Bisignano Interview

     CNBC has posted a recent interview with Social Security Commissioner nominee Frank Bisignano. It sounds to me as if he's having trouble shifting gears mentally to the idea of working in the public sector. Fiserv handles humongous quantities of extremely simple financial transactions. Social Security handles huge quantities of complicated transactions. It's a different ballgame. Fiserv  has the money it needs to hire the staff it needs and the technology it needs. Social Security works in an arena where its administrative budget is controlled by people who are often indifferent to the proper functioning of the agency and in some cases eager to see it fail.

Info On Frank Bisignano

     From a longish piece in Fortune on Frank Bisignano:

... [Bisignano] rebuilt Citigroup’s decimated back-office operations from the ashes of 9/11, repaired Washington Mutual’s stricken subprime book after the 2007 housing meltdown as Jamie Dimon’s fixer at JPMorgan Chase, and transformed a lumbering warhorse that was one of the worst investments KKR ever made into a potent money spinner that he merged into Fiserv, then drove the combo to reign as America’s largest non-bank handler of credit card payments to retailers, restaurants and other merchants, ferrying $2.5 trillion in payments per day. ...

Bisignano built his career bulldozing forward to mend the most basic but unsexiest of businesses. The Brooklyn-born Bisignano’s father labored as a career customs agent. His mom was a 105-pound dynamo who began as a bookkeeper at a stevedoring outfit and rose to run the whole waterfront operation. Bisignano went to Baker College, a liberal arts school in Kansas, where he majored in business and won trophies as a nationally ranked bowler. [The bowling team at Baker College isn't exactly the same as the fencing team at Yale. How did an Italian-American kid from New York City end up at a small college in Kansas anyway? By the way, note that there is no mention of an M.B.A. which is surprising for someone with Bisignano's work history.] In 1994, Jamie Dimon hired Bisignano at Travelers to run operations at Smith Barney. Bisignano unwound leading a zany softball team of Italian Americans who dubbed themselves “the Paisanos” and sported floppy hats like pizza makers on the diamond. ...

Bisignano contracted throat cancer [sometime after 9/11], a condition he likely ascribes to the toxic soot of 9/11 [He was working in the area at the time]. Every morning, he’d undergo radiation in the New York area, and right afterward head to the airport to fly cross-country for a day of work on the West Coast. Then he’d jet back overnight and take radiation again in the morning. Bisignano survived surgery, and his trademark gravelly voice is a legacy of that illness. ...

Bisignano created probably the most sumptuous corporate hub in Manhattan by purchasing and totally renovating 1 Broadway, a Queen Anne–style architectural marvel dating from 1745 that overlooks Bowling Green and the New York Harbor. ...

    Read the whole thing. There's the inevitable assumption that someone with a successful business background will "turn around" Social Security, which causes my eyes to roll, but also a good deal of useful information about the man.

Bisignano Nomination Resubmitted

     I suppose we should expect any sort of incompetence from the Trump White House but this is amazing. The Bisignano nomination has been resubmitted! It was definitely withdrawn and then quickly resubmitted.

Bisignano Nomination Withdrawn

      I had asked at least twice whether Frank Bisignano know what he was getting into with his nomination to become Commissioner of Social Security. I can’t say that the issues that concern me led to it but the Bisignano nomination has been withdrawn.

Good Tax Planning

    From Urban Milwaukee:

2020 was a profitable year for Fiserv, the financial services company located in Brookfield. The company earned $1.1 billion in pre-tax earnings on revenue of $14.85 billion.

Even better, it paid not a dollar in federal taxes on those earnings.

Still better, it actually got a tax rebate from the IRS, of $25 million, increasing its net income for the year.

    As you will recall, Frank Bisignano, who has been nominated to become Commissioner of Social Security, is CEO of Fiserv.

How Do You Pronounce Bisignano?

     Don't ask a guy whose surname is Hall how you pronounce the Italian name Bisignano! Fortunately, there are websites to help with questions like this and this website includes audio. Basically, the "g" is silent or nearly silent.

Will Frank Bisignano Telework?

Coming back to Social Security?

     You may remember that former Social Security Commissioner Andrew Saul tried to end telework at Social Security while he was teleworking himself. He never moved from New York City to the Baltimore area. That didn't go over well with agency employees.

    The newly nominated Commissioner of Social Security is the CEO of Fiserv which is based in Milwaukee. However, Bisignano never moved from his hometown of New York City when Fiserv moved its corporate headquarters to Milwaukee raising the question of whether Bisginano will move to the Baltimore area if he is confirmed as Commissioner. I don't think that we can say he's teleworking at Fiserv. There may be good reasons why the CEO of a financial services company would be located in New York City but after Saul you have to wonder whether Bisignano intends to move. Trying to end telework for everyone else when you're teleworking yourself isn't a good look. In any case, if you're serious about being Commissioner of Social Security you should be living and working in the Baltimore area.

    I hope this issue comes up in Bisignano's confirmation hearing.

Bisignano Nominated To Become Commissioner

     From USA Today:

President-elect Donald Trump said he's nominating financial services CEO Frank Bisignano to serve as commissioner of the Social Security Administration. ...

Bisignano currently leads the financial services and payments giant Fiserv, one of the largest financial software companies in the country.

He’s previously held executive leadership positions at major banks including JP Morgan Chase and Citigroup.  ...

    From Wikipedia:

... Under Bisignano's tenure, hundreds of First Data and FiServ locations have closed, resulting in the termination of thousands of employees. Employees who previously had remote positions due to the COVID-19 pandemic or other legacy reasons have reportedly been particularly targeted. ...

Carolyn Colvin To Be ACOSS

 

    The National Organization of Social Security Claimants Representatives (NOSSCR) is reporting that Carolyn Colvin will once again serve as Acting Commissioner Of Social Security (ACOSS). She had served previously in that role from 2013-17.

    Of course, the incoming Trump Administration can designate someone else for the acting position or can quickly nominate someone to be the confirmed Commissioner of Social Security.

    Also, of course, Colvin isn't obligated to hang around if she is ordered to make layoffs that would have a disastrous effect on the agency.

SSAB Nominations Advance

     The Senate Finance Committee has scheduled a hearing for January 31 on four nominations, including these three to the Social Security Advisory Board:

• Andrew G. Biggs, of Oregon
• Kathryn Rose Lang, of Maryland
• Sharon Beth Lewis, of Oregon

Officially On The Job

      Martin O’Malley was sworn in as Commissioner on Wednesday.

     He has no leave built up yet so I guess he’ll be on the job every workday other than Christmas Day itself.

O'Malley Nomination Spurred Few Passions

     From Politico:

... The vote [on the nomination of Martin O'Malley to become Commissioner of Social Security] was 50-11, with 39 senators absent for the chamber's first vote the week before Christmas as lawmakers continue working on an international aid and border security supplemental package.

Longtime Senate reporters and procedural experts called it the worst attendance for a vote that they could recall for at least the last two decades. ...

Senate Schedules Vote Today On O'Malley Nomination

     According to the Senate Finance Committee, which has jurisdiction over the matter, there's been unanimous consent in the Senate to vote on Martin O'Malley's nomination today.

    Update: The vote is scheduled for 5:30 p.m. today.

    Update: Martin O’Malley has been confirmed by the Senate.

O'Malley Nomination Reported Out Of Committee

     From the New Hampshire Bulletin:

Former Maryland Gov. Martin O’Malley moved one step closer Tuesday to becoming the next Social Security commissioner, a role that would become increasingly difficult as the program inches closer to insolvency during the next decade.

The U.S. Senate Finance Committee voted, 17-10, to send O’Malley’s nomination to the floor, though it’s not clear how soon the entire chamber will vote on confirmation. All the panel’s Democrats and Republican Sens. Bill Cassidy of Louisiana, Chuck Grassley of Iowa, and Thom Tillis of North Carolina voted to advance his nomination. ...

Senate Hearing On O'Malley Nomination

   

     I listened to yesterday's Senate Finance Committee hearing on the nomination of Martin O'Malley to become Commissioner of Social Security. There seemed to be only limited Republican opposition. When a Republican Senator mentioned that he didn't like the firing of Andrew Saul, the Chairman of the Committee was prepared to politely mention that Republicans were hoist on their own petard. They were the ones who brought the lawsuits that led to the President's ability to fire people like Saul -- who richly deserved it!

    I liked one thing that O'Malley did. Whenever a Republican Senator complained about backlogs and delays and poor service generally, O'Malley had the numbers and could talk about the staffing cuts in the Senator's home state, which were in the 20-30% range for the field offices and DDS. That seemed to mute the complaints. Don't let them "cut it until it bleeds and then complain about the bloodstains."

 

Update: Another take on the nomination hearing.

   

O'Malley Nomination Hearing Today

    The Senate Finance Committee hearing on the nomination of Martin O'Malley to become the Commissioner of Social Security is scheduled for 10:00 Eastern today. You can watch it online.

Grassley Undecided On O'Malley Nomination

     From Radio Iowa:

The Democrat who finished third in the 2016 Iowa Caucuses is now being considered for the post of commissioner of Social Security. Former Maryland Governor Martin O’Malley will go before the U.S. Senate Finance Committee this week for his nomination hearing, and Republican Iowa Senator Chuck Grassley will be among the lawmakers asking him questions.

“I did meet with him in my office a month ago and I thought it was a very worthwhile meeting,” Grassley says. “I think his heart is in the right place, but I’m going to wait until the hearing’s over to decide whether to vote for him.”

The long-term viability of Social Security is the subject of much concern, but Grassley says they likely won’t be talking with O’Malley about that topic during the hearing on Thursday.

“I think we’re going to be more concerned about how he runs the Social Security Administration,” Grassley says, “and is he going to get people from remote work back into the offices around the country so they can serve the people better?” ...

Proposed Regs On Consideration Of Past Work Advance

     The Office of Information and Regulatory Affairs (OIRA) at the Office of Management and Budget (OMB) -- the most important government agency you've never heard of -- has approved proposed Social Security regulation changes with the title, Intermediate Improvement to the Disability Adjudication Process: Including how we Consider Past Work. There's no way to know for sure at this point since we have no more than vague descriptions of what's included but the proposed regulations will likely reduce the number of years of past work considered in determining disability.

    The proposal will now be published in the Federal Register and the public will be able to comment. Social Security must consider the comments before publishing the regulations in final form so they go into effect. This process will take months at the least.

    When I posted about this proposal going to OIRA there were several comments posted here by those who felt this proposal would hurt Social Security disability claimants. If you think this is the case, don't make comments here on Social Security disability issues. You don't have enough knowledge to offer meaningful comments. If this proposal reduces the time frame considered from 15 years to, let's say, 5 years, that's a modest improvement from the point of view of disability claimants. And, no, this isn't some controversial loosening of standards.  I don't think that 15 years ever made sense. It certainly doesn't make sense now. With a nomination for Social Security Commissioner pending, the agency and OIRA are being extremely careful to avoid doing anything the least bit controversial. That's probably an important reason why I've had so little Social Security news to post lately. This proposal wouldn't be going forward now if it were controversial.

SSAB Supports O'Malley Nomination

     The four members of the Social Security Advisory Board, two of them Democratic appointees and two of them Republican appointees, have written to the Chairman and Ranking member of the Senate Finance Committee recommending swift approval of Martin O'Malley's nomination to become Commissioner of Social Security. 

    They also recommended that the six year terms for Social Security Commissioners end and that they serve at the pleasure of the President. I think it is beyond dispute that six year terms for Social Security Commissioners has been a bad idea which has led to the near impossibility of confirming Commissioners. In any case, due to recent Supreme Court rulings, Commissioners, in effect, serve at the pleasure of the President anyway.

    Let's get on with it. Endless Acting Commissioners aren't good for the agency.

More Union Support For O'Malley Nomination

     From Government Executive:

A coalition of 35 labor unions that represent federal workers last week joined the chorus of stakeholders endorsing former Maryland Gov. Martin O’Malley to serve as commissioner of the Social Security Administration and urged senators to move quickly to confirm him to his post.

The Federal Workers Alliance, which consists of a variety of labor groups collectively representing more than 550,000 federal workers and postal employees, including the International Federation of Professional and Technical Engineers, the National Federation of Federal Employees and the National Treasury Employees Union, announced their support in an Aug. 25 letter to senators. ...