Notice2024-10248
Maximum Dollar Limit in the Fee Agreement Process
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
May 10, 2024
Issuing agencies
Social Security Administration
Abstract
We are increasing the maximum dollar amount limit for fee agreements approved under the Social Security Act (the Act) to $9,200. Effective November 30, 2024, we may approve fee agreements up to the new dollar limit, provided that the fee agreement otherwise meets the statutory conditions of the agreement process.
Full Text
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<title>Federal Register, Volume 89 Issue 92 (Friday, May 10, 2024)</title>
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[Federal Register Volume 89, Number 92 (Friday, May 10, 2024)]
[Notices]
[Pages 40523-40524]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-10248]
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SOCIAL SECURITY ADMINISTRATION
[Docket No. SSA-2024-0009]
Maximum Dollar Limit in the Fee Agreement Process
AGENCY: Social Security Administration.
ACTION: Notice.
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SUMMARY: We are increasing the maximum dollar amount limit for fee
agreements approved under the Social Security Act (the Act) to $9,200.
Effective November 30, 2024, we may approve fee agreements up to the
new dollar limit, provided that the fee agreement otherwise meets the
statutory conditions of the agreement process.
DATES: We will apply this notice beginning on November 30, 2024.
FOR FURTHER INFORMATION CONTACT: Mary Quatroche, Office of Vocational,
Evaluation, and Process Policy in the Office of Disability Policy,
Social Security Administration, 6401 Security Boulevard, Baltimore, MD
21235-6401, (410) 966-4794.
For information on eligibility or filing for benefits, call the
Social Security Administration's (SSA) national toll-free number, 1-
800-772-1213 or TTY 1-800-325-0778, or visit SSA's internet site,
Social Security Online at <a href="http://www.socialsecurity.gov">http://www.socialsecurity.gov</a>.
SUPPLEMENTARY INFORMATION: The Act provides a streamlined process for a
representative to obtain approval of the fee the representative wishes
to charge for representing a claimant before us.\1\ To use that fee
agreement process, the representative(s) and the claimant must agree,
in a signed writing, to a fee that does not exceed the limit set by the
statute, which is the lesser of 25 percent of past due benefits or a
prescribed dollar amount. Section 5106 of the Omnibus Budget
Reconciliation Act (OBRA) of 1990, Public Law 101-508, set the initial
fee amount at $4,000 and gave the Commissioner the authority to
increase it periodically, provided that the cumulative rate of increase
did not at any time exceed the rate of increase in the primary
insurance amount (PIA) since January 1, 1991. The law further provided
that notice of any increased amount shall be published in the Federal
Register. On June 30, 2022, we published a notice raising the maximum
fee to $7,200, effective November 30, 2022, which is the current
maximum dollar amount for fee agreements.\2\
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\1\ 42 U.S.C. 406(a) and 1383(d)(2)(A).
\2\ 87 FR 39157 (2022).
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With this notice, we announce that the maximum dollar amount under
the fee agreement process, will increase to $9,200, effective November
30, 2024. This increase does not exceed the rate of increase provided
in the OBRA of 1990. We expect that this increase will compensate
representatives for their services while ensuring claimants are
protected from excessive fees. In setting the new cap, we considered a
number of factors, including: data about fees authorized under the
current fee cap, data about case backlogs, COLA, PIAs, feedback we
received about the current fee cap, increases in disability benefits,
and the effects on our claimants.
Beginning November 30, 2024, decision makers may approve a fee
agreement up to the new dollar limit if the fee agreement meets the
statutory conditions for approval, no exceptions to the fee agreement
process exist, and the favorable determination or decision is issued on
or after this date. We are setting this date to ensure that there is
adequate time to provide training and guidance to our employees and to
make the necessary changes in our information technology
infrastructure.
Starting in January 2026, along with our announcements of other
cost of living adjustments (COLA) (e.g., for title II benefits, title
XVI payments, or the appointed representative fee assessment), we will
annually address the maximum dollar amount for fee agreements and
provide a rationale for either increasing or not increasing the maximum
dollar amount based upon the annual COLA for the prior year. Future
increases will not exceed the rate of increase provided in the OBRA of
1990. We expect that future increases will compensate representatives
for
[[Page 40524]]
their services while ensuring claimants are protected from excessive
fees.
The Commissioner of the Social Security Administration, Martin
O'Malley, having reviewed and approved this document, is delegating the
authority to electronically sign this document to Jennifer L. Dulski,
who is a Federal Register Liaison for SSA, for purposes of publication
in the Federal Register.
Jennifer L. Dulski,
Federal Register Liaison, Office of Legislation and Congressional
Affairs, Social Security Administration.
[FR Doc. 2024-10248 Filed 5-9-24; 8:45 am]
BILLING CODE 4191-02-P
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</html>Indexed from Federal Register on May 10, 2024.
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.