A Republican Congressman's Take On Social Security And Health Care

From the Tuscaloosa News:

Social Security could face a deficit within two years, according to U.S. Rep. Spencer Bachus [Republican] who met with The Tuscaloosa News editorial board Tuesday.

“The situation is much worse than people realize, especially because of the problems brought on by the recession, near depression,” said Bachus, R-Vestavia Hills, in an interview with the Tuscaloosa News editorial board.

Bachus, the ranking member of the House Committee on Financial Services, said most people seem unaware of the impending crisis. He initially said Social Security could face "default" within two years, but his staff responded later saying the Congresssman intended to say "deficit." ...

The solvency of Social Security, which provides pensions for people older than 65, has not played a major role in the current debate about health care in Congress. Bachus said it will not likely be addressed in any health-care bill the House eventually passes, although if a Social Security bailout is needed, it will invariably have an impact on government health-care programs. ...

“We could raise the retirement age, or in the worst case, cut back on some benefits,” he said. “But that is something we are just now beginning to get a handle on.”

Michael Jackson And His Mother And Social Security

From the Entitled to Know blog for July 27:

Chances are Katherine Jackson never imagined Social Security would be her only source of income. But truth be told…that’s probably the case for countless other Americans, rich and poor, who face retirement in a much different fiscal situation then they had dreamed. That’s why these short references buried in all the recent coverage of Michael Jackson’s death really caught our attention:

“Lawyers for the estate wrote: ‘We are informed that Mrs. Jackson was also financially dependent upon Michael Jackson and that other than extremely modest social security benefits, Mrs. Jackson has no independent means of support.’… Jackson’s children will receive Social Security benefits, which have been applied for but payments have not yet started. Their monthly stipends from the estate may be reduced, depending on much money they receive from Social Security, the filings state.”

Sounds like Mrs. Jackson might qualify for parent's benefits. I wonder if she has applied.

When Will Deputy Commissioner Be Nominated?

Barack Obama has yet to nominate anyone for Deputy Commissioner of Social Security, a job last held by Andrew Biggs on a recess appointment. It is seven months into this Administration, so it may be getting time for something to happen. However, the President still has not nominated anyone to head the Centers for Medicare and Medicaid Services (CMS) and that is obviously a crucial job.

Some History That May Explain Why I Worry About Social Security Creating A New Occupational Information System

Click on each page to view it full size.

No More Corners To Cut

From the Las Vegas Sun:

The Social Security Administration is being slammed by a surge in disability and retirement claims that is threatening to shortchange applicants and cripple a system that, even before the downturn, was starved for resources.

To cope with the growing tsunami, the agency is putting pressure on its ranks of administrative law judges, both here and nationally, to clear a massive backlog of disability appeals cases. But the union representing those judges says the hearing officers are overworked — and that some, under threat of disciplinary action, have been cutting procedural corners to hit the agency’s mandate of 500 to 700 cases a year.

Since October, the number of people waiting to have a claim processed has jumped more than 30 percent, from about 556,000 to 736,000 last month. Although most of those initial claims will be denied, many will end up before an administrative law judge on appeal. Nearly 750,000 people are waiting for a hearing before overwhelmed judges.

“No one ever says, ‘do a sloppy job,’ ” said Marilyn Zahm, executive vice president of the Association of Administrative Law Judges. “But to pretend you can keep pumping out decision after decision and spend the requisite amount of time on each case is foolish. That’s shortchanging people, and the system will lack integrity if you do not require everyone to do a good job.” ...

“Corners are being cut in order to accommodate a backlog and at the end of the day everyone is going to suffer,” she said. “People have a right to expect due process ... At a certain point, no more corners can be cut.” ...

“Hearings are being shortened, not all information in the file is being reviewed, not all medical reports are being obtained, and full and legally defensible decisions may not be rendered, either because due consideration hasn’t been given or the decision is poorly written,” she said. “When people have too much work to do in the amount of time allotted to do it, you get sloppy work.”

The First -- And Only -- Visit By A Sitting President To Social Security Headquarters

Lyndon Johnson, October 12, 1966

Almost all of the historical photos I post come from Social Security's History website. The agency has an official historian, Larry DeWitt.

NASI Survey On Social Security

The National Academy of Social Insurance (NASI) and the Rockefeler Foundation sponsored a survey on Social Security. Here are a few excerpts:

Three-quarters of Americans say it is critical to preserve Social Security even if it means that working Americans have to pay higher taxes to do so ...

[A]n overwhelming number – 90 percent – want Congress to act within the next two years to preserve Social Security. ...

Three times as many Americans say that we spend not enough on Social Security (45%) as believe that we spend too much (15%). ...

Ninety percent of Americans say they are concerned about the program’s ability to pay benefits for the next generation. Just 44% of non-recipients say they’re confident that Social Security will be available to them when they retire ...

83% support lifting the Social Security tax cap so that all workers pay the same payroll tax rate, regardless of income.

70% support dedicating the estate tax solely to Social Security.

69% support adding a 5% tax on families earning over $250,000 and individuals earning more than $125,000. ...

78% support extending benefits for “children whose working parents have died or become disabled from the current cut off of 19 years to 22 years old if the child is in college or vocational school.”

76% support increasing benefits “by $50 a month for recipients over the age of 85 because they generally depend more heavily on Social Security.”

76% support improving “benefits for widowed spouses of low income working couples who generally have inadequate benefits from lifelong low-pay work.”

69% support “guaranteeing that Social Security benefits for steady workers exceed the poverty line, even if workers choose to receive early benefits at the age of 62.”

64% support “counting the time that working parents take off to care for children toward workers’ future Social Security benefits so they do not receive lower benefits because of this gap in paid work.” ...

[T]wo out of three Americans (65%) agree “we should increase Social Security benefits because millions of Americans have lost savings and pensions in the current economic crisis

Arrest In Georgia

From the Ledger-Enquirer of Columbus, Georgia:

Michael Eugene Hale, accused of threatening a Social Security employee on Aug. 5, had 10 weapons in his Midland home when federal authorities executed a search warrant, court records show. ...

Hale, who allegedly was upset about the denial of his disability claim, faces only an accusation of telling a Social Security employee that he would go into an office and kill everyone, an affidavit states. He faces no weapons charges.