United States Department of Labor

Employees’ Compensation Appeals Board

__________________________________________

R.C., Appellant

and

U.S POSTAL SERVICE, ST. JAMES PARK 

STATION POST OFFICE, San Jose, Employer

__________________________________________

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Docket No. 21-1106

Issued: March 25, 2022

Appearances: Case Submitted on the Record

Appellant, pro se

Office of Solicitor, for the Director

DECISION AND ORDER

Before:

ALEC J. KOROMILAS, Chief Judge

JANICE B. ASKIN, Judge

VALERIE D. EVANS-HARRELL, Alternate Judge

JURISDICTION

On July 12, 2021 appellant filed a timely appeal from a June 9, 2021 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 to 

consider the merits of this case.2

ISSUES

The issues are: (1) whether OWCP properly determined that appellant received an

overpayment of compensation in the amount of $24,136.16, for the period November 1, 2017 

through April 24, 2021, for which she was without fault, because she concurrently received Social 

1

5 U.S.C. § 8101 et seq. 

2 The Board notes that OWCP received additional evidence following the June 9, 2021 merit decision. However, 

the Board’s Rules of Procedure provides: “The Board’s review of a case is limited to the evidence in the case record 

that was before OWCP at the time of its final decision. Evidence not before OWCP will not be considered by the 

Board for the first time on appeal.” 20 C.F.R. § 501.2(c)(1). Thus, the Board is precluded from reviewing this 

additional evidence for the first timeon appeal. Id.
2

Security Administration (SSA) age-related retirement benefits while also receiving FECA wageloss compensation without an appropriate offset; and (2) whether OWCP properly denied waiver 

of recovery of the overpayment.

FACTUAL HISTORY

On July 6, 1990 appellant, then a 38-year-old mail carrier, filed a traumatic injury claim 

(Form CA-1) alleging that she sustained multiple injuries when attacked from behind by an 

unknown female assailant when loading her mail pouch while in the performance of duty. She

stopped work on the date of injury. A July 25, 1990 nonfatal summary (NFS) notes appellant’s 

retirement plan code as “K,” indicating her enrollment in the Federal Employees Retirement 

System (FERS) and Federal Insurance Contribution Act. On July 31, 1990 OWCP accepted the 

claim for multiple abrasions. Appellant remained off work and OWCP paid her total disability 

compensation through April 17, 1991. She returned to full-time restricted duty on April 18, 1991.

On January 7, 1994 OWCP accepted a recurrence of disability.

On May 18, 1995 OWCP expanded acceptance of the claim to include displacement of 

lumbar intervertebral disc, a cervical disc bulge, and a lumbar sprain. It subsequently expanded

acceptance of the claim to include adjustment disorder with depressed mood. 

Following a period of intermittent, part-time light-duty work, appellant retired from the 

employing establishment effective September 17, 1998.3 OWCP paid wage-loss compensation 

benefits on the periodic rolls.4

On December 3, 2013 OWCP issued a letter advising appellant to notify OWCP upon her 

receipt of SSA retirement benefits. It related that section 8116(d)(2) of FECA (5 U.S.C. 

§ 8116(d)(2)) required that a claimant’s continuing compensation benefits be reduced if he or she 

began receiving SSA retirement benefits based on his or her age and federal service. OWCP noted 

that it was notifying appellant of this requirement as she had recently attained 62 years of age, the 

minimum age at which an individual is eligible to receive SSA retirement benefits. It noted that 

failure to report receipt of such retirement benefits to OWCP could result in an overpayment of 

compensation, which could be subject to recovery. Consequently, if appellant had been approved 

for SSA retirement benefits, or were currently receiving SSA retirement benefits, to contact OWCP 

immediately so that it could begin the process of making any necessary adjustments to h er

compensation benefits.

On January 7, 2021 OWCP provided SSA with a dual benefits calculation form. It listed 

the computation period as November 22, 2013 to present. On March 11, 2021 OWCP received 

the completed FERS/SSA dual benefits calculation form, wherein SSA calculated SSA benefit 

rates with a FERS offset and without a FERS offset from November 2017 through December 2020. 

3 On April 20, 1999 OWCP granted appellant a schedule award for 29 percent permanent impairment of the right 

upper extremity and 33 percent permanent impairment of the right lower extremity. The period of the award ran for 

185.52 weeks from June 2, 1997 through December 21, 2000. OWCP subsequently reinstated appellant on the 

periodic rolls. 

4 On March 2, 2012 OWCP changed appellant’s status code to PN, entitled to payment on periodic rolls as she 

remained totally disabled and her condition was “not expected to improve.”
3

Beginning November 2017, the SSA rate with FERS was $1,174.00 and without FERS was 

$624.10. Beginning December 2017, the SSA rate with FERS was $1,197.40 and without FERS 

was $636.50. Beginning December 2018, the SSA rate with FERS was $1,230.90 and without 

FERS was $654.30. Beginning December 2019, the SSA rate with FERS was $1,250.50 and 

without FERS was $664.70. Beginning December 2020, the SSA rate with FERS was $1,266.70

and without FERS was $673.30. 

On May 7, 2021 OWCP prepared a FERS offset calculation based on the SSA

documentation wherein it noted the calculation of appellant’s overpayment from November 1, 

2017 through April 24, 2021. It determined that, during the period November 1 through 30, 2017,

she received an overpayment in the amount of $543.86. For the period December 1, 2017 through 

November 30, 2018, appellant received an overpayment in the amount of $6,749.29. For the 

period December 1, 2018 through November 30, 2019, she received an overpayment in the amount 

of $6,938.21. For the period December 1, 2019 through November 30, 2020, appellant received 

an overpayment in the amount of $7,068.22. For the period December 1, 2020 through April 24, 

2021, she received an overpayment in the amount of $2,836.58. The total overpayment was 

determined to be $24,136.16.

In a letter dated May 7, 2021, OWCP advised appellant that she had been receiving a 

prohibited dual benefit. It noted that the SSA had confirmed that a portion of her SSA age-related 

retirement benefits were attributed to her years of federal service as an employee under FERS and 

that portion required an offset of herFECA compensation benefits, in the amount of $593.40 every 

28 days. OWCP indicated that, to account for her SSA offset, appellant’s FECA wage-loss 

compensation would be adjusted to reflect a new net compensation amount of $2,494.25 effective 

April 25, 2021. 

On May 7, 2021 OWCP issued a preliminary overpayment determination, finding that an 

overpayment of compensation in the amount of $24,136.16 had been created because the 

FERS/SSA offset was not applied to payments for the period November 1, 2017 through April 24,

2021 for this period. It determined that appellant was without fault in the creation of the 

overpayment. OWCP requested that she submit a completed overpayment recovery questionnaire 

(Form OWCP-20) to determine a reasonable repayment method and advised her that she could 

request a waiver of recovery of the overpayment. It further requested financial information, 

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

records to support income and expenses. OWCP advised appellant that it would deny waiver if 

she failed to furnish the requested financial information within 30 days. It provided an 

overpayment action request form and further notified her that, within 30 days of the date of the 

letter, she could contest the overpayment and request a telephone conference, a final decision based 

on the written evidence, or a prerecoupment hearing. Appellant did not respond. 

By decision dated June 9, 2021, OWCP finalized the May 7, 2021 preliminary 

overpayment determination that appellant had received an overpayment of compensation in the 

amount of $24,136.16 because it had failed to offset her compensation payments for the period 

November 1, 2017 through April 24, 2021by the portion of herSSA benefits that were attributable 

to federal service. It further found that she was without fault in the creation of the overpayment, 

but denied waiver of recovery of the overpayment because the evidence of record failed to establish 

that recovery of an overpayment would defeat the purpose of FECA as she had not responded to 
4

the request for financial information. OWCP further found that recovery of the overpayment 

would not be against equity and good conscience as appellant had not shown that she would 

experience severe financial hardship in attempting to repay the debt, and that she had not asserted 

detrimental reliance. Itdirected recovery of the overpayment by lump sum payment of $24,136.16.

Appellant was advised by OWCP that if she was unable to refund the entire amount that she should 

contact OWCP if she wished to enter into an installment payment program. 

LEGAL PRECEDENT -- ISSUE 1

Section 8102 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 

duty.5 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.6

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

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

service of the employee.7 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 

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

federal retirement concurrently is a prohibited dual benefit.8 

ANALYSIS -- ISSUE 1

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

of compensation in the amount of $24,136.16 for the period November 1, 2017 through April 24, 

2021, for which she was without fault, as she concurrently received SSA age-related retirement 

benefits and FECA wage-loss compensation without an appropriate offset.

As noted, a claimant cannot receive concurrent FECA wage-loss compensation and SSA 

age-related retirement benefits attributable to federal service for the same period.9 The information 

provided by SSA established that appellant had received SSA age-related retirement benefits that 

were attributable to her federal service from November 1, 2017 through April 24, 2021. 

Consequently, the fact of overpayment has been established.

5

5 U.S.C. § 8102(a).

6

Id. at § 8116.

7

20 C.F.R. § 10.421(d); E.R., Docket No. 21-0133 (issued November 15, 2021); M.R., Docket No. 20-1622 (issued 

June 30, 2021); S.S., Docket No. 19-1945 (issued March 25, 2021); see S.O., Docket No. 18-0254 (issued August 2, 

2018); L.J., 59 ECAB 264 (2007).

8 FECA Bulletin No. 97-09 (issued February3, 1997).

9

See supra note 8; M.R., Docket No. 20-0427 (issued October 30, 2020). See also N.B., Docket No. 18-0795 

(issued January 4, 2019); A.C., DocketNo. 18-1550 (issued February 21, 2019).
5

To determine the amount of the overpayment, the portion of the SSA age-related retirement 

benefits that were attributable to federal service must be calculated. OWCP received 

documentation from SSA with respect to the specific amount of SSA age-related retirement 

benefits that were attributable to federal service. SSA provided age-related retirement benefits 

rates with and without FERS during the specific period November 1, 2017 through April 24, 2021. 

OWCP provided its calculation for each relevant period based on a FERS offset calculation 

worksheet. 

The Board has reviewed OWCP’s calculation of benefits received by appellant for the 

period November 1, 2017 through April 24, 2021 and finds that an overpayment of compensation

in the amount of $24,136.16 was created.

LEGAL PRECEDENT -- ISSUE 2

Section 8129 of FECA provides that an overpayment in compensation shall be recovered 

by OWCP unless “incorrect payment has been made to an individual who is without fault and 

when adjustment or recovery would defeat the purpose of FECA or would be against equity and 

good conscience.”

10

 Section 10.438 of OWCP regulations provides 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. 

Failure to submit the requested information within 30 days of the request shall result in denial of 

waiver.11

The guidelines for determining whether recovery of an overpayment would defeat the 

purpose of FECA or would be against equity and good conscience are set forth in sections 10.434 

to 10.437 of OWCP’s regulations.12

Section 10.436 provides that recovery of an overpayment would defeat the purpose of 

FECA if recovery would cause hardship because the beneficiary needs substantially all of his or 

her current income (including compensation benefits) to meet current ordinary and necessary 

living expenses and, also, if the beneficiary’s assets do not exceed a specified amount as 

determined by OWCP from data provided by the Bureau of Labor Statistics. 13 An individual is 

deemed to need substantially all of his or her current income to meet current ordinary and necessary 

living expenses if monthly income does not exceed monthly expenses by more than $50.00.14

OWCP’s procedures provide that the assets must not exceed a resource base of $6,200.00 

for an individual or $10,300.00 for an individual with a spouse or dependent plus $1,200.00 for 

10 5 U.S.C. § 8129.

11 20 C.F.R. § 10.438.

12 Id. at §§ 10.434-10.437.

13 Id. at § 10.436.

14 Federal (FECA) Procedure Manual, Part 6 -- Debt Management, Final Overpayment Determinations, Chapter 

6.400.4a(3) (September 2020).
6

each additional dependent.15 An individual’s liquid assets include, but are not limited to, cash and 

the value of stocks, bonds, saving accounts, mutual funds, and certificates of deposit. Nonliquid 

assets include, but are not limited to, the fair market value of an owner’s equity in property such 

as a camper, boat, second home, furnishings/supplies, vehicle(s) above the two allowed per 

immediate family, retirement account balances (such as Thrift Savings Plan or 401(k)), jewelry, 

and artwork.16

ANALYSIS -- ISSUE 2

The Board finds that OWCP properly denied waiver of recovery of the overpayment of 

compensation.

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

recovery of the overpayment 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.17 Appellant, however, had the responsibility to provide the appropriate financial 

information and documentation to OWCP, but failed to do so.

18

In its preliminary overpayment determination dated May 7, 2021, OWCP explained the 

importance of providing the completed Form OWCP-20 along with supporting financial 

documentation. It advised appellant that it would deny waiver of recovery if she failed to furnish 

the requested financial information within 30 days. Appellant did not respond. As she did not 

submit a completed Form OWCP-20 with supporting financial documentation of her income, 

assets, and expenses, OWCP could not determine if recovery of the overpayment would defeat the 

purpose of FECA or if recovery would be against equity and good conscience.19

Accordingly, as appellant did not submit the information required under 20 C.F.R. § 10.438

of OWCP’s regulations to determine her eligibility for waiver, the Board finds that OWCP 

properly denied waiver of recovery of the overpayment of compensation.

On appeal, appellant contends that recovery of the overpayment would create financial 

hardship as she remained totally disabled due to both occupational and nonoccupational 

conditions. As noted above, she did not submit the financial information necessary for OWCP to 

consider waiver of recovery of the overpayment. 

15 Id. at Chapter 6.400.4a(2).

16 Id. at Chapter 6.400.4b(3)(a), (b).

17 20 C.F.R. § 10.436.

18 Id. at § 10.438.

19 P.N., Docket No. 20-1159 (issued April20, 2021); see S.W., Docket No. 20-0544 (issued September 21, 2020).
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CONCLUSION

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

$24,136.16 for the period November 1, 2017 through April 24, 2021, for which she was without 

fault, because she concurrently received SSA age-related retirement benefits while also receiving 

FECA benefits without an appropriate offset. The Board further finds that OWCP properly denied 

waiver of recovery of the overpayment.20

ORDER

IT IS HEREBY ORDERED THAT the June 9, 2021 decision of the Office of Workers’

Compensation Programs is affirmed.

Issued: March 25, 2022

Washington, DC

Alec J. Koromilas, Chief Judge

Employees’ Compensation Appeals Board

Janice B. Askin, Judge

Employees’ Compensation Appeals Board

Valerie D. Evans-Harrell, Alternate Judge

Employees’ Compensation Appeals Board

20 With respect to the recovery of an overpayment, the Board’s jurisdiction is limited to those cases where OWCP 

seeksrecovery from continuing compensation benefits. D.J., Docket No. 19-1163 (issued September 22, 2020); J.R., 

Docket No. 19-1418 (issued March 4, 2020). As OWCP did not direct recovery from appellant’s continuing 

compensation benefits, the Board does not have jurisdiction over the method of recovery of the overpayment in this 

case. 20 C.F.R. § 10.441(a).