1. a. 

   Follow the procedures for developing and making a decision as to whether to accept a compromise offer as provided in SI 02220.030.

2. b. 

   Prepare a summary of the evidence used to support your decision on a SSA-553.

3. c. 

   For compromise offers of $35,000 or less, notify the individual using an SSA-L8165-U2 whether the compromise offer is acceptable. If it is acceptable, specify the amount accepted and the date payment is due, which is 30 days after the date on the notice unless the circumstances require a later date If the debtor wishes to pay the compromised amount in weekly, monthly, or multiple installments, that the debt must be recovered in full within 90 days. days).

4. d. 

   For compromise offers more than $35,000, refer to SI 02220.031C.5. When warranted by the facts of the case (e.g., the individual will not have access to the money to satisfy the offer within 30 days), you may extend the payment due date.

5. e. 

   When the FO receives the payment:

   • •

     Input on the overpayment decision (UOPD) screen in Direct SSR Update the amount you are not collecting because of the compromise settlement. Refer to SM 01311.290.

   • •

     Forward the refund to the appropriate program service center.

The Claims Specialist (CS) makes the decision whether to accept the compromise offer without further review.

1. a. 

   Accept an offer of at least 80 percent of the overpayment amount (without financial development).

2. b. 

   Accept an offer of at least 60 percent of the overpayment amount if:

   • •

     We cannot fully recover the overpayment by adjustment within one year, and

   • •

     Your financial development establishes that the individual is unable to repay more than the amount offered. For more information on the factors to consider when evaluating financial circumstances, refer to SI 02220.030B.1

3. c. 

   Accept an offer of less than 60 percent when your financial development establishes that the individual is unable to repay more than the amount offered, refer to SI 02220.030B.1.

1. a. 

   The CS will make the decision on the compromise offer, with concurrence of a CS of the same or higher grade level.

2. b. 

   Prepare a SSA-553 to support the decision.

3. c. 

   Notify the individual using an SSA-L8165-U2 whether the compromise offer is acceptable. If it is, specify the amount accepted and the date payment is due, which is 30 days after the date of the notice.

• •

  Accept an offer that is at least 80 percent of the overpayment amount.

• •

  Accept an offer of at least 60 percent of the overpayment amount if:

  • –

    We cannot fully recover the overpayment by adjustment within one year, and

  • –

    Your financial development establishes that the individual is unable to repay more than the amount offered. For more information on the factors to consider when evaluating financial circumstances refer to SI 02220.030B.1.

• •

  Accept an offer of less than 60 percent when:

  • –

    We cannot fully recover the overpayment by adjustment within three years; and

  • –

    Your financial development establishes that the individual is unable to repay more than the amount offered, refer to SI 02220.030B.

1. a. 

   If the offer is for less than 80 percent of the overpayment amount, the FO will forward the compromise offer and the overpayment file to the ARC MOS. Include the development on the individual's financial circumstances and ability to repay, and your recommendation to accept or reject the compromise offer. Your recommendation should be consistent with the guidance in SI 02220.031C.3.

   The ARC MOS will make the decision and return all material to the FO.

   After the ARC MOS has returned the file to the FO, notify the individual if we will accept or reject the compromise offer using SSA-L8165-U2.

2. b. 

   Accept a compromise offer of 80 percent of the overpayment amount or more if:.

   1. 1. 

      financial development determines the individual does not have the ability to pay more, and

   2. 2. 

      we determine that full recovery by adjustment cannot be made within three years

For additional guidance refer to SI 02220.031C.3.

Refer the fully developed file, including the compromise offer, the overpayment file, the individual's financial circumstances and ability to repay, and your recommendation to accept or reject the offer to the ARC MOS. For any compromise offer for an overpayment of more than $35,000, you must consider financial ability and our ability to fully recover by adjustment within 3 years in your recommendation, refer to SI 02220.031C.3. The ARC MOS will accept or reject the offer. For more information on non-collect overpayment decision referrals to ARC MOS, refer to SI 02220.005D..

Refer the compromise offer with a recommendation to accept the offer to the ARC MOS. The ARC MOS will refer the offer to the Department of Justice (DOJ).

1. a. 

   Refer the fully developed compromise offer, including the individual's financial circumstances and ability to repay, to the regional office of the inspector general (OIG), office of investigations (OI). Do not tell the individual whether we will accept the compromise offer. For any compromise offer for an overpayment of more than $100,000, you must consider financial ability and our ability to fully recover by adjustment within 3 years in your recommendation, refer to SI 02220.031C.3.

2. b. 

   OIG, OI will refer the compromise offer to the U.S. Attorney who will decide whether to accept the offer.

   Do not refer a compromise offer if the recommendation is to reject the offer.

Forward the fully developed compromise offer and the overpayment file to the regional OIG, OI, using the Allegation Referral Intake System (ARIS).

The regional OIG, OI will refer the compromise offer to the U. S. Attorney, when appropriate. OI will refer all compromise offers where fraud prosecution is not precluded to the U.S. Attorney for the decision of whether to accept the compromise offer.