United States Department of Labor

Employees’ Compensation Appeals Board

__________________________________________

H.R., Appellant

and

U.S. POSTAL SERVICE, POST OFFICE, 

Jerome, ID, Employer

__________________________________________

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Docket No. 22-0003

Issued: March 3, 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

PATRICIA H. FITZGERALD, Alternate Judge

JURISDICTION

On October 1, 2021 appellant filed a timely appeal from a September 28, 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 over the merits of this case.

ISSUES

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

overpayment of compensation in the amount of $3,223.12 for the period July 19 through 

August 14, 2021, for which she was without fault, because she continued to receive wage-loss 

compensation after she returned to work; and (2) whether OWCP properly denied waiver of 

recovery of the overpayment.

1

5 U.S.C. § 8101 et seq.
2

FACTUAL HISTORY

On February 12, 2021 appellant, then a 44-year-old rural carrier associate, filed an 

occupational disease claim (Form CA-2) alleging that she sustained bilateral carpal tunnel 

syndrome causally related to factors of her federal employment, including the repetitive nature of 

her duties. OWCP accepted the claim for carpal tunnel syndrome of the right and left upper limb. 

On May 18, 2021 appellant underwent an OWCP-authorized right carpal tunnel release and on 

June 1, 2021 she underwent an OWCP-authorized left carpal tunnel release. OWCP paid her 

wage-loss compensation by electronic funds transfer on the supplemental rolls beginning March 2, 

2021 and on the supplemental rolls from March 2 through May 7, 2021, and on the periodic rolls 

from March 8 through August 14, 2021.

Appellant returned to her full-time usual employment on July 19, 2021. In a telephone 

memorandum (Form CA-110) dated August 13, 2021, she advised OWCP that she had submitted 

paperwork showing that she had returned to work but had continued to receive compensation.

In an August 23, 2021 preliminary overpayment determination, OWCP notified appellant 

of is preliminary finding that she had received an overpayment of compensation in the amount of 

$3,223.12 because she returned to full-time work on July 19, 2021 but continued to receive wageloss compensation for total disability on the periodic rolls through August 14, 2021. It further 

advised her of its preliminary determination that she was without fault in the creation of the 

overpayment. OWCP requested that appellant submit a completed overpayment recovery 

questionnaire (Form OWCP-20) to determine a reasonable payment method, and advised her that 

she could request waiver of recovery of the overpayment. It further requested that she provide 

supporting financial documentation, including copies of income tax returns, bank account 

statements, bills and canceled checks, pay slips, and any other records supporting income and 

expenses. Additionally, OWCP provided an overpayment action request form and notified 

appellant that, within 30 days of the date of the letter, she could request a telephone conference, a 

final decision based on the written evidence, or a prerecoupment hearing.

In an overpayment action request form dated August 29, 2021, appellant requested a 

decision based on the written evidence. She contended that the recovery of the overpayment 

should be waived, contending that she called and had sent forms to OWCP advising that she had 

been released to return to work. On an accompanying OWCP-20 form, appellant listed monthly 

income of $4,500.00 and monthly expenses of $1,565.00 for housing, $706.81 for utilities, 

$2,854.92 for other expenses, and $500.00 for credit card payments, a total of $5,626.73. She 

advised that she used any extra for food and clothing. Appellant indicated that she had funds on 

hand of $157.39. She submitted financial documentation showing various bills and account 

statements. Appellant further submitted a U.S. Individual Income Tax Return (Form 1040) filed 

with her spouse showing income of $124,605.00 and taxable income of $99,595.00. She also 

provided a statement showing that she had received a distribution of $14,169.00 in 2020 from her 

Thrift Savings Plan (TSP).

By decision dated September 28, 2021, OWCP finalized its finding that appellant received 

an overpayment of $3,223.12 for the period July 19 through August 14, 2021 because it had paid 

her wage-loss compensation for total disability after she returned to work. It calculated the 

overpayment by finding that she received net compensation in the amount of $3,342.49 for the 
3

period July 18 to August 14, 2021. OWCP divided $3,342.49 by 28 days and multiplied by 27, 

the number of days of the overpayment, to find a total overpayment of $3,223.12. It further

finalized its finding that appellant was without fault in the creation of the overpayment. OWCP

denied waiver of recovery of the overpayment. It found that based on a joint 2020 tax return, 

appellant and her husband had an estimated income of approximately $6,389.00 per month after 

taxes. OWCP further noted that appellant had not provided a breakdown of her assets, described 

her other expenses of $2,854.92, or documented her utility expenses other than to submit a gas bill 

of $72.00. It indicated that individual was responsible for providing information about income, 

expenses, and assets. OWCP found that appellant should submit the full amount as recovery of 

the overpayment.

LEGAL PRECEDENT -- ISSUE 1

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

disability or death of an employee resulting from personal injury sustained while in the 

performance of duty.2 Section 8129(a) of FECA provides, in pertinent part, that when an 

overpayment has been made to an individual under this subchapter because of an error of fact or 

law, adjustment shall be made under regulations prescribed by the Secretary of Labor by 

decreasing later payments to which an individual is entitled.3

Section 8116(a) of FECA provides that, while an employee is receiving compensation or 

if he or she has been paid a lump sum in commutation of installment payments until the expiration 

of the period during which the installment payments would have continued, the employee may not 

receive salary, pay, or remuneration of any type from the United States, except in limited specified 

instances.4 OWCP’s procedures provide that an overpayment of compensation is created when a 

claimant returns to work, but continues to receive wage-loss compensation.5

ANALYSIS -- ISSUE 1

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

of compensation in the amount of $3,233.12 for the period July 19 through August 14, 2021, for 

which she was without fault because she continued to receive wage-loss compensation for total 

disability after she returned to full-time work.

Appellant resumed to full-time regular employment on July 19, 2021. OWCP, however, 

continued to pay her wage-loss compensation for total disability following her return to work

2

5 U.S.C. § 8102(a).

3

Id. at § 8129(a).

4

Id. at § 8116(a).

5 L.T., Docket No. 19-1389 (issued March 27, 2020); K.P., Docket No. 19-1151 (issued March 18, 2020); Federal 

(FECA) Procedure Manual, Part 6 -- Debt Management, Initial Determinations in an Overpayment, Chapter 

6.300.4(g) (September 2020).
4

through August 14, 2021, which resulted in an overpayment of compensation. Appellant was not 

entitled to receive temporary total disability benefits and actual earnings for the same time period.6

In determining the amount of overpayment, OWCP calculated the net amount of disability 

compensation that appellant had received for the period July 18 through August 14, 2021, 

$3,342.49, divided this amount by 28, and multiplied the remainder by the 27 days that she worked 

during this period to find an overpayment of $3,223.12. Thus, the Board finds that appellant 

received an overpayment of $3,223.12 during the above-noted period.7

LEGAL PRECEDENT -- ISSUE 2

Section 8129 of FECA provides that an overpayment must be recovered 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. 8

Recovery of an overpayment will defeat the purpose of FECA when 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 

benefits, to meet current ordinary and necessary living expenses, and the beneficiary’s assets do 

not exceed a specified amount as determined by OWCP. 9 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 $50.00.10 Also, 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 each additional dependent.11 An individual’s liquid assets 

include, but are not limited to cash, the value of stocks, bonds, saving accounts, mutual funds, and 

certificate of deposits.12

Recovery of an overpayment is considered to be against equity and good conscience when 

an individual who received an overpayment would experience severe financ ial 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 

6

J.R., Docket No. 20-0025 (issued December 13, 2021); L.T., Docket No. 19-1389 (issued March 27, 2020); S.N., 

Docket No. 19-1018 (issued November 12, 2019).

7

J.R., id.

8

5 U.S.C. § 8129. 

9

20 C.F.R. § 10.436(a)(b). For an individual with no eligible dependents the asset base is $6,200.00. The base 

increases to $10,300.00 for an individual with a spouse or one dependent, plus $1,200.00 for each additional 

dependent. Federal (FECA) Procedure Manual, Pa rt 6 -- Debt Management, Final Overpayment Determinations, 

Chapter 6.400(2)(3) (September 2020).

10 Id. at Chapter 6.400.4(a)(3); N.J., Docket No. 19-1170 (issued January 10, 2020); M.A., Docket No. 18-1666 

(issued April 26, 2019).

11 Id. at Chapter 6.400.4(a)(2).

12 Id. at Chapter 6.400.4(b)(3).
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worse.13 OWCP’s procedures provide that, to establish that a valuable right has been relinquished, 

an individual must demonstrate that the right was in fact valuable, that he or she was unable to get 

the right back, and that his or her action was based primarily or solely on reliance on the payment(s) 

or on the notice of payment.14

OWCP’s 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.15

ANALYSIS -- ISSUE 2

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

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

The Board finds that appellant has not established that recovery of the overpayment would 

defeat the purpose of FECA because she did not fully complete the Form OWCP-20 or submit 

adequate documentation of her income or expenses. In an OWCP-20 form dated August 29, 2021, 

appellant listed monthly income of $4,500.00 and monthly expenses totaling $5,626.73. She 

advised that she had assets of $157.39 and no money in stocks and bonds. Supporting 

documentation, however, indicated that appellant had withdrawn $14,169.00 from her TSP in 

2020. She thus had assets in a TSP but did not provide information regarding this account. Savings 

in a TSP account are included in the asset base.17 A tax return from 2020 further indicated that 

appellant had more monthly income than disclosed on the OWCP-20 form. Although OWCP 

advised her to submit a Form OWCP-20 and documentation fully substantiating her income and 

expenses, she failed to do so, as required by section 10.438 of OWCP’s regulations.18

As appellant did not submit sufficient financial information and documentation, the 

evidence of record is, therefore, insufficient to establish that recovery of the overpayment would 

defeat the purpose of FECA or be against equity and good conscience.19

13 20 C.F.R. § 10.437(a)(b); E.H., Docket No. 18-1009 (issued January 29, 2019).

14 Supra note 9 at Chapter 6.400.4c(3).

15 Supra note 9 at § 10.438(a); M.S., Docket No. 18-0740 (issued February 4, 2019).

16 See J.R., Docket No. 17-0181 (issued August 12, 2020); L.S., 59 ECAB 350 (2008).

17 See S.C., Docket No. 17-0762 (issued March 19, 2018); C.P., Docket No. 14-0975 (issued September 11, 2014).

18 20 C.F.R. § 10.438; see R.M., Docket No. 19-1570 (issued June 1, 2020).

19 See supra note 15; S.L., Docket No. 21-0902 (issued December 22, 2021).
6

Consequently, as appellant did not submit the information required under 20 C.F.R. 

§ 10.438 of OWCP’s regulations, which was necessary to determine her eligibility for waiver, the 

Board finds that OWCP properly denied waiver of recovery of the overpayment. 20

CONCLUSION

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

of compensation in the amount of $3,223.12 for the period July 19 through August 14, 2021, for 

which she was without fault, because she continued to receive wage-loss compensation after she 

returned to work. The Board further finds that OWCP properly denied waiver of recovery of the 

overpayment.

ORDER

IT IS HEREBY ORDERED THAT the September 28, 2021 decision of the Office of 

Workers’ Compensation Programs is affirmed.

Issued: March 3, 2022

Washington, DC

Alec J. Koromilas, Chief Judge

Employees’ Compensation Appeals Board

Janice B. Askin, Judge

Employees’ Compensation Appeals Board

Patricia H. Fitzgerald, Alternate Judge

Employees’ Compensation Appeals Board

20 With respect to recovery of the overpayment of compensation, the Board’s jurisdiction is limited to reviewing 

those cases where OWCP seeks recovery from continuing compensation benefits under FECA. As appellant is no 

longer receiving wage-loss compensation, the Board does not have jurisdiction with respect to the recovery of the 

overpayment under the Debt Collection Act. R.W.,Docket No. 18-1059 (issued February 6, 2019); Cheryl Thomas, 55 

ECAB 610 (2004).