Aug 30, 2009

Quotas On Disability Claims Approval Alleged

From the Press-Register (a newpaper which is based somewhere in Alabama, but try finding which city using their online edition!):

Some former medical consultants at the Alabama agency deciding thousands of Social Security disability claims each year say they were pressured to approve more applications, an assertion backed by e-mails obtained by the Press-Register. ...

The Social Security Administration's inspector general, a kind of an internal watchdog, is now conducting a review of how claims are handled, a spokesman said last week. Citing that review, Tommy Warren, director of Alabama's Disability Determination Service, declined comment on the e-mails. He said that for comparison purposes, the agency lets employees know what the allowance rates are in other Southern states, but added that it does not have goals.

The e-mails, sent by supervisors at the Birmingham-based agency between 2006 and last year, urged consultants to shoot for a 30 percent "allowance rate." ...

Among eight Southern states, the agency had the highest allowance rate (44.3 percent) statewide for applications for disability insurance. It ranked 5th for SSI claims at 29.5 percent allowance and, at 23.2 percent, was third in approving "concurrent claims" for both disability insurance and SSI.

That showing came some two years after a supervisor voiced concern about how Alabama stacked up in the region.

"If you have consistently had allowance rates below 30 percent, you need to look at your decisions very closely," she told dozens of consultants in a January 2006 e-mail. Similar exhortations followed in 2007 and last year.

"If your allowance rate is below 30 percent, refer back to your plans of action and continue to work on bringing your allowance rates up," another supervisor wrote in a May 2008 e-mail. ..

At a meeting last year, consultants were told "that our (office) had one of the lowest allowance rates in the country," said Samuel Popkin, a clinical psychologist hired to evaluate claims of mental impairment. "The tone and implication . . . was that that was not a good thing."

"I certainly felt the pressure, let's put it that way," said Gordon Rankart, also a psychologist.

Rankart, who worked for the Birmingham disability office for some 6½ years, said he was repeatedly "hammered" over his allowance rate. Both his and Popkin's contracts were not renewed. Popkin said he was not told the reason. Rankart said he was informed that his work had problems. "This has nothing to do with my work performance and I'm not going to pretend that it does," he said.

Again citing the inspector general's review, Warren declined to say whether allowance rates are a factor in renewing consultant contracts, but noted that the agreements can be ended by either side with 30 days' notice.

Begun in May and prompted in part by an anonymous complaint, the inspector general's review is aimed at ensuring that the Alabama agency's claims-handling process is fair and that applications are "being adjudicated the way they should be," said Wade Walters, the agency's assistant inspector general for external affairs in Baltimore.

The review is expected to be completed by year's end.

Let me throw out an explanation why Alabama should not have a low rate of allowance of disability claims. On the whole, Alabama's workforce is poorly educated, has weak job skills and has lousy access to medical care. This combination leads to a high rate of disability claims and should lead to a high rate of approval of those claims since the definition of disability that Social Security must use makes education and work experience relevant in determining disability and poor access to medical care leads inevitably to poor public health. Poor education, weak work skills and poor access to medical care are the case across most of the South.

The South is where I practice, so I have some knowledge of this. Indeed, I see this in a particularly vivid way since my office is in Raleigh, which has a well-educated population with high work skills and good access to medical care, but many of my clients live in poor communities 50 to 100 miles away. Compare the populations and the number of disability claims and disability benefits recipients in Robeson County and Wake County, NC sometime. The difference is stunning. It would be even more stunning to compare Cary, NC and Red Springs, NC. I can recall having a day of hearings in Robeson County some years age with a visiting Administrative Judge (ALJ) who had just came in from Boston. I had three clients in a row who were illiterate. The ALJ asked me pointedly if all my clients were illiterate. I told him that until the early 1960s Robeson County had had three separate school systems. The school system for whites was lousy, the school system for blacks was much worse and the school system for Lumbee Indians was much worse still. Most older Lumbees at that time were illiterate. (The passage of time since the integration of school systems has made this situation better, thank goodness.) I had happened to have had three hearings in a row with older Lumbees. In context, there was nothing remarkable about their illiteracy. The hearing assistant who was a local was nodding her head in strong agreement with what I was saying. The ALJ seemed stunned. (By the way, the story of the Lumbees is fascinating. They are one of the largest of native American tribes but remain unrecognized by the federal government largely because of the opposition of other Indian tribes and an extraordinary amount of simple discrimination which was aided and abetted for many years by Jesse Helms. Before I finish digressing, read about the 1958 battle -- and I do mean a battle -- between the Lumbees and the Ku Klux Klan, a truly great story.)

Poor education, weak job skills and lousy access to medical care are not spread evenly across the population. One very large group in Alabama, African Americans, is much more affected than others. I won't go any farther along this line since you can see where it leads.

The real story here is that Social Security may have quotas or goals for approval of disability claims. You can criticize this because you think the quotas or goals are too high or you can criticize this because you think the quotas or goals are too low or you can criticize the whole idea of quotas or goals. The way in which you criticize quotas or goals may suggest something about your political or social views.

9 comments:

Anonymous said...

Looks like the Press-Register is in Mobile. BTW, great post!

Anonymous said...

In my office (Birmingham ODAR), nothing is more important than meeting goal. In fact, at the end of the month, we "hold" cases that are completed so that they may be counted for the next month. We never care about claimants who are waiting on their decisions. What does several more days mean to them?

Anonymous said...

Sounds like attempted whistle blowing by disgruntled consultants. To my knowledge, SSA has no allowance/denial rate goals--period. However, management in DDSs do look at and compare themselves with the rates in other states. Statistics outside the norms may result in special reviews by SSA regional offices. Consultants should merely be reminded that, while each claim must be decided on a case by case basis, any benefit of the doubt must be decided in favor of the claimant. A serous check on any DDS's attempt to manipulate the rate by allowing claims which should not be allowed is the PER review in ROs.

Hon. Joyce Krutick Craig, U.S. Administrative Law Judge (Ret.) said...

Quotas, whether for allowance decisions as is the trend today, or for denial decisions as was the trend when I was appointed an ALJ in 1981 is just plain wrong and violates the law! Each and every cases must be determined on its own merits. Without such a process the "rule of law" does not exist at SSA. Unfortunately, however, quotas are a reality at virtually every level of decision- making in the disability adjudication process at SSA and has been for as long as I can remember. This is nothing new. At the hearing level since the ALJ's are technically free from having a quota imposed upon them. In Nash v. Bowen , 869 F.2d 675 (2nd Cir. 1989) the court held that "The setting of reasonable production goals, as opposed to fixed quotas, is not in itself a violation of the APA." However, it went on to say that "The Secretary's "reversal" rate policy embodied in the "Quality Assurance System," however, is cause for concern. To coerce ALJs into lowering reversal rates--that is, into deciding more cases against claimants--would, if shown, constitute in the district court's words "a clear in-fringement of decisional independence." at 681. The difference between the administrative law judges and the state agencies is that SSA is not bound by the APA when it comes to the state agencies and thus can impose quotas if they choose to. Today, SSA imposes quotas upon the ALJ's by the back door, using the "euphemism" of "goal" by imposing the "goals" upon the management teams of each and every hearing office and making the lives of the management teams who do not reach "goal" each month a living h--l! (And this is one of the primary reasons for my retirement - although I was not either a low or high producer I just hated the pressure!)

As usual SSA is failing to look at the real need. That is how to process the largest number of disability cases in the history of the program in a fair and equitable way without increasing the already burgeoning backlog! And based upon my experience of 27 years - without a clean sweep of top and middle management in Falls Church (SSA/ODAR) and at headquarters in Baltimore from the Commissioner through all the Deputies on down to all the SES people, that isn't going to happen. Only then will we have people who can look at the process and design a totally new process that will take into account the use of technology in a way consistent with due proces so that the claimants get a fair shake at all stages of the process.

You will keep seeing these things like quotas, be they for favorable decisions or unfavorable (and all the other failed programs brought back to life) being used as a means to reduce the backlog.

Hon. Joyce Krutick Craig
U.S. Administrative Law Judge (Ret.)

Anonymous said...

Good post Judge Joyce. Remember, at the DDS level noone reviews a denial, only favorables. It's quite the opposite at the ODAR level. There no one reviews a favorable decision, but, for the price of a first class stamp, a team of experts (the AC) will eview the unfavorable decision. These "experts" are quite often spoiling to find something wrong.

The result is that cases which should be paid at DDS are denied and cases which should be denied are paid at ODAR.

It all has a real Alice in Wonderland quality to it.

Anonymous said...

If ssa followed the rule of law.Quotas would not be an issue.

As for older native americans,the government should show differance,similar to age allowance.These type of folks have certainly earned any gov. benefit.

African americans,well,i'm one but many of their problems are self induced,except for the elderly blacks.

Anonymous said...

I don't believe that there should be quotas for allowances or denials because each case should be evaluated on its merits. However, if you're regularly allowing only 20-something percent of these claims, it's probable that you're doing it very wrong. It's more likely than not that the method of these consultants was not policy compliant (e.g. ignoring SSR 96-7p) and they refused to change it.

On a side note, my experience within a DDS is that it's easily possible to allow maybe 60% of initial claims, although most are unwilling to do so, especially with anything remotely complex.

Anonymous said...

I believe the logic of the commentary of the original post is somewhat flawed. Mr. Hall offers that applicants who don't have access to healthcare should be more likely to be approved, however it seems that those who have access to health care and who have a more complete, detailed medical history seem to have a higher approval rate at the initial claim level. For the other poster speaking of "quotas" at ODAR, I thought our targets were based on dispositions regardless of whether it is approved or denied. We speak of increasing the number of decisions, but I have yet to hear that we should increase the number of cases specifically approved or denied. Judges, get up off your butts and make a decision

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