60256 Federal Register / Vol. 70, No. 199 / Monday, October 17, 2005 / Proposed Rules 

representative payee (if licensing is 

available in the State). The minimum 

amount of bonding or insurance 

coverage must equal the average 

monthly amount of supplemental 

security income payments received by 

the organization plus the amount of the 

beneficiaries’ conserved funds (i.e., 

beneficiaries’ saved supplemental 

security income payments) plus interest 

on hand. For example, an organization 

that has conserved funds of $5,000 and 

receives an average of $12,000 a month 

in supplemental security income 

payments must be bonded/insured for a 

minimum of $17,000. The license must 

be appropriate under the laws of the 

State for the type of services the 

organization provides. An example of an 

appropriately licensed organization is a 

community mental health center 

holding a State license to provide 

community mental health services. 

* * * * * 

(g) * * * 

(6) Fees for services may not be taken 

from beneficiary benefits for the months 

for which the Commissioner or a court 

of competent jurisdiction determines 

that the representative payee misused 

benefits. Any fees collected for such 

months will be treated as a part of the 

beneficiary’s misused benefits. 

* * * * * 

15. Amend § 416.641 by adding a new 

paragraph (f) to read as follows: 

§ 416.641 Who is liable if your 

representative payee misuses your 

benefits? 

* * * * * 

(f) Any amounts that the 

representative payee misuses and does 

not refund will be treated as an 

overpayment to that representative 

payee. See subpart E of part 416. 

16. Amend § 416.665 by revising the 

introductory text to read as follows: 

§ 416.665 How does your representative 

payee account for the use of benefits? 

Your representative payee must 

account for the use of your benefits. We 

require written reports from your 

representative payee at least once a year 

(except for certain State institutions that 

participate in a separate onsite review 

program). We may verify how your 

representative payee used your benefits. 

Your representative payee should keep 

records of how benefits were used in 

order to make accounting reports and 

must make those records available upon 

our request. If your representative payee 

fails to provide an annual accounting of 

benefits or other required reports, we 

may require your payee to receive your 

benefits in person at the local Social 

Security field office or a United States 

Government facility designated by the 

Social Security Administration serving 

the area in which you reside. The 

decision to have your representative 

payee receive your benefits in person 

may be based on a variety of reasons. 

Some of these reasons may include the 

payee’s history of past performance or 

SSA’s past difficulty in contacting the 

payee. We may ask your representative 

payee to give us the following 

information: 

* * * * * 

Subpart M—[Amended] 

17. The authority citation for subpart 

M of part 416 continues to read as 

follows: 

Authority: Secs. 702(a)(5), 1129A, 1611–

1614, 1619, and 1631 of the Social Security 

Act (42 U.S.C. 902(a)(5), 1320a–8a, 1382–

1382c, 1382h, and 1383). 

18. Amend § 416.1340 by revising the 

heading and paragraphs (a) and (e) to 

read as follows: 

§ 416.1340 Penalty for making false or 

misleading statements or withholding 

information. 

(a) When may SSA penalize me? You 

will be subject to a penalty if: 

(1) You make, or cause 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 you know or should know is false 

or misleading, or 

(2) You make a statement or 

representation of a material fact for use 

as described in paragraph (a)(1) of this 

section with knowing disregard for the 

truth, or 

(3) You omit from a statement or 

representation made for use as 

described in paragraph (a)(1) of this 

section, or otherwise withhold 

disclosure (for example, fail to come 

forward to notify SSA) of, a fact which 

you know 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 you know, or should know, that the 

statement or representation with such 

omission is false or misleading or that 

the withholding of such disclosure is 

misleading. 

* * * * * 

(e) How will SSA make its decision to 

penalize me? In order to impose a 

penalty on you, we must find that you 

knowingly (knew or should have known 

or acted with knowing disregard for the 

truth) made a false or misleading 

statement or omitted or failed to report 

a material fact if you knew, or should 

have known, that the omission or failure 

to disclose was misleading. We will 

base our decision to penalize you on the 

evidence and the reasonable inferences 

that can be drawn from that evidence, 

not on speculation or suspicion. Our 

decision to penalize you will be 

documented with the basis and 

rationale for that decision. In 

determining whether you knowingly 

made a false or misleading statement or 

omitted or failure to report a material 

fact so as to justify imposition of the 

penalty, we will consider all evidence 

in the record, including any physical, 

mental, educational, or linguistic 

limitations (including any lack of 

facility with the English language) 

which you may have had at the time. In 

determining whether you acted 

knowingly, we will also consider the 

significance of the false or misleading 

statement or omission or failure to 

disclose in terms of its likely impact on 

your benefits. 

* * * * * 

[FR Doc. 05–20697 Filed 10–14–05; 8:45 am] 

BILLING CODE 4191–02–P 

DEPARTMENT OF THE TREASURY 

Internal Revenue Service 

26 CFR Part 801 

[REG–114444–05] 

RIN 1545–BE45 

Balanced System for Measuring 

Organizational and Employee 

Performance Within the Internal 

Revenue Service 

AGENCY: Internal Revenue Service (IRS), 

Treasury. 

ACTION: Notice of proposed rulemaking 

by cross-reference to temporary 

regulations. 

SUMMARY: In the Rules and Regulations 

section of this issue of the Federal 

Register, the IRS is issuing temporary 

regulations designed to modify 26 CFR 

part 801, the regulations governing the 

IRS Balanced System for Measuring 

Organizational and Employee 

Performance, to clarify when quantity 

measures, which are not tax 

enforcement results, may be used in 

measuring organizational and employee 

performance. The temporary regulations 

affect internal operations of the IRS and 

the systems it employs to evaluate the 

performance of organizations within the 

IRS. The text of the temporary 

regulations also serves as the text of 

these proposed regulations. 

Federal Register / Vol. 70, No. 199 / Monday, October 17, 2005 / Proposed Rules 60257 

DATES: Written or electronic comments 

and requests for a public hearing must 

be received by December 16, 2005. 

ADDRESSES: Send submissions to: 

CC:PA:LPD:PR (REG–114444–05), Room 

5203, P.O. Box 7604, Ben Franklin 

Station, Washington, DC 20044. 

Submissions may be hand delivered 

Monday through Friday between the 

hours of 8 a.m. and 4 p.m. to: 

CC:PA:LPD:PR (REG–114444–05), 

Courier’s Desk, 1111 Constitution 

Avenue, NW., Washington, DC 20224 or 

sent electronically via the IRS Internet 

site at http://www.irs.gov/regs or via the 

Federal eRulemaking Portal at http:// 

www.regulations.gov (IRS REG–114444–

05). 

FOR FURTHER INFORMATION CONTACT: 

Concerning the proposed regulations, 

Neil Worden, (202) 283–7900; 

concerning submissions of comments 

Robin Jones, Publications and 

Regulations Branch, (202) 622–3521 (not 

toll-free numbers). 

SUPPLEMENTARY INFORMATION: 

Background 

Temporary regulations in the Rules 

and Regulations section of this issue of 

the Federal Register amend 26 CFR part 

801. The temporary regulations amend 

part 801 to clarify when quantity 

measures, which are not tax 

enforcement results, may be used in 

measuring organizational and employee 

performance. The text of those 

regulations also serves as the text of 

these regulations. The ‘‘Explanation of 

Provisions’’ section of the temporary 

regulations explains the temporary 

regulations and these proposed 

regulations. 

Special Analyses 

It has been determined that this notice 

of proposed rulemaking is not a 

significant regulatory action as defined 

in Executive Order 12866. Therefore, a 

regulatory assessment is not required. It 

also has been determined that section 

553(b) of the Administrative Procedure 

Act (5 U.S.C. chapter 5) does not apply 

to these regulations, and because the 

regulation does not impose a collection 

of information on small entities, the 

Regulatory Flexibility Act (5 U.S.C. 

chapter 6) does not apply. Pursuant to 

section 7805(f) of the Internal Revenue 

Code, this notice of proposed 

rulemaking will be submitted to the 

Chief Counsel for Advocacy of the Small 

Business Administration for comment 

on its impact on small business. 

Comments and Requests for Public 

Hearing 

Before these proposed regulations are 

adopted as final regulations, 

consideration will be given to any 

written or electronic comments that are 

timely submitted to the IRS. The IRS 

and the Treasury Department 

specifically request comments on the 

clarity of the proposed regulations and 

how they can be made easier to 

understand. All comments will be 

available for public inspection and 

copying. A public hearing may be 

scheduled if requested by any person 

who timely submits comments. If a 

public hearing is scheduled, notice of 

the date, time and place for the hearing 

will be published in the Federal 

Register. 

Drafting Information 

The principal author of these 

regulations is Karen F. Keller, Office of 

Associate Chief Counsel (General Legal 

Services). However, other personnel 

from the IRS participated in their 

development. 

List of Subjects in 26 CFR Part 801 

Government employees, Organization 

and functions (Government agencies). 

Proposed Amendments to the 

Regulations 

Accordingly, 26 CFR part 801 is 

proposed to be amended as follows: 

PART 801—BALANCED SYSTEM FOR 

MEASURING ORGANIZATIONAL AND 

INDIVIDUAL PERFORMANCE WITHIN 

THE INTERNAL REVENUE SERVICE 

Paragraph 1. The authority citation 

for Part 801 continues to read in part as 

follows: 

Authority: 5 U.S.C. 9501 * * *. 

Par. 2. Section 801.1T is redesignated 

as § 801.1 and amended by revising the 

section heading to read as follows: 

§ 801.1 Balanced performance 

measurement system; in general. 

[The text of proposed § 801.1 is the 

same as the text of § 801.1T published 

elsewhere in this issue of the Federal 

Register.] 

Par. 3. Section 801.2T is redesignated 

as § 801.2 and amended by revising the 

section heading to read as follows: 

§ 801.2 Measuring organizational 

performance. 

[The text of proposed § 801.2 is the 

same as the text of § 801.2T published 

elsewhere in this issue of the Federal 

Register.] 

Par. 4. Section 801.3T is redesignated 

as § 801.3 and amended by revising the 

section heading to read as follows: 

§ 801.3 Measuring employee performance. 

[The text of proposed § 801.3 is the 

same as the text of § 801.3T published 

elsewhere in this issue of the Federal 

Register.] 

Par. 5. Section 801.4T is redesignated 

as § 801.4 and amended by revising the 

section heading to read as follows: 

§ 801.4 Customer satisfaction measures. 

[The text of proposed § 801.4 is the 

same as the text of § 801.4T published 

elsewhere in this issue of the Federal 

Register.] 

Par. 6. Section 801.5T is redesignated 

as § 801.5 and amended by revising the 

section heading to read as follows: 

§ 801.5 Employee satisfaction measures. 

[The text of proposed § 801.5 is the 

same as the text of § 801.5T published 

elsewhere in this issue of the Federal 

Register.] 

Par. 7. Section 801.6T is redesignated 

as § 801.6 and amended by revising the 

section heading to read as follows: 

§ 801.6 Business results measures. 

[The text of proposed § 801.6 is the 

same as the text of § 801.6T published 

elsewhere in this issue of the Federal 

Register.] 

Par. 8. Section 801.7T is redesignated 

as § 801.7 and amended by revising the 

section heading to read as follows: 

§ 801.7 Examples. 

[The text of the proposed § 801.7 is 

the same as the text of § 801.7T 

published elsewhere in this issue of the 

Federal Register.] 

Par. 9. Section 801.8T is redesignated 

as § 801.8 and amended by revising the 

section heading to read as follows: 

§ 801.8 Effective dates. 

[The text of proposed § 801.8 is the 

same as the text of § 801.8T published 

elsewhere in this issue of the Federal 

Register.] 

Mark E. Matthews, 

Deputy Commissioner for Services and 

Enforcement. 

[FR Doc. 05–20438 Filed 10–14–05; 8:45 am] 

BILLING CODE 4830–01–P 

CORPORATION FOR NATIONAL AND 

COMMUNITY SERVICE 

45 CFR Chapter XXV 

AmeriCorps State and National, Senior 

Corps, and Learn and Serve 

AGENCY: Corporation for National and 

Community Service. 

ACTION: Notice inviting preliminary 

informal public input in advance of 

rulemaking on criminal background 

checks for AmeriCorps State/National, 

Senior Corps, and Learn and Serve 

America grant programs.