To amend title II of the Social Security Act to provide that not more than 10 percent of a monthly benefit may be withheld on account of overpayments.
- Bill Number
- H.R. 2999
- Origin Chamber
- House
- Congress
- 119th Congress, Session 1
- Policy Area
- Social Welfare
- Status
- Introduced
- Latest Action
- 2025-04-24: Referred to the House Committee on Ways and Means.
- Last Updated
- 2026-02-05T09:06:11Z
AI-Generated Summary
Purpose
This legislation, H.R. 2999, aims to protect Social Security beneficiaries from excessive financial hardship by limiting the amount of monthly benefits that can be withheld to recover overpayments. It ensures that recovery is gradual unless the beneficiary agrees to a faster pace, specifically for cases not involving fraud.
Key Provisions
- Amends Section 204(a)(1)(A) of the Social Security Act (title II, which covers retirement, survivors, and disability insurance benefits).
- Prohibits the Social Security Administration (SSA) Commissioner from withholding more than 10% of a monthly benefit to recover an overpayment, unless:
- The overpayment was due to fraud or "similar fault" (intentional wrongdoing or willful disregard by the beneficiary), in which case current rules apply without the cap.
- The beneficiary requests a higher withholding rate.
- Applies to all outstanding overpayments under title II as of the date of enactment.
Significant Changes to Existing Law
- Prior to this amendment, the SSA could withhold up to 100% of a monthly benefit for overpayments in non-fraud cases, potentially leaving beneficiaries with little or no income.
- Introduces a mandatory 10% cap on withholding for non-fraud overpayments, shifting from full discretion to the SSA to a beneficiary-protective limit, with an opt-out option for faster repayment.
- Does not alter recovery methods for fraud-related overpayments, preserving stronger enforcement in those instances.
Potential Impacts
- On citizens: Reduces immediate financial strain on Social Security recipients, particularly low-income or fixed-income individuals who rely on these benefits for essentials like housing and food. Overpayments (e.g., due to administrative errors) will be recovered more slowly, allowing beneficiaries to retain more of their monthly payments.
- On government agencies: The SSA may face longer recovery times for overpayments, potentially increasing administrative costs or unrecovered funds, but it could reduce appeals and complaints from beneficiaries.
- On international relations: No direct impact, as this is a domestic social welfare policy.
Main Stakeholders Affected
- Social Security beneficiaries: Primary group, especially those with overpayment debts from errors in eligibility, income reporting, or administrative mistakes; protects vulnerable populations like retirees and disabled individuals.
- Social Security Administration (SSA): Must adjust recovery processes, potentially slowing debt collection but improving beneficiary relations.
- Taxpayers: Indirectly affected, as slower recovery could mean less immediate recouping of erroneous payments funded by public taxes.
Notable Legal, Constitutional, or Political Implications
- Legal: Strengthens due process protections under the Social Security Act by limiting arbitrary withholding, potentially reducing litigation over "undue hardship" claims. Aligns with administrative law principles favoring fair recovery without impoverishing recipients.
- Constitutional: No major challenges anticipated, but it supports equal protection by safeguarding benefits as a form of property interest under the Fifth Amendment.
- Political: Reflects bipartisan support for protecting social safety nets (introduced by a diverse group of House members), but could spark debate on fiscal responsibility versus beneficiary rights; may influence future reforms to SSA overpayment policies amid rising administrative errors.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Cosponsors (33)
Rep. DeLauro, Rosa L. [D-CT-3], Rep. Frankel, Lois [D-FL-22], Rep. Larson, John B. [D-CT-1], Rep. Barragán, Nanette Diaz [D-CA-44], Rep. Bishop, Sanford D. [D-GA-2], Rep. Boyle, Brendan F. [D-PA-2], Rep. Davis, Danny K. [D-IL-7], Rep. Dexter, Maxine [D-OR-3], Rep. Doggett, Lloyd [D-TX-37], Rep. Garcia, Sylvia R. [D-TX-29], Del. Norton, Eleanor Holmes [D-DC-At Large], Rep. Moore, Gwen [D-WI-4], Rep. Pingree, Chellie [D-ME-1], Rep. Ramirez, Delia C. [D-IL-3], Rep. Sánchez, Linda T. [D-CA-38], Rep. Sewell, Terri A. [D-AL-7], Rep. Subramanyam, Suhas [D-VA-10], Rep. Suozzi, Thomas R. [D-NY-3], Rep. Tlaib, Rashida [D-MI-12], Rep. Thanedar, Shri [D-MI-13], Rep. Tonko, Paul [D-NY-20], Rep. Deluzio, Christopher R. [D-PA-17], Rep. Pocan, Mark [D-WI-2], Rep. Jayapal, Pramila [D-WA-7], Rep. Titus, Dina [D-NV-1], Rep. Scanlon, Mary Gay [D-PA-5], Rep. Ansari, Yassamin [D-AZ-3], Rep. Peters, Scott H. [D-CA-50], Rep. Chu, Judy [D-CA-28], Rep. Fletcher, Lizzie [D-TX-7], Rep. McIver, LaMonica [D-NJ-10], Rep. Simon, Lateefah [D-CA-12], Rep. Foushee, Valerie P. [D-NC-4]
Recent Actions
- 2025-04-24: Referred to the House Committee on Ways and Means.
- 2025-04-24: Introduced in House
- 2025-04-24: Introduced in House
Bill Versions
- To amend title II of the Social Security Act to provide that not more than 10 percent of a monthly benefit may be withheld on account of overpayments. — issued 2025-04-24 — PDF (2 pages)