TN 2 (11-88)

A. Operating Policy

Benefit authorizers and claims authorizers will process underpayments as in any other PSC. The Claims Development Branch will adjudicate underpayments as follows.

B. Operating Procedure

1. Underpayments Only

After all necessary development has been completed, the adjudicator will indicate the precise disposition of the underpayment on a Form SSA-559 and route the folder to the module with jurisdiction, and

a. to benefit authorizers

when the person(s) to whom the underpayment is being made is:

• in the first three categories of priority; or

• in the fourth, fifth, or sixth category and the underpayment is $750 or less or one month's benefit payment;

b. to claims authorizers

when the person(s) to whom the underpayment is being made is:

• in the fourth, fifth, or sixth category of priority and the underpayment is more than $750 or one month's benefit payment; or

• seeking to qualify as a legal representative of the deceased.

2. Underpayments Involving Awards or Disallowances

Claims adjudicators will not prepare awards or disallowances in underpayment cases except where:

a. the underpayment is being paid

to the same person for whom adjudicators are currently awarding the lump sum or monthly benefits; or

b. no award has been prepared

for the deceased individual; i.e., the claimant died before his application was adjudicated, and the underpayment is currently being paid.