TN 14 (08-07)

GN 00504.150 FO Processing of S8/S08 Alerts

A. Policy

Generally, do not suspend benefits when a beneficiary needs a representative payee (RP) and none is available. Instead, when permissible, immediately initiate direct payment of current benefits to the beneficiary while developing for a suitable payee. See GN 00504.105 for the immediate direct payment policy and exceptions. The Field Office (FO) must ensure that efforts continue to locate a suitable payee and to reinstate benefits as soon as possible in cases where there is a suspension (S8/S08). See GN 00504.110 for a full discussion of when the suspension of benefits to a beneficiary with a RP is appropriate.

NOTE: The suspension of SSI benefits for reason S08 is not an eligibility suspension. Instead, it is an administrative stop payment (SI 02301.201B.2).

B. Process

The Office of Systems identifies cases that are in S-8/S-08 status from the MBR/SSR on a monthly basis and posts them to the Management Information Services Facility (MISF). The NY RO’s MI staff extracts the data and posts the information to the S8/S08 Tracking Application (website). Each FO is responsible for monitoring and resolving cases in their jurisdiction. Once payment is reinstated or otherwise removed from S8/S08 status, the case will not be identified in the next month's run.

C. Procedure

Process the alerted items as follows:

Step

Action

1.

Review the MBR/SSR to verify the beneficiary is still in S8/S08 status. If the payment status has now changed, no action is necessary.

2.

Query the RPS to determine if there is a current pending RP application. If so, process to completion. If not, go to step 3.

3.

Develop for a new RP using guides in GN 00502.100. Other family members on the MBR/SSR may be a valuable source of a payee lead. If a payee cannot be found, initiate direct payment (if permitted) using instructions in GN 00504.105 and GN 00504.185 while you continue your search for a suitable RP.

4.

If unable to find a suitable RP and direct payment is not permissible, leave the beneficiary in S8/S08 status while you continue to locate a suitable RP. Document your efforts in the Special Message field of the MBR (MSOM T2PE 007.008) or the Remarks field of the SSR (SM 01301.841).

D. Change in Suspense Reason

1. Whereabouts Unknown

If you are unable to locate the beneficiary, update the suspense reason to reflect the reason for non-payment.

For title XVI cases, change the suspense reason from S08 to S06 (refer to SI 02301.201B2 and SI 02301.240).

For title II cases involving a disability wage earner (HA) who is NOT due or overdue a continuing disability review (CDR) (refer to POMS DI 13015.005) and the case contains one or more auxiliaries in current pay status, change the HA’s LAF code to S-9 with a RFST of “MISCEL”, retroactive to the first month of suspension. This will require a two-step input process in the same transaction. Use the DPYE to reinstate (end) the S-8 period retroactive to the first month of suspension and then use the MISC screen (MSOM COMMON 005.025) to suspend S-9 retroactive to the original date of suspension. Add a special message to the MBR “whereabouts unk/payee may be needed”. Establish a MDW to recall the case when the CDR date matures so the payment can be updated (to S-0 status) at that time.

For all other title II cases involving a disabled beneficiary (due or over due for a CDR or no auxiliaries involved or a missing DAC), change the LAF code to S-0. Refer to DI 13010.160 and SM 03020.050. This will require a two-step process as part of the same transaction. Use the DPYE screen (MSOM COMMON 005.020) to reinstate (end) the S-8 period retroactive to the o