Michigan State Bar Social Security Newsletter

The State Bar of Michigan Social Security Section has issued its Fall 2006 Newsletter. The Newsletter gives information on the Disability Service Improvement (DSI) plan, among other topics.

Marsha Katz Nominated To SSAB

Marsha Katz, of Montana, has been nominated by President Bush, to the Social Security Advisory Board (SSAB), upon the recommendation of Senator Max Baucus, who will soon become the Chairman of the Senate Finance Committee, which oversees Social Security. The Press Release says that this is an "appointment", but my understanding is that one has to be confirmed by the Senate to sit on the SSAB. Katz is identified by the Press Release as an advocate for the disabled. She wrote a manual on advocating for SSI and Social Security disability benefits for the disabled which was published by the Association for Retarded Citizens (ARC) of Michigan. She currently works for the University of Montana Rural Institute.

SSI Coalition Newsletter -- DSI Information

The SSI Coalition has published its September-October Newsletter. Despite the name, this excellent newsletter covers all of Social Security disability benefits. Since the SSI Coalition is based in Massachusetts, the Newsletter has extensive coverage of the Disability Service Improvement (DSI) project currently underway in Social Security's Boston Region. A few highlights:

• As of October 12 there were already 15,000 DSI cases.
• As of September 29, there were only 15 Federal Reviewing Officer claims pending. That will certainly change dramatically in the near future. Indeed, it has probably already changed dramatically.
• Only 30 Federal Reviewing Officers have been hired as of last report, but that number should already be up to 70.
• Only 5 nurse case managers have been hired.
• Commissioner Barnhart believes that Denver will be the next region for DSI, but, of course, Barnhart will not be around to decide whether DSI will be expanded to any region, much less the Denver Region.
  

More Social Security Fraud In Oklahoma

I had posted recently about an Oklahoma woman who pled guilty to fraud for cashing her late mother's Social Security checks for ten years. The Tulsa World reports on two other Oklahoma cases of Social Security fraud. One was for cashing Social Security checks issued to a deceased relative and the other involved creating a fictitious identity as well as taking Social Security money intended for a disabled relative.

Astrue's Letter To Senators Reid and Baucus

Prior to the election, Senator Reid, who will soon become the Senate Majority Leader, and Senator Baucus, who will soon become the Chairman of the Senate Finance Committee, wrote to Michael Astrue, President Bush's nominee for Commissioner of Social Security, to demand answers from Astrue on his views on Bush's Social Security privatization plan. Astrue's response is now available.

November 3,2006

Dear Senators Reid and Baucus,

Thank you for your letter of October 31, 2006 and for your congratulations on my nomination as Commissioner of Social Security. I agree wholeheartedly with you that this position is one of the most important in the Federal Government, and I would be honored to serve in that role and to work with you on these important matters.

First, let me assure you that if I am confirmed, my goal as the Commissioner of Social Security will be to build consensus among Republicans and Democrats alike in addressing the many issues confronting this program. The Social Security system and the relevant challenges inherent in it are simply too important to the fabric of our nation to fall victim to partisan politics. For that reason, I was heartened to see that you and the President agree on one key aspect of Social Security--the need to shore up the system's long-term finances. I believe that the President and Congress have done a valuable service to the public by putting the issue of Social Security's impending insolvency on the nation's agenda. In fact, I have been disturbed by certain statements that I have seen by some academics and others suggesting that there is no real problem with the financing of Sodal Security and that we need do nothing now. For me it is simply not acceptable, in the face of the information we have from the annual Social Security Trustees' reports, to avoid an honest, data-driven debate about how we can best adapt the system so we can make sure that future generations receive the same type of income security that has been available to beneficiaries in the past.

Additionally, while I am certainly aware of the general details of what the President has previously put forth regarding personal accounts, as a nominee I have not met with or consulted with the technical experts at the agency and elsewhere in government about the specific details of the President's proposal, the critiques of the President's proposal, and the features of competing proposals. It would also be premature for me to seek out assistance trom Members of Congress, academic experts and interest groups until the Senate makes a decision on my qualifications, and it would be a bad start to make final conclusions on some very difficult issues until I have had an opportunity to consider those issues fairly. For that reason, I have maintained an open mind about any proposed solutions to address Social Security's impending insolvency, and the relevant criticisms of them. Finally, I would note that I do not know whether the Administration in January will be making significant changes in its Social Security proposals or not.

With regard to my role in the first two years of the term, my understanding is that the Administration is expecting from me substantial continuity with recent practice when it comes to the Commissioner's role. Moreover, I have not been involved in the preparation of the Administration's proposals for the next budget, and expect that those proposals will be submitted to Congress before I could begin work.

I do know the President will be holding me to a high standard of performance on the myriad of operational issues that confront the agency in a time of budget cutbacks and possible furloughs, and I expect that I will be significantly focused on those issues, particularly those related to the agency's expanding obligations under Medicare.

Thank you again for your letter and the opportunity to provide my views about protecting Social Security. Protecting Social Security for the long-term always requires bipartisan cooperation, and should I be confirmed, I look forward to working with both of you in that effort.

Sincerely,

Michael J. Astrue

In essence, Astrue is politely refusing to answer the Senators' questions. Despite the statements in his letter, Astrue must have had conversations with White House officials about Bush's plan to continue his push for Social Security "reform" in 2007 and there must be some understanding between Astrue and the White House over what Astrue's role is to be in this debate. President Bush's other recent nominations strongly suggest that he expects Astrue to vigorously push whatever Social Security "reform" plan the President intends to pursue over the next two years.

Deep Freeze At Social Security

Social Security, an agency with about 59,000 employees currently lists no job openings anywhere in the agency. This is a dramatic sign of the severity of Social Security's budget problems.

Who Is Andrew Biggs?

Andrew Biggs, President Bush's nominee to be Deputy Commissioner of Social Security, is pictured to the right with the microphone in his hand. He was on the stage with the President campaigning for Social Security privatization in Raleigh, NC, as reported by The Daily Dispatch of Henderson, NC.

Biggs was a Social Security employee. The Executive Intelligence Review gives a summary of Bigg's activities at Social Security:

The 37-year old Biggs, a graduate of the London School of Economics, was the Cato Institute's senior Social Security analyst. In 2001, Cato made Biggs the lead researcher for the President's official Commission [on Social Security reform]. In May 2003, Biggs was promoted to Associate Commissioner for Retirement Policy at the U.S. Social Security Administration (SSA), part of Cato's coup-effort to take over the whole agency. Biggs sits just below the Deputy Commissioner who runs the Office of Policy, who "is responsible for major activities in the areas of strategic policy planning, policy research, and evaluation," as well as all statistical analysis, according to the SSA.

... Last year, Biggs wrote a "policy brief" internal document that mandates that all Social Security managers are required to present the idea "that Social Security faces dire financial problems requiring immediate action," in the words of the Jan. 15, 2004 New York Times. It would require the SSA to "insert solvency messages in all Social Security publications"; that is, to say that Social Security is in crisis. It would make Social Security managers spread Wall Street-lies in every public forum, as well as at non-traditional sites like farmers' markets and "big box retail stores." ...

Biggs' activities at Social Security have drawn complaints from Democratic members of Congress, according to GovExec.com. The American Federation of Government Employees also complained, according to the San Francisco Chronicle.

Prior to working for Social Security, Biggs was the assistant director of the Cato Institute's Project on Social Security Privatization. He wrote many, many articles for Cato promoting Social Security privatization. He wrote for the National Review, a conservative magazine, in February 2002 and again in April 2002 in support of Social Security privatization.

Curiously, Newsmax reports that Biggs argued at one time that homosexuals ought to support Social Security privatization because the current system unfairly denies them spousal benefits.

It would be hard to imagine a more inflammatory nomination that Bush could have sent to a Senate soon to be controlled by Democrats than that of Andrew Biggs. Biggs was nominated on the same day as John Bolton, whose nomination for Ambassador to the United Nations has also been extremely controversial. Biggs' nomination is the strongest possible sign that, despite the election results and despite widespread public opposition to privatization and despite the fact that privatization has little support among Republican Congressmen and virtually none among Democratic Congressman, President Bush intends to promote Social Security privatization over the next two years. It is a stunningly grandiose move.

Biggs Nominated As Deputy Commissioner

From the White House Press Office:

The President intends to nominate Andrew G. Biggs, of New York, to be Deputy Commissioner of Social Security, for the remainder of a six year term expiring 01/19/07 and an additional six year term expiring 01/19/13. Dr. Biggs currently serves as Associate Commissioner for Retirement Policy at the Social Security Administration. Prior to this, he served as a Social Security Analyst at the Cato Institute. Earlier in his career, he served as Director of Research at the Congressional Institute. Dr. Biggs received his bachelor's degree from Queens University of Belfast, his master's from Cambridge University and his PhD from the London School of Economics.