DATE: October 23,2019

1. SYLLABUS

Provides instructions to SSA to follow to file a claim with the Maine Office of the State Treasurer seeking the return of funds belonging to SSA.

2. OPINION

QUESTION PRESENTED

How to pursue a claim for property belonging to SSA that has escheated to the State of Maine.

Short Answer

SSA should follow the instructions on the Claim Form provided by the Maine Office of the State Treasurer, to file a claim for the return of over $21,000 in funds belonging to SSA.

Background

On March 18, 2019, the Office of the State Treasurer notified SSA’s Augusta, Maine office that the State was holding unclaimed property belonging to SSA. Specifically, the State provided a Claim Form documenting over $21,000, comprising various sums attached to several property ID numbers. (Exhibit 1). Pursuant to POMS GN 02408.750B, the Regional Office should seek an opinion from the Regional Chief Counsel when notified of escheatment. Accordingly, on May 3, 2019, Charles Schaenman in Region One’s Center for Disability and Programs Support contacted our office for guidance on how SSA should pursue claims for the escheated property. Mr. Schaenman provided our office with a spreadsheet linking the property ID numbers with specific claimants. (Exhibit 2). The money represents payments made by SSA to the Maine Department of Health and Human Services in its capacity as an organizational representative payee for child beneficiaries in foster care. The funds appear to be conserved benefits that were retained by the State agency after it ceased serving as payee for the children. Under SSA’s rules, a payee who stops serving as a representative must return any conserved funds to SSA to be reissued to a successor payee (or paid directly to a beneficiary if a payee is no longer required). See POMS GN 0603.020D.2; GN 00603.055A. Because the funds were not timely returned by the Maine Department of Health and Human Services, they eventually escheated to the State.

Applicable Law

Maine recently revised its laws governing the disposition of unclaimed property. The Maine Revised Unclaimed Property Act became effective on October 1, 2019. See Me. Rev. Stat. Ann. tit. 33, § 2051 et.seq. (2019). Under the Act, a person may file a claim for property held by the State Treasurer, by submitting a form prescribed by the Treasurer and verified by the claimant.[1] See Me. Rev. Stat. Ann. tit. 33, § 2153 (2019).

 

That Claim Form requires the following:

• •

  A signature by someone authorized to claim funds on behalf of SSA, along with a Social Security number or Federal Employer Identification Number, witnessed and notarized;

• •

  “A copy of [the signer’s] signature identification and proof of authorization to claim funds on behalf of [SSA]. Suggested forms of proof include: business card with title, letter of authorization from CEO/CFO, corporation paper identifying [the signer] as an officer”; and

• •

  A signed and notarized “Affidavit and Agreement Supporting Claim for a Business or Organization.”

(Exhibit 1). The Treasurer must then approve or deny the claim within 90 days. See Me. Rev. Stat. Ann. tit. 33, § 2154 (2019).

Analysis

SSA should follow the claim process provided under Maine’s Revised Unclaimed Property Act and described in the Claim Form for recovering the money at issue.

Because the Act does not provide any other requirements for proving ownership of the funds listed on the Claim Form, we contacted the unclaimed property office within the Office of the State Treasurer to inquire whether SSA needs to provide any other information or documentation to prove ownership of the funds. We received the following response:

The documentation that was sent out at the initial start of the claim is what we like to start with. That request would have asked for a Business Affidavit, a Notarized claim form, and Authorization to claim for Entity. Once these initial forms are completed and sent in we verify based off that information, whether or not further documentation is required.

(Exhibit 3).[2] Thus, SSA should follow the instructions in the Claim Form. Specifically, SSA should (1) identify an employee who is authorized to claim funds on behalf of the agency—that individual should provide a witnessed and notarized signature on the Claim Form along with a Social Security number or Federal Employer Identification Number; (2) provide a copy of the signer’s identification and proof of his or her authorization to claim funds on behalf of SSA (e.g. a business card with the signer’s title and a letter of authorization from SSA); and (3) submit a signed and notarized business affidavit.

If, upon filing the claim, the Office of the State Treasurer determines that additional documentation is required, and you require additional advice, please request an updated opinion from our office.

Conclusion

Based on the foregoing, we believe that SSA should follow the instructions on the Claim Form to file a claim with the Maine Office of the State Treasurer seeking the return of over $21,000 in funds belonging to SSA.

[1] The term “person” includes governmental agencies, such as SSA. See Me. Rev. Stat. Ann. tit. 33, § 2052 (2019).

[2] A follow-up e-mail confirmed that the recent repeal of the former law, the Uniform Unclaimed Property Act, Me. Rev. Stat. tit. 33, §§ 1951-1980 (eff. Feb. 23, 2012 to Sept. 18, 2019), did not change the claims process. (Exhibit 4).