The Social Security Administration’s budget has been under assault for years. Today the Senate Special Committee on Aging will examine the real-life impact these cuts are having on millions of seniors, people with disabilities, survivors and their families:
“The hearing, the culmination of a bipartisan committee staff investigation into service reductions at the Social Security Administration (SSA), comes at a time when baby boomers are filing record numbers of retirement, disability and survivor claims with the agency. Despite the rising demand, the SSA is currently in the midst of the largest five-year decline in field offices in its 79-year history. Budget cuts have, in part, led the agency to close 64 field offices and 533 temporary mobile offices since 2010. The SSA has also shed some 11,000 workers over the last three years and continues to reduce or eliminate a variety of in-person services while trying to shift seniors and others online to conduct their business.”
According to the New York Times:
“The field offices served over 43 million people last year. About 10 percent of the visitors filed for benefits, and 30 percent were seeking new or replacement Social Security cards.
... Nancy A. Berryhill, a deputy commissioner at the agency, said its budget and work force had not kept pace with what she described as “a staggering 27 percent increase” in claims for retirement benefits, to 3.3 million last year, from 2.6 million in 2007.
Social Security encourages consumers to use the Internet to do business with the agency. In 2013, Ms. Berryhill said, ‘we received nearly half of all Social Security retirement and disability applications online, and the percentage of people who choose to file online continues to grow.’”
Michael Hiltzik at the Los Angeles Times correctly points out the problem with this shift to online services:
But is that an adequate substitute? No way. For one thing, you have to know that your statement is available via the Internet, you have to know where to find it, and you have to be able to navigate a registration procedure that is not all that user-friendly -- especially for someone not familiar with navigating the Web, and double-especially for someone without easy access to a computer. Despite a claim that we all live in the digital world today, those are not small groups.
Importantly, the Social Security Administration has made no discernible effort to proactively advise Americans that the paper statements are a thing of the past. In other words, what was once its most effective outreach to millions of people has disappeared without a trace, or a single word of warning.
Social Security says that if you have problems accessing the online service, you can get help at a Social Security office. Of course, those offices, which used to be open until 4 p.m., are now open only till 3:30. Starting in mid-November, they'll only be open till 3. And starting Jan. 2, they'll be closing at noon Wednesdays.
"There's already an enormous amount of unhappiness for people who walk to their Social Security office and find a sign saying, 'We closed at 3:30,'" says Webster Phillips, a former Social Security associate commissioner who now works with the National Committee to Preserve Social Security and Medicare.”
In testimony submitted to the Senate Aging Committee, NCPSSM President/CEO Max Richtman says:
“...the National Committee believes any individual who has paid Social Security taxes has the right to face-to-face service within a reasonable distance of their home.
The National Committee also is concerned that seniors and low-income individuals who are accustomed to conducting business on a face-to-face basis will suffer undue hardship when faced with the need for a benefit verification letter or SSN printout. Many in this population lack access to and are not familiar with computers and printers. I am also concerned that shifting this administrative burden to SSA call centers will only increase the current average wait time of 26 minutes.”
While some Members of Congress appear quick to blame the Social Security Administration for these closures, as if they’ve happened in a vacuum, others have been warning years of budget cuts to the SSA -- happening at the same time service needs are increasing -- would ultimately hurt millions of Americans who rely on the Social Security benefits they've worked a lifetime to earn:
“Representative Xavier Becerra of California, the senior Democrat on the Ways and Means Subcommittee on Social Security, has repeatedly expressed concerns about the agency’s operating budget, which was $11 billion in 2013, about 4 percent less than in 2010. ‘No one should be surprised that service hours have been reduced, wait times have increased and local offices have closed,’ Mr. Becerra said.”