Not Everyone Loves Accenture

Accenture, which just announced a huge new contract with Social Security, has its detractors. Take a look at the company's profile on crocodyl.

$2.8 Billion Contract For Accenture

From a press release:

The U.S. Social Security Administration (SSA) has selected Accenture (NYSE: ACN) as a prime contractor under the Information Technology Support Services Contract (ITSSC) that will be used to acquire a wide range of IT systems development and modernization services. The ITSSC includes a one-year base period plus six additional one-year options with an aggregate ceiling valued at $2.8 billion.

Under the contract, Accenture will implement emerging technology applications designed to improve SSA’s service delivery capabilities to current beneficiaries and future retirees. Task orders issued under the contract may request services such as evaluating ways to integrate data from health records more seamlessly, expanding Web and social media to enhance user accessibility, and applying predictive models and analytics capabilities to SSA’s business.

Accenture is a spinoff of Arthur Andersen, an accounting firm. Accenture was incorporated originally in Bermuda and is now incorporated in Ireland. Its headquarters are now in New York. It is a multinational consulting company with 200,000 employees.

A Happy Ending

I had given a link in August to the story of a West Des Moines woman with Down syndrome who had been declared overpaid $4,425 by Social Security. The overpayment was apparently the result of computational errors at Social Security. The story has a happy ending. Even though it appears that the woman's family filed no request for waiver, waiver was still granted.

What would have happened without the media attention?

Rhodes Scholar Gets New Social Security Number And Uses It To Commit Fraud

From CBS News:

Former Alaskan beauty queen and Rhodes scholar, Rachel Yould, was sentenced to nearly five years in prison and ordered to pay more than $700,000 in restitution [in September] after pleading guilty in a peculiar case of fraud and double identities.

Federal prosecutors indicted the Oxford University Ph.D. candidate last December on felony charges of mail, wire fraud and making false statements to influence a bank. The 38-year-old Yould, born Rachel Hall, had claimed her father sexually abused and stalked her and allegedly took on a new identity under a Social Security Administration program that aims to help rape and domestic violence victims hide from their abusers.

There is a longer Jeffrey Toobin piece in the New Yorker on this peculiar story but you have to subscribe to read it.

She's definitely not my relative.

A Long, Slow March

The New York Times has an article today about two brothers trying to make a business of helping physicians change over to electronic records. They have found it “a long, slow march" and "a lot harder getting to a business that is self-sustaining than" they had imagined even though they seem to have some good ideas.

Electronic medical records may not be coming as fast as these two brothers had hoped or as fast as Social Security would like.

OIG Report On Disability Recipients Who Return To Work

Representative Sam Johnson, the ranking Republican on the House Social Security Subcommittee, asked Social Security's Office of Inspector General (OIG) to do a report on Social Security's efforts to deal with the cases of disability recipients who return to work. OIG has reported back that Social Security is working hard on the issue but that Social Security has a backlog of these cases. The agency could do more if it had more resources. The report notes that:

SSA convened a “Work CDR [Continuing Disability Review] Workgroup” in January 2010 to identify and implement improvements and adopted the following recommendations:

• Dedicated staff to target the oldest cases—initially, cases over 365 days old, then a gradual reduction of the age threshold;
• Prioritized earnings alerts by amount of earnings and worked cases with highest earnings to minimize overpayments;
• Improved communication between operational components; and
• Allocated additional staff resources to conduct work CDRs [Continuing Disability Reviews].

The report also notes that the agency is working on a proposal to simplify its work policies to "reduce administrative complexity and workloads through program simplification" and to "encourage more DI [Disability Insurance] beneficiaries to return to work." I hope this is true and that the proposal is being developed on a different time frame than the nine year Benefit Offset National Demonstration (BOND).

Multiple Social Security Numbers

From the Denver Post:

More than 20 million Americans have multiple Social Security numbers associated with their names, according to a new study of commercial databases by a leading consumer risk-management firm.

The study by ID Analytics Inc. in San Diego also found that about 100,000 Americans have five or more Social Security numbers tagged to their identity. Most of the associations are innocuous — a mistakenly entered digit or a transposition of two numerals — with little or no intent to defraud the legitimate owner, experts say.

The Lodestar Is Dead -- Long Live The Lodestar

From Jeter v. Astrue, ___ F.3d ____ (5th Cir. Sept. 30, 2010)

We are presented with the question of whether district courts may employ the lodestar method to determine whether an attorney fee constitutes a “windfall” under Gisbrecht v. Barnhart, 535 U.S. 789 (2002). Because we read Gisbrecht as merely forbidding exclusive reliance on the lodestar method to determine the reasonableness of a 42 U.S.C. § 406(b) attorney fee, we do not conclude that Gisbrecht precludes a court’s consideration of the lodestar method altogether. And since the district court here did not rely exclusively on the lodestar method to evaluate the reasonableness of a contingency fee, we conclude the district court did not abuse its discretion in finding the contingency fee unreasonable under § 406(b).