Effective Dates: 12/19/2024 - Present Previous | Next

TN 6 (12-24)

GN 03950.050 Post-Review Actions Under the Fee Petition Process - Office of Hearings Operations and Office of Appellate Operations Jurisdiction Cases

A. Introduction

Benefit authorizers (BA) will refer all fee petition administrative review determinations issued at the hearing and Appeals Council levels in which a representative's fee was increased to the appropriate technician designated by their processing center (PC) for handling such matters, such as a reconsideration reviewer (RECONR), senior claims processing specialist (SCPS), or claims technical expert (CTE). We do not generally withhold past-due benefits beyond the initial fee authorization. Therefore, if we released withheld past-due benefits after the initial fee authorization, special notice language concerning payment responsibility, fee collection, and potential overpayment action by us (if not contained in the notice) will be necessary.

B. Process

1. Initial Fee Required All Past-Due Benefits

If we properly withheld 25 percent of past-due benefits and paid the initially authorized fee with all past-due benefits previously withheld, no further action is necessary if the fee is increased on administrative review.

2. Initial Fee Less Than Past-Due Benefits

If we paid the authorized fee with only a portion of the past-due benefits previously withheld because:

  • •

    The authorized fee was less than the past-due benefits amount; or

  • •

    Payment from past-due benefits decreased after adjustment for a trust or escrow account;

In these situations, when the fee was increased on administrative review, we inform the claimant and any affected auxiliary beneficiary or eligible spouse of their obligation to pay the increased fee.

a. Notice to Claimant

The technician prepares a notice telling the claimant and any affected auxiliary beneficiary or eligible spouse that:

  • •

    The reviewing official increased the representative's fee (indicating the amount of the increase and the total fee authorized);

  • •

    We withhold up to 25 percent of past-due benefits toward direct payment of a representative's fee;

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    Following the payment of the original fee to the representative (or entity), we released the remaining past-due benefits to the claimant and any affected auxiliary beneficiary or eligible spouse, if appropriate;

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    The representative expects the claimant (and any affected auxiliary beneficiaries or eligible spouse) to pay the increased fee; and

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    If the claimant (or any affected auxiliary beneficiary or eligible spouse) does not arrange to pay the representative, we will have to take action to withhold these fees from their future benefits.

Because of Privacy Act considerations, ensure that the personal information (e.g., mailing address or Social Security number (SSN)) of the claimant, any auxiliary beneficiary, or eligible spouse is redacted from the copy of the notice sent to any other party except the representative.

EXCEPTION: If we properly paid the fee pursuant to the initial fee authorization, and subsequently the representative files an untimely request for administrative review, we are not responsible for payment of any increased fee amount determined on administrative review. In these situations, do not include information about taking action to withhold future benefits to pay the fee. 

b. Notice to Eligible Representative

The technician prepares a notice telling the eligible representative or as applicable, another individual listed in GN 03930.020A who may request administrative review:

  • •

    How much the reviewing official increased the initial fee on administrative review;

  • •

    How much the reviewing official authorized in total fees;

  • •

    That we cannot certify direct payment of the increased fee because the remaining past-due benefits we were withholding after making the initial fee payment were released to the claimant (or any affected auxiliary beneficiary or eligible spouse) following the initial fee authorization;

  • •

    That the representative should attempt to collect the increased fee directly from the claimant (or any affected auxiliary beneficiary or eligible spouse); and

  • •

    That the representative or other authorized individual should notify us if the claimant (or any affected auxiliary beneficiary or eligible spouse) does not make a satisfactory arrangement to pay the fee.

EXCEPTION: If we properly paid the fee pursuant to the initial fee authorization, and subsequently the representative files an untimely request for administrative review, do not direct the representative or other authorized individual to notify us if they are unable to collect the payment. We are not responsible for direct payment in such situations. 

c. Eligible Representative Unable to Collect Fee

If the representative reports that they are unable to collect the increased fee from the claimant (or any affected auxiliary beneficiary or eligible spouse), the technician instructs the BA to:

  • •

    Certify direct payment of the increased fee to the eligible representative, or, if there is a valid assignment, the entity (in the amount of the remaining withheld past-due benefits released after the initial fee payment, subject to the 25 percent maximum);

  • •

    Establish an overpayment, following the instructions in GN 03920.055C;

  • •

    Initiate recovery; and

  • •

    If waiver of recovery is requested by the claimant (or any affected auxiliary beneficiary, follow the usual waiver procedures.

EXCEPTION: If we properly paid the fee pursuant to the initial fee authorization, and subsequently the representative files an untimely request for administrative review, skip this step. We are not responsible for direct payment in such situations.

To Link to this section - Use this URL:
http://policy.ssa.gov/poms.nsf/lnx/0203950050
GN 03950.050 - Post-Review Actions Under the Fee Petition Process - Office of Hearings Operations and Office of Appellate Operations Jurisdiction Cases - 12/19/2024
Batch run: 12/19/2024
Rev:12/19/2024