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Baby boomers face budget-constrained Social Security

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June 18, 2014

Social Security Administration's main campus in Woodlawn, Md.  (AP Photo/Patrick Semansky)

Social Security Administration’s main campus in Woodlawn, Md.
(AP Photo/Patrick Semansky)

Even as millions of baby boomers approach retirement, the Social Security Administration has been closing dozens of field offices, forcing more and more seniors to seek help online instead of in person, according to a congressional report being released Wednesday.

The agency blames budget constraints.

As a result, seniors seeking information and help from the agency are facing increasingly long waits, in person and on the phone, the report said.

Social Security has closed 64 field offices since 2010, the largest number of closures in a five-year period in the agency’s history, according to a report by the bipartisan staff of the Senate Special Committee on Aging. In addition, the agency has closed 533 temporary mobile offices that often serve remote areas.

Hours have been reduced in the 1,245 field offices that are still open, the report said.

The report questions the agency’s criteria for choosing which offices to close, saying the impact on local communities is rarely taken into account.

“Seniors are not being served well when you arbitrarily close offices and reduce access to services,” said Sen. Bill Nelson, D-Fla., chairman of the Aging Committee. “The closure process is neither fair nor transparent and needs to change.”

The committee is holding a hearing on the report Wednesday afternoon. A Social Security official is scheduled to testify. On Tuesday, the agency released a short statement on the report.

“We appreciate the Senate Aging Committee’s report on service delivery issues and the tough choices we have had to make because of budget constraints,” the statement said. “We just received the report this morning and have begun reviewing its findings and recommendations. We will respond to the committee when that analysis is complete.”

The closings come as applications for retirement and disability benefits are soaring, a trend that will continue as aging baby boomers approach retirement.

More than 47 million people receive Social Security retirement benefits, nearly a 20 percent increase from a decade ago. About 11 million people receive Social Security disability benefits, a 38 percent increase from a decade ago.

The Social Security Administration has been encouraging people to access services online. The agency has upgraded its website in recent years, including secure connections to access confidential information and apply for benefits.

In 2013, nearly half of all retirement applications were filed online, the report said.

But the committee report notes that many older Americans lack access to the Internet or might not be comfortable using it to apply for benefits.

Last year, more than 43 million people visited Social Security field offices, the report said. About 43 percent of those seeking an appointment had to wait more than three weeks, up from just 10 percent the year before, the report said.

Wait times on the phone have increased, too — for those who get through. This year, the agency projects that 14 percent of callers to a toll-free help line will get a busy signal. Those who get through wait on hold for an average of 17 minutes, the report said.

People can get information about Social Security, Medicare and Supplemental Security Income at the field offices. They can apply for benefits and get information to help them decide when to apply. They can address more complicated issues such as fraud.

Visitors can also get documents verifying their benefits or Social Security numbers, though these services are scheduled to be eliminated at field offices later this year. People sometimes need the information quickly to apply for jobs or to verify income when applying for other government benefits, the report said.

“There are many, many instances where the case may be too complicated to be resolved simply by going online,” said Sen. Susan Collins of Maine, the top Republican on the Aging Committee. “Far too many seniors throughout our nation, particularly those living in rural areas, might not have access to a computer or the Internet. It is critical that SSA take into account these issues and the effect on the community before eliminating services.”

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One Response to Baby boomers face budget-constrained Social Security

  1. Walter F. Wouk

    June 19, 2014 at 9:13 am

    It’s not just seniors that are effected by the closure of field offices, it’s individuals applying for Social Security Disability benefits that will bear the brunt of restricted hours and office closings.

    The Social Security Administration’s disability claims process is already dysfunctional.

    The Social Security Administration has a policy of requiring their claims representatives to take Supplemental Security Income (SSI) claims from all applicants for Social Security Disability Insurance benefits (SSDI) — whether they were eligible or not.

    There is no legitimate reason for taking a federal welfare claim from an individual who is clearly ineligible. They are denied immediately, and the only purpose of these bogus claims to reduce — on paper — the average processing time for initial disability claims. A bonafide SSDI claim takes about 100 days to process.

    When an SSI claim is taken in conjunction with an SSDI claim, it results in a hold being placed on the release of any past due SSDI benefits until the local Social Security office tells the SSA payment center if any SSI payments were made. The purpose of the hold is to prevent claimants from being paid by both programs for the same time period.

    And that’s where the system grinds to a halt. As a direct result of overloading the system with unnecessary claims the payment centers cannot process the release of past due benefits in a timely manner.

    A 2011 report by the Social Security Administration Office of the Inspector General concluded that the average length of time that SSA withheld past due benefits was over 3.5 years, and often went unpaid for as long as 10 years after they were due. Read the full report here: http://tinyurl.com/ksuzq5l.

    SSA officials are aware of the delays brought on by their indefensible bogus claims policy; they don’t care, and disabled beneficiaries suffer for it.