Gerald v. HODGE, Plaintiff-Appellee, v. Donna SHALALA, Secretary of Health and Human Services, Defendant-Appellant

Opinion by Judge REINHARDT.

REINHARDT, Circuit Judge:

I. INTRODUCTION

The Secretary of Health and Human Services (“Secretary”) appeals the district court’s holding that Gerald Hodge (“Hodge”) was not required to offset a state lump-sum disability award (“lump-sum award”) against his federal social security benefits. We reverse. Under 42 U.S.C. § 424a(a)(2), Hodge must offset his lump-sum award for the months during which he also received his federal benefits.

The Secretary argues that the monthly offset amount should be equal to what Hodge had previously received each month in state temporary…