United States Department of Labor

Employees’ Compensation Appeals Board

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T.B., Appellant

and

DEPARTMENT OF THE ARMY, ARMY 

CORPS OF ENGINEERS, Pomeroy, WA, 

Employer

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Docket No. 18-1449

Issued: March 19, 2019

Appearances: Case Submitted on the Record

Appellant, pro se

Office of Solicitor, for the Director

DECISION AND ORDER

Before:

CHRISTOPHER J. GODFREY, Chief Judge

ALEC J. KOROMILAS, Alternate Judge

VALERIE D. EVANS-HARRELL, Alternate Judge

JURISDICTION

On July 17, 2018 appellant filed a timely appeal from a June 15, 2018 merit decision of the 

Office of Workers’ Compensation Programs (OWCP). Pursuant to the Federal Employees’

Compensation Act1(FECA) and 20 C.F.R. §§ 501.2(c) and 501.3, the Board has jurisdiction over 

the merits of this case.

ISSUES

The issues are: (1) whether appellant received an overpayment of compensation in the 

amount of $1,465.20 because he concurrently received Social Security Administration (SSA) 

retirement benefits while receiving FECA benefits for the period January 1, 2012 through March 3, 

2018; (2) whether OWCP properly denied waiver of recovery of the overpayment; and (3) whether 

OWCP properly required recovery of the overpayment by deducting $488.40 every 28 days from 

appellant’s continuing compensation.

 

1 5 U.S.C. § 8101 et seq.
2

FACTUAL HISTORY

OWCP accepted that on January 3, 1983 appellant, then a 33-year-old painter, sustained 

injuries to his left elbow, right shin, and back when he fell through a dislodged grate while in the 

performance of duty. Appellant stopped work on January 17, 1983. OWCP accepted his claim 

for contusions of the left elbow and right shin, back strain, and herniated nucleus pulposus at 

L5-S1. It paid wage-loss compensation and medical benefits beginning January 22, 1983. 

In July 1989, appellant was referred for vocational rehabilitation. He returned to work as 

a grounds keeper in August 19892and then as a truck driver on July 21, 1992. Appellant stopped 

work on April 5, 1994. In May 4, 1994, OWCP reduced his compensation based on his actual 

earnings in his capacity as a truck driver with a private company. Appellant continued to receive 

wage-loss compensation at the reduced amount and OWCP placed him on the periodic rolls, 

effective June 16, 2002.

In an informational letter dated December 13, 2011, OWCP informed appellant that FECA 

required his wage-loss compensation benefits to be reduced if he began receiving Social Security 

Administration (SSA) retirement benefits based on his age and federal service. It notified him of 

his obligation to report receipt of such retirement benefits to avoid an overpayment of 

compensation. In a Form CA-1032 dated December 11, 2012, appellant informed OWCP that he 

was receiving SSA benefits as part of an annuity for federal service. 

In CA-1032 forms dated December 10, 2013, December 19, 2014, January 4 and

December 12, 2016, and January 5, 2018, appellant indicated “No” that he was not receiving SSA 

benefits as part of an annuity for federal service. On the Form CA-1032 that he signed on 

January 5, 2018 appellant reported that he was receiving “retirement benefit.” 

On January 16, 2018 OWCP provided SSA with a Federal Employees Retirement System 

(FERS)/SSA dual benefits calculation form. On February 8, 2018 SSA submitted the completed 

form, which showed SSA benefit rates with a FERS offset and without a FERS offset from 

January 2012 through December 2017. Beginning January 2012, appellant’s SSA rate, with FERS 

was $525.20 and without FERS was $506.20. Beginning December 2012, the SSA rate with FERS 

was $534.10 and $514.80 without FERS. Beginning December 2013, the SSA rate with FERS 

$542.10 and $522.50 without FERS. Beginning December 2014, the SSA rate with FERS was 

$551.30 and $531.30 without FERS. Beginning December 2015, the SSA rate with FERS was 

$551.30 and $531.30 without FERS. Beginning December 2016, the SSA rate with FERS was 

$552.90 and $532.90 without FERS. Beginning December 2017, the SSA rate with FERS was 

$563.90 and $543.60 without FERS.

In a letter dated March 5, 2018, OWCP advised appellant that he had been receiving a 

prohibited dual benefit. It noted that the portion of SSA benefits earned as a federal employee was 

part of his retirement and that the receipt of wage-loss compensation under FECA and federal 

 

2 Appellant was terminated from his employment with the employing establishment effective November 9, 1989.
3

retirement was prohibited. OWCP adjusted appellant’s FECA benefits to account for his SSA 

offset, which reduced his FECA wage-loss compensation payments from $2,143.00 to $2,124.26.3

On March 16, 2018 OWCP issued a preliminary determination that appellant received an 

overpayment of compensation in the amount of $1,465.20 because he received FECA wage-loss 

compensation benefits concurrently with SSA retirement benefits from January 1, 2012 through

March 3, 2018. It provided a calculation of the overpayment. OWCP recommended that appellant 

be found without fault in the creation of the overpayment because he was not aware nor could he 

reasonably have been expected to know that it had paid compensation incorrectly. It requested 

that he submit a completed overpayment recovery questionnaire (Form OWCP-20) to determine a 

fair repayment method. OWCP also noted that appellant could request waiver of recovery of the 

overpayment. It provided him with his appeal rights and afforded 30 days for a response.

No response or additional evidence was received. 

By decision dated June 15, 2018, OWCP determined that appellant had received an 

overpayment of compensation in the amount of $1,465.20 because a portion of appellant’s SSA 

benefits was based on credits earned while working in the Federal Government and that this portion 

of his SSA benefit was a prohibited dual benefit. It further found that he was not at fault in the 

creation of the overpayment, but denied waiver of recovery of the overpayment. OWCP noted 

that no response had been received following the preliminary determination. It required recovery 

of the overpayment by deducting $488.40 every 28 days from appellant’s continuing wage-loss 

compensation payments. 

LEGAL PRECEDENT -- ISSUE 1

Section 8102(a) of FECA provides that the United States shall pay compensation for the 

disability of an employee resulting from personal injury sustained while in the performance of his 

or her federal employment.4 Section 8116 limits the right of an employee to receive compensation: 

While an employee is receiving compensation, he or she may not receive salary, pay, or 

remuneration of any type from the United States.5

Section 10.421(d) of the implementing regulations requires that OWCP reduce the amount 

of compensation by the amount of any SSA age-based benefits that are attributable to federal 

service of the employee.6 FECA Bulletin No. 97-09 provides that FECA benefits have to be 

adjusted for the FERS portion of SSA benefits because the portion of the SSA benefit earned as a 

 

3 The amount of the SSA offset was noted as $18.74.

4 5 U.S.C. § 8102(a).

5

Id. at § 8116.

6 20 C.F.R. § 10.421(d); see L.J., 59 ECAB 264 (2007).
4

federal employee is part of the FERS retirement package, and the receipt of FECA benefits and 

federal retirement concurrently is a prohibited dual benefit.7

Section 404.409 of SSA regulations provides that for individuals born from 1943 to 1954, 

full retirement age is 66 years.8

ANALYSIS -- ISSUE 1

The Board finds that OWCP properly determined that appellant received an overpayment 

of compensation in the amount of $1,465.20 because he concurrently received SSA retirement 

benefits while receiving FECA benefits for the period January 1, 2012 through March 3, 2018. 

Appellant has not challenged the fact or amount of overpayment. The record indicates that, while 

appellant was receiving compensation for total disability under FECA, he was also receiving SSA 

age-based retirement benefits. A claimant cannot receive both compensation for wage-loss and 

SSA age-based benefits attributable to federal service for the same period.9 Consequently, the fact 

of overpayment has been established.

To determine the amount of overpayment, the SSA provided appellant’s SSA rate with 

FERS and without FERS during the applicable period. OWCP determined that appellant received 

a total of $163,876.50 in wage-loss compensation during the period from January 1, 2012 to 

March 3, 2018. Based on the information provided by SSA, OWCP calculated that appellant 

should have received a total of $162,411.30 in wage-loss compensation had OWCP applied the 

proper SSA rate with FERS offset, which resulted in an overpayment of $1,465.20, during the 

applicable period. The Board has reviewed OWCP’s calculations of the dual benefits that 

appellant received and finds that it properly determined that he received a $1,465.20 overpayment 

of compensation.

LEGAL PRECEDENT -- ISSUE 2

Section 8129 of FECA provides that an individual who is without fault in creating or 

accepting an overpayment is still subject to recovery of the overpayment unless adjustment or 

recovery would defeat the purpose of FECA or would be against equity and good conscience.10 

The waiver or refusal to waive an overpayment of compensation by OWCP is a matter that rests 

within OWCP’s discretion pursuant to statutory guidelines.11 

Recovery of an overpayment will defeat the purpose of FECA if such recovery would cause 

hardship to a currently or formerly entitled beneficiary because the beneficiary from whom OWCP 

seeks recovery needs substantially all of his or her current income, including compensation 

 

7 FECA Bulletin No. 97-09 (February 3, 1997).

8 20 C.F.R. § 404.409.

9 Supra note 6.

10 5 U.S.C. § 8129; 20 C.F.R. §§ 10.433, 10.434, 10.436, and 10.437; see A.S., Docket No. 17-0606 (issued 

December 21, 2017).

11 See Robert Atchison, 41 ECAB 83, 87 (1989).
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benefits, to meet current ordinary and necessary living expenses, and the beneficiary’s assets do 

not exceed a specified amount as determined by OWCP.12 Additionally recovery of an 

overpayment is considered to be against equity and good conscience when an individual who 

received an overpayment would experience severe financial hardship in attempting to repay the 

debt or when an individual, in reliance on such payment or on notice that such payments would be 

made, gives up a valuable right or changes his or her position for the worse.

13

OWCP regulations provide that the individual who received the overpayment is responsible 

for providing information about income, expenses, and assets as specified by OWCP. This 

information is needed to determine whether or not recovery of an overpayment would defeat the 

purpose of FECA or be against equity and good conscience. The information is also used to 

determine the repayment schedule, if necessary.14 Failure to submit the requested information 

within 30 days of the request shall result in a denial of waiver of recovery, and no further request 

for waiver shall be considered until the requested information is furnished.15

ANALYSIS -- ISSUE 2

The Board finds that OWCP properly denied waiver of recovery of the $1,465.20 

overpayment of compensation.

As OWCP found appellant without fault in the creation of the overpayment, waiver must 

be considered, and repayment is still required unless adjustment or recovery of the overpayment 

would defeat the purpose of FECA or be against equity and good conscience.16 Appellant, 

however, had the responsibility to provide the appropriate financial information to OWCP.17

In its preliminary determination dated March 16, 2018, OWCP clearly explained the 

importance of providing the completed overpayment questionnaire and financial information, 

including copies of income tax returns, bank account statements, bills, pay slips, and any other 

records to support income and expenses. It advised appellant that it would deny waiver if he failed 

to furnish the requested financial information within 30 days. Appellant, however, did not respond 

nor did he complete a Form OWCP-20 or submit any financial information necessary for OWCP 

to determine if recovery of the overpayment would defeat the purpose of FECA or if recovery 

would be against equity and good conscience. 

 

12 20 C.F.R. § 10.436(a)(b). For an individual with no eligible dependents the asset base is $4,800.00. The base 

increases to $8,000.00 for an individual with a spouse or one dependent, plus $960.00 for each additional dependent. 

Federal (FECA) Procedure Manual, Part 6 -- Debt Management, Initial Overpayment Actions, Chapter 

6.200.6(a)(1)(b) (June 2009).

13 Id. at § 10.437(a)(b).

14 Id. at § 10.438(a); Ralph P. Beachum, Sr., 55 ECAB 442 (2004).

15 Id. at § 10.438(b).

16 Id. at § 10.436.

17 Id. at § 10.438.
6

Consequently, as appellant did not submit the information required under section 10.438 

of OWCP’s regulations, which was necessary to determine his eligibility for waiver, OWCP 

properly denied waiver of recovery of the overpayment.18

LEGAL PRECEDENT -- ISSUE 3

Section 10.441 of OWCP’s regulations provides that when an overpayment has been made 

to an individual who is entitled to further payments, the individual shall refund to OWCP the 

amount of the overpayment as the error is discovered or his attention is called to the same. If no 

refund is made, OWCP shall decrease later payments of compensation, taking into account the 

probable extent of future payments, the rate of compensation, the financial circumstances of the 

individual, and any other relevant factors, so as to minimize any hardship.19

ANALYSIS -- ISSUE 3

The Board finds that OWCP properly required recovery of the overpayment by deducting 

$488.40 every 28 days from appellant’s continuing compensation.

As noted, appellant did not complete the Form OWCP-20 nor submit financial information 

as requested prior to the final June 15, 2018 decision. The overpaid individual is responsible for 

providing information about income, expenses, and assets as specified by OWCP.20 When an 

individual fails to provide requested financial information, OWCP should follow minimum 

collection guidelines designed to collect the debt promptly and in full.21 As appellant did not 

submit information to OWCP as requested, the Board finds that there is no evidence in the record 

to show that OWCP erred in directing recovery of the $1,465.20 overpayment at the rate of $488.40 

every 28 days from appellant’s continuing compensation.22

On appeal, appellant alleges that he cannot afford the $448.00 deducted from his continuing 

compensation payments. He did not, however, provide financial documents to support his 

argument. Accordingly, there is no evidence of record to establish that OWCP erred in directing 

recovery at the rate of $488.40 every 28 days from appellant’s continuing compensation.

CONCLUSION

The Board finds that appellant received an overpayment of compensation in the amount of 

$1,465.20, that OWCP properly denied waiver of recovery of the overpayment, and that it properly 

required recovery at the rate of $488.40 every 28 days from appellant’s continuing compensation.

 

18 See S.B., Docket No. 16-1795 (issued March 2, 2017).

19 20 C.F.R. § 10.441(a); see Donald R. Schueler, 39 ECAB 1056, 1062 (1988).

20 Id. at 10.438.

21 Frederick Arters, 53 ECAB 397 (2002); Federal (FECA) Procedure Manual, supra note 12 at Chapter 

6.200.4(c)(2) (May 2004).

22 See E.K., Docket No. 18-0587 (issued October 1, 2018).
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ORDER

IT IS HEREBY ORDERED THAT the June 15, 2018 decision of the Office of Workers’

Compensation Programs is affirmed. 

Issued: March 19, 2019

Washington, DC

Christopher J. Godfrey, Chief Judge

Employees’ Compensation Appeals Board

Alec J. Koromilas, Alternate Judge

Employees’ Compensation Appeals Board

Valerie D. Evans-Harrell, Alternate Judge

Employees’ Compensation Appeals Board