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The last time the Social Security trust funds were in imminent danger of being insolvent was 1983. We are once again faced with the idea of reduced benefits in 15 years or so unless there is some sort of compromise in Congress to change the trajectory of the trust funds, similar to what happened in 1983. Things are much different today than in 1983. Political ideology has always been present, including in 1983, but divisiveness seems to be at an all-time high compared to 1983. The major players in the compromise of 1983 were President Ronald Reagan, a Republican, and Speaker of the House Tip O’Neil, a Democrat. These two officials had many differences, but at the end of the day came together to make a deal and respected one another. This seems unlikely in today’s climate, but if Social Security is going to be saved, this will have to change. For years we have heard stories about Social Security’s funding crisis, but it is important to realize we have time, much more time than they did in 1983. Back then, Social Security estimated it would be unable to continue to pay full benefits by July of 1983. The legislation that Reagan and O’Neil worked on wasn’t signed by Reagan until April 20, 1983. This time around, Social Security estimates it will be unable to continue to pay full benefits by 2033 or 2034 (projections can change from year-to-year), but by looking to the past we can get ideas about how to save Social Security’s future. Bipartisanship played a large role in the legislation passed in 1983. In the House of Representatives, 80 Republicans joined 163 Democrats in voting yes for a 243-102 majority. In the Senate 32 Republicans were joined by 26 Democrats to successfully pass the bill 58-14. There were many Senators and members of Congress who decided to skip the vote for various reasons. Bipartisanship was just one major reason why the legislation was successful. Another reason was that measures of the bill enacted were phased-in over a number of years so there was no immediate shock to the system. Changes that were made in 1983 included a gradual increase of the retirement age that would not impact people for decades to come, and mainly impacted people who would not be able to vote for another decade. Some people claim that this just puts the burden on future generations, but Social Security has always been a program where future generations pay benefits for past generations, this is reciprocated by every future generation. The changes are likely not going to be universally accepted, but if bipartisan support is there, and both parties of Congress agree to a solution, it may just be able to satisfy enough people to keep Social Security solvent for many years to come.  

Social Security asked the National Academies of Science, Engineering, and Medicine to examine health care utilization, including in-patient hospitalizations, emergency department visits and hospital readmissions, to determine whether these medical visits equaled severity of conditions as it relates to the Social Security disability process. Big surprise, this group was unable to correlate health care utilization to severity of impairments as it relates to Social Security’s disability standard of gainful employment. This report is summarized in a press release, but this is far from earth-shattering news. As a disability law office that assists claimants with the Social Security disability process, we see all types of clients. Some of them have 20 or more doctors they see for their impairments, which results in thousands and thousands of pages of medical records, but we also have clients who have just a handful of doctors, resulting in hundreds of pages of medical records. More medical records does not equate to a more severe impairment or a successful disability case, it is what is in the records that matters most. People get caught-up in facts like how often someone goes to their doctor or is hospitalized for a condition, but that is not how Social Security determines if someone has impairments severe enough for them to work at a fulltime level and maintain gainful employment. Considering Social Security sponsored this study, but knew going into it, that health care utilization does not equal severity, one wonders why this study was conducted at all? Social Security works with Disability Determination Services (DDS), a state agency, for lower-level disability determinations for Social Security disability cases. The examiners at DDS are required to analyze medical evidence on a disability claim to determine if the severity of impairments meets disability listings. Instead of conducting a study with an outside agency, Social Security should have just worked with DDS on this matter.

We realize it may be a stretch for ordinary people to want to keep up with the comings and goings of the Social Security Administration, but sometimes circumstances permit where someone does want to follow the latest news regarding the agency due to a possible retirement or disability interest. This blog is an ongoing piecemeal of recent stories that have involved Social Security. Some are tidbits and some are important things that should be known in the world of retirement or disability and others are just interesting stories and nothing more. Fact Checking President Donald Trump recently gave a speech where he contended that the Democrats want to destroy Medicare and Social Security. According to a story in the Charleston Gazette-Mail, Trump said “we’re saving Medicare. The Democrats want to destroy Medicare. If you look at what they’re doing, they’re going to destroy Medicare. And we will save it. We will keep it going. We’re making it stronger. We’re making Social Security stronger.” Unfortunately the facts do not backup the president’s claim. In fact, there are Republican bills in Congress that call for increasing the Social Security retirement age to 70 and cuts to benefits. The newspaper specified three major points in refuting Trump’s claim that Republicans are making Medicare and Social Security stronger. Compared with estimates a year ago, the primary trust fund for Medicare runs out three years sooner. The primary trust fund for Social Security runs out one year sooner. The Republican tax cuts trimmed a year of solvency from the primary Medicare trust fund and had a negative effect on the Social Security trust fund. The facts do not support the president’s claim and as the newspaper pointed out, “we rate this claim false.” Kansas Women Sentenced For Social Security Fraud The Associated Press reported the sentencing of a 50-year-old Kansas woman for collecting more than $86,000 in Social Security benefits while she was working and not entitled to the benefits between 2008 and 2014. Amy McLain was sentenced six months in prison for one count of Social Security fraud and ordered to pay restitution. U.S. Attorney Stephen McAllister said McLain was working at Kreifels Communications during the same time she was collecting Social Security benefits. Scott Kreifels, 58, was charged and sentenced as a co-defendant in the case. He was sentenced to two years probation and ordered to pay almost $50,000 in restitution. Trouble With Computing SSI Payments The Office of Inspector General for Social Security released a recent report where it sampled 100 Social Security recipients who had manually deemed income, and out of this sample Social Security did not correctly compute Supplemental Security Income (SSI) payments for 46. According to the report, “this occurred because SSA did not correctly develop all income information when the deemors reported it or it became available from other sources if the deemors did not report it timely, did not consider the correct family members in the household, or made various other errors. Further, SSA’s policy did not require that a second employee review manually deemed computations. SSA improperly paid the 46 recipients $136,569. Specifically, SSA overpaid 12 recipients $33,375, underpaid 9 recipients $7,734, and both over- and underpaid 25 recipients $95,460. Accordingly, we project SSA improperly paid approximately $105 million in SSI payments to 35,200 SSI recipients with manually deemed income.”

Some people may not understand how Social Security works. As we work and pay taxes into Social Security, some people may believe they are paying for their own Social Security benefits down the road should they become disabled, or when they retire. This would seem to make sense since a person’s monthly benefit, whether they receive disability or retirement funds, are based on what their salary was while they were working, but the disabled and retirees are not collecting benefits on the money they paid into the system. Anyone who receives benefits today is collecting benefits on the amount current workers in the system are paying into Social Security. This same beneficiary’s Social Security taxes provided benefits to an earlier generation of Americans and that is how the system works. Current workers pay for current beneficiaries and when that worker retires, and collects benefits, the money collected will be provided by someone else’s Social Security taxes. The system relies on new workers replacing retired ones to pay taxes and keep the system running. When the number of collectors increases and the number of payers decrease, Social Security trust funds become depleted and this is why Social Security is facing a shortfall in less than 20 years. Because the largest of all generations, the Baby Boomers, are now reaching retirement age, Social Security is going to lack the resources to meet 100 percent of benefit obligations. There are not enough workers who pay into Social Security to keep the current system funded past 2034. Considering this factor, it would be important that America have as many workers as possible pay into Social Security, but President Donald Trump’s current immigration policy only hinders bringing more workers into the system that pay Social Security taxes. As reported by news site Vox, both legal and illegal immigrants are needed to improve Social Security’s outlook because more tax dollars are needed. The report sited Social Security’s 2018 trustees report indicating that both legal and illegal immigrants pay billions of dollars each year into Social Security. By limiting immigration and reducing the number of immigrants who are allowed to work in the United States, we are actually shortening the amount of time it will take before Social Security is unable meet 100 percent of its obligations.

We realize it may be a stretch for ordinary people to want to keep up with the comings and goings of the Social Security Administration, but sometimes circumstances permit where someone does want to follow the latest news regarding the agency due to a possible retirement or disability interest. This blog is an ongoing piecemeal of recent stories that have involved Social Security. Some are tidbits and some are important things that should be known in the world of retirement or disability and others are just interesting stories and nothing more. Death At A Social Security Office Threats of violence at Social Security offices are all too common especially when someone is denied benefits, but when the threat leads to real violence, where people are seriously injured and one person ends up dead, that is extremely rare. Unfortunately that is exactly what happened when a man stabbed two people at a southwest Mississippi Social Security office July 9 and was then shot and killed by a security guard, according to a report by WIVB4. Pike County Sheriff Kenny Cotton informed a news outlet that the attacker, Branen Carter, 21, confronted and stabbed his mother and grandmother who accompanied him to the McComb Social Security office. After the stabbing a security officer shot Carter in the abdomen and he later died at the Southwest Regional Medical Center. Last report showed the two stabbing victims were in critical, but stable condition. Extension Of Attorney Advisor Program Social Security has asked the Office of Management and Budget to approve the final regulations on the Attorney Advisor Program. The program, which is set to expire Aug. 3, 2018, allows attorney advisors to conduct certain pre-hearing proceedings to allow for fully favorable disability decisions. If approved, the program would extend into August of 2019. The Attorney Advisor Program is one tool Social Security uses to limit the massive backlog of claimants who are waiting for a disability hearing before an Administrative Law Judge (ALJ). Below is some background on the program courtesy of the Federal Register. On August 9, 2007, we issued an interim final rule permitting some attorney advisors to conduct certain pre-hearing proceedings and issue fully favorable decisions when the documentary record warrants doing so. 72 FR 44763. We instituted this practice to provide more timely service to the increasing number of applicants for Social Security disability benefits and Supplemental Security Income payments based on disability. We considered the public comments we received on the interim final rule, and on March 3, 2008, we issued a final rule without change. 73 FR 11349. Under this rule, some attorney advisors may Start Printed Page 28993develop claims and, in appropriate cases, issue fully favorable decisions before a hearing. Where To Find Office Closures Recently Social Security has announced closures of several field offices across the country, so before you head out to a Social Security office you should check to see that it is still open. Social Security does list office closures if they are permanent or temporary due to weather conditions or renovations. You can find the closures on Social Security’s website, which can be found here.  

Two legislators introduced a bill in the U.S. Senate and U.S. House of Representatives that would “improve and restore” Social Security service. Social Security’s operating budget will increase by $480 million, but this bill, authored by U.S. Sen. Bernie Sanders (I-Vermont) and U.S. Rep. John Larson, (D-Connecticut),  would set Social Security’s administrative funding at 1.5 percent of the overall benefit payments issued by Social Security. The legislation is asking for some significant changes to Social Security’s disability programs that would benefit disabled workers. Passage of the bill would eliminate Social Security’s five-month waiting period to collect disability benefits and the two-year waiting period for disabled workers to be eligible for Medicare. Additional measures call for a moratorium on the closing on any further Social Security field office. A number recent field offices across the country have been closed by Social Security creating more difficultly for Americans to seek assistance from Social Security. The elimination of the five-month waiting period for disabled workers would provide nearly $6,000 more to beneficiaries and provide much-needed medical insurance immediately for disabled workers through the Medicare provision. Six other Senators agreed to co-sponsor the legislation, but the bill remains an uphill climb in a Republican controlled Congress. In a press release from his office, Sanders said there is no more successful government program to back than Social Security. “Social Security is the most successful government program ever, but it can’t work for Vermonters if it doesn’t have adequate staff to answer the phones, meet with applicants and process claims. We must reject Republicans’ efforts to cut and privatize Social Security, and instead ensure that all seniors and people with disabilities receive the benefits they have earned and deserve in a timely manner,” Sanders said. The legislation was endorsed by AFGE, AFL-CIO, Alliance for Retired Americans, Center for Medicare Advocacy, Justice in Aging, Medicare Rights Center, National Committee to Preserve Social Security & Medicare, National Council of Social Security Management Associations, National Organization of Social Security Claimants Representatives, Social Security Works, Special Needs Alliance, Strengthen Social Security Coalition and The Arc.

The Subcommittee on Tax Policy, Health, Social Security, and Oversight scheduled the markup of several bills June 21 including the Tribal Social Security Fairness Act of 2018. When legislators “markup” a bill it is a process of session debates, amendments and rewrites of proposed legislation. The origination of the bill amended Social Security Title II (Old Age, Survivors, and Disability Insurance) of the Social Security Act to direct the Social Security Administration, at the request of an Indian tribe, to enter into an agreement with the tribe for the purpose of extending Social Security coverage to tribal council members. Below is the purpose of this agreement. VOLUNTARY AGREEMENTS FOR COVERAGE OF INDIAN 8 TRIBAL COUNCIL MEMBERS 9 ‘‘Purpose of Agreement 10 ‘‘SEC. 218A. (a)(1) The Commissioner of Social Security shall, at the request of any Indian tribe, enter into 12 an agreement with such Indian tribe for the purpose of 13 extending the insurance system established by this title to 14 services performed by individuals as members of such Indian tribe’s tribal council. Any agreement with an Indian 16 tribe under this section applies to all members of the tribal 17 council, and shall include all services performed by individuals in their capacity as council members. 19 ‘‘(2) Notwithstanding section 210(a), for the purposes of this title, the term ‘employment’ includes any 21 service included under an agreement entered into under 22 this section. This is a continued effort ever since an executive order was signed by President Bill Clinton in November of 2000. The original initiatives of this order and Social Security were to: Improve service delivery by responding to policy and legislative proposals; Maintain and expand ongoing communication; Outreach to the tribal community military service members, veterans, and families; and Continuing outreach and tribal consultation efforts.

We realize it may be a stretch for ordinary people to want to keep up with the comings and goings of the Social Security Administration, but sometimes circumstances permit where someone does want to follow the latest news regarding the agency due to a possible retirement or disability interest. This blog is an ongoing piecemeal of recent stories that have involved Social Security. Some are tidbits and some are important things that should be known in the world of retirement or disability and others are just interesting stories and nothing more. Limits On Social Security Card Replacements A recent article found on Forbes.com identified a little known fact that most Americans are probably not aware of. The fact is their Social Security card is not infinitely replaceable. This was confirmed by Darren Lutz of Social Security’s National Press Office. Lutz informed that people are limited to three replacement cards during a calendar year and 10 replacement cards in a lifetime. Lutz said that all requests for replacement cards are tracked electronically and once you reach your annual or lifetime limit on replacement cards, you have provide an “exception” to the rule to get a new card. The following are exceptions Social Security uses in allowing a replacement card once someone has reached their limit. Legal name change; Change in immigration status or citizenship The need for a replacement card due to an error made by the Social Security Administration; Hardship of Social Security number holder. Considering Social Security has been in existence since 1935, it is important to understand this was not always Social Security’s policy. At one time Social Security cards were infinitely replaceable, but that all changed with the passage of the Intelligence Reform and Terrorist Prevention Act of 2004. This new law amended the National Security Act of 1947. Lutz claimed that this change better protects Americans against identity theft. “Restricting the number of replacement Social Security cards strengthens the integrity of Social Security,” Lutz said. Social Security Employee Accused Of Stealing $680,000 According to an article in the Daily Herald, a newspaper that covers suburban Chicago, Ann Aroste, 42, was indicted on charges that she stole at least $680,000 while working as a claims specialist for the Social Security Administration. Officials said Ann Aroste, 42, faces five counts of wire fraud and five counts of aggravated identity theft in connection with five instances between August 2013 and May 2018, according to an indictment filed in federal court Thursday. According to the indictment, Aroste began working for the Social Security Administration in April 2008 as a claims specialist processing and approving applications for social security benefits. Authorities said Aroste used her position to approve fraudulent applications for survivor benefits for people she falsely claimed had been married to deceased workers. Those five fraudulent claims resulted in at least $680,000 being paid by the U.S. Treasury Department to bank accounts Aroste controlled, officials said. On each count of wire fraud, Aroste faces up to 20 years in prison, and each count of aggravated identity theft carries a mandatory two-year prison sentence.

Last year the Social Security Board of Trustees estimated that the Disability Insurance (DI) Trust Fund would become depleted by 2028, but just a year later things have improved and now the estimate is the fund would not be depleted until 2032. Over the past few years both the DI Trust Fund and the Old-Age and Survivors Insurance Trust Fund have gained strength and extended their life. Although there is still a need to take action to extend the life further of both trust funds, things continue to improve. “The fact remains that Congress can keep Social Security strong by taking action to ensure the future of the program,” said Nancy Berryhill, Social Security’s deputy commissioner of operations. According to the Trustees Annual Report to Congress: The asset reserves of the combined Old-Age and Survivors Insurance and Disability Insurance (OASDI) Trust Funds increased by $44 billion in 2017 for a total of $2.89 trillion. The total annual cost of the program is projected to exceed total annual income in 2018 for the first time since 1982, and remain higher throughout the 75-year projection period. As a result, asset reserves are expected to decline during 2018. Social Security’s cost has exceeded its non-interest income since 2010. The when the combined trust fund reserves are projected to become depleted, in Congress does not act before then, is 2034 – the same as projected in 2017. At that time, there will still be sufficient income coming in to pay 79 percent of scheduled benefits. Total expenditures from the combined OASDI Trust Funds amounted to more than $952 billion in 2017. During 2017, an estimated 174 million people had earnings covered by Social Security and paid payroll taxes. The combined Trust Fund asset reserves earned interest at an effective annual rate of 3 percent in 2017.    

Social Security stresses that a complete consultative exam (CE) report “will involve all the elements of a standard examination in the applicable medical specialty,” but many times there are significant elements missing from the report. Social Security sets-up CE examines with a doctor of the agency’s choosing if there does not appear to be enough medical evidence to make a disability decision. Although CE reports are supposed to include all of the following elements, many times these exams are less than 30 minutes long and are not through exams. Even so, here is what is supposed to be included in a CE exam: the claimant’s major or chief complaint(s); a detailed description, within the area of specialty of the examination, of the history of the major complaint(s); a description, and disposition, of pertinent “positive” and “negative” detailed findings based on the history, examination, and laboratory tests related to the major complaint(s), and any other abnormalities or lack thereof reported or found during examination or laboratory testing; results of laboratory and other tests (for example, X-rays) performed according to the requirements stated in the Listing of Impairments (see Part III of this guide); the diagnosis and prognosis for the claimant’s impairment(s); in claims for adults, a statement about what a claimant can still do despite his or her impairment(s) and whether the claimant has one or more impairment-related limitations or restrictions in the following abilities: The ability to perform physical demands of work activities, such as sitting, standing, walking, lifting, carrying, pushing, pulling, or other physical functions (including manipulative or postural functions, such as reaching, handling, stooping, or crouching); The ability to perform mental demands of work activities, such as understanding; remembering; maintaining concentration, persistence, or pace; carrying out instructions; or responding appropriately to supervision, co-workers, or work pressures in a work setting; The ability to perform other demands of work, such as seeing, hearing, or using other senses; and The ability to adapt to environmental conditions, such as temperature extremes or fumes; in claims for children under age 18, a statement about the child’s impairment-related limitations and restrictions (as compared to children his or her age who do not have impairments) in: acquiring and using information; attending and completing tasks; interacting and relating with others; moving about and manipulating objects; caring for yourself; and heath and physical well-being; and the consultant ‘s consideration, and some explanation or comment on, the claimant’s major complaint(s) and any other abnormalities found during the history and examination or reported from the laboratory tests. The history, examination, evaluation of laboratory test results, and the conclusions will represent the information provided by the consultant who signs the report.