply with respect to grants, cooperative agreeVerDate Jan 31 2003 02:07 Apr 02, 2003 Jkt 019008 PO 00000 Frm 00026 Fmt 6659 Sfmt 6602 E:\HR\OC\HR054.XXX HR054
27

ments, or contracts entered into on or after the date of the enactment of this Act. 

(b) STATE GRANTS FOR WORK INCENTIVES ASSISTANCE.— (1) DEFINITION OF DISABLED BENEFICIARY.—Section 

1150(g)(2) of such Act (42 U.S.C. 1320b–21(g)(2)) is amended 

to read as follows: ‘‘(2) DISABLED BENEFICIARY.—The term ‘disabled beneficiary’ means an individual— ‘‘(A) who is a disabled beneficiary as defined in section 

1148(k)(2) of this Act; ‘‘(B) who is receiving a cash payment described in section 1616(a) of this Act or a supplementary payment described in section 212(a)(3) of Public Law 93–66 (without 

regard to whether such payment is paid by the Commissioner pursuant to an agreement under section 1616(a) of 

this Act or under section 212(b) of Public Law 93–66); ‘‘(C) who, pursuant to section 1619(b) of this Act, is considered to be receiving benefits under title XVI of this Act; 

or ‘‘(D) who is entitled to benefits under part A of title 

XVIII of this Act by reason of the penultimate sentence of 

section 226(b) of this Act.’’. (2) ADVOCACY OR OTHER SERVICES NEEDED TO MAINTAIN GAIN- FUL EMPLOYMENT.—Section 1150(b)(2) of such Act (42 U.S.C. 

1320b–21(b)(2)) is amended by striking ‘‘secure or regain’’ and 

inserting ‘‘secure, maintain, or regain’’. (3) EFFECTIVE DATE.—The amendments made by this subsection shall apply with respect to payments provided after the 

date of the enactment of this Act. 

SEC. 405. TECHNICAL AMENDMENT CLARIFYING TREATMENT FOR 

CERTAIN PURPOSES OF INDIVIDUAL WORK PLANS UNDER 

THE TICKET TO WORK AND SELF-SUFFICIENCY PROGRAM. 

(a) IN GENERAL.—Section 1148(g)(1) of the Social Security Act (42 

U.S.C. 1320b–19) is amended by adding at the end, after and below 

subparagraph (E), the following new sentence: ‘‘An individual work plan established pursuant to this subsection shall be treated, for purposes of section 51(d)(6)(B)(i) of 

the Internal Revenue Code of 1986, as an individualized written plan for employment under a State plan for vocational rehabilitation services approved under the Rehabilitation Act of 

1973.’’. (b) EFFECTIVE DATE.—The amendment made by subsection (a) 

shall take effect as if included in section 505 of the Ticket to Work 

and Work Incentives Improvement Act of 1999 (Public Law 106– 170; 113 Stat. 1921). 

Subtitle B—Miscellaneous Amendments 

SEC. 411. ELIMINATION OF TRANSCRIPT REQUIREMENT IN REMAND 

CASES FULLY FAVORABLE TO THE CLAIMANT. 

(a) IN GENERAL.—Section 205(g) of the Social Security Act (42 

U.S.C. 405(g)) is amended in the sixth sentence by striking ‘‘and 

a transcript’’ and inserting ‘‘and, in any case in which the Commissioner has not made a decision fully favorable to the individual, a 

transcript’’. 

28

(b) EFFECTIVE DATE.—The amendment made by this section shall 

apply with respect to final determinations issued (upon remand) on 

or after the date of the enactment of this Act.

SEC. 412. NONPAYMENT OF BENEFITS UPON REMOVAL FROM THE 

UNITED STATES. 

(a) IN GENERAL.—Paragraphs (1) and (2) of section 202(n) of the 

Social Security Act (42 U.S.C. 402(n)(1), (2)) are each amended by 

striking ‘‘or (1)(E)’’. 

(b) EFFECTIVE DATE.—The amendment made by this section to 

section 202(n)(1) of the Social Security Act shall apply to individuals with respect to whom the Commissioner of Social Security receives a removal notice from the Attorney General after the date 

of the enactment of this Act. The amendment made by this section 

to section 202(n)(2) of the Social Security Act shall apply with respect to removals occurring after the date of the enactment of this 

Act. 

SEC. 413. REINSTATEMENT OF CERTAIN REPORTING REQUIREMENTS. 

Section 3003(a)(1) of the Federal Reports Elimination and Sunset 

Act of 1995 (31 U.S.C. 1113 note) shall not apply to any report required to be submitted under any of the following provisions of law: 

(1)(A) Section 201(c)(2) of the Social Security Act (42 

U.S.C. 401(c)(2)). 

(B) Section 1817(b)(2) of the Social Security Act (42 

U.S.C. 1395i(b)(2)). 

(C) Section 1841(b)(2) of the Social Security Act (42 

U.S.C. 1395t(b)(2)). 

(2)(A) Section 221(c)(3)(C) of the Social Security Act (42 

U.S.C. 421(c)(3)(C)). 

(B) Section 221(i)(3) of the Social Security Act (42 

U.S.C. 421(i)(3)). 

SEC. 414. CLARIFICATION OF DEFINITIONS REGARDING CERTAIN SURVIVOR BENEFITS. 

(a) WIDOWS.—Section 216(c) of the Social Security Act (42 

U.S.C. 416(c)) is amended—

(1) by redesignating subclauses (A) through (C) of clause (6) 

as subclauses (i) through (iii), respectively; 

(2) by redesignating clauses (1) through (6) as clauses (A) 

through (F), respectively; 

(3) in clause (E) (as redesignated), by inserting ‘‘except as 

provided in paragraph (2),’’ before ‘‘she was married’’; 

(4) by inserting ‘‘(1)’’ after ‘‘(c)’’; and 

(5) by adding at the end the following new paragraph: 

‘‘(2) The requirements of paragraph (1)(E) in connection with the 

surviving wife of an individual shall be treated as satisfied if—

‘‘(A) the individual had been married prior to the individual’s 

marriage to the surviving wife, 

‘‘(B) the prior wife was institutionalized during the individual’s marriage to the prior wife due to mental incompetence or 

similar incapacity, 

‘‘(C) during the period of the prior wife’s institutionalization, 

the individual would have divorced the prior wife and married 

the surviving wife, but the individual did not do so because 

such divorce would have been unlawful, by reason of the prior 

wife’s institutionalization, under the laws of the State in which 

29

the individual was domiciled at the time (as determined based 

on evidence satisfactory to the Commissioner of Social Security), 

‘‘(D) the prior wife continued to remain institutionalized up 

to the time of her death, and 

‘‘(E) the individual married the surviving wife within 60 days 

after the prior wife’s death.’’. 

(b) WIDOWERS.—Section 216(g) of such Act (42 U.S.C. 416(g)) is 

amended—

(1) by redesignating subclauses (A) through (C) of clause (6) 

as subclauses (i) through (iii), respectively; 

(2) by redesignating clauses (1) through (6) as clauses (A) 

through (F), respectively; 

(3) in clause (E) (as redesignated), by inserting ‘‘except as 

provided in paragraph (2),’’ before ‘‘he was married’’; 

(4) by inserting ‘‘(1)’’ after ‘‘(g)’’; and 

(5) by adding at the end the following new paragraph: 

‘‘(2) The requirements of paragraph (1)(E) in connection with the 

surviving husband of an individual shall be treated as satisfied if—

‘‘(A) the individual had been married prior to the individual’s 

marriage to the surviving husband, 

‘‘(B) the prior husband was institutionalized during the individual’s marriage to the prior husband due to mental incompetence or similar incapacity, 

‘‘(C) during the period of the prior husband’s institutionalization, the individual would have divorced the prior husband and 

married the surviving husband, but the individual did not do 

so because such divorce would have been unlawful, by reason 

of the prior husband’s institutionalization, under the laws of 

the State in which the individual was domiciled at the time (as 

determined based on evidence satisfactory to the Commissioner 

of Social Security), 

‘‘(D) the prior husband continued to remain institutionalized 

up to the time of his death, and 

‘‘(E) the individual married the surviving husband within 60 

days after the prior husband’s death.’’. 

(c) CONFORMING AMENDMENT.—Section 216(k) of such Act (42 

U.S.C. 416(k)) is amended by striking ‘‘clause (5) of subsection (c) 

or clause (5) of subsection (g)’’ and inserting ‘‘clause (E) of subsection (c)(1) or clause (E) of subsection (g)(1)’’. 

(d) EFFECTIVE DATE.—The amendments made by this section 

shall be effective with respect to applications for benefits under 

title II of the Social Security Act filed during months ending after 

the date of the enactment of this Act. 

SEC. 415. CLARIFICATION RESPECTING THE FICA AND SECA TAX EXEMPTIONS FOR AN INDIVIDUAL WHOSE EARNINGS ARE 

SUBJECT TO THE LAWS OF A TOTALIZATION AGREEMENT 

PARTNER. 

Sections 1401(c), 3101(c), and 3111(c) of the Internal Revenue 

Code of 1986 are each amended by striking ‘‘to taxes or contributions for similar purposes under’’ and inserting ‘‘exclusively to the 

laws applicable to’’.

30

SEC. 416. COVERAGE UNDER DIVIDED RETIREMENT SYSTEM FOR PUBLIC EMPLOYEES IN KENTUCKY. 

(a) IN GENERAL.—Section 218(d)(6)(C) of the Social Security Act 

(42 U.S.C. 418(d)(6)(C)) is amended by inserting ‘‘Kentucky,’’ after ‘‘Illinois,’’. (b) EFFECTIVE DATE.—The amendment made by subsection (a) 

takes effect on January 1, 2003. 

SEC. 417. COMPENSATION FOR THE SOCIAL SECURITY ADVISORY 

BOARD. 

(a) IN GENERAL.—Subsection (f) of section 703 of the Social Security Act (42 U.S.C. 903(f)) is amended to read as follows: 

‘‘Compensation, Expenses, and Per Diem 

‘‘(f) A member of the Board shall, for each day (including traveltime) during which the member is attending meetings or conferences of the Board or otherwise engaged in the business of the 

Board, be compensated at the daily rate of basic pay for level IV 

of the Executive Schedule. While serving on business of the Board 

away from their homes or regular places of business, members may 

be allowed travel expenses, including per diem in lieu of subsistence, as authorized by section 5703 of title 5, United States Code, 

for persons in the Government employed intermittently.’’. 

(b) EFFECTIVE DATE.—The amendment made by this section shall 

be effective as of January 1, 2003. 

Subtitle C—Technical Amendments 

SEC. 421. TECHNICAL CORRECTION RELATING TO RESPONSIBLE 

AGENCY HEAD. 

Section 1143 of the Social Security Act (42 U.S.C. 1320b–13) is 

amended—

(1) by striking ‘‘Secretary’’ the first place it appears and inserting ‘‘Commissioner of Social Security’’; and 

(2) by striking ‘‘Secretary’’ each subsequent place it appears 

and inserting ‘‘Commissioner’’. 

SEC. 422. TECHNICAL CORRECTION RELATING TO RETIREMENT BENEFITS OF MINISTERS. 

(a) IN GENERAL.—Section 211(a)(7) of the Social Security Act (42 

U.S.C. 411(a)(7)) is amended by inserting ‘‘, but shall not include 

in any such net earnings from self-employment the rental value of 

any parsonage or any parsonage allowance (whether or not excluded under section 107 of the Internal Revenue Code of 1986) 

provided after the individual retires, or any other retirement benefit received by such individual from a church plan (as defined in 

section 414(e) of such Code) after the individual retires’’ before the 

semicolon. 

(b) EFFECTIVE DATE.—The amendment made by this section shall 

apply to years beginning before, on, or after December 31, 1994. 

SEC. 423. TECHNICAL CORRECTIONS RELATING TO DOMESTIC EMPLOYMENT. 

(a) AMENDMENT TO INTERNAL REVENUE CODE.—Section 

3121(a)(7)(B) of the Internal Revenue Code of 1986 is amended by 

striking ‘‘described in subsection (g)(5)’’ and inserting ‘‘on a farm 

operated for profit’’. 

31

(b) AMENDMENT TO SOCIAL SECURITY ACT.—Section 209(a)(6)(B) 

of the Social Security Act (42 U.S.C. 409(a)(6)(B)) is amended by 

striking ‘‘described in section 210(f)(5)’’ and inserting ‘‘on a farm 

operated for profit’’. 

(c) CONFORMING AMENDMENT.—Section 3121(g)(5) of such Code 

and section 210(f)(5) of such Act (42 U.S.C. 410(f)(5)) are amended 

by striking ‘‘or is domestic service in a private home of the employer’’. 

SEC. 424. TECHNICAL CORRECTIONS OF OUTDATED REFERENCES. 

(a) CORRECTION OF TERMINOLOGY AND CITATIONS RESPECTING

REMOVAL FROM THE UNITED STATES.—Section 202(n) of the Social 

Security Act (42 U.S.C. 402(n)) (as amended by section 412) is 

amended further—

(1) by striking ‘‘deportation’’ each place it appears and inserting ‘‘removal’’; 

(2) by striking ‘‘deported’’ each place it appears and inserting 

‘‘removed’’; 

(3) in paragraph (1) (in the matter preceding subparagraph 

(A)), by striking ‘‘under section 241(a) (other than under paragraph (1)(C) thereof)’’ and inserting ‘‘under section 237(a) 

(other than paragraph (1)(C) thereof) or 212(a)(6)(A)’’; 

(4) in paragraph (2), by striking ‘‘under any of the paragraphs of section 241(a) of the Immigration and Nationality 

Act (other than under paragraph (1)(C) thereof)’’ and inserting 

‘‘under any of the paragraphs of section 237(a) of the Immigration and Nationality Act (other than paragraph (1)(C) thereof) 

or under section 212(a)(6)(A) of such Act’’; 

(5) in paragraph (3)—

(A) by striking ‘‘paragraph (19) of section 241(a)’’ and inserting ‘‘subparagraph (D) of section 237(a)(4)’’; and 

(B) by striking ‘‘paragraph (19)’’ and inserting ‘‘subparagraph (D)’’; and 

(6) in the heading, by striking ‘‘Deportation’’ and inserting 

‘‘Removal’’. 

(b) CORRECTION OF CITATION RESPECTING THE TAX DEDUCTION

RELATING TO HEALTH INSURANCE COSTS OF SELF-EMPLOYED INDIVIDUALS.—Section 211(a)(15) of such Act (42 U.S.C. 411(a)(15)) is 

amended by striking ‘‘section 162(m)’’ and inserting ‘‘section 162(l)’’. 

(c) ELIMINATION OF REFERENCE TO OBSOLETE 20-DAY AGRICULTURAL WORK TEST.—Section 3102(a) of the Internal Revenue Code 

of 1986 is amended by striking ‘‘and the employee has not performed agricultural labor for the employer on 20 days or more in 

the calendar year for cash remuneration computed on a time 

basis’’. 

SEC. 425. TECHNICAL CORRECTION RESPECTING SELF-EMPLOYMENT 

INCOME IN COMMUNITY PROPERTY STATES. 

(a) SOCIAL SECURITY ACT AMENDMENT.—Section 211(a)(5)(A) of 

the Social Security Act (42 U.S.C. 411(a)(5)(A)) is amended by 

striking ‘‘all of the gross income’’ and all that follows and inserting 

‘‘the gross income and deductions attributable to such trade or 

business shall be treated as the gross income and deductions of the 

spouse carrying on such trade or business or, if such trade or business is jointly operated, treated as the gross income and deductions 

32

of each spouse on the basis of their respective distributive share of 

the gross income and deductions;’’. (b) INTERNAL REVENUE CODE OF 1986 AMENDMENT.—Section 

1402(a)(5)(A) of the Internal Revenue Code of 1986 is amended by 

striking ‘‘all of the gross income’’ and all that follows and inserting ‘‘the gross income and deductions attributable to such trade or 

business shall be treated as the gross income and deductions of the 

spouse carrying on such trade or business or, if such trade or business is jointly operated, treated as the gross income and deductions 

of each spouse on the basis of their respective distributive share of 

the gross income and deductions; and’’.

Æ