Rally round Martin O’Malley for Social Security Administration Commissioner

Published in RINewsToday on August 7, 2023

Just weeks ago, President Joe Biden nominated former Maryland Governor Martin O’Malley, Social Security Commissioner, to lead the Social Security Administration (SSA) in delivering benefits to 67 million Americans per month, totaling over 1 trillion dollars in benefits paid during the year. With the SSA Trust Fund running out of money in 2033 if changes are not made to financially shore up the program, O’Malley will be a key player in the fierce partisan battle on Capitol Hill to address the SSA’s solvency.   

In a tweet with over 91,000 views after his nomination, O’Malley said: “Humbled and honored to be chosen by @POTUS to lead @Social Security into the future. President Biden believes Social Security is a sacred promise.  I look forward to earning the Senate’s approval and serving with the hardworking patriots of the U.S. Social Security Administration.” 

After firing Andrew Saul in July 2021, a hold-over from President Trump’s administration who refused to resign, Biden had named Kilolo Kijakazi, who served as SSA’s deputy commissioner for retirement and disability policy, as Acting SSA Commissioner.  Over her tenure, Kijakazi oversaw the Baltimore, Maryland based independent agency’s efforts to maintain customer service amid the COVID-19 pandemic that forced the closure of SSA field offices throughout the nation. With the agency’s staffing levels at a 25-year low, along with using outdated technology, customer service plummeted because of long waits for phones in-person service.

Now O’Malley is headed to replaces Kijakazi as Social Security Commissioner. If confirmed by the Senate, he will serve a six-year appointed term.  O’Malley will be directly responsible for all programs administered by SSA; for state-administered programs directed by SSA; and for certain functions with respect to the black lung benefits program.

Lots of experience under O’Malley’s belt

O’Malley’s background as two-term Mayor of Baltimore and two-term Governor of Maryland, where he adopted data and performance-driven and customer service technologies to tackle complex challenges, will be helpful as he grapples with how to manage an understaffed and underfunded agency that has reduced SSA’s ability to determine in a timely fashion eligibility of persons seeking retirement, survivor, and disability benefits, and updating benefits promptly when circumstances change.  He has written extensively about how to govern for better results by measuring the outputs of government on a real-time basis.  

During his time as mayor, O’Malley’s policies helped achieve the greatest crime reduction of America’s largest cities. Prior to being elected Mayor, he served as a member of the Baltimore City Council, and Assistant States Attorney for the City of Baltimore before that.

According to the Georgetown University’s Institute for Politics and Public Service, O’Malley was called the best manager in government by Washington Monthly magazine.  “Under his leadership Maryland achieved nation-leading progress: Best public schools in America for an unprecedented five years in a row (Education Week); one of the top states in the nation for holding down the cost of college tuition (College Board); and #1 in innovation and entrepreneurship for three years running (U.S. Chamber of Commerce).” 

In 2016, O’Malley ran for the Democratic Party’s nomination for President of the United States. He dropped out of the race in the winter of 2016 after placing third in the Iowa caucus. He also served two terms as chair of the Democratic Governors Association and was appointed to the nation’s first-ever Council of Governors by President Obama in 2010.

O’Malley received his bachelor’s degree from Catholic University and his law degree from the University of Maryland. Since 2016, he has lectured on public administration at numerous universities and institutions, including the University of Maryland, Harvard University, Georgetown University, and Boston College School of Law.

He and his wife, Katie, a District Court judge, have two daughters, Grace and Tara, and two sons, William and Jack.

Calls for O’Malley’s Senate Confirmation

On July 26, Democratic lawmakers and social security advocates were quick to issue statements of support, strongly endorsing and celebrating O’Malley’s nomination to be SSA Commission.  Here is a listing of a few of these endorsements:

Oregon Senator, Chair of the Senate Finance Committee, Ron Wyden: “Social Security needs a confirmed commissioner in order to ensure Americans are receiving the best service possible for their earned Social Security benefits. Governor O’Malley is a proven leader with experience running a large organization that millions of families count on. I look forward to moving this nomination through the Finance Committee as soon as possible.” [Statement, 7/26/23 – https://www.finance.senate.gov/chairmans-news/wyden-statement-on-omalley-nomination-to-lead-social-security

Connecticut Congressman John Larson: “I applaud President Biden for nominating a champion for Social Security, Martin O’Malley, to lead the Social Security Administration and move it forward to better serve current and future beneficiaries. Governor O’Malley has long supported protecting and expanding Social Security. He knows just how important this program is to our seniors and that the modest payments they live on are simply not enough. I look forward to working alongside him as we work to ensure SSA has the resources it needs to serve our most vulnerable Americans for decades to come.” [Statement, 7/26/23 – https://larson.house.gov/media-center/press-releases/larson-statement-biden-nomination-martin-omalley-commissioner-social

Nancy Altman, President, Social Security Works: “Social Security Works and I, personally, applaud the nomination of Governor O’Malley, a longtime Social Security champion. We will do all we can to ensure his swift confirmation.  We look forward to working with him, once confirmed, to secure more funding for SSA as the president requested and higher benefits, with no cuts, as he, President Biden, and indeed the Democratic Party, through its 2020 platform, have called for.” [Statement, 7/26/23 – https://socialsecurityworks.org/2023/07/26/martin-omalley-will-fight-for-social-security/

Max Richtman, President and CEO, National Committee to Preserve Social Security and Medicare: “We commend President Biden for nominating former Maryland governor Martin O’Malley as Social Security Commissioner. It has been more than 20 years since the Senate has confirmed a permanent commissioner nominated by a Democratic president, and it is way past time for the Social Security Administration (SSA) to have one. As a confirmed commissioner, Martin O’Malley will be able to advocate effectively for SSA, which has been chronically underfunded and has struggled to provide adequate customer service. 

As a presidential candidate in 2016, Governor O’Malley championed the expansion of Social Security. He proposed boosting benefits and adopting a more generous (the CPI-E) for calculating COLAs — while adjusting the payroll wage cap so that the wealthy pay their fair share.  He insisted that ‘it is our responsibility to ensure that Americans who put in a lifetime of hard work are able to retire with the dignity they deserve.’ American workers’ payroll taxes largely fund the SSA.  They have every right to expect the agency that administers their benefits to be fully funded — with a permanent commissioner at the helm. The Senate should confirm Governor O’Malley in a timely manner when it returns from August recess.”

Richard Fiesta, Executive Director, Alliance for Retired Americans: “Members of the Alliance for Retired Americans are pleased that President Biden has nominated former Maryland Governor Martin O’Malley to be the next Social Security Administration (SSA) Commissioner. The SSA needs a strong Commissioner now more than ever. With 10,000 Americans turning 65 each day, the workload increases every day, and the budget has been woefully inadequate to meet the needs of seniors, people with disabilities and all-American families. Gov. O’Malley has a proven track record and the experience to navigate these challenges and ensure that Americans are able to get the benefits they have earned. American workers have earned their Social Security benefits, paying into the system with every paycheck. They deserve world class service from a fully staffed workforce equipped with the best tools and technology available. The Alliance for Retired Americans is confident that under Governor O’Malley’s leadership SSA will deliver. There is no time to waste. We urge the Senate to confirm Gov. O’Malley without delay.”

As SSA’s Commissioner, O’Malley will become the point person for Biden to push for an increase in the agency’s administrative expenses to improve computer technology, open field offices across the nation to improve the agency’s customer service by reducing backlog and wait-time on phone to its 67 million beneficiaries. (https://retiredamericans.org/retirees-praise-biden-nomination-of-martin-omalley-to-be-social-security-commissioner/)

Final thoughts…

Like Biden, O’Malley calls for defending the Social Security program against Republican attack, supporting the expansion of Social Security benefits, and raising SSA taxes on higher income beneficiaries. With Senate Republicans opposing these policies and a razor-thin Democratic majority in the upper chamber, expect O’Malley’s nomination to squeak by in being confirmed.  After the Senate returns from its month-long August recess, Senate Majority Leader Chuck Schumer (D-New York) must quickly move to schedule a vote on O’Malley’s nomination.  SSA now needs its top leader in place to begin working to fix SSA’s ongoing issues of financial solvency and customer service issues.

For more details about O’Malley, go to https://en.wikipedia.org/wiki/Martin_O%27Malley.

Social Security must be key issue in 2024 Presidential Election

Published in RINewsToday on July 17, 2023

Last Wednesday, 178 House Democrats, (90% of the House Democratic caucus) led by Rep. John Larson (D-Conn.) introduced  H.R. 4583, the “Social Security 2100 Act of 2023.” The 108-page bill would expand Social Security’s benefits, with no cuts, and keep the system fiscally strong for decades to come. Senator Richard Blumenthal (D-Connecticut) has introduced the companion measure in the upper Chamber.

In May, to drum up support, enthusiasm, and attention for H.R. 4583, Larson, House Ways and Means Social Security Subcommittee Ranking Member, was joined by House Democratic Leader Hakeem Jeffries (D-,New York), Ways and Means Committee Ranking Member Richard Neal (D- Massachusetts) and other House leaders to announce the upcoming introduction of Social Security 2100.

“10,000 Baby Boomers a day become eligible for Social Security, making the point of acting now even more urgent, says Larson. “I am proud to be joined again by a majority of my Democratic colleagues to introduce Social Security 2100, and again, ask my Republican colleagues, whose legislation we’ve included, to join us in helping uplift the 65 million Americans who rely on it. Including lifting 5 million Americans out of poverty, providing 23 million a tax cut, and making sure that Americans are able to get the essential benefits that allow them to pay rent, buy groceries, and fill their prescriptions,” he says.

“It’s important that the Social Security benefits that working Rhode Islanders have earned keep up with the cost of living, and that’s exactly what H.R.4583 – Social Security 2100 Act will accomplish. Unfortunately, extreme Republicans in the House are trying to cut Social Security instead of strengthening it. But I am determined to fight for Rhode Island’s seniors in Congress to ensure they receive the benefits they’ve earned,” says Congressman Seth Magaziner (D-R.I.), a sponsor of the legislative proposal. 

H.R. 4583: The Nuts and Bolts

On July 12, 2023, H.R. 4583 was introduced and referred to the House Ways and Means, Education and Labor, and Energy and Commerce Committees, being introduced in the lower chamber that day.

According to a legislative fact sheet, H.R. 4583, the legislative proposal would increase and expand essential benefits to Social Security beneficiaries. Larson’s legislation would:

•   Increase benefits 2% across the board for all Social Security beneficiaries for the first time in 52 years.  

• Improve the Cost-of-Living Adjustment (COLA), so it reflects the inflation actually experienced by seniors.

• Increase benefits to boost lower income seniors.

• Improve benefits for middle-income widows and widowers from two-income households.

• Restore student benefits up to age 26, for the dependent children of disabled, deceased, or retired workers.

• Increase access to benefits for children living with grandparents or other relatives.

• Repeal the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO) that currently penalize many public servants.

• End the 5-month waiting period to receive disability benefits.

• Increases benefits by an additional 5% for the most elderly and those who have been receiving disability benefits the longest, those beneficiaries who have been receiving benefits for 15 years or more.

 • Provide caregiver credits to ensure that people (mostly women) are not penalized in retirement for taking time out of the workforce to care for children or other dependents.

• End the disability benefit cliff, replacing it with a gradual offset for earnings.

• Cut taxes for 23 million middle-income beneficiaries.

• Correct an unintended flaw in how Social Security benefits are wage-indexed, to prevent benefits from dropping (a “notch”) if the wage index decreases.

• Ensure that these benefits do not result in reduced Supplemental Security Income (SSI) payments or a loss of eligibility for Medicaid or CHIP.

• Combine the Old-Age and Survivors Insurance (OASI) and the Disability Insurance (DI) Trust Funds into one fund to ensure seamless benefit payments.

• Provide the Social Security Administration with resources to improve customer service.

Social Security 2100 Pays for These Benefits by:

• Ensuring millionaires and billionaires pay their fair share by applying FICA to earnings above $400,000.

H.R. 4583 would pay for strengthening the Social Security Trust Fund and pay for the enhanced benefits by having millionaires and billionaires pay their fair share by applying FICA to earnings above $400,000, with those extra earnings counted toward benefits at a reduced rate. The bill closes the loophole of avoiding FICA taxes and receiving a lower rate on investment income by adding an additional 12.4% net investment income tax (NIIT) only for taxpayers making over $400,000.

Social Security advocates call for passage

“By re-introducing his revised Social Security 2100 Act, Congressman John Larson once again defies the media narrative that ‘no one in Washington has the courage’ to address the program’s future,” says Max Richtman, President and CEO, of the Washington, DC-based National Committee to Preserve Social Security and Medicare, noting that the legislation extends the solvency of the Social Security trust fund for decades while also providing American seniors with an expansion of benefits.  Larson tackles the funding of the expansion of benefits by asking high earners to begin paying their fair share into the program, says Richtman. 

“At a time when House Republicans have proposed cutting benefits by raising the retirement age and other means — Congressman Larson offers a commonsense, fair, and forward-looking plan.

Not only is the Social Security 2100 Act wise policy, but it’s also overwhelmingly popular with voters across the political spectrum,” says Nancy Altman, President of Social Security Works and Chair of the Strengthen Social Security Coalition.

As the debate over Social Security heats up before the 2024 Presidential election, Altman charges that the nation’s media  refuses to “take Democratic plans to protect and expand Social Security seriously, and fails to call out Republicans for their unwillingness to state what they are for, not just what they are against.”

“Reporters are implicitly dismissing these bills because they cannot pass the House and Senate without Republican support. Instead of pressuring Congressional Republicans to introduce their own legislation, the mainstream media provides the Republicans with the cover they seek by claiming that both parties are avoiding action on Social Security” says Altman.

According to Altman, earlier this year President Joe Biden used the presidential bully pulpit at the State of the Union address to call out Republicans for their plans to cut Social Security and Medicare, forcing them to take these program cuts off the table during the debt ceiling negotiations. “If Biden champions a plan that expands benefits with no cuts, while requiring those earning over $400,000 to pay more, the mainstream media will be unable to ignore it,” predicts Altman. 

Congressional strategies regarding Social Security

On the same day that Larson introduced his legislation, Senator Sheldon Whitehouse (D-R.I.), Chairman of the Senate Budget Committee, held a hearing, “Protecting Social Security for All: Making the Wealthy Pay Their Fair Share,”  on his legislation, S. 1174, the Medicare and Social Security Fair Share Act.  A companion measure was introduced in the House by Congressman Brendan F. Boyle (D-Pennsylvania), Ranking Member of the House Budget Committee.

At the July 12th Senate Budget Committee hearing, Whitehouse explained that his legislation would bring enough revenue from the wealthiest to ensure that Social Security benefits will be paid and on time for the next 75 years and beyond.

“Right now, the cap on Social Security contributions means a tech exec making $1 million effectively stops paying into the program at the end of February, while a schoolteacher making far less contributes through every single paycheck all year,” says Whitehouse at the hearing. “That’s not fair, and my Medicare and Social Security Fair Share Act would fix that by requiring contributions to Social Security on wages above $400,000,” said the Rhode Island Senator.  

Whitehouse stressed the importance of Social Security to his Rhode Island constituents, by mentioning their comments and thoughts. 

 “I rely on my Social Security as my only source of income.  I would find it impossible to continue to live independently if Social Security were changed, reduced or eliminated.  Social Security benefits were a contract between the federal government and its citizens,” said Robert of Pawtucket.

Another Rhode Islander, Antonella of North Providence, said: “I would be very sad and depressed if there were any cuts to Social Security.  I just get by as it is.” And Laurel of Pawtucket said that without Social Security, she “would have to go back to work and probably have to work until I die.” 

Earlier this Congress, Senators Bernie Sanders (I-Vt.) and Elizabeth Warren (D-Mass.) introduced their own bill, S. 393, the Social Security Expansion Act (Whitehouse is an original cosponsor).   The Sanders-Warren bill would expand benefits by $ 2,400 each year while fully funding the program for the next three-quarters of a century and beyond.

As to the GOP position on Social Security, the House Republican Study Committee released a plan to cut Social Security by $718 billion over 10 years.  This plan, endorsed by three-fourths of the  House GOP Caucus), would also raise the retirement age to 69 (for everyone who is currently 59 and younger), which would effectively cut benefits by an estimated 13 percent every year and especially harm low-income workers.  It would also reduce benefits for future beneficiaries who earned a “higher salary” before retirement. Also, only “modest adjustments” to the Social Security program as it operates would be made but it doesn’t clarify the changes.

It is important to note that three fourths of the House GOP caucus endorse the RSC budget, making cuts to Social Security and Medicare.

According to SSW’s Altman, while Democratic proposals (Larson, Whitehouse and the Sanders- Warren proposals) to expand Social Security and Medicare are popular with Democratic, Republican and independent voters, Republican politicians have chosen to not co-sponsor any of these bills.

My final thoughts…

Polls show that Social Security and Medicare, two of the nation’s largest social safety net programs, are extremely popular. According to a poll released in March 2023 by the Associated Press and NORC Center for Public Affairs research, 79% of Americans are opposed to reducing the benefits that Social Security beneficiaries receive.  As to raising Social Security’s eligibility age from 67 to 70, 75% of American’s were against it.

Another poll released last March found that nearly 9 in 10 Americans say they oppose reducing spending on Social Security or Medicare, according to polling from Axios.  

The Congressional debate on financially shoring up Social Security and expanding benefits is of   extreme interest to 66 million older and disabled people (175,840 beneficiaries in Rhode Island), who rely on monthly payments from the program.  But the Social Security debate must include America’s younger generations, too. 

With 477 days left before the 2024 presidential elections, expanding Social Security and making the program fiscally sound and to ultimately be available to Gen Exers (1965 to 1979), Millennials (1980 to 1994), Gen Z (1995-2012) and Gen Alpha (2013 to 2025) must become a key election issue. Social Security beneficiaries and America’s younger generations must call on Congress to expand Social Security benefits and ensure its fiscal viability for every generation.  “Keep Your Hands Off Social Security” must be the powerful message they send to all presidential and congressional candidates before the upcoming 2024 presidential election.     

To review the text of Larson’s H.R. 4583, “Social Security 2100: A Sacred Trust Act,” go to https://larson.house.gov/sites/evo-subsites/larson.house.gov/files/evo-media-document/final-2023.07.11-text-of-social-security-2100-act.pdf.

To watch a video of Larson’s May press conference announcing the upcoming introduction of H.R. 4583, the Social Security 2100, go to https://www.youtube.com/watch?v=WO8QYRRQ-UQ.

Here is a copy of RSC’s FY 2024 Budget, Protecting America’s Economic Security https://hern.house.gov/uploadedfiles/202306141135_fy24_rsc_budget_print_final_c.pdf.

Ratcheting up SSA’s customer service will take more funding 

Published in RINewsToday on May 1, 2023

Over two months ago, as required by law, Kilolo Kijakazi, Acting Commissioner of Social Security Administration (SSA) released the fiscal year 2023 operating plan to Sen. Patty Murray (D-Wash.), chair of the Senate Appropriations Committee. The report, released on Feb. 10, 2023, details how SSA plans to use its $14.1 billion budget allocation for the year. 

Kijakazi wrote in the report’s transmittal letter: “In FY 2023, we will build the foundation for improved services by rebuilding our workforce after ending FY 2022 at our lowest staffing level in over 25 years.”

According to Kijakazi, at the end of Dec. 2022 the initial SSA claims-pending level soared to almost 975,000 cases.  This was more than 380,000 cases higher than at the end of FY 2019. “The average initial claims wait time through Dec. 2022 was 206 days compared to 120 days in FY 2019.  It will take a multi-year effort and sustained funding to restore our average initial disability claims wait times to pre-pandemic levels,” she says.

While Kijakazi anticipates processing 129,000 or 7% more initial disability claims in FY 2022 (52 weeks), she expects wait times for a disability decision at the initial and appeal levels to increase for a period of time because backlogs will continue to grow while the agency hires and trains new staff. 

Although the FY 2022 outlay represents $785 million of the agency’s budget of $13.34 billion, it was less than the $14.8 billion President Joe Biden requested for administration funding. In February 10th correspondence to the House and Senate Appropriation Committees, Kijakazi stated that while budget increases will cover fixed costs and support staffing in the upcoming fiscal year, “some performance will show improvement in FY 2023, while others will show temporary degradation.” 

Conversations regarding SSA’s customer service challenges

In February 28th correspondence to SSA’s Kijakazi, AARP’s Nancy LeaMond, Executive Vice President and Chief Advocacy and Engagement Officer, recognized increased funding was necessary for SSA to address its customer service problems. AARP recognizes that federal funding has not kept pace with increases in operational cost and demands, but the agency “needs to do more to constrain operating costs and increase productivity,” Kijakazi says.

LeaMond called the “expected decline in service troubling, given multiple assurances from SSA that the funding level received would be sufficient to at least maintain the modest customer service improvements made last year.”

“Your operating plan asserts that the already unacceptable average of call wait time of 33 minutes will be longer this year, increasing to 35 minutes, and people trying to call the agency will get a busy signal 15 percent of the time, more than double the rate last year.  This is an unacceptable step backward,” wrote LeaMond.

LeaMond says that SSA’s operating plan doesn’t address several customer service areas, especially the challenges of beefing up staff to improve in-person services and reducing wait times and busy rates that the public should expect when calling their local office.  She called for more details and when beneficiaries can expect improvements to online services.

“Even more concerning is the fact that the operating plans note that disability-related service improvements are not expected to occur before 2024 fiscal year,” adds Leamond. While the plan provides details about disability claims, and appeal workloads, as well as prioritization of claimants who have been waiting the longest, she calls on SSA to “act more quickly to improve the disability process.”

“The Social Security Administration (“SSA”) has large fixed costs, such as rent on its network of 1200 field offices, and those fixed costs increase every year. SSA’s funding does not come from the general government budget, but rather from Social Security’s accumulated reserve of $2.8 trillion. Yet for over a decade, Congress has restricted SSA from spending the funds necessary for adequate service,” says Nancy Altman, President of Social Security Works (SSW).

Adds Altman, “While Congress this year allowed SSA to spend more, the additional dollars did not even cover all the fixed costs. They certainly did not correct the many years of underfunding. Service will not significantly improve unless Congress allows SSA to spend more of  Social Security’s accumulated reserve  — at the bare minimum,  the $15.5 billion that President Biden has requested — but ideally significantly more.”

Biden budget seeks to fix SSA’s customer service issues

In a blog article penned on March 30, 2023, Kathleen Romig, Director of Social Security and Disability Policy at the Washington, DC-based Center for Budget and Policy Priorities, says that SSA has an opportunity to ratchet up its consumer service impacted by decades of restricted funds by receiving increased funding. “With additional funding in for the coming year, the agency could invest in the staff and technology it needs to better serve the public,” she says.

“Since 2010, SSA’s customer service budget has fallen by 17 percent after inflation, with its staffing falling a commensurate 16 percent – marking the lowest level in 25 years. These cuts happened even as the number of Social Security beneficiaries grew by 12 million, or 22 percent. Being forced to serve millions more people with fewer staff and resources has caused tremendous strain at SSA, and beneficiaries are suffering the consequences,” says Romig.

On March 9th, Biden released a FY 2024 budget calling for increased appropriations to SSA. According to the Office of Management and Budget (OMB), the president’s budget provides an increase of $1.4 billion (a 10% increase) over the FY 2023 budget to cover salaries, benefits and rent increases. It would also improve customer service at field offices, state disability determination services, and teleservice centers.   

Each year, SSA processes more than 6 million retirement, survivors, and Medicare claims, and more than 2 million disability and SSI claims, says OMB, charged with producing the president’s budget. Biden’s budget increase boosts staffing levels from FY 2023, allowing the agency to process about a half a million more disability cases in FY 2024 that were completed in FY 2022, significantly reducing wait times for those decisions.

GOP debt limit bill drastically cuts SSA’s operating budget

Just last week, by a razor thin margin, House Speaker Kevin McCarthy (R-CA)’s Limit, Save, Grow Act of 2023 (H.R. 2811) passed by a partisan vote of 217-215. Four Republicans voted “no”. While this legislation to lift the nation’s debt limit allows the U.S. Treasury to pay the nation’s bills, it has no chance for passage in the Democratic-controlled Senate. However, it will force the president’s team to the negotiation table with Republican House and Senate leadership, hoping it will push compromise on future spending limits.

Failure to increase the debt limit would have catastrophic consequences for the U.S. and global economies, as well as for all Americans, who rely on the federal budget to provide public services. (from Social Security and Medicare to food safety inspection, air traffic control, school nutrition, and environmental. 

After the House vote, Alex Lawson, SSW’s Executive Director of Social Security, charged that 217 House Republicans just voted to cut Social Security. “Nearly every Republican in the U.S. House just voted to slash the already inadequate funding of the Social Security Administration (SSA). If this bill becomes law, it will force SSA to close field offices, reduce hours, and lay off thousands of workers. This will make it far harder for Americans to claim the benefits they’ve earned,” warned Lawson. “Cuts to SSA are cuts to Social Security, and we will hold every single one of these members accountable,” he says.

Max Richtman, President and CEO of the Washington, DC-based National Committee to Preserve Social Security and Medicare (NCPSSM) agrees with SSW’s assessment. One day before the vote, he wrote House members to urge them to pass “clean’ debt limit legislation.

“If the spending cuts and other [GOP] legislative changes that are incorporated in this legislation were ever to become law, the negative impact would be felt by virtually every American family in every Congressional District in the country,” wrote Richtman.

According to Richtman, the GOP’s proposed debt limit legislation includes among its provisions a roll-back of ALL discretionary federal spending to Fiscal Year 2022 levels in FY 2024, with growth limited to one prevent annually for the next decade. “This is not a minor trimming of spending that has been portrayed by some, but a dramatic slashing that will have devastating impacts on the Americans who rely on the affected programs for their health and well-being,” says the nationally recognized Social Security advocate. 

Reluctance to cut Defense and Veteran Health funding would have at least a 23 percent reduction to all other programs for FY 2024, charges Richtman, this resulting in funding cuts to SSA’s customer service budget.

“Cutting funding by six percent would significantly affect SSA’s ability to serve the public and undermine the Agency’s core-mission – producing longer wait times for benefits and to reach SSA representatives, as well as reduced access to in-person programs, noted Richtman, stressing that face-to-face access with SSA’s employees is critical to those who are elderly and disabled.

SSA calculates that for every $100 million in additional funding cut the federal agency would be forced to lay off an additional 1,000 employees, this equivalent to closing 40 field offices, says Richtman.

Since 1960, Congress has acted 78 separate times to permanently raise, temporarily extend, or revise the definition of the debt limit – 49 times under Republican presidents and 29 times under Democratic presidents, says the U.S. Treasury.  Like in the past, this Congress must follow to raise the nation’s debt limit, and is expected to do so.

Ultimately, it is crucial for Biden and McCarthy’s negotiations to hammer out a “clean” debt limits bill that will not cut SSA’s operational funding further which could send the agency’s customer service efforts into a tailspin. It is time for Congress to fix SSA’s operational funding issues once and for all to improve customer service provided to 65 million beneficiaries. 

For a copy of SSA’s 2023 Operating Plan go to https://www.ssa.gov/budget/assets/materials/2023/2023OP.pdf.

For a summary of H.R. 2811, Limit, Save, Grow Act of 2023, go to 

https://www.govtrack.us/congress/bills/118/hr2811/summary

For a copy of President Biden’s FY 2024 Budget, go to:  https://www.whitehouse.gov/omb/briefing-room/2023/03/09/fact-sheet-the-presidents-budget-for-fiscal-year-2024.