When it was established in 1935 the Social Security Administration began as an independent agency as it is today, but has transformed over the years to a sub-cabinet position back to an independent agency in 1995. Below is a complete organizational history of Social Security beginning with the establishment of Social Security in the 1930s to the transformation of becoming an independent agency once again in the 1990s.
COMMITTEE ON ECONOMIC SECURITY (1934)
This Committee was established by President Roosevelt in June 1934 (Executive Order No. 6757) to develop a comprehensive social insurance system covering all major personal economic hazards with a special emphasis on unemployment and old age insurance. The Committee’s legislative recommendations were presented to the President in January 1935, and introduced to Congress for consideration shortly thereafter. A compromise Social Security Bill was signed by the President on August 14, 1935.
ESTABLISHMENT OF SOCIAL SECURITY ADMINISTRATION (1946)
The President’s reorganization Plan No. 2, effective in July 1946, abolished the Social Security Board and placed its functions under the newly established Social Security Administration (still under FSA). The FSA Administrator established the position of Commissioner to head the Social Security Administration (SSA). Several administrative functions (i.e., personnel, procurement, information services, etc.) from the Social Security Board were incorporated into SSA at this time.
ESTABLISHMENT OF DIVISION OF DISABILITY OPERATIONS (1954)
A modified (disability) freeze program, the precursor of the present disability program, was enacted as a part of the 1954 amendments. The Division of Disability Operations was founded to provide unified program, policy, procedural and operational leadership for this new program.
1975 REORGANIZATION OF SSA
The Commissioner of Social Security announced a reorganization of the Agency in January 1975. The new organization significantly reduced the span of control of the Commissioner by consolidating eleven functions into only five functions and by placing the Regional Commissioners under an Associate Commissioner for Program Operations. The Regional Commissioners did receive line authority (through the Associate Commissioner for Program Operations) at this time for all cash benefit operations. Significant changes included: (1) the establishment of four Associate Commissioners for Operations, Program Policy and Planning, External Affairs and Management and Administration; (2) creation of a new policy and regulation making organization; (3) creation of a Commissioner-level organization dedicated to the long range improvement of SSA’s automated systems; and (4) the creation of a centralized program evaluation and quality assurance program.
ORGANIZATIONAL REALIGNMENTS OF SSA (1980-1983)
Fine tuning by succeeding Commissioners who found the span of control too broad under the 1979 reorganization was implemented over the next four years. Efforts to modify the organization to make it more responsive to changing mission requirements resulted in the following changes: (1) the consolidation of the public information and governmental affairs functions; (2) the abolishment of the Associate Commissioner for Operating Policy and Procedures; (3) the establishment of four Deputy Commissioners including one for systems and another for management and assessment; and (4) the creation of six new Associate Commissioners, including two for systems requirements and integration functions; three for the RSI, SSI and DI programs and one for the field.