Aaron Nominated To Chair SSAB

President Obama has nominated Henry Aaron of the Brookings Institution to become chairman of the Social Security Advisory Board (SSAB).

Update: By the way, Aaron is on the board of Abt, a major contractor with the Social Security Administration. I suppose he has to resign that position.

DCNs Decrease

Social Security's Office of Inspector General (OIG) recently did a study of "double check negotiation" (DCN), cases in which a Supplemental Security Income (SSI) recipient tells Social Security that their monthly benefits check did not arrive causing Social Security to issue a replacement check and the person cashes both checks. Social Security has been trying hard to reduce the number of these cases. According to OIG:

Recent actions taken by SSA [Social Security Administration] have been effective in preventing SSI DCNs. The total number of DCNs has declined steadily since 2002. System controls implemented in June 2007 have been effective in preventing instances where individuals commit multiple DCNs. In addition, based on our sample results, SSA has been effective in recovering overpayments from recipients who commit DCNs.

Get SSI Check Three Days Early?

This is a photo of a check cashing outfit in Greenville, NC. Note that the sign says "Get SSI Checks 3 Days Early." You may have to click on the photo to see it large enough to read the sign. Does anyone know how they are doing this? Is it legal?

Do They Deserve Sympathy?

From Tara Siegel Bernard's blog at the New York Times:

Some Social Security recipients are upset about a new Social Security Administration policy, claiming that it is “changing its rules in the middle of the game.” ...

Under the old policy, people eligible for benefits could take them early, then change their mind and then withdraw their application for benefits — as long as they repaid the full amount of the benefits received. That allowed them to restart the clock, and reapply for higher benefits later. ...

The agency’s new rule, which went into effect in December, now limits the time period during which beneficiaries can withdraw an application to within 12 months of the first month of entitlement. It also permits only one application withdrawal per lifetime. ...

Though the new policy is already in effect, there is a 60-day public comment period that ends today. The agency said it would consider those comments — there are more than 500 comments so far — and publish another final rule.

Several of the comments were from recipients who said they weren’t notified of the change. Many of them were angry, noting that they had made their decision to take benefits early knowing they could repay them later based on information received from their local benefits offices. Several people told the agency that this amounted to “changing the rules in the middle of the game.”

Disguised Unemployment?

The Courier-Post, a New Jersey newspaper, is running an article about the increased number of people who have filed claims for Social Security disability benefits after being laid off their jobs. There are many people who managed to barely hang onto their jobs when the economy was booming. Although their work performance was substandard and they missed many days due to illness, their employers did not fire them -- until economic times got tough. There are concerns that Social Security disability benefits not disguise the rate of unemployment by putting such individuals on benefits but the reality on the ground is much more complicated as this article demonstrates.

One Year Sentence For Threatening ALJ

From the Associated Press:

A 30-year-old Shreveport woman has been sentenced to a year in prison for a mailed threat to a judge.

The U.S. Attorney's Office in Shreveport says the sentence was handed down Thursday to Latonya Kemp by federal Judge Donald Walter.

Prosecutors said Kemp mailed a handwritten letter to an administrative law judge in the Social Security Administration. The judge had upheld the denial of Social Security disability benefits for Kemp, who threatened to injure his property and reputation, according to a news release from U.S. Attorney Stephanie Finley.

"Another Failed Stimulus Project"

From a press release:

U.S. Congressman Sam Johnson (R-TX), Chairman of the House Committee on Ways and Means Subcommittee on Social Security, and U.S. Congressman Jeff Denham (R-CA), Chairman of the House Committee on Transportation and Infrastructure Subcommittee on Economic Development, Public Buildings, and Emergency Management, announced today that the Subcommittees will hold a joint oversight hearing on managing costs and mitigating delays in the building of the Social Security Administration’s (SSA’s) new National Computer Center (NCC). The hearing will take place on Friday, February 11, 2011 in 1100 Longworth House Office Building, beginning at 10:00 a.m. ...

In February 2009, the American Recovery and Reinvestment Act of 2009 provided $500 million for the SSA to replace the NCC, the single largest building project funded under the Act. The General Services Administration (GSA) and the SSA are managing the development and construction of the new project, including the development of requirements for the new center and site selection. The project remains on budget but the projected date for complete commissioning of the new facility has been delayed one year to January 2015.

In announcing the hearing, Chairman Sam Johnson (R-TX) stated, “Information technology is the most important element in driving Social Security to deliver 21^st century customer service. Taxpayers are investing in a $500 million upgrade and they will not tolerate cost overruns or further delays in another failed stimulus project. Neither will I.”

“We need to hold the General Services Administration accountable for this half billion dollar project,” Chairman Jeff Denham (R-CA) stated. “The agency needs to use the resources they were provided, stay on budget and get this project back on schedule.”

What is fascinating here is that it is Republican policy that any remaining stimulus funds should be canceled and should revert to the Treasury, which would stop this project in its tracks. So which is it? Do you want to stop this "failed stimulus project" or keep it on track and on budget?

New Union Agreement

The union that represents most Social Security employees reports that it has reached agreement with Social Security on a new contract. No details have been released but as described by the union the new agreement is almost identical to the old agreement. The big issue may have been affording lactating women employees the opportunity to use breast pumps on the job! It makes you wonder why it took so long to negotiate the contract.

Update: This is actually not a full contract -- just some items in the contract. If they have to negotiate hard on such uncontroversial matters as these, it is hard to imagine ever completing negotiation on a full contract.