Each State that enters into an agreement with the Secretary for Federal administration
of a State's mandatory and/or optional supplementary payments must pay the Social
Security Administration (SSA) an amount sufficient to cover the State's liability
for these expenditures. In addition, State liability will include a fee to cover the
cost to the Federal government of administering the State's supplementary payments.
The monthly administration fee is $1.67 for each supplementary payment in Federal
fiscal year (FFY) 1994; $3.33 in FFY 1995; $5.00 in FFY 1996 and 1997; $6.20 in FFY
1998; $7.60 in FFY 1999; $7.80 in FFY 2000; $8.10 in FFY 2001; $8.50 in FFY 2002.
Fees for subsequent years will be the applicable rate in the preceding fiscal year,
increased by the percentage, if any, by which the Consumer Price Index for the month
of June of the calendar year of the increase exceeds the Consumer Price Index for
the month of June in the preceding calendar year, and rounded to the nearest whole
cent; or such different rate as the Commissioner determines is appropriate for the