Protecting Americans from Social Security Clawbacks Act
Impact
If enacted, HB 9385 would alter the landscape of Social Security overpayment recovery, providing relief to beneficiaries who may have received excess payments due to administrative errors. This change is expected to ease the financial burden on vulnerable populations who rely on these benefits and could reduce the number of recovery actions initiated against these individuals. The bill's language aims to prevent undue hardship on recipients who, through no fault of their own, have received payments in excess due to errors by government officials.
Summary
House Bill 9385, titled the 'Protecting Americans from Social Security Clawbacks Act', aims to amend sections of the Social Security Act regarding the recovery of overpaid benefits. The bill proposes significant limitations on the ability of the Social Security Administration to recover overpayments made under Title II and Title XVI of the Social Security Act. Specifically, it seeks to prevent recovery actions if the overpayment occurred more than three years prior to the finding and was due to an error made by the Commissioner of Social Security.
Contention
Discussions surrounding HB 9385 indicate some points of contention among legislators and stakeholders. Proponents argue that the bill is necessary to protect beneficiaries from harsh recovery processes that can arise from administrative mistakes. However, opponents may raise concerns about the potential for abuse or fraud, particularly if the bill provides too lenient an approach to overpayment recovery, especially regarding those with a history of fraud. Additionally, the bill raises questions about the balance of responsibility between beneficiaries and the government in the management of Social Security funds.
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