R000666

Wednesday, March 13, 2002 5:34 PM
Presumed Loss Calculations

Dear Sir:

I am a certified public accountant who is involved in advising some of the families of the September 11th attacks. I have reviewed the final regulations with respect to the Victim Compensation Fund, issued by the Department of Justice on March 7, 2002. I have developed a model to determine economic loss based on the Department's recently issued, Explanation of Process for Computing Presumed Economic Loss. I would expect that using the explanation and the accompanying tables I should be able to replicate the calculation of the amounts reflected in the revised tables of Presumed Economic and Non-Economic Loss.

As a test case, I tried to calculate the presumed loss of a married decedent with one dependent who was 30 years old and earned $100,000 at the time of death. Unfortunately, I have not been able to come close to the amounts in the Table. My calculation of combined economic and non-economic loss totals $3,992,028 compared to $3,007,608 as reflected in the table, representing a difference of $964,420. I have reviewed my calculations as well as the DOJ Explanation and the accompanying tables to no avail. This is very perplexing. Obviously, I have misinterpreted something somewhere, but I am at a loss as to where.

I would ask that you please provide an example illustrating how the presumed economic losses were determined. I have attached herewith a copy of my calculations for your review if you choose to do so.

Thank you for your consideration of this matter.

Very truly yours,

Individual Comment


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