What Happens At Social Security In The Event Of A Prolonged Government Shutdown?

Early this morning, the House of Representatives passed a bill to fund government operations for the remainder of the fiscal year. The bill contains massive spending cuts that would cripple the Social Security Administration and many other agencies. It also contains myriad provisions that Democrats find unacceptable, such as a prohibition on use of funds to implement health care reform. Quick agreement with the Senate and the President on a compromise seems unlikely. A government shutdown looms if there is no agreement by March 4.

The most recent time there was a government shutdown, in 1995, most Social Security employees were furloughed but then quickly called back to work on an emergency basis. Social Security employees should not take too much comfort from this history. It is uncertain how many Social Security employees would remain on their jobs if there is a shutdown this year.

There is another issue. March 10 is a payday for federal employees. Even if most Social Security employees stay on their jobs, will they receive a paycheck on March 10 if the impasse is continuing? I am not sure but I think the answer is "yes" for that paycheck since I believe it is for work performed before March 4 but I think that the answer would be "no" for the next payday of March 24 unless Social Security can use funds previously appropriated for construction of a new National Computer Center.

Is it conceivable that this budget impasse would result in a government shutdown that would extend three weeks? I am afraid so.

An extended impasse may also make it impossible for Social Security to pay contractors such as security guard companies. How long will they be able to continue supplying vital services to Social Security without being paid?

House Votes To Suspend EAJA

The House of Representatives has voted to suspend payments of attorney fees under the Equal Access to Justice Act (EAJA) for six months. EAJA fees are available where the litigation involves government action that is not "substantially justified." In terms of numbers of cases if not dolar amount, Social Security pays more EAJA fees than all other government agencies combined. This is part of the appropriations bill passed early this morning. This is one of many issues presented by this bill which must be resolved.

NADE Newsletter

The National Association of Disability Examiners (NADE), an organization of the personnel who make disability determinations for Social Security at the initial and reconsideration levels, has posted its Winter 2011 newsletter.

Social Security Bulletin Released

Social Security has released the February 2011 edition of the Social Security Bulletin, the agency's scholarly publication.

CBS Story On Disability Benefits

From CBS:

It's always good to see federal employees hard at work. That is, unless they're collecting a check for being totally disabled at the same time. That's fraud. In one case, the double-dipper is a Transportation Security Administration screener in California, CBS News investigative correspondent Sharyl Attkisson reports.

Federal disability -- about $170 billion per year -- is intended for those with medical conditions so severe they can't work at any job. Today, so many people claim to fit that definition, 17.9 million people are getting checks. ...

The head of Social Security, Michael Astrue, wouldn't agree to an interview. Instead of explaining how he's fighting fraud, he criticized the GAO. Last year, he told Congress that the screening tool that detects when someone's gone back to work generates too much information.

"That we can't possibly follow up on 'the leads' that would come from that in any- certainly not in my professional lifetime in the agency," Astrue said on Capitol Hill Aug. 4, 2010.

According to Social Security there are actually 13.3 million people on Social Security disability benefits not 17.9 million and the yearly benefit total is about $105 billion not $170 billion.

The Spit May Be About To Hit The Fan

From The Hill:

House Democrats worried that a bipartisan group of six senators is making progress toward putting the recommendations of President Obama’s debt commission into legislation delivered a message Thursday: Take Social Security out of the mix.

“Divorce this conversation about deficit reduction from Social Security and making it a better program!” Rep. Xavier Becerra (D-Calif.) told a roomful of Social Security advocates on Capitol Hill on Thursday

Becerra, the ranking member of the House Ways and Means Social Security subcommittee, served on the debt commission but voted against its recommendations. He said the senators’ attempts to include Social Security in their budget fix is the wrong way to go. ...

Sen. Tom Coburn (R-Okla.), a member of the group, has said Social Security reform must be addressed in the package or it will be ignored.

Coburn, Senate Budget Committee Chairman Kent Conrad (D-N.D.), Assistant Majority Leader Dick Durbin (D-Ill.) and Sens. Mike Crapo (R-Idaho), Mark Warner (D-Va.) and Saxby Chambliss (R-Ga.) hope to produce a plan within weeks and are aiming to have a draft bill ready at least by the time the nation’s debt ceiling is reached this spring so it can be paired with that vote, sources have said.

AP Picks Up On Social Security Furlough Danger

The Associated Press is picking up on the story of possible furloughs at Social Security.

Union Concerns Over Possible Furloughs

An e-mail to union members from the head of the union local that represents most Social Security employees:

From: Witold Skwierczynski
Sent: Thursday, February 17, 2011 10:41 AM
Subject: Furloughs in SSA

Folks:

I was orally informed by SSA labor relations yesterday that SSA intends to provide a notice in a day or 2 (i.e., today or tomorrow) to the Union regarding furloughs. I was also informed that the Agency had not yet decided on the methodology of the furlough (i.e., to close offices for a day a week, to close offices completely for a period of time, or to keep offices open with reduced staff due to employees being furloughed on a staggered basis). OLMER [Office of Labor-Management Relations?] could not answer any questions regarding the duration of any potential furlough. This is obviously speculative at the present time.

I have heard that SSA is having a high level management conference call today regarding the Agency’s furlough preparations. My suspicion is that they will be discussing the SSA furlough plan in the event of a government shutdown effective 3/5/11. I do not know if the Agency will declare any employees essential and force them to work without any guarantee of pay. In some past furloughs the Agency has closed all field offices. In other furloughs SSA has declared maintenance of benefit rolls as essential and kept skeleton staffs at work but such staff was instructed to take no new claims. In the 1995-96 furlough the Agency closed all field offices for the first 5 day furlough. They kept all field offices open during the 2^nd 20 day furlough and declared field employees essential. Employees were called back from X-mas leave and forced to work without pay. When the furlough ended, Congress reimbursed all employees whether they worked or not.

The union and management will probably attempt to negotiate an agreement regarding furloughs in SSA during the week of February 28, 2010.

AFGE Council 220 is planning nationwide informational picketing at SSA facilities on March 2 to protest the House SSA budget for FY 11 which if enacted will likely result in furloughs of a month for SSA workers. We need our brothers and sisters in the other components to join us on March 2, 2011. I am receiving more and more reports of angry and concerned employees who want to express their dissent.

…

I’ll keep you informed of developments.

Witold Skwierczynski

President

AFGE National Council of SSA Field Operations Employees

AFGE Council 220