SSA-Medicare Tangle

The New York Times is reporting on the problems between Social Security and Medicare that lie behind all the mistakes in the implementation of the Medicare prescription drug benefit. Here is an excerpt from the Robert Pear article (registration required):

When Medicare mistakenly sent premium refunds to 230,000 people who had signed up for prescription drug coverage, the Bush administration said the error had resulted from a rare “computer glitch.” But government records and interviews with federal officials show it was the latest example of a strained, often dysfunctional relationship between two of the government’s biggest programs.

For more than a year, officials who run the two programs, Social Security and Medicare, have struggled to mesh their computer systems so that Medicare premiums are correctly withheld from Social Security checks, and low-income people get the extra help to which they are entitled. The problems are compounded because this information is collected and used by scores of private Medicare drug plans, each with its own procedures and computer systems. ...

Since the drug program began on Jan. 1, hundreds of thousands of beneficiaries have reported problems in getting the government to carry out their instructions to start or stop the withholding of premiums. Drug plans have repeatedly complained to Medicare officials that premiums have not been properly withheld and that beneficiaries have been upset.

Medicare officials say Social Security and its computer systems bear much of the responsibility. And Social Security says the data it receives from Medicare is often full of errors and does not match the information it already has. Without a perfect match, Social Security officials say they cannot order the Treasury to change the amount of a person’s Social Security payment. ...