Budget Limitations Hinder Debt Collection

From a recent report by Social Security's Office of Inspector General (OIG) (footnotes omitted):

Our review focused on SSA’s [Social Security Administration's] debt collection arrangements in the SSI [Supplemental Security Income] program. Since Fiscal Year (FY) 2002, the percent of outstanding SSI debt in a collection arrangement has decreased. Specifically, between FYs 2002 and 2010, SSI debt in a collection arrangement decreased by more than 5 percent. SSA stated resource constraints in the SSI program have caused the Agency to shift focus from debt collection activities and other program integrity workloads to maintain front-line services.

During FYs 2008 through 2011, we estimated, based on historical SSI collection rates, that SSA could have recovered an additional $200 million of SSI debt. This could have been accomplished if SSA had placed an additional $441 million of outstanding SSI debt into collection arrangements at the FY 2002 level during FYs 2008 through 2010.