In the Senate of the United States,
December 9, 2003.
Resolved, That the bill from the House of Representa-
tives (H.R. 743) entitled ‘‘An Act to amend the Social Secu-
rity Act and the Internal Revenue Code of 1986 to provide
additional safeguards for Social Security and Supplemental
Security Income beneficiaries with representative payees, to
enhance program protections, and for other purposes.’’, do
pass with the following
AMENDMENT:
Strike out all after the enacting clause and insert:
SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the ‘‘So-
cial Security Protection Act of 2003’’.
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(b) TABLE OF CONTENTS.—The table of contents is as
follows:
Sec. 1. Short title and table of contents.
TITLE I—PROTECTION OF BENEFICIARIES
Subtitle A—Representative Payees
Sec. 101. Authority to reissue benefits misused by organizational representative
payees.
Sec. 102. Oversight of representative payees.
Sec. 103. Disqualification from service as representative payee of persons con-
victed of offenses resulting in imprisonment for more than 1
year or fleeing prosecution, custody, or confinement.
Sec. 104. Fee forfeiture in case of benefit misuse by representative payees.
Sec. 105. Liability of representative payees for misused benefits.
Sec. 106. Authority to redirect delivery of benefit payments when a representative
payee fails to provide required accounting.
Sec. 107. Survey of use of payments by representative payees.
Subtitle B—Enforcement
Sec. 111. Civil monetary penalty authority with respect to wrongful conversions
by representative payees.
TITLE II—PROGRAM PROTECTIONS
Sec. 201. Civil monetary penalty authority with respect to withholding of mate-
rial facts.
Sec. 202. Issuance by Commissioner of Social Security of receipts to acknowledge
submission of reports of changes in work or earnings status of
disabled beneficiaries.
Sec. 203. Denial of title II benefits to persons fleeing prosecution, custody, or con-
finement, and to persons violating probation or parole.
Sec. 204. Requirements relating to offers to provide for a fee, a product or service
available without charge from the Social Security Administra-
tion.
Sec. 205. Refusal to recognize certain individuals as claimant representatives.
Sec. 206. Criminal penalty for corrupt or forcible interference with administra-
tion of Social Security Act.
Sec. 207. Use of symbols, emblems, or names in reference to social security or
medicare.
Sec. 208. Disqualification from payment during trial work period upon convic-
tion of fraudulent concealment of work activity.
Sec. 209. Authority for judicial orders of restitution.
Sec. 210. Authority for cross-program recovery of benefit overpayments.
Sec. 211. Prohibition on payment of title II benefits to persons not authorized to
work in the United States.
TITLE III—ATTORNEY REPRESENTATIVE FEE PAYMENT SYSTEM
IMPROVEMENTS
Sec. 301. Cap on attorney assessments.
Sec. 302. Temporary extension of attorney fee payment system to title XVI
claims.
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Sec. 303. Nationwide demonstration project providing for extension of fee with-
holding procedures to non-attorney representatives.
Sec. 304. GAO study regarding the fee payment process for claimant representa-
tives.
TITLE IV—MISCELLANEOUS AND TECHNICAL AMENDMENTS
Subtitle A—Amendments Relating to the Ticket to Work and Work Incentives
Improvement Act of 1999
Sec. 401. Application of demonstration authority sunset date to new projects.
Sec. 402. Expansion of waiver authority available in connection with demonstra-
tion projects providing for reductions in disability insurance
benefits based on earnings.
Sec. 403. Funding of demonstration projects providing for reductions in dis-
ability insurance benefits based on earnings.
Sec. 404. Availability of Federal and State work incentive services to additional
individuals.
Sec. 405. Technical amendment clarifying treatment for certain purposes of indi-
vidual work plans under the Ticket to Work and Self-Sufficiency
Program.
Sec. 406. GAO study regarding the Ticket to Work and Self-Sufficiency Program.
Sec. 407. Reauthorization of appropriations for certain work incentives pro-
grams.
Subtitle B—Miscellaneous Amendments
Sec. 411. Elimination of transcript requirement in remand cases fully favorable
to the claimant.
Sec. 412. Nonpayment of benefits upon removal from the United States.
Sec. 413. Reinstatement of certain reporting requirements.
Sec. 414. Clarification of definitions regarding certain survivor benefits.
Sec. 415. Clarification respecting the FICA and SECA tax exemptions for an in-
dividual whose earnings are subject to the laws of a totalization
agreement partner.
Sec. 416. Coverage under divided retirement system for public employees in Ken-
tucky and Louisiana.
Sec. 417. Compensation for the Social Security Advisory Board.
Sec. 418. 60-month period of employment requirement for application of govern-
ment pension offset exemption.
Sec. 419. Disclosure to workers of effect of windfall elimination provision and
government pension offset provision.
Sec. 420. Post-1956 Military Wage Credits.
Sec. 420A. Elimination of disincentive to return-to-work for childhood disability
beneficiaries.
Subtitle C—Technical Amendments
Sec. 421. Technical correction relating to responsible agency head.
Sec. 422. Technical correction relating to retirement benefits of ministers.
Sec. 423. Technical corrections relating to domestic employment.
Sec. 424. Technical corrections of outdated references.
Sec. 425. Technical correction respecting self-employment income in community
property States.
Sec. 426. Technical amendments to the Railroad Retirement and Survivors’ Im-
provement Act of 2001.
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Subtitle D—Amendments Related to Title XVI
Sec. 430. Exclusion from income for certain infrequent or irregular income and
certain interest or dividend income.
Sec. 431. Uniform 9-month resource exclusion periods.
Sec. 432. Elimination of certain restrictions on the application of the student
earned income exclusion.
Sec. 433. Exception to retrospective monthly accounting for nonrecurring income.
Sec. 434. Removal of restriction on payment of benefits to children who are born
or who become blind or disabled after their military parents are
stationed overseas.
Sec. 435. Treatment of education-related income and resources.
Sec. 436. Monthly treatment of uniformed service compensation.
TITLE I—PROTECTION OF
BENEFICIARIES
Subtitle A—Representative Payees
SEC. 101. AUTHORITY TO REISSUE BENEFITS MISUSED BY
ORGANIZATIONAL REPRESENTATIVE PAYEES.
(a) TITLE II AMENDMENTS.—
(1) 
REISSUANCE
OF
BENEFITS.—Section
205(j)(5) 
of 
the 
Social 
Security 
Act 
(42
U.S.C. 405(j)(5)) is amended by inserting after the
first sentence the following: ‘‘In any case in which a
representative payee that—
‘‘(A) is not an individual (regardless of whether
it is a ‘qualified organization’ within the meaning of
paragraph (4)(B)); or
‘‘(B) is an individual who, for any month dur-
ing a period when misuse occurs, serves 15 or more
individuals who are beneficiaries under this title, title
VIII, title XVI, or any combination of such titles;
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misuses all or part of an individual’s benefit paid to such
representative payee, the Commissioner of Social Security
shall certify for payment to the beneficiary or the bene-
ficiary’s alternative representative payee an amount equal
to the amount of such benefit so misused. The provisions
of this paragraph are subject to the limitations of para-
graph (7)(B).’’.
(2) MISUSE
OF
BENEFITS
DEFINED.—Section
205(j) of such Act (42 U.S.C. 405(j)) is amended by
adding at the end the following:
‘‘(8) For purposes of this subsection, misuse of benefits
by a representative payee occurs in any case in which the
representative payee receives payment under this title for
the use and benefit of another person and converts such pay-
ment, or any part thereof, to a use other than for the use
and benefit of such other person. The Commissioner of So-
cial Security may prescribe by regulation the meaning of
the term ‘use and benefit’ for purposes of this paragraph.’’.
(b) TITLE VIII AMENDMENTS.—
(1) REISSUANCE OF BENEFITS.—Section 807(i)
of the Social Security Act (42 U.S.C. 1007(i)) is
amended further by inserting after the first sentence
the following: ‘‘In any case in which a representative
payee that—
‘‘(A) is not an individual; or
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‘‘(B) is an individual who, for any month
during a period when misuse occurs, serves 15 or
more individuals who are beneficiaries under
this title, title II, title XVI, or any combination
of such titles;
misuses all or part of an individual’s benefit paid to
such representative payee, the Commissioner of Social
Security shall pay to the beneficiary or the bene-
ficiary’s alternative representative payee an amount
equal to the amount of such benefit so misused. The
provisions of this paragraph are subject to the limita-
tions of subsection (l)(2).’’.
(2) MISUSE
OF
BENEFITS
DEFINED.—Section
807 of such Act (42 U.S.C. 1007) is amended by add-
ing at the end the following:
‘‘(j) MISUSE OF BENEFITS.—For purposes of this title,
misuse of benefits by a representative payee occurs in any
case in which the representative payee receives payment
under this title for the use and benefit of another person
under this title and converts such payment, or any part
thereof, to a use other than for the use and benefit of such
person. The Commissioner of Social Security may prescribe
by regulation the meaning of the term ‘use and benefit’ for
purposes of this subsection.’’.
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(3) TECHNICAL AMENDMENT.—Section 807(a) of
such Act (42 U.S.C. 1007(a)) is amended, in the first
sentence, by striking ‘‘for his or her benefit’’ and in-
serting ‘‘for his or her use and benefit’’.
(c) TITLE XVI AMENDMENTS.—
(1) 
REISSUANCE
OF
BENEFITS.—Section
1631(a)(2)(E) of such Act (42 U.S.C. 1383(a)(2)(E))
is amended by inserting after the first sentence the
following: ‘‘In any case in which a representative
payee that—
‘‘(i) is not an individual (regardless of whether
it is a ‘qualified organization’ within the meaning of
subparagraph (D)(ii)); or
‘‘(ii) is an individual who, for any month dur-
ing a period when misuse occurs, serves 15 or more
individuals who are beneficiaries under this title, title
II, title VIII, or any combination of such titles;
misuses all or part of an individual’s benefit paid to such
representative payee, the Commissioner of Social Security
shall pay to the beneficiary or the beneficiary’s alternative
representative payee an amount equal to the amount of such
benefit so misused. The provisions of this subparagraph are
subject to the limitations of subparagraph (H)(ii).’’.
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(2) EXCLUSION OF REISSUED BENEFITS FROM
RESOURCES.—Section 1613(a) of such Act (42
U.S.C. 1382b(a)) is amended—
(A) in paragraph (12), by striking ‘‘and’’
at the end;
(B) in paragraph (13), by striking the pe-
riod and inserting ‘‘; and’’; and
(C) by inserting after paragraph (13) the
following:
‘‘(14) for the 9-month period beginning after the
month in which received, any amount received by
such individual (or spouse) or any other person whose
income is deemed to be included in such individual’s
(or spouse’s) income for purposes of this title as res-
titution for benefits under this title, title II, or title
VIII that a representative payee of such individual
(or spouse) or such other person under section 205(j),
807, or 1631(a)(2) has misused.’’.
(3) MISUSE
OF
BENEFITS
DEFINED.—Section
1631(a)(2)(A) of such Act (42 U.S.C. 1383(a)(2)(A))
is amended by adding at the end the following:
‘‘(iv) For purposes of this paragraph, misuse of bene-
fits by a representative payee occurs in any case in which
the representative payee receives payment under this title
for the use and benefit of another person and converts such
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payment, or any part thereof, to a use other than for the
use and benefit of such other person. The Commissioner of
Social Security may prescribe by regulation the meaning
of the term ‘use and benefit’ for purposes of this clause.’’.
(d) EFFECTIVE DATE.—The amendments made by this
section shall apply to any case of benefit misuse by a rep-
resentative payee with respect to which the Commissioner
of Social Security makes the determination of misuse on
or after January 1, 1995.
SEC. 102. OVERSIGHT OF REPRESENTATIVE PAYEES.
(a) CERTIFICATION OF BONDING AND LICENSING RE-
QUIREMENTS
FOR NONGOVERNMENTAL ORGANIZATIONAL
REPRESENTATIVE PAYEES.—
(1) TITLE II AMENDMENTS.—Section 205(j) of
the Social Security Act (42 U.S.C. 405(j)) is
amended—
(A) in paragraph (2)(C)(v), by striking ‘‘a
community-based nonprofit social service agency
licensed or bonded by the State’’ in subclause (I)
and inserting ‘‘a certified community-based non-
profit social service agency (as defined in para-
graph (9))’’;
(B) in paragraph (3)(F), by striking ‘‘com-
munity-based nonprofit social service agencies’’
and inserting ‘‘certified community-based non-
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profit social service agencies (as defined in para-
graph (9))’’;
(C) in paragraph (4)(B), by striking ‘‘any
community-based nonprofit social service agency
which is bonded or licensed in each State in
which it serves as a representative payee’’ and
inserting ‘‘any certified community-based non-
profit social service agency (as defined in para-
graph (9))’’; and
(D) by adding after paragraph (8) (as
added by section 101(a)(2) of this Act) the fol-
lowing:
‘‘(9) For purposes of this subsection, the term ‘certified
community-based nonprofit social service agency’ means a
community-based nonprofit social service agency which is
in compliance with requirements, under regulations which
shall be prescribed by the Commissioner, for annual certifi-
cation to the Commissioner that it is bonded in accordance
with requirements specified by the Commissioner and that
it is licensed in each State in which it serves as a represent-
ative payee (if licensing is available in the State) in accord-
ance with requirements specified by the Commissioner. Any
such annual certification shall include a copy of any inde-
pendent audit on the agency which may have been per-
formed since the previous certification.’’.
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(2) 
TITLE
XVI
AMENDMENTS.—Section
1631(a)(2) of such Act (42 U.S.C. 1383(a)(2)) is
amended—
(A) in subparagraph (B)(vii), by striking
‘‘a community-based nonprofit social service
agency licensed or bonded by the State’’ in sub-
clause (I) and inserting ‘‘a certified community-
based nonprofit social service agency (as defined
in subparagraph (I))’’;
(B) in subparagraph (D)(ii)—
(i) by striking ‘‘or any community-
based’’ and all that follows through ‘‘in ac-
cordance’’ in subclause (II) and inserting
‘‘or any certified community-based non-
profit social service agency (as defined in
subparagraph (I)), if the agency, in accord-
ance’’;
(ii) by redesignating items (aa) and
(bb) as subclauses (I) and (II), respectively
(and adjusting the margins accordingly);
and
(iii) by striking ‘‘subclause (II)(bb)’’
and inserting ‘‘subclause (II)’’; and
(C) by adding at the end the following:
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‘‘(I) For purposes of this paragraph, the term ‘certified
community-based nonprofit social service agency’ means a
community-based nonprofit social service agency which is
in compliance with requirements, under regulations which
shall be prescribed by the Commissioner, for annual certifi-
cation to the Commissioner that it is bonded in accordance
with requirements specified by the Commissioner and that
it is licensed in each State in which it serves as a represent-
ative payee (if licensing is available in the State) in accord-
ance with requirements specified by the Commissioner. Any
such annual certification shall include a copy of any inde-
pendent audit on the agency which may have been per-
formed since the previous certification.’’.
(3) EFFECTIVE DATE.—The amendments made
by this subsection shall take effect on the first day of
the thirteenth month beginning after the date of the
enactment of this Act.
(b) PERIODIC ONSITE REVIEW.—
(1) TITLE II AMENDMENT.—Section 205(j)(6) of
such Act (42 U.S.C. 405(j)(6)) is amended to read as
follows:
‘‘(6)(A) In addition to such other reviews of represent-
ative payees as the Commissioner of Social Security may
otherwise conduct, the Commissioner shall provide for the
periodic onsite review of any person or agency located in
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the United States that receives the benefits payable under
this title (alone or in combination with benefits payable
under title VIII or title XVI) to another individual pursu-
ant to the appointment of such person or agency as a rep-
resentative payee under this subsection, section 807, or sec-
tion 1631(a)(2) in any case in which—
‘‘(i) the representative payee is a person who
serves in that capacity with respect to 15 or more
such individuals;
‘‘(ii) the representative payee is a certified com-
munity-based nonprofit social service agency (as de-
fined in paragraph (9) of this subsection or section
1631(a)(2)(I)); or
‘‘(iii) the representative payee is an agency
(other than an agency described in clause (ii)) that
serves in that capacity with respect to 50 or more
such individuals.
‘‘(B) Within 120 days after the end of each fiscal year,
the Commissioner shall submit to the Committee on Ways
and Means of the House of Representatives and the Com-
mittee on Finance of the Senate a report on the results of
periodic onsite reviews conducted during the fiscal year
pursuant to subparagraph (A) and of any other reviews of
representative payees conducted during such fiscal year in
connection with benefits under this title. Each such report
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shall describe in detail all problems identified in such re-
views and any corrective action taken or planned to be
taken to correct such problems, and shall include—
‘‘(i) the number of such reviews;
‘‘(ii) the results of such reviews;
‘‘(iii) the number of cases in which the represent-
ative payee was changed and why;
‘‘(iv) the number of cases involving the exercise
of expedited, targeted oversight of the representative
payee by the Commissioner conducted upon receipt of
an allegation of misuse of funds, failure to pay a ven-
dor, or a similar irregularity;
‘‘(v) the number of cases discovered in which
there was a misuse of funds;
‘‘(vi) how any such cases of misuse of funds were
dealt with by the Commissioner;
‘‘(vii) the final disposition of such cases of mis-
use of funds, including any criminal penalties im-
posed; and
‘‘(viii) such other information as the Commis-
sioner deems appropriate.’’.
(2) TITLE
VIII
AMENDMENT.—Section 807 of
such Act (as amended by section 101(b)(2) of this Act)
is amended further by adding at the end the fol-
lowing:
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‘‘(k) PERIODIC ONSITE REVIEW.—
‘‘(1) IN GENERAL.—In addition to such other re-
views of representative payees as the Commissioner of
Social Security may otherwise conduct, the Commis-
sioner may provide for the periodic onsite review of
any person or agency that receives the benefits pay-
able under this title (alone or in combination with
benefits payable under title II or title XVI) to another
individual pursuant to the appointment of such per-
son or agency as a representative payee under this
section, section 205(j), or section 1631(a)(2) in any
case in which—
‘‘(A) the representative payee is a person
who serves in that capacity with respect to 15 or
more such individuals; or
‘‘(B) the representative payee is an agency
that serves in that capacity with respect to 50 or
more such individuals.
‘‘(2) REPORT.—Within 120 days after the end of
each fiscal year, the Commissioner shall submit to the
Committee on Ways and Means of the House of Rep-
resentatives and the Committee on Finance of the
Senate a report on the results of periodic onsite re-
views conducted during the fiscal year pursuant to
paragraph (1) and of any other reviews of representa-
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tive payees conducted during such fiscal year in con-
nection with benefits under this title. Each such re-
port shall describe in detail all problems identified in
such reviews and any corrective action taken or
planned to be taken to correct such problems, and
shall include—
‘‘(A) the number of such reviews;
‘‘(B) the results of such reviews;
‘‘(C) the number of cases in which the rep-
resentative payee was changed and why;
‘‘(D) the number of cases involving the exer-
cise of expedited, targeted oversight of the rep-
resentative payee by the Commissioner conducted
upon receipt of an allegation of misuse of funds,
failure to pay a vendor, or a similar irregu-
larity;
‘‘(E) the number of cases discovered in
which there was a misuse of funds;
‘‘(F) how any such cases of misuse of funds
were dealt with by the Commissioner;
‘‘(G) the final disposition of such cases of
misuse of funds, including any criminal pen-
alties imposed; and
‘‘(H) such other information as the Com-
missioner deems appropriate.’’.
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(3) 
TITLE
XVI
AMENDMENT.—Section
1631(a)(2)(G) of such Act (42 U.S.C. 1383(a)(2)(G))
is amended to read as follows:
‘‘(G)(i) In addition to such other reviews of representa-
tive payees as the Commissioner of Social Security may
otherwise conduct, the Commissioner shall provide for the
periodic onsite review of any person or agency that receives
the benefits payable under this title (alone or in combina-
tion with benefits payable under title II or title VIII) to
another individual pursuant to the appointment of the per-
son or agency as a representative payee under this para-
graph, section 205(j), or section 807 in any case in which—
‘‘(I) the representative payee is a person who
serves in that capacity with respect to 15 or more
such individuals;
‘‘(II) the representative payee is a certified com-
munity-based nonprofit social service agency (as de-
fined in subparagraph (I) of this paragraph or sec-
tion 205(j)(9)); or
‘‘(III) the representative payee is an agency
(other than an agency described in subclause (II))
that serves in that capacity with respect to 50 or
more such individuals.
‘‘(ii) Within 120 days after the end of each fiscal year,
the Commissioner shall submit to the Committee on Ways
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and Means of the House of Representatives and the Com-
mittee on Finance of the Senate a report on the results of
periodic onsite reviews conducted during the fiscal year
pursuant to clause (i) and of any other reviews of represent-
ative payees conducted during such fiscal year in connec-
tion with benefits under this title. Each such report shall
describe in detail all problems identified in the reviews and
any corrective action taken or planned to be taken to correct
the problems, and shall include—
‘‘(I) the number of the reviews;
‘‘(II) the results of such reviews;
‘‘(III) the number of cases in which the rep-
resentative payee was changed and why;
‘‘(IV) the number of cases involving the exercise
of expedited, targeted oversight of the representative
payee by the Commissioner conducted upon receipt of
an allegation of misuse of funds, failure to pay a ven-
dor, or a similar irregularity;
‘‘(V) the number of cases discovered in which
there was a misuse of funds;
‘‘(VI) how any such cases of misuse of funds were
dealt with by the Commissioner;
‘‘(VII) the final disposition of such cases of mis-
use of funds, including any criminal penalties im-
posed; and
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‘‘(VIII) such other information as the Commis-
sioner deems appropriate.’’.
SEC. 103. DISQUALIFICATION FROM SERVICE AS REP-
RESENTATIVE 
PAYEE 
OF 
PERSONS 
CON-
VICTED OF OFFENSES RESULTING IN IMPRIS-
ONMENT FOR MORE THAN 1 YEAR OR FLEE-
ING PROSECUTION, CUSTODY, OR CONFINE-
MENT.
(a) TITLE II AMENDMENTS.—Section 205(j)(2) of the
Social Security Act (42 U.S.C. 405(j)(2)) is amended—
(1) in subparagraph (B)(i)—
(A) by striking ‘‘and’’ at the end of sub-
clause (III);
(B) by redesignating subclause (IV) as sub-
clause (VI); and
(C) by inserting after subclause (III) the
following:
‘‘(IV) obtain information concerning whether
such person has been convicted of any other offense
under Federal or State law which resulted in impris-
onment for more than 1 year,
‘‘(V) obtain information concerning whether such
person 
is 
a 
person 
described 
in 
section
202(x)(1)(A)(iv), and’’;
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(2) in subparagraph (B), by adding at the end
the following:
‘‘(iii) Notwithstanding the provisions of section 552a
of title 5, United States Code, or any other provision of
Federal or State law (other than section 6103 of the Inter-
nal Revenue Code of 1986 and section 1106(c) of this Act),
the Commissioner shall furnish any Federal, State, or local
law enforcement officer, upon the written request of the offi-
cer, with the current address, social security account num-
ber, and photograph (if applicable) of any person inves-
tigated under this paragraph, if the officer furnishes the
Commissioner with the name of such person and such other
identifying information as may reasonably be required by
the Commissioner to establish the unique identity of such
person, and notifies the Commissioner that—
‘‘(I) such 
person 
is 
described 
in 
section
202(x)(1)(A)(iv),
‘‘(II) such person has information that is nec-
essary for the officer to conduct the officer’s official
duties, and
‘‘(III) the location or apprehension of such per-
son is within the officer’s official duties.’’;
(3) in subparagraph (C)(i)(II)—
(A) by striking ‘‘subparagraph (B)(i)(IV),,’’
and inserting ‘‘subparagraph (B)(i)(VI)’’; and
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(B) 
by 
striking 
‘‘section
1631(a)(2)(B)(ii)(IV)’’ and inserting ‘‘section
1631(a)(2)(B)(ii)(VI)’’; and
(4) in subparagraph (C)(i)—
(A) by striking ‘‘or’’ at the end of subclause
(II);
(B) by striking the period at the end of sub-
clause (III) and inserting a comma; and
(C) by adding at the end the following:
‘‘(IV) such person has previously been convicted
as described in subparagraph (B)(i)(IV), unless the
Commissioner determines that such certification
would be appropriate notwithstanding such convic-
tion, or
‘‘(V) such person is person described in section
202(x)(1)(A)(iv).’’.
(b) TITLE VIII AMENDMENTS.—Section 807 of such
Act (42 U.S.C. 1007) is amended—
(1) in subsection (b)(2)—
(A) by striking ‘‘and’’ at the end of sub-
paragraph (C);
(B) by redesignating subparagraph (D) as
subparagraph (F); and
(C) by inserting after subparagraph (C) the
following:
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‘‘(D) obtain information concerning whether
such person has been convicted of any other of-
fense under Federal or State law which resulted
in imprisonment for more than 1 year;
‘‘(E) obtain information concerning whether
such person is a person described in section
804(a)(2); and’’;
(2) in subsection (b), by adding at the end the
following:
‘‘(3) Notwithstanding the provisions of section
552a of title 5, United States Code, or any other pro-
vision of Federal or State law (other than section
6103 of the Internal Revenue Code of 1986 and sec-
tion 1106(c) of this Act), the Commissioner shall fur-
nish any Federal, State, or local law enforcement offi-
cer, upon the written request of the officer, with the
current address, social security account number, and
photograph (if applicable) of any person investigated
under this subsection, if the officer furnishes the Com-
missioner with the name of such person and such
other identifying information as may reasonably be
required by the Commissioner to establish the unique
identity of such person, and notifies the Commis-
sioner that—
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‘‘(A) such person is described in section
804(a)(2),
‘‘(B) such person has information that is
necessary for the officer to conduct the officer’s
official duties, and
‘‘(C) the location or apprehension of such
person is within the officer’s official duties.’’;
and
(3) in subsection (d)(1)—
(A) by striking ‘‘or’’ at the end of subpara-
graph (B);
(B) by striking the period at the end of sub-
paragraph (C) and inserting a semicolon; and
(C) by adding at the end the following:
‘‘(D) such person has previously been con-
victed as described in subsection (b)(2)(D), un-
less the Commissioner determines that such pay-
ment would be appropriate notwithstanding such
conviction; or
‘‘(E) such person is a person described in
section 804(a)(2).’’.
(c) TITLE XVI AMENDMENTS.—Section 1631(a)(2)(B)
of such Act (42 U.S.C. 1383(a)(2)(B)) is amended—
(1) in clause (ii)—
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(A) by striking ‘‘and’’ at the end of sub-
clause (III);
(B) by redesignating subclause (IV) as sub-
clause (VI); and
(C) by inserting after subclause (III) the
following:
‘‘(IV) obtain information concerning whether the
person has been convicted of any other offense under
Federal or State law which resulted in imprisonment
for more than 1 year;
‘‘(V) obtain information concerning whether such
person is a person described in section 1611(e)(4)(A);
and’’;
(2) in clause (iii)(II)—
(A) by striking ‘‘clause (ii)(IV)’’ and insert-
ing ‘‘clause (ii)(VI)’’; and
(B) 
by 
striking 
‘‘section
205(j)(2)(B)(i)(IV)’’ 
and 
inserting 
‘‘section
205(j)(2)(B)(i)(VI)’’;
(3) in clause (iii)—
(A) by striking ‘‘or’’ at the end of subclause
(II);
(B) by striking the period at the end of sub-
clause (III) and inserting a semicolon; and
(C) by adding at the end the following:
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‘‘(IV) the person has previously been convicted as
described in clause (ii)(IV) of this subparagraph, un-
less the Commissioner determines that the payment
would be appropriate notwithstanding the conviction;
or
‘‘(V) such person is a person described in section
1611(e)(4)(A).’’; and
(4) by adding at the end the following:
‘‘(xiv) Notwithstanding the provisions of section 552a
of title 5, United States Code, or any other provision of
Federal or State law (other than section 6103 of the Inter-
nal Revenue Code of 1986 and section 1106(c) of this Act),
the Commissioner shall furnish any Federal, State, or local
law enforcement officer, upon the written request of the offi-
cer, with the current address, social security account num-
ber, and photograph (if applicable) of any person inves-
tigated under this subparagraph, if the officer furnishes the
Commissioner with the name of such person and such other
identifying information as may reasonably be required by
the Commissioner to establish the unique identity of such
person, and notifies the Commissioner that—
‘‘(I) such 
person 
is 
described 
in 
section
1611(e)(4)(A),
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‘‘(II) such person has information that is nec-
essary for the officer to conduct the officer’s official
duties, and
‘‘(III) the location or apprehension of such per-
son is within the officer’s official duties.’’.
(d) EFFECTIVE DATE.—The amendments made by this
section shall take effect on the first day of the thirteenth
month beginning after the date of the enactment of this Act.
(e) REPORT TO CONGRESS.—The Commissioner of So-
cial Security, in consultation with the Inspector General
of the Social Security Administration, shall prepare a re-
port evaluating whether the existing procedures and reviews
for the qualification (including disqualification) of rep-
resentative payees are sufficient to enable the Commissioner
to protect benefits from being misused by representative
payees. The Commissioner shall submit the report to the
Committee on Ways and Means of the House of Representa-
tives and the Committee on Finance of the Senate no later
than 270 days after the date of the enactment of this Act.
The Commissioner shall include in such report any rec-
ommendations that the Commissioner considers appro-
priate.
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SEC. 104. FEE FORFEITURE IN CASE OF BENEFIT MISUSE BY
REPRESENTATIVE PAYEES.
(a) TITLE II AMENDMENTS.—Section 205(j)(4)(A)(i)
of the Social Security Act (42 U.S.C. 405(j)(4)(A)(i)) is
amended—
(1) in the first sentence, by striking ‘‘A’’ and in-
serting ‘‘Except as provided in the next sentence, a’’;
and
(2) in the second sentence, by striking ‘‘The Sec-
retary’’ and inserting the following: ‘‘A qualified or-
ganization may not collect a fee from an individual
for any month with respect to which the Commis-
sioner of Social Security or a court of competent ju-
risdiction has determined that the organization mis-
used all or part of the individual’s benefit, and any
amount so collected by the qualified organization for
such month shall be treated as a misused part of the
individual’s benefit for purposes of paragraphs (5)
and (6). The Commissioner’’.
(b) 
TITLE
XVI 
AMENDMENTS.—Section
1631(a)(2)(D)(i) of such Act (42 U.S.C. 1383(a)(2)(D)(i))
is amended—
(1) in the first sentence, by striking ‘‘A’’ and in-
serting ‘‘Except as provided in the next sentence, a’’;
and
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(2) in the second sentence, by striking ‘‘The
Commissioner’’ and inserting the following: ‘‘A quali-
fied organization may not collect a fee from an indi-
vidual for any month with respect to which the Com-
missioner of Social Security or a court of competent
jurisdiction has determined that the organization
misused all or part of the individual’s benefit, and
any amount so collected by the qualified organization
for such month shall be treated as a misused part of
the individual’s benefit for purposes of subparagraphs
(E) and (F). The Commissioner’’.
(c) EFFECTIVE DATE.—The amendments made by this
section shall apply to any month involving benefit misuse
by a representative payee in any case with respect to which
the Commissioner of Social Security or a court of competent
jurisdiction makes the determination of misuse after 180
days after the date of the enactment of this Act.
SEC. 105. LIABILITY OF REPRESENTATIVE PAYEES FOR MIS-
USED BENEFITS.
(a) TITLE II AMENDMENTS.—Section 205(j) of the So-
cial Security Act (42 U.S.C. 405(j)) (as amended by sec-
tions 101 and 102) is amended further—
(1) by redesignating paragraphs (7), (8), and (9)
as paragraphs (8), (9), and (10), respectively;
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(2) in paragraphs (2)(C)(v), (3)(F), and (4)(B),
by striking ‘‘paragraph (9)’’ and inserting ‘‘para-
graph (10)’’;
(3) in paragraph (6)(A)(ii), by striking ‘‘para-
graph (9)’’ and inserting ‘‘paragraph (10)’’; and
(4) by inserting after paragraph (6) the fol-
lowing:
‘‘(7)(A) If the Commissioner of Social Security or a
court of competent jurisdiction determines that a represent-
ative payee that is not a Federal, State, or local government
agency has misused all or part of an individual’s benefit
that was paid to such representative payee under this sub-
section, the representative payee shall be liable for the
amount misused, and such amount (to the extent not repaid
by the representative payee) shall be treated as an overpay-
ment of benefits under this title to the representative payee
for all purposes of this Act and related laws pertaining to
the recovery of such overpayments. Subject to subparagraph
(B), upon recovering all or any part of such amount, the
Commissioner shall certify an amount equal to the recov-
ered amount for payment to such individual or such indi-
vidual’s alternative representative payee.
‘‘(B) The total of the amount certified for payment to
such individual or such individual’s alternative representa-
tive payee under subparagraph (A) and the amount cer-
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tified for payment under paragraph (5) may not exceed the
total benefit amount misused by the representative payee
with respect to such individual.’’.
(b) TITLE VIII AMENDMENT.—Section 807 of such Act
(as amended by section 102(b)(2)) is amended further by
adding at the end the following:
‘‘(l) LIABILITY FOR MISUSED AMOUNTS.—
‘‘(1) IN GENERAL.—If the Commissioner of So-
cial Security or a court of competent jurisdiction de-
termines that a representative payee that is not a
Federal, State, or local government agency has mis-
used all or part of a qualified individual’s benefit
that was paid to such representative payee under this
section, the representative payee shall be liable for the
amount misused, and such amount (to the extent not
repaid by the representative payee) shall be treated as
an overpayment of benefits under this title to the rep-
resentative payee for all purposes of this Act and re-
lated laws pertaining to the recovery of such overpay-
ments. Subject to paragraph (2), upon recovering all
or any part of such amount, the Commissioner shall
make payment of an amount equal to the recovered
amount to such qualified individual or such qualified
individual’s alternative representative payee.
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‘‘(2) LIMITATION.—The total of the amount paid
to such individual or such individual’s alternative
representative payee under paragraph (1) and the
amount paid under subsection (i) may not exceed the
total benefit amount misused by the representative
payee with respect to such individual.’’.
(c) TITLE XVI AMENDMENTS.—Section 1631(a)(2) of
such Act (42 U.S.C. 1383(a)(2)) (as amended by section
102(b)(3)) is amended further—
(1) in subparagraph (G)(i)(II), by striking ‘‘sec-
tion 205(j)(9)’’ and inserting ‘‘section 205(j)(10)’’;
and
(2) by striking subparagraph (H) and inserting
the following:
‘‘(H)(i) If the Commissioner of Social Security or a
court of competent jurisdiction determines that a represent-
ative payee that is not a Federal, State, or local government
agency has misused all or part of an individual’s benefit
that was paid to the representative payee under this para-
graph, the representative payee shall be liable for the
amount misused, and the amount (to the extent not repaid
by the representative payee) shall be treated as an overpay-
ment of benefits under this title to the representative payee
for all purposes of this Act and related laws pertaining to
the recovery of the overpayments. Subject to clause (ii),
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upon recovering all or any part of the amount, the Commis-
sioner shall make payment of an amount equal to the recov-
ered amount to such individual or such individual’s alter-
native representative payee.
‘‘(ii) The total of the amount paid to such individual
or such individual’s alternative representative payee under
clause (i) and the amount paid under subparagraph (E)
may not exceed the total benefit amount misused by the rep-
resentative payee with respect to such individual.’’.
(d) EFFECTIVE DATE.—The amendments made by this
section shall apply to benefit misuse by a representative
payee in any case with respect to which the Commissioner
of Social Security or a court of competent jurisdiction
makes the determination of misuse after 180 days after the
date of the enactment of this Act.
SEC. 106. AUTHORITY TO REDIRECT DELIVERY OF BENEFIT
PAYMENTS WHEN A REPRESENTATIVE PAYEE
FAILS TO PROVIDE REQUIRED ACCOUNTING.
(a) TITLE II AMENDMENTS.—Section 205(j)(3) of the
Social Security Act (42 U.S.C. 405(j)(3)) (as amended by
sections 102(a)(1)(B) and 105(a)(2)) is amended—
(1) by redesignating subparagraphs (E) and (F)
as subparagraphs (F) and (G), respectively; and
(2) by inserting after subparagraph (D) the fol-
lowing:
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‘‘(E) In any case in which the person described in sub-
paragraph (A) or (D) receiving payments on behalf of an-
other fails to submit a report required by the Commissioner
of Social Security under subparagraph (A) or (D), the
Commissioner may, after furnishing notice to such person
and the individual entitled to such payment, require that
such person appear in person at a field office of the Social
Security Administration serving the area in which the indi-
vidual resides in order to receive such payments.’’.
(b) TITLE VIII AMENDMENTS.—Section 807(h) of such
Act (42 U.S.C. 1007(h)) is amended—
(1) by redesignating paragraphs (3) and (4) as
paragraphs (4) and (5), respectively; and
(2) by inserting after paragraph (2) the fol-
lowing:
‘‘(3) AUTHORITY
TO
REDIRECT
DELIVERY
OF
BENEFIT PAYMENTS WHEN A REPRESENTATIVE PAYEE
FAILS TO PROVIDE REQUIRED ACCOUNTING.—In any
case in which the person described in paragraph (1)
or (2) receiving benefit payments on behalf of a quali-
fied individual fails to submit a report required by
the Commissioner of Social Security under paragraph
(1) or (2), the Commissioner may, after furnishing
notice to such person and the qualified individual, re-
quire that such person appear in person at a United
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States Government facility designated by the Social
Security Administration as serving the area in which
the qualified individual resides in order to receive
such benefit payments.’’.
(c) TITLE XVI AMENDMENT.—Section 1631(a)(2)(C)
of such Act (42 U.S.C. 1383(a)(2)(C)) is amended by add-
ing at the end the following:
‘‘(v) In any case in which the person described in
clause (i) or (iv) receiving payments on behalf of another
fails to submit a report required by the Commissioner of
Social Security under clause (i) or (iv), the Commissioner
may, after furnishing notice to the person and the indi-
vidual entitled to the payment, require that such person ap-
pear in person at a field office of the Social Security Ad-
ministration serving the area in which the individual re-
sides in order to receive such payments.’’.
(d) EFFECTIVE DATE.—The amendments made by this
section shall take effect 180 days after the date of the enact-
ment of this Act.
SEC. 107. SURVEY OF USE OF PAYMENTS BY REPRESENTA-
TIVE PAYEES.
(a) IN GENERAL.—Section 1110 of the Social Security
Act (42 U.S.C. 1310) is amended by adding at the end the
following:
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‘‘(c)(1) In addition to the amount otherwise appro-
priated in any other law to carry out subsection (a) for
fiscal year 2004, up to $8,500,000 is authorized and appro-
priated and shall be used by the Commissioner of Social
Security under this subsection for purposes of conducting
a statistically valid survey to determine how payments
made to individuals, organizations, and State or local gov-
ernment agencies that are representative payees for benefits
paid under title II or XVI are being managed and used
on behalf of the beneficiaries for whom such benefits are
paid.
‘‘(2) Not later than 18 months after the date of enact-
ment of this subsection, the Commissioner of Social Secu-
rity shall submit a report on the survey conducted in ac-
cordance with paragraph (1) to the Committee on Ways
and Means of the House of Representatives and the Com-
mittee on Finance of the Senate.’’.
Subtitle B—Enforcement
SEC. 111. CIVIL MONETARY PENALTY AUTHORITY WITH RE-
SPECT TO WRONGFUL CONVERSIONS BY REP-
RESENTATIVE PAYEES.
(a) IN GENERAL.—Section 1129(a) of the Social Secu-
rity Act (42 U.S.C. 1320a–8) is amended by adding at the
end the following:
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‘‘(3) Any person (including an organization, agency,
or other entity) who, having received, while acting in the
capacity of a representative payee pursuant to section
205(j), 807, or 1631(a)(2), a payment under title II, VIII,
or XVI for the use and benefit of another individual, con-
verts such payment, or any part thereof, to a use that such
person knows or should know is other than for the use and
benefit of such other individual shall be subject to, in addi-
tion to any other penalties that may be prescribed by law,
a civil money penalty of not more than $5,000 for each
such conversion. Such person shall also be subject to an as-
sessment, in lieu of damages sustained by the United States
resulting from the conversion, of not more than twice the
amount of any payments so converted.’’.
(b) EFFECTIVE DATE.—The amendment made by this
section shall apply with respect to violations committed
after the date of the enactment of this Act.
TITLE II—PROGRAM
PROTECTIONS
SEC. 201. CIVIL MONETARY PENALTY AUTHORITY WITH RE-
SPECT 
TO 
WITHHOLDING 
OF 
MATERIAL
FACTS.
(a) TREATMENT
OF WITHHOLDING
OF MATERIAL
FACTS.—
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(1) CIVIL PENALTIES.—Section 1129(a)(1) of the
Social Security Act (42 U.S.C. 1320a–8(a)(1)) is
amended—
(A) by striking ‘‘who’’ in the first sentence
and inserting ‘‘who—’’;
(B) by striking ‘‘makes’’ in the first sen-
tence and all that follows through ‘‘shall be sub-
ject to,’’ and inserting the following:
‘‘(A) makes, or causes to be made, a statement or
representation of a material fact, for use in deter-
mining any initial or continuing right to or the
amount of monthly insurance benefits under title II
or benefits or payments under title VIII or XVI, that
the person knows or should know is false or mis-
leading,
‘‘(B) makes such a statement or representation
for such use with knowing disregard for the truth, or
‘‘(C) omits from a statement or representation
for such use, or otherwise withholds disclosure of, a
fact which the person knows or should know is mate-
rial 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 VIII
or XVI, if the person knows, or should know, that the
statement or representation with such omission is
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false or misleading or that the withholding of such
disclosure is misleading,
shall be subject to,’’;
(C) by inserting ‘‘or each receipt of such
benefits or payments while withholding disclo-
sure of such fact’’ after ‘‘each such statement or
representation’’ in the first sentence;
(D) by inserting ‘‘or because of such with-
holding of disclosure of a material fact’’ after
‘‘because of such statement or representation’’ in
the second sentence; and
(E) by inserting ‘‘or such a withholding of
disclosure’’ after ‘‘such a statement or represen-
tation’’ in the second sentence.
(2) ADMINISTRATIVE PROCEDURE FOR IMPOSING
PENALTIES.—Section 1129A(a) of such Act (42
U.S.C. 1320a–8a(a)) is amended—
(A) by striking ‘‘who’’ the first place it ap-
pears and inserting ‘‘who—’’; and
(B) by striking ‘‘makes’’ and all that follows
through ‘‘shall be subject to,’’ and inserting the
following:
‘‘(1) makes, or causes to be made, a statement or
representation of a material fact, for use in deter-
mining any initial or continuing right to or the
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(1) Section 1129(b)(3)(A) of such Act (42
U.S.C. 1320a–8(b)(3)(A)) is amended by striking
‘‘charging fraud or false statements’’.
(2) 
Section 
1129(c)(1) 
of 
such 
Act 
(42
U.S.C. 1320a–8(c)(1)) is amended by striking ‘‘and
representations’’ and inserting ‘‘, representations, or
actions’’.
(3) Section 1129(e)(1)(A) of such Act (42
U.S.C. 1320a–8(e)(1)(A)) is amended by striking
‘‘statement or representation referred to in subsection
(a) was made’’ and inserting ‘‘violation occurred’’.
(d) EFFECTIVE DATE.—The amendments made by this
section shall apply with respect to violations committed
after the date on which the Commissioner of Social Security
implements the centralized computer file described in sec-
tion 202.
SEC. 202. ISSUANCE BY COMMISSIONER OF SOCIAL SECU-
RITY OF RECEIPTS TO ACKNOWLEDGE SUB-
MISSION OF REPORTS OF CHANGES IN WORK
OR EARNINGS STATUS OF DISABLED BENE-
FICIARIES.
Effective as soon as possible, but not later than 1 year
after the date of the enactment of this Act, until such time
as the Commissioner of Social Security implements a cen-
tralized computer file recording the date of the submission
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of information by a disabled beneficiary (or representative)
regarding a change in the beneficiary’s work or earnings
status, the Commissioner shall issue a receipt to the disabled
beneficiary (or representative) each time he or she submits
documentation, or otherwise reports to the Commissioner,
on a change in such status.
SEC. 203. DENIAL OF TITLE II BENEFITS TO PERSONS FLEE-
ING PROSECUTION, CUSTODY, OR CONFINE-
MENT, AND TO PERSONS VIOLATING PROBA-
TION OR PAROLE.
(a) IN GENERAL.—Section 202(x) of the Social Secu-
rity Act (42 U.S.C. 402(x)) is amended—
(1) in the heading, by striking ‘‘Prisoners’’ and
all that follows and inserting the following: ‘‘Pris-
oners, Certain Other Inmates of Publicly Funded In-
stitutions, Fugitives, Probationers, and Parolees’’;
(2) in paragraph (1)(A)(ii)(IV), by striking ‘‘or’’
at the end;
(3) in paragraph (1)(A)(iii), by striking the pe-
riod at the end and inserting a comma;
(4) by inserting after paragraph (1)(A)(iii) the
following:
‘‘(iv) is fleeing to avoid prosecution, or custody
or confinement after conviction, under the laws of the
place from which the person flees, for a crime, or an
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attempt to commit a crime, which is a felony under
the laws of the place from which the person flees, or,
in jurisdictions that do not define crimes as felonies,
is punishable by death or imprisonment for a term
exceeding 1 year regardless of the actual sentence im-
posed, or
‘‘(v) is violating a condition of probation or pa-
role imposed under Federal or State law.’’;
(5) by adding at the end of paragraph (1)(B) the
following:
‘‘(iii) Notwithstanding subparagraph (A), the Com-
missioner shall, for good cause shown, pay the individual
benefits that have been withheld or would otherwise be with-
held pursuant to clause (iv) or (v) of subparagraph (A) if
the Commissioner determines that—
‘‘(I) a court of competent jurisdiction has found
the individual not guilty of the criminal offense, dis-
missed the charges relating to the criminal offense,
vacated the warrant for arrest of the individual for
the criminal offense, or issued any similar exon-
erating order (or taken similar exonerating action),
or
‘‘(II) the individual was erroneously implicated
in connection with the criminal offense by reason of
identity fraud.
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‘‘(iv) Notwithstanding subparagraph (A), the Commis-
sioner may, for good cause shown based on mitigating cir-
cumstances, pay the individual benefits that have been
withheld or would otherwise be withheld pursuant to clause
(iv) or (v) of subparagraph (A) if the Commissioner deter-
mines that—
‘‘(I) the offense described in clause (iv) or under-
lying the imposition of the probation or parole de-
scribed in clause (v) was nonviolent and not drug-re-
lated, and
‘‘(II) in the case of an individual from whom
benefits have been withheld or otherwise would be
withheld pursuant to subparagraph (A)(v), the action
that resulted in the violation of a condition of proba-
tion or parole was nonviolent and not drug-related.’’;
and
(6) in paragraph (3), by adding at the end the
following:
‘‘(C) Notwithstanding the provisions of section 552a
of title 5, United States Code, or any other provision of
Federal or State law (other than section 6103 of the Inter-
nal Revenue Code of 1986 and section 1106(c) of this Act),
the Commissioner shall furnish any Federal, State, or local
law enforcement officer, upon the written request of the offi-
cer, with the current address, Social Security number, and
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photograph (if applicable) of any beneficiary under this
title, if the officer furnishes the Commissioner with the
name of the beneficiary, and other identifying information
as reasonably required by the Commissioner to establish the
unique identity of the beneficiary, and notifies the Commis-
sioner that—
‘‘(i) the beneficiary is described in clause (iv) or
(v) of paragraph (1)(A); and
‘‘(ii) the location or apprehension of the bene-
ficiary is within the officer’s official duties.’’.
(b) CONFORMING AMENDMENTS TO TITLE XVI.—Sec-
tion 1611(e) of the Social Security Act (42 U.S.C. 1382(e))
is amended—
(1) in paragraph (4)—
(A) by redesignating subparagraphs (A)
and (B) as clauses (i) and (ii), respectively;
(B) by inserting ‘‘(A)’’ after ‘‘(4)’’;
(C) in clause (i) of subparagraph (A) (as
redesignated by subparagraph (A)), by striking
‘‘or which, in the case of the State of
New Jersey, is a high misdemeanor under the
laws of such State’’ and inserting ‘‘or, in juris-
dictions that do not define crimes as felonies, is
punishable by death or imprisonment for a term
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exceeding 1 year regardless of the actual sentence
imposed’’; and
(D) by adding at the end the following:
‘‘(B) Notwithstanding subparagraph (A), the Commis-
sioner shall, for good cause shown, treat the person referred
to in subparagraph (A) as an eligible individual or eligible
spouse if the Commissioner determines that—
‘‘(i) a court of competent jurisdiction has found
the person not guilty of the criminal offense, dis-
missed the charges relating to the criminal offense,
vacated the warrant for arrest of the person for the
criminal offense, or issued any similar exonerating
order (or taken similar exonerating action), or
‘‘(ii) the person was erroneously implicated in
connection with the criminal offense by reason of
identity fraud.
‘‘(C) Notwithstanding subparagraph (A), the Commis-
sioner may, for good cause shown based on mitigating cir-
cumstances, treat the person referred to in subparagraph
(A) as an eligible individual or eligible spouse if the Com-
missioner determines that—
‘‘(i) the offense described in subparagraph (A)(i)
or underlying the imposition of the probation or pa-
role described in subparagraph (A)(ii) was nonviolent
and not drug-related, and
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‘‘(ii) in the case of a person who is not consid-
ered an eligible individual or eligible spouse pursuant
to subparagraph (A)(ii), the action that resulted in
the violation of a condition of probation or parole
was nonviolent and not drug-related.’’; and
(2) in paragraph (5), by striking subparagraphs
(A) and (B) and inserting the following:
‘‘(A) the recipient is described in clause (i) or
(ii) of paragraph (4)(A); and
‘‘(B) the location or apprehension of the recipi-
ent is within the officer’s official duties.’’.
(c) CONFORMING AMENDMENT.—Section 804(a)(2) of
the Social Security Act (42 U.S.C. 1004(a)(2)) is amended
by striking ‘‘or which, in the case of the State of New Jersey,
is a high misdemeanor under the laws of such State’’ and
inserting ‘‘or, in jurisdictions that do not define crimes as
felonies, is punishable by death or imprisonment for a term
exceeding 1 year regardless of the actual sentence imposed’’.
(d) EFFECTIVE DATE.—The amendments made by this
section shall take effect on the first day of the first month
that begins on or after the date that is 9 months after the
date of enactment of this Act.
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SEC. 204. REQUIREMENTS RELATING TO OFFERS TO PRO-
VIDE FOR A FEE, A PRODUCT OR SERVICE
AVAILABLE WITHOUT CHARGE FROM THE SO-
CIAL SECURITY ADMINISTRATION.
(a) IN GENERAL.—Section 1140 of the Social Security
Act (42 U.S.C. 1320b–10) is amended—
(1) in subsection (a), by adding at the end the
following:
‘‘(4)(A) No person shall offer, for a fee, to assist an
individual to obtain a product or service that the person
knows or should know is provided free of charge by the So-
cial Security Administration unless, at the time the offer
is made, the person provides to the individual to whom the
offer is tendered a notice that—
‘‘(i) explains that the product or service is avail-
able free of charge from the Social Security Adminis-
tration, and
‘‘(ii) complies with standards prescribed by the
Commissioner of Social Security respecting the con-
tent of such notice and its placement, visibility, and
legibility.
‘‘(B) Subparagraph (A) shall not apply to any offer—
‘‘(i) to serve as a claimant representative in con-
nection with a claim arising under title II, title VIII,
or title XVI; or
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‘‘(ii) to prepare, or assist in the preparation of,
an individual’s plan for achieving self-support under
title XVI.’’; and
(2) in the heading, by striking ‘‘PROHIBITION OF
MISUSE OF SYMBOLS, EMBLEMS, OR NAMES IN REF-
ERENCE’’ and inserting ‘‘PROHIBITIONS RELATING TO
REFERENCES’’.
(b) EFFECTIVE DATE.—The amendments made by this
section shall apply to offers of assistance made after the
sixth month ending after the Commissioner of Social Secu-
rity promulgates final regulations prescribing the stand-
ards applicable to the notice required to be provided in con-
nection with such offer. The Commissioner shall promul-
gate such final regulations within 1 year after the date of
the enactment of this Act.
SEC. 205. REFUSAL TO RECOGNIZE CERTAIN INDIVIDUALS
AS CLAIMANT REPRESENTATIVES.
Section 206(a)(1) of the Social Security Act (42
U.S.C. 406(a)(1)) is amended by inserting after the second
sentence the following: ‘‘Notwithstanding the preceding sen-
tences, the Commissioner, after due notice and opportunity
for hearing, (A) may refuse to recognize as a representative,
and may disqualify a representative already recognized,
any attorney who has been disbarred or suspended from any
court or bar to which he or she was previously admitted
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to practice or who has been disqualified from participating
in or appearing before any Federal program or agency, and
(B) may refuse to recognize, and may disqualify, as a non-
attorney representative any attorney who has been dis-
barred or suspended from any court or bar to which he or
she was previously admitted to practice. A representative
who has been disqualified or suspended pursuant to this sec-
tion from appearing before the Social Security Administra-
tion as a result of collecting or receiving a fee in excess
of the amount authorized shall be barred from appearing
before the Social Security Administration as a representa-
tive until full restitution is made to the claimant and,
thereafter, may be considered for reinstatement only under
such rules as the Commissioner may prescribe.’’.
SEC. 206. CRIMINAL PENALTY FOR CORRUPT OR FORCIBLE
INTERFERENCE WITH ADMINISTRATION OF
SOCIAL SECURITY ACT.
Part A of title XI of the Social Security Act (42
U.S.C. 1301 et seq.) is amended by inserting after section
1129A the following:
‘‘ATTEMPTS TO INTERFERE WITH ADMINISTRATION OF
SOCIAL SECURITY ACT
‘‘SEC. 1129B. Whoever corruptly or by force or threats
of force (including any threatening letter or communica-
tion) attempts to intimidate or impede any officer, em-
ployee, or contractor of the Social Security Administration
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(including any State employee of a disability determina-
tion service or any other individual designated by the Com-
missioner of Social Security) acting in an official capacity
to carry out a duty under this Act, or in any other way
corruptly or by force or threats of force (including any
threatening letter or communication) obstructs or impedes,
or attempts to obstruct or impede, the due administration
of this Act, shall be fined not more than $5,000, imprisoned
not more than 3 years, or both, except that if the offense
is committed only by threats of force, the person shall be
fined not more than $3,000, imprisoned not more than 1
year, or both. In this subsection, the term ‘threats of force’
means threats of harm to the officer or employee of the
United States or to a contractor of the Social Security Ad-
ministration, or to a member of the family of such an officer
or employee or contractor.’’.
SEC. 207. USE OF SYMBOLS, EMBLEMS, OR NAMES IN REF-
ERENCE TO SOCIAL SECURITY OR MEDICARE.
(a) IN GENERAL.—Section 1140(a)(1) of the Social Se-
curity Act (42 U.S.C. 1320b–10(a)(1)) is amended—
(1) in subparagraph (A), by inserting ‘‘ ‘Centers
for Medicare & Medicaid Services’,’’ after ‘‘ ‘Health
Care Financing Administration’,’’, by striking ‘‘or
‘Medicaid’, ’’ and inserting ‘‘ ‘Medicaid’, ‘Death Bene-
fits Update’, ‘Federal Benefit Information’, ‘Funeral
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Expenses’, or ‘Final Supplemental Plan’,’’ and by in-
serting ‘‘ ‘CMS’,’’ after ‘‘ ‘HCFA’,’’;
(2) in subparagraph (B), by inserting ‘‘Centers
for Medicare & Medicaid Services,’’ after ‘‘Health
Care Financing Administration,’’ each place it ap-
pears; and
(3) in the matter following subparagraph (B), by
striking ‘‘the Health Care Financing Administra-
tion,’’ each place it appears and inserting ‘‘the Cen-
ters for Medicare & Medicaid Services,’’.
(b) EFFECTIVE DATE.—The amendments made by this
section shall apply to items sent after 180 days after the
date of the enactment of this Act.
SEC. 208. DISQUALIFICATION FROM PAYMENT DURING
TRIAL WORK PERIOD UPON CONVICTION OF
FRAUDULENT CONCEALMENT OF WORK AC-
TIVITY.
(a) IN GENERAL.—Section 222(c) of the Social Secu-
rity Act (42 U.S.C. 422(c)) is amended by adding at the
end the following:
‘‘(5) Upon conviction by a Federal court that an indi-
vidual has fraudulently concealed work activity during a
period of trial work from the Commissioner of Social Secu-
rity by—
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‘‘(A) providing false information to the Commis-
sioner of Social Security as to whether the individual
had earnings in or for a particular period, or as to
the amount thereof;
‘‘(B) receiving disability insurance benefits
under this title while engaging in work activity under
another identity, including under another social secu-
rity account number or a number purporting to be a
social security account number; or
‘‘(C) taking other actions to conceal work activ-
ity with an intent fraudulently to secure payment in
a greater amount than is due or when no payment
is authorized,
no benefit shall be payable to such individual under this
title with respect to a period of disability for any month
before such conviction during which the individual rendered
services during the period of trial work with respect to
which the fraudulently concealed work activity occurred,
and amounts otherwise due under this title as restitution,
penalties, assessments, fines, or other repayments shall in
all cases be in addition to any amounts for which such indi-
vidual is liable as overpayments by reason of such conceal-
ment.’’.
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(b) EFFECTIVE DATE.—The amendment made by sub-
section (a) shall apply with respect to work activity per-
formed after the date of the enactment of this Act.
SEC. 209. AUTHORITY FOR JUDICIAL ORDERS OF RESTITU-
TION.
(a) AMENDMENTS TO TITLE II.—Section 208 of the
Social Security Act (42 U.S.C. 408) is amended—
(1) by redesignating subsections (b), (c), and (d)
as subsections (c), (d), and (e), respectively;
(2) by inserting after subsection (a) the fol-
lowing:
‘‘(b)(1) Any Federal court, when sentencing a defend-
ant convicted of an offense under subsection (a), may order,
in addition to or in lieu of any other penalty authorized
by law, that the defendant make restitution to the victims
of such offense specified in paragraph (4).
‘‘(2) Sections 3612, 3663, and 3664 of title 18, United
States Code, shall apply with respect to the issuance and
enforcement of orders of restitution to victims of such offense
under this subsection.
‘‘(3) If the court does not order restitution, or orders
only partial restitution, under this subsection, the court
shall state on the record the reasons therefor.
‘‘(4) For purposes of paragraphs (1) and (2), the vic-
tims of an offense under subsection (a) are the following:
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‘‘(A) Any individual who suffers a financial loss
as a result of the defendant’s violation of subsection
(a).
‘‘(B) The Commissioner of Social Security, to the
extent that the defendant’s violation of subsection (a)
results in—
‘‘(i) the Commissioner of Social Security
making a benefit payment that should not have
been made; or
‘‘(ii) an individual suffering a financial
loss due to the defendant’s violation of subsection
(a) in his or her capacity as the individual’s
representative payee appointed pursuant to sec-
tion 205(j).
‘‘(5)(A) Except as provided in subparagraph (B),
funds paid to the Commissioner of Social Security as res-
titution pursuant to a court order shall be deposited in the
Federal Old-Age and Survivors Insurance Trust Fund, or
the Federal Disability Insurance Trust Fund, as appro-
priate.
‘‘(B) In the case of funds paid to the Commissioner
of Social Security pursuant to paragraph (4)(B)(ii), the
Commissioner of Social Security shall certify for payment
to the individual described in such paragraph an amount
equal to the lesser of the amount of the funds so paid or
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the individual’s outstanding financial loss, except that such
amount may be reduced by the amount of any overpay-
ments of benefits owed under this title, title VIII, or title
XVI by the individual.’’; and
(3) by amending subsection (c) (as redesignated
by paragraph (1)), by striking the second sentence.
(b) AMENDMENTS TO TITLE VIII.—Section 811 of the
Social Security Act (42 U.S.C. 1011) is amended—
(1) by striking subsection (b) and inserting the
following:
‘‘(b) COURT ORDER FOR RESTITUTION.—
‘‘(1) IN
GENERAL.—Any Federal court, when
sentencing a defendant convicted of an offense under
subsection (a), may order, in addition to or in lieu
of any other penalty authorized by law, that the de-
fendant make restitution to the Commissioner of So-
cial Security, in any case in which such offense re-
sults in—
‘‘(A) the Commissioner of Social Security
making a benefit payment that should not have
been made, or
‘‘(B) an individual suffering a financial
loss due to the defendant’s violation of subsection
(a) in his or her capacity as the individual’s
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representative payee appointed pursuant to sec-
tion 807(i).
‘‘(2) 
RELATED
PROVISIONS.—Sections 
3612,
3663, and 3664 of title 18, United States Code, shall
apply with respect to the issuance and enforcement of
orders of restitution under this subsection. In so ap-
plying such sections, the Commissioner of Social Se-
curity shall be considered the victim.
‘‘(3) STATED REASONS FOR NOT ORDERING RES-
TITUTION.—If the court does not order restitution, or
orders only partial restitution, under this subsection,
the court shall state on the record the reasons therefor.
‘‘(4) RECEIPT OF RESTITUTION PAYMENTS.—
‘‘(A) IN GENERAL.—Except as provided in
subparagraph (B), funds paid to the Commis-
sioner of Social Security as restitution pursuant
to a court order shall be deposited as miscella-
neous receipts in the general fund of the Treas-
ury.
‘‘(B) PAYMENT TO THE INDIVIDUAL.—In the
case of funds paid to the Commissioner of Social
Security pursuant to paragraph (1)(B), the
Commissioner of Social Security shall certify for
payment to the individual described in such
paragraph an amount equal to the lesser of the
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amount of the funds so paid or the individual’s
outstanding financial loss as described in such
paragraph, except that such amount may be re-
duced by any overpayment of benefits owed
under this title, title II, or title XVI by the indi-
vidual.’’.
(c) AMENDMENTS TO TITLE XVI.—Section 1632 of the
Social Security Act (42 U.S.C. 1383a) is amended—
(1) by redesignating subsection (b) as subsection
(c); and
(2) by inserting after subsection (a) the fol-
lowing:
‘‘(b)(1) Any Federal court, when sentencing a defend-
ant convicted of an offense under subsection (a), may order,
in addition to or in lieu of any other penalty authorized
by law, that the defendant make restitution to the Commis-
sioner of Social Security, in any case in which such offense
results in—
‘‘(A) the Commissioner of Social Security mak-
ing a benefit payment that should not have been
made, or
‘‘(B) an individual suffering a financial loss due
to the defendant’s violation of subsection (a) in his or
her capacity as the individual’s representative payee
appointed pursuant to section 1631(a)(2).
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‘‘(2) Sections 3612, 3663, and 3664 of title 18, United
States Code, shall apply with respect to the issuance and
enforcement of orders of restitution under this subsection.
In so applying such sections, the Commissioner of Social
Security shall be considered the victim.
‘‘(3) If the court does not order restitution, or orders
only partial restitution, under this subsection, the court
shall state on the record the reasons therefor.
‘‘(4)(A) Except as provided in subparagraph (B),
funds paid to the Commissioner of Social Security as res-
titution pursuant to a court order shall be deposited as mis-
cellaneous receipts in the general fund of the Treasury.
‘‘(B) In the case of funds paid to the Commissioner
of Social Security pursuant to paragraph (1)(B), the Com-
missioner of Social Security shall certify for payment to
the individual described in such paragraph an amount
equal to the lesser of the amount of the funds so paid or
the individual’s outstanding financial loss as described in
such paragraph, except that such amount may be reduced
by any overpayment of benefits owed under this title, title
II, or title VIII by the individual.’’; and
(3) by amending subsection (c) (as redesignated
by paragraph (1)) by striking ‘‘(1) If a person’’ and
all that follows through ‘‘(2)’’.
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(d) EFFECTIVE DATE.—The amendments made by
subsections (a), (b), and (c) shall apply with respect to vio-
lations occurring on or after the date of enactment of this
Act.
SEC. 210. AUTHORITY FOR CROSS-PROGRAM RECOVERY OF
BENEFIT OVERPAYMENTS.
(a) IN GENERAL.—Section 1147 of the Social Security
Act (42 U.S.C. 1320b–17) is amended to read as follows:
‘‘CROSS-PROGRAM RECOVERY OF OVERPAYMENTS FROM
BENEFITS
‘‘(a) IN GENERAL.—Subject to subsection (b), whenever
the Commissioner of Social Security determines that more
than the correct amount of any payment has been made
to a person under a program described in subsection (e),
the Commissioner of Social Security may recover the
amount incorrectly paid by decreasing any amount which
is payable to such person under any other program speci-
fied in that subsection.
‘‘(b) LIMITATION APPLICABLE TO CURRENT BENE-
FITS.—
‘‘(1) IN GENERAL.—In carrying out subsection
(a), the Commissioner of Social Security may not de-
crease the monthly amount payable to an individual
under a program described in subsection (e) that is
paid when regularly due—
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‘‘(A) in the case of benefits under title II or
VIII, by more than 10 percent of the amount of
the benefit payable to the person for that month
under such title; and
‘‘(B) in the case of benefits under title XVI,
by an amount greater than the lesser of—
‘‘(i) the amount of the benefit payable
to the person for that month; or
‘‘(ii) an amount equal to 10 percent of
the person’s income for that month (includ-
ing such monthly benefit but excluding pay-
ments under title II when recovery is also
made from title II payments and excluding
income 
excluded 
pursuant 
to 
section
1612(b)).
‘‘(2) EXCEPTION.—Paragraph (1) shall not
apply if—
‘‘(A) the person or the spouse of the person
was involved in willful misrepresentation or con-
cealment of material information in connection
with the amount incorrectly paid; or
‘‘(B) the person so requests.
‘‘(c) NO EFFECT ON ELIGIBILITY OR BENEFIT AMOUNT
UNDER TITLE VIII OR XVI.—In any case in which the
Commissioner of Social Security takes action in accordance
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with subsection (a) to recover an amount incorrectly paid
to any person, neither that person, nor (with respect to the
program described in subsection (e)(3)) any individual
whose eligibility for benefits under such program or whose
amount of such benefits, is determined by considering any
part of that person’s income, shall, as a result of such
action—
‘‘(1) become eligible for benefits under the pro-
gram described in paragraph (2) or (3) of subsection
(e); or
‘‘(2) if such person or individual is otherwise so
eligible, become eligible for increased benefits under
such program.
‘‘(d) INAPPLICABILITY OF PROHIBITION AGAINST AS-
SESSMENT AND LEGAL PROCESS.—Section 207 shall not
apply to actions taken under the provisions of this section
to decrease amounts payable under titles II and XVI.
‘‘(e) PROGRAMS DESCRIBED.—The programs described
in this subsection are the following:
‘‘(1) The old-age, survivors, and disability insur-
ance benefits program under title II.
‘‘(2) The special benefits for certain World War
II veterans program under title VIII.
‘‘(3) The supplemental security income benefits
program under title XVI (including, for purposes of
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this section, State supplementary payments paid by
the Commissioner pursuant to an agreement under
section 1616(a) of this Act or section 212(b) of Public
Law 93–66).’’.
(b) CONFORMING AMENDMENTS.—
(1) Section 204(g) of the Social Security Act (42
U.S.C. 404(g)) is amended to read as follows:
‘‘(g) For provisions relating to the cross-program re-
covery of overpayments made under programs administered
by the Commissioner of Social Security, see section 1147.’’.
(2) Section 808 of the Social Security Act (42
U.S.C. 1008) is amended—
(A) in subsection (a)(1)—
(i) by striking subparagraph (B);
(ii) in the matter preceding subpara-
graph (A), by striking ‘‘any payment’’ and
all that follows through ‘‘under this title’’
and inserting ‘‘any payment under this
title’’; and
(iii) by striking ‘‘; or’’ and inserting a
period;
(B) by striking subsection (b) and redesig-
nating subsections (c), (d), and (e) as subsections
(b), (c), and (d), respectively; and
(C) by adding at the end the following:
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‘‘(e) 
CROSS-PROGRAM
RECOVERY
OF
OVERPAY-
MENTS.—For provisions relating to the cross-program re-
covery of overpayments made under programs administered
by the Commissioner of Social Security, see section 1147.’’.
(3) Section 1147A of the Social Security Act (42
U.S.C. 1320b–18) is repealed.
(4) Section 1631(b) of the Social Security Act
(42 U.S.C. 1383(b)) is amended—
(A) in paragraph (1)(B)—
(i) by striking ‘‘excluding any other’’
and inserting ‘‘excluding payments under
title II when recovery is made from title II
payments pursuant to section 1147 and ex-
cluding’’; and
(ii) by striking ‘‘50 percent of’’; and
(B) by striking paragraph (6) and inserting
the following:
‘‘(6) For provisions relating to the cross-program re-
covery of overpayments made under programs administered
by the Commissioner of Social Security, see section 1147.’’.
(c) EFFECTIVE DATE.—The amendments and repeal
made by this section shall take effect on the date of enact-
ment of this Act, and shall be effective with respect to over-
payments under titles II, VIII, and XVI of the Social Secu-
rity Act that are outstanding on or after such date.
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SEC. 211. PROHIBITION ON PAYMENT OF TITLE II BENEFITS
TO PERSONS NOT AUTHORIZED TO WORK IN
THE UNITED STATES.
(a) FULLY INSURED AND CURRENTLY INSURED INDI-
VIDUALS.—Section 214 (42 U.S.C. 414) is amended—
(1) in subsection (a), by inserting before the pe-
riod at the end the following: ‘‘, and who satisfies the
criterion specified in subsection (c)’’;
(2) in subsection (b), by inserting before the pe-
riod at the end the following: ‘‘, and who satisfies the
criterion specified in subsection (c)’’; and
(3) by adding at the end the following:
‘‘(c) For purposes of subsections (a) and (b), the cri-
terion specified in this subsection is that the individual,
if not a United States citizen or national—
‘‘(1) has been assigned a social security account
number that was, at the time of assignment, or at
any later time, consistent with the requirements of
subclause (I) or (III) of section 205(c)(2)(B)(i); or
‘‘(2) at the time any such quarters of coverage
are earned—
‘‘(A) is described in subparagraph (B) or
(D) of section 101(a)(15) of the Immigration and
Nationality Act,
‘‘(B) is lawfully admitted temporarily to
the United States for business (in the case of an
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Act, and annually thereafter, the Commissioner shall
transmit to the Committee on Ways and Means of the
House of Representatives and to the Committee on Fi-
nance of the Senate an annual interim report on the
progress of the demonstration project carried out
under this section, together with any related data and
materials that the Commissioner may consider appro-
priate.
(2) TERMINATION DATE AND FINAL REPORT.—
The termination date of the demonstration project
under this section is the date which is 5 years after
the date of the submission of the notice by the Com-
missioner to each House of Congress pursuant to sub-
section (d). The authority under the preceding provi-
sions of this section shall not apply in the case of
claims for benefits with respect to which the agree-
ment for representation is entered into after the ter-
mination date. Not later than 90 days after the ter-
mination date, the Commissioner shall submit to the
Committee on Ways and Means of the House of Rep-
resentatives and to the Committee on Finance of the
Senate a final report with respect to the demonstra-
tion project.