Michael J. Astrue, Commissioner of Social Security, in a letter today to Governor Edward G. Rendell, Chair of the National Governors Association, urged states to exempt their Disability Determination Services (DDSs) from hiring restrictions and furloughs. The DDSs are state agencies that make medical determinations for Social Security and Supplemental Security Income disability claims.
“I am compelled to write to you to express my grave concern over the hiring restrictions and furloughs that some states are employing,” Commissioner Astrue said. “Each month, SSA provides over $11 billion in Disability Insurance and Supplemental Security Income benefits to more than 12.1 million citizens across the nation. We could not provide these vital benefits to some of the most vulnerable people in our society without the DDSs’ work.”
Social Security funds 100 percent of DDS employees’ salaries as well as overhead -- about $2 billion nationwide this year. These funds cannot be used by the states for any other purpose, so states do not save money by cutting employees in DDSs – they only slow getting benefits to the disabled. Nevertheless, many governors are imposing across-the-board hiring freezes or furloughs that also affect DDS employees.
States receive significant benefits from the operation of the DDSs. The faster SSA approves claims for benefits, the sooner many disability applicants move from state to federal support. In addition, the salaries for DDS employees funded by SSA reduce unemployment levels in the states.
Feb 3, 2009
Press Release On State DDS Furloughs And Hiring Restrictions
A press release from Social Security:
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6 comments:
Why are state employees doing federal work?
Something has got to change here. Apparently, Governors have too much power...they are telling the federal government what is going to be done with federal resources. Wow!
Come on now. It looks like backlogs are now going to be exponentially worsened. More disabled peopled are going to wait even longer for a decision. And these unfortuate people are going to be complaining even more to the federal government and Congress...thanks to state bureaucrats.
It is nice to see that the Commissioner is taking a huge interest in this circumstance, but it is sad to see that he really has no power effect a change.
I only hope that the progress that has been made with bettering claims processing via improvement initiatives is not compromised to earlier ineffecient levels.
This is sad to see. I wish you the best Astrue. Only you will be the one to answer to Congressional grilling.
furloughing state employees who are paid entirely with federal funds is a brainless political stunt. It will increase unemployment expenditures for the furloughed people, and welfare costs for the folks waiting for a dib decision, resulting in a net loss to the states. but, gee, it "wouldn't be fair" not to furlough everybody. Don't want some folks feeling bad, do we.
Social Security: you need to stop outsourcing your work to DDSs. If you want a disability program and productivity that cannot be wreckened with by any program in the world, you need to absorb these people as federal employees. Until then, "you get what you pay for"- substandard production, quality, and customer service. Sorry.
well......we sympathize/empathize.....but before condemning the State DDSs.......recognize the lack of sufficient funding, high turnover in help and if you think it would be better with federal employees......dream on.......
I've been on both sides.......the processing times and accuracy isn't any better in most of the federal components.......in fact when they help the states.....the feds tend to cherry pick the cases and dump the difficult ones back tot he state.
but here's the benefit.....none of the federal processing components are subject to the QA or PER case review - like the states.......so think about that CBS TV show's CULTURE OF DENIAL.......
Part of the reason the disability decisions are contracted out to the states has to do with the history of assisting the disabled in the U.S. In the original SSA (Social Security Act) there were not social security benefits for anyone except retired workers who had paid into the system (no survivors, no dependents, no disability). However the SSA did provide grants to states to provide assistance to the elderly and disabled. The states therefore had to have the ability to determine who was disabled. As more of the assistance to the disabled passed to the federal government the state disability services already in existance continued to be used and expanded rather than re-inventing the wheel.
"It will increase unemployment expenditures for the furloughed people, and welfare costs for the folks waiting for a dib decision, resulting in a net loss to the states."
California is giving 2 days off without pay every month for all state employees. There is no unemployment benefit payable, which is one reason why the state is furloughing rather than laying people off. There are also no increased welfare costs for people waiting for disability decisions -- such costs are reimbursed through SSI offset or interim assistance reimbursement.
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