United States Department of Labor

Employees’ Compensation Appeals Board

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J.R., Appellant

and

U.S. POSTAL SERVICE, FRESNO 

PROCESSING & DISTRIBUTION CENTER,

Fresno, CA, Employer

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Docket No. 21-1290

Issued: March 6, 2023

Appearances: Case Submitted on the Record

Appellant, pro se

Office of Solicitor, for the Director

ORDER REVERSING CASE

Before:

PATRICIA H. FITZGERALD, Deputy Chief Judge

JANICE B. ASKIN, Judge

VALERIE D. EVANS-HARRELL, Alternate Judge

On August 26, 2021 appellant filed a timely appeal from a March 18, 2021 merit decision 

of the Office of Workers’ Compensation Programs (OWCP). The Clerk of the Appellate Boards 

assigned the appeal Docket No. 21-1290.

1

On May 26, 2009 appellant, then a 61-year-old mail handler, filed an occupational disease 

claim (Form CA-2) alleging that he sustained a back injury due to factors of his federal 

employment, including those that required lifting/pulling, walking, standing, bending/twisting, and 

stooping. OWCP accepted appellant’s claim for aggravation of degeneration of lumbar or 

lumbosacral intervertebral disc, and right thoracic or lumbosacral neuritis or radiculitis. It paid 

him wage-loss compensation on the supplemental rolls commencing April 24, 2010, and on the 

periodic rolls commencing May 9, 2010.

In a June 7, 2013 letter, the Office of Personnel Management (OPM) advised OWCP that 

appellant, as a compensationer, was eligible to continue coverage under the Federal Employees’

1 The Board notes that,following the March 18, 2021 decision, appellant submitted additional evidence to OWCP.

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 time on appeal. Id.
2

Group Life Insurance (FEGLI) Program. It further notified OWCP that he had elected BLI; OLI 

Option A; OLI Option B times five multiples; and OLI Option C times one multiple. OPM noted 

that the BLI and OLI coverage premiums began on the “OWCP commencing date.” It further 

noted that the PRBLI election was 75 percent reduction and the commencing date for PRBLI 

premium deductions was April 23, 2011. OPM reported that appellant’sfinal base salary on which 

FEGLI deductions were based was $53,049.00.

In a November 20, 2013 letter, OPM again advised OWCP that appellant, as a 

compensationer, was eligible to continue coverage under the FEGLI Program. It further notified 

OWCP, however, that he had elected BLI; OLI Option A; OLI Option B with three no reduction 

multiples and two full reduction multiples; and OLI Option C with one no reduction multiple. 

OPM noted that the BLI and OLI coverage premiums began on the “OWCP commencing date.” 

It further noted that the PRBLI election was no reduction and the commencing date for PRBLI 

premium deductions was April 23, 2011. OPM reported that appellant’s final base salary on which 

FEGLI deductions were based was $53,049.00.

On August 26, 2019, OWCP issued a preliminary overpayment determination, finding that 

appellant received an overpayment of compensation in the amount of $23,823.59 for the period 

April 23, 2011 through July 20, 2019 because it had not made proper deductions for OLI and 

PRBLI. It further advised him of its preliminary determination that he 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 

him that he could request waiver of recovery of the overpayment. It further requested that he 

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

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

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

appellant that, within 30 days of the date of the letter, he could request a final decision based on 

the written evidence, or a prerecoupment hearing.

Appellant subsequently disputed the fact and amount of the overpayment and requested 

waiver of recovery. He requested a prerecoupment hearing, which was held on January 15, 2020.

By decision dated March 27, 2020, the hearing representative set aside the August 26, 2019 

preliminary overpayment determination, finding that there was no documentation of record signed 

by appellant, such as an election form, confirming that he had elected the life insurance coverages 

noted on OPM’s June 7 and November 20, 2013 letters. The hearing representative remanded the 

case for OWCP to obtain evidence from OPM of the executed election form completed by 

appellant followed by a de novo preliminary overpayment determination. 

On April 6, 2020, OWCP referenced only OPM’s November 20, 2013 letter and informed 

OPM that it did not have a signed election form from appellant notifying them whether he had in 

fact elected to continue his FEGLI coverage. It noted that the hearing representative had directed 

OWCP to obtain an election form signed by appellant notifying them of “whether or not he decided 

to have his FEGLI coverage continue post retirement and, if so, the effective date of the election.”

On July 2, 2020, OWCP received a Continuation of Life Insurance Coverage As an 

Annuitant or Compensationer form (Standard Form (SF) 2818), signed by appellant on 

November 14, 2012 in which he elected to receive BLI with no reduction; OLI Option A; OLI 
3

Option B with three no reduction multiples and two full reduction multiples; and OLI Option C 

with one no reduction multiple and no full reduction multiples. No effective date was noted on 

the form.

By letter December 10, 2020, OPM informed OWCP that appellant had requested that it 

cancel all FEGLI coverage, effective July 1, 2020.

By notice dated February 12, 2021, OWCP advised appellant of its preliminary

overpayment determination that he had received an overpayment of compensation in the amount 

of $24,738.14 because BLI, OLI, and PRBLI premiums had not been properly deducted from his 

wage-loss compensation benefits payments for the period April 24, 2010 through June 30, 2020. 

It provided a calculation of the overpayment, noting that he was without fault in its creation.

2

OWCP requested that appellant submit a completed Form OWCP-20 to determine a reasonable 

payment method, and advised him that he could request waiver of recovery of the overpayment. 

It further requested that he provide supporting financial documentation, including copies of income 

tax returns, bank account statements, bills and canceled checks, pay slips, and any other records 

which support income and expenses. Additionally, OWCP provided an overpayment action 

request form and notified appellant that, within 30 days of the date of the letter, he could request 

a final decision based on the written evidence, or a prerecoupment hearing. No response was 

received.

By decision dated March 18, 2021, OWCP finalized the preliminary overpayment 

determination finding that appellant received an overpayment of compensation in the amount of 

$24,738.14 for the period April 24, 2010 through June 30, 2020, for which he was without fault. 

It noted that he had not submitted the requested financial information to justify waiver of recovery 

of the overpayment. OWCP required recovery of the overpayment by deducting $500.00 from 

appellant’s continuing compensation payments every 28 days.

The Board, having duly considered this matter, finds that OWCP failed to meet its burden 

of proof to establish that appellant received an overpayment of compensation in the amount of 

$24,738.14 for the period April 24, 2010 through June 30, 2020.

The case record contains an SF 2818, signed by appellant on November 14, 2012 in which 

he elected to receive BLI with no reduction; OLI Option A; OLI Option B with three no reduction 

2 OWCP provided payment records showing the amount of life insurance premiums deducted between April 24, 

2010 and June 30, 2020. It indicated that, for the period April 24, 2010 through April 22, 2011, $4,572.10 in BLI and 

OLI premiums were deducted from appellant’s benefits, but that the BLI and OLI premiums that should have been 

deducted for this period totaled $4,654.00, resulting in a $81.90 overpayment. For the period April 23, 2011 through 

June 29, 2013, $9,571.15 in BLI and OLI premiums were deducted from his benefits, but the BLI, OLI, and PRBLI 

premiums that should have been deducted for this period totaled $12,795.53, resulting in a $3,224.38 overpayment. 

For the period June 30 through November 16, 2013, $1,705.40 in OLI premiums were deducted from appellant’s 

benefits, but the OLI and PRBLI premiums that should have been deducted for this period totaled $2,206.82, resulting 

in a $501.42 overpayment. For the period January 10, 2016 through July 20, 2019, $5,068.74 in PRBLI premiums 

were deducted from his benefits, but the OLI and PRBLI premiums that should have been deducted for this period 

totaled $25,135.81, resulting in a $20,067.67 overpayment. For the period May 24 through June 30, 2020, no life 

insurance premiums were deducted from appellant’s benefits, but the OLI and PRBLI premiums that should have been 

deducted for this period totaled $863.37, resulting in a $863.37 overpayment. The total of these deduction shortages 

is $24,738.14
4

multiples and two full reduction multiples; and OLI Option C with one no reduction multiple and 

no full reduction multiples. However, no effective date is noted on the form. 

The Board has held that OWCP must document whether and when a claimant elected life 

insurance coverage after separation from federal service or retirement.3 The Board has further 

held that OWCP must document when a claimant elected life insurance coverage after separation 

from federal service or retirement in order to establish the fact of overpayment of compensation.4 

While the case record contains an election form signed on November 14, 2012, the form does not 

note the effective date of the election.5 Therefore, as OWCP has not fully established appellant’s 

election of OLI, BLI, and/or PRBLI, the Board finds it has not met its burden of proof to establish 

that a $24,738.14 overpayment was created for the period April 24, 2010 through June 30, 2020.

IT IS HEREBY ORDERED THAT the March 18, 2021 decision of the Office of 

Workers’ Compensation Programs is reversed.

Issued: March 6, 2023

Washington, DC

Patricia H. Fitzgerald, Deputy Chief Judge

Employees’ Compensation Appeals Board

Janice B. Askin, Judge

Employees’ Compensation Appeals Board

Valerie D. Evans-Harrell, Alternate Judge

Employees’ Compensation Appeals Board

3

See P.K., Docket No. 18-0913 (issued March 5, 2020); C.P., Docket No. 19-0317 (issued July 1, 2019); R.F., 

Docket No. 18-0739 (issued January 2, 2019); D.T., Docket No. 17-0901 (issued January 29, 2018); N.J., Docket No. 

13-2164 (issued April18, 2014).

4

See S.B., Docket No. 20-1496 (issuedJuly 14, 2021).

5

Id.