Social Security's First Field Office Opened Today In 1936 In Austin, Texas

OIG Report On Effects Of Backlogs

About a year ago the Chairman of the House Social Security Subcommittee asked someone at Social Security, apparently the Inspector General, about the effects of delay upon disability claimants. Social Security's Office of Inspector General (OIG) has finally produced a report in response to this inquiry. Here are some excerpts:

Of the 424 disability beneficiaries who participated in our review,

• 340 said the wait for benefits impacted their finances,
• 51 said the wait did not impact their finances, and
• 33 did not mention the wait’s impact on their finances....

Measures Taken by Beneficiaries While Waiting for Benefits -- Number of Beneficiaries

• Obtained assistance from friends, family, and charities 231
• Accrued debt 141
• Used savings 65
• Continued or returned to work 13
• Sold personal belongings (such as a car or boat) 11 ...
  

Difficult Experiences by Beneficiaries While Waiting for Benefits -- Number of Beneficiaries

• Could no longer afford home or apartment 50
• Lived in someone else’s household for free 36
• Became homeless 8
• Filed for bankruptcy 6
• Had utilities turned off 4 ...
  

Of the 424 disability beneficiaries who participated in our review,

• 127 said the wait for benefits impacted their access to medical care;
• 282 said the wait did not impact their access to medical care; and
• 15 did not mention the wait’s impact on their access to medical care....

A significant number of the beneficiaries we spoke with went out of their way to tell us the SSA staff provided good customer service. Specifically, 67 (16 percent) of the 424 beneficiaries we spoke with told us they had a good experience with SSA staff. ...

A portion of the beneficiaries we spoke with also mentioned that their wait for Medicare insurance had a significant impact on their lives. Specifically, 27 (6 percent) of the 424 beneficiaries told us they thought their wait for Medicare insurance was too long.

OIDAP Report

Update: I am bumping this up since I regard it as being of considerable importance.

A California attorney I know happened to receive -- by accident -- a copy of the draft final report of Social Security's Occupational Information Development Advisory Panel (OIDAP). I have uploaded it to Yousendit. It is available for downloading for the next week for the first 100 people. Update: Here is another link for downloading the draft final report for when the first link stops working. It is a 500 page plus PDF so expect it to take some time to download.

Although this may sound like a boring subject, it is, by far, the most important policy issue facing Social Security. An occupational information system is fundamental to Social Security disability determination. Millions of Social Security claims will be decided based upon any new occupational information system that comes out of OIDAP's work. This is the most important policy issue that Social Security has faced in about thirty years.

SSA Hiring Disabled

From an article by Reginald Wells, Social Security's Deputy Commissioner for Human Resources and Chief Human Capital Officer in Federal Times:

There is a clear business case for the federal workforce, charged with the responsibility of public service, to reflect the diverse tapestry of America. People with disabilities are part of that tapestry and arguably constitute one of the most diverse groups in our society. ...

The Social Security Administration currently has the third-highest percentage of employees with targeted disabilities among large agencies. ...

SSA Commissioner Michael Astrue established in March an initiative to formalize a continual process through which people with disabilities remain an integral part of our diversity mosaic. Branded “SSA AccessAbility: Recruiting Individuals with Disabilities,” this initiative capitalizes on opportunities for hiring as well as agencywide coordination through an established national recruitment structure. ...

As a result of increased fiscal 2009 budget appropriations as well as funds received through the American Reinvestment and Recovery Act, SSA had the opportunity to hire about 7,000 employees through August. Preliminary figures show the agency hired more than 650 people with disabilities, including more than 100 individuals receiving federal disability benefits.

Updated Fee Payment Stats

Updated information on payments to attorneys and others for representing Social Security claimants.

Fee Payments
Month/Year	Volume	Amount
Jan-09	28,423	$101,128,880.69
Feb-09	31,352	$112,791,207.17
Mar-09	29,199	$104,155,187.96
Apr-09	30,963	$110,133,425.19
May-09	36,603	$126,725,262.45
June-09	31,799	$113,962,564.84
July-09	34,802	$124,621,068.71
August-09	28,218	$100,279,282.51
Sept-09	28,455	$100,918,402.40

Results Of Last Unscientific Poll

What Do You Think Of The Nomination Of Carolyn Colvin To Become Deputy Commissioner Of Social Security?

I think it was a good choice (27)	23%
I think it was a bad choice (24)	21%
I have mixed feelings about it (9)	8%
I don't know enough about her to have an opinion (55)	48%

Total Votes: 115

California Cuts SSI

First, let me give a little background. Supplemental Security Income (SSI) was created in the 1970s to give federal benefits to indigent aged, disabled and blind Americans. SSI replaced a prior system of federal grants given to the states which administered their own systems of benefits for the same population. The recipients of the state aid were grandfathered into SSI. Some state benefits were higher than the new SSI benefits. States were allowed to supplement SSI benefits in their states so that their residents would not be hurt by the change to SSI. Quite a number of states have done so ever since, but those states have always had the ability to decrease the supplementation or discontinue it. The state supplements are paid in the same check or direct deposit as the federal SSI benefit.

With that as a background, here is a report from KHSL-TV in Chico-Redding, California:

Denise Johnson and her husband have relied on their social security supplementary payments for two years now. But making ends meet this time around has been tough for the couple. lawmakers have already reduced their social security benefits twice this year, and just a couple days ago, the Johnsons received a letter in the mail stating their paychecks will get a third cut.

Johnson told Action News, "There was no warning or nothing. It was kind of like a slap in the face, here you go, it's gone," adding, "I thought it was wrong for them not to say anything at all and just make it a surprise. I think they should have just spoke up and been more honest."

The Johnsons will get another $41 deducted from each of their paychecks each month. All three cuts this year total to about $170 from the couple's combined paychecks every month. The third cut begins November. The Johnsons' paychecks are now down to a little more than $54 each. The Johnsons use the money for food, and because they are already receiving additional help from the state, they do not qualify for food stamps. Johnson says it is unfair. She said, "At least try to give us something back as far as getting food stamps from everybody that's getting the state supplementary."

Johnson says the cut this time around not only means less food on the table... it means less everything. She explained, "Just trying to really budget our money tight, and shop next to nothing."

A Social Security Administration public affairs official told me over the phone, they cannot explain the reason for the additional cuts and they are simply doing what state lawmakers tell them to do.

More than 1,000,000 people receive social security supplementary benefits in California

As you may have heard, the state of California is experiencing terrible budget shortfalls. The repeated cuts in SSI supplementation are one of the results of these budget shortfalls.

I am surprised that these cuts in SSI checks for Californians have not attracted more public attention.

University To Receive Grant From Social Security

From a press release:

The University of Wisconsin-Madison Center for Financial Security has received first-year funding of $1.48 million to participate in the Social Security Administration's new Financial Literacy Research Consortium (FLRC). ...

The FLRC-supported research will include projects requiring extensive quantitative data analysis, as well as those gathering data through qualitative interviews and focus groups. Funded projects will define and identify forms of financial literacy during the life course and among low-income and other specific populations. This research will also explore "teachable moments," times that motivate a change in financial behavior, and identify potential financial education strategies for targeted populations. ...

The Center for Financial Security will sponsor a symposium, "Family Financial Security: Implications for Policy and Practice," on Monday and Tuesday, April 19-20, at the Fluno Center for Executive Education at UW-Madison. The symposium will convene leading applied researchers and practitioners to present current thinking across disciplines. Four panels — credit, retirement saving, thrift and banking — will each feature several papers. Participants will discuss how innovative programs, policies and products can best promote family financial literacy.