Archuleta v. Bowen

655 F. Supp. 1196, 1987 U.S. Dist. LEXIS 2100, 17 Soc. Serv. Rev. 278
CourtDistrict Court, D. Wyoming
DecidedMarch 13, 1987
DocketC86-0130-J
StatusPublished

This text of 655 F. Supp. 1196 (Archuleta v. Bowen) is published on Counsel Stack Legal Research, covering District Court, D. Wyoming primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Archuleta v. Bowen, 655 F. Supp. 1196, 1987 U.S. Dist. LEXIS 2100, 17 Soc. Serv. Rev. 278 (D. Wyo. 1987).

Opinion

ORDER AFFIRMING IN PART AND REVERSING IN PART THE FINAL ORDER OF THE SECRETARY

JOHNSON, District Judge.

The above-entitled matter came before the Court upon appeal by Mabel E. Ar-chuleta from an adverse decision of the Appeals Council of the Department of Health and Human Services; the plaintiff appearing by and through her attorney, Elaine Bodurtha, and defendant Secretary appearing by and through his attorneys, Toshiro Suyematsu, Assistant United States Attorney for the District of Wyoming, and Deanna Ertel Brackett, Office of General Counsel, Health and Human Services.

The Court heard the arguments of counsel in support of and in opposition to the, merits of said appeal and has carefully considered the record, the briefs of the parties, and all matters pertinent thereto, and having been fully advised in the premises, now FINDS:

That this is an appeal from a final decision of the Secretary of Health and Human Services denying plaintiff’s request for waiver of recovery for overpayment of benefits made by the Social Security Administration to the plaintiff. Plaintiff brings this appeal pursuant to 42 U.S.C. § 405(g) on the grounds that the Secretary’s decision was not supported by substantial evidence nor made in accordance with the law.

On December 24, 1966, Mrs. Archuleta’s husband passed away unexpectedly, leaving five minor children in her care. Upon learning from the “undertaker” that she should request Social Security benefits, Mrs. Archuleta applied for benefits and began receiving mother’s benefits and children’s benefits on behalf of the children still in her care. The youngest child, Gloria, was eleven years old at the time of her father’s death. At the time of application, Mrs. Archuleta correctly represented to the Social Security Administration that Gloria’s birthdate was September 9, 1955. (Tr. at 101). At a later point in time, this information was incorrectly listed on computer records indicating Gloria’s birthdate as September 9, 1965.

Because of this computer error, Mrs. Ar-chuleta received mother’s benefits and child benefits on behalf of Gloria until September 1981 when the Administration recognized the overpayments and informed plaintiff that her benefits would be adjusted to reflect her overpayments. (Tr. at 72).

It was evidenced by the testimony of Mrs. Archuleta that with respect to each of her four older children, the benefits for a child would stop when that child reached age eighteen. Upon filling out documents sent by the Administration, the benefits would be reinstated while the child was attending college and would automatically be stopped again at the time the children reached age 22. (Tr. at 29-30). Mrs. Ar-chuleta testified that she thought it was “funny” that the benefits did not stop when Gloria reached 18 or 22, but she just figured that Social Security had her file and knew what they were doing. (Tr. at 31).

The facts showed that Gloria and Gloria’s son born in January of 1974 lived with Mrs. Archuleta for a majority of the time *1198 between 1973 and 1981. During this time, Mrs. Archuleta supported Gloria and her son from the money she received from Social Security supplemented by income obtained from housekeeping jobs. (Tr. at 32). Gloria attended college for approximately two years after graduating from high school. In July 1980, while Mrs. Archuleta was still receiving mother’s benefits and child’s benefits on behalf of Gloria, she reported to the Social Security Administration that she had “0” dependent children in her care. (Tr. at 52). However, the benefits continued to be paid to Mrs. Archuleta. By letter dated January 18, 1981, Mrs. Ar-chuleta informed the payment center in Richmond, California that Gloria was no longer entitled to receive benefits. Again, no response was given by the Administration, so that on July 18,1981, Mrs. Archule-ta again sent the payment center notification of Gloria’s ineligibility. (Tr. at 48-51).

It was not until September 10, 1981 that the Social Security Administration determined that Mrs. Archuleta had received overpayments in mother’s benefits amounting to $21,142.50 and child benefits amounting to $22,473.30; a total of $43,-615.80. The child benefit overpayment was later reduced to $16,208.70 after Gloria’s college attendance was taken into consideration, leaving a total overpaid balance of $37,351.20.

Mrs. Archuleta properly requested a waiver of these overpayments on the grounds that she was not at fault for having received the excess benefits. This request was denied by the Administration and Mrs. Archuleta then requested a hearing on the matter. After hearing before an Administrative Law Judge, Mrs. Archule-ta’s request for waiver was denied by decision dated January 3, 1986. In that decision, Administrative Law Judge Henry M. Paro determined that Mrs. Archuleta was not without fault in the receipt of overpayment benefits and that waiver must be denied. This decision was affirmed by the Appeals Council on April 8, 1986.

The standard of review which must be followed by this Court in reviewing the Secretary’s denial of waiver is very limited. The decision of the Secretary may only be overturned if it is not “supported by substantial evidence.” 42 U.S.C. § 405(g); Knipe v. Heckler, 755 F.2d 141, 145 (10th Cir.1985); Byron v. Heckler, 742 F.2d 1232, 1234 (10th Cir.1984). However, “ ‘[failure to apply the correct legal standard or to provide this court with a sufficient basis to determine that appropriate legal principles have been followed is grounds for reversal’ [citations omitted].” Byron v. Heckler, 742 F.2d at 1235.

The statutes and regulations are relatively clear with respect to recovery of over-payments. Title 42 U.S.C. § 404(a) requires the Secretary to recover overpaid benefits from a recipient who is not entitled to the payments. However, relief from this requirement is available under 42 U.S.C. § 404(b) which mandates waiver in certain circumstances. That section provides:

In any case in which more than the correct amount of payment has been made, there shall be no adjustment of payments to, or recovery by the United States from any person who is without fault if such adjustment or recovery would defeat the purpose of this sub-chapter or would be against good equity and conscience.

(Emphasis added). See also 20 C.F.R. § 404.506.

The regulations provide that the issue of fault goes only to the claimant and does not concern the fault of the Social Security Administration.

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655 F. Supp. 1196, 1987 U.S. Dist. LEXIS 2100, 17 Soc. Serv. Rev. 278, Counsel Stack Legal Research, https://law.counselstack.com/opinion/archuleta-v-bowen-wyd-1987.