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United States General Accounting Office: 
GAO: 

Testimony: 

Before the Subcommittee on Social Security, Committee on Ways and
Means, House of Representatives. 

For Release on Delivery: 
Expected at 3:30 p.m. 
Tuesday, June 11, 2002: 

Social Security Disability: 

Efforts to Improve Claims Process Have Fallen Short and Further Action 
is Needed: 

Statement of Robert E. Robertson, Director: 
Education, Workforce, and Income Security Issues: 

GAO-02-826T: 

Mr. Chairman and Members of the Subcommittee: 

Thank you for inviting me here to discuss the challenges the Social 
Security Administration (SSA) faces in improving the claims process 
for its two disability programs, Disability Insurance (DI) and 
Supplemental Security Income (SSI). Managing its disability caseloads 
and delivering high-quality service to the public in the form of fair, 
consistent, and timely eligibility decisions in the face of resource 
constraints has become one of SSA's most pressing management 
challenges.[Footnote 1] In the last 7 years, SSA has spent more than 
$39 million in efforts to test and implement initiatives designed to 
improve the timeliness, accuracy, and consistency of its disability 
decisions and to make the process more efficient and easier for 
claimants to understand.[Footnote 2] These efforts have included 
initiatives to improve the initial claims process as well as the 
process for handling appeals of denied claims. In addition, the agency 
has spent at least $71 million in an attempt to develop an automated 
disability claims process intended to provide support for its redesign 
efforts. 

Today, I will discuss the results and status of five initiatives 
included in SSA's most recent plans to improve the process, SSA's 
current plans to develop an electronic disability system, and the 
implications of SSA's efforts to date for future success. The 
information I am providing is based primarily on recent work we did 
for this subcommittee.[Footnote 3] (Also see Related GAO Products at 
the end of this statement.) 

In summary, the results to date from SSA's redesign initiatives have 
been disappointing. The agency's two tests of initiatives to improve 
the initial claims process produced some benefits; however, both 
initiatives as tested would have significantly raised costs, and one 
would have lengthened the wait for final decisions for many claimants. 
As a result, SSA is considering additional changes to one of these 
initiatives and has shelved the other. 

The situation is less favorable at the appeals level. One initiative 
to change the process for handling appealed claims in SSA's hearing 
offices has resulted in even slower case processing and larger 
backlogs of pending claims. A second initiative has reduced the 
processing times for a separate group of appealed claims, though far 
less than expected. Moreover, a cross-cutting initiative to update the 
agency's quality assurance program—a goal the agency has held since 
1994—is still in the planning stage. Finally, SSA's plans to improve 
its disability claims process relied in part upon hoped for 
technological improvements; however, SSA failed to design and develop 
a new computer software application to automate the disability claims 
process after a 7-year effort. 

On the basis of our recent work, we have recommended that SSA take 
immediate steps to reduce the backlog of appealed cases, develop a 
long-range strategy for a more permanent solution to the problems at 
its hearings offices, and develop an action plan for implementing a 
more comprehensive quality assurance program. SSA agreed with our 
recommendations and is beginning to make some short-term changes. In 
addition, SSA has recently announced plans to accelerate 
implementation of needed technological improvements. However, much 
work remains. The commissioner faces difficult decisions about long-
term strategies for problems at the hearings offices and in the 
disability claims process as a whole. It will be important to both 
learn from the past and look to the future. 

Background: 

DI and SSI provide cash benefits to people with long-term 
disabilities. While the definition of disability and the process for 
determining disability are the same for both programs, the programs 
were initially designed to serve different populations.[Footnote 4] 
The DI program, enacted in 1954, provides monthly cash benefits to 
disabled workers—and their dependents or survivors—whose employment 
history qualifies them for disability insurance. These benefits are 
financed through payroll taxes paid by workers and their employers and 
by the self-employed. In fiscal year 2001, more than 6 million 
individuals received more than $59 billion in DI benefits. SSI, on the 
other hand, was enacted in 1972 as an income assistance program for 
aged, blind, or disabled individuals whose income and resources fall 
below a certain threshold. SSI payments are financed from general tax 
revenues, and SSI beneficiaries are usually poorer than DI 
beneficiaries. In 2001, more than 6 million individuals received 
almost $28 billion in SSI benefits.[Footnote 5] 

The process to obtain SSA disability benefits is complex and 
fragmented; multiple organizations are involved in determining whether 
a claimant is eligible for benefits. As shown in figure 1, the current 
process consists of an initial decision and up to three levels of 
administrative appeals if the claimant is dissatisfied with SSA's 
decision. Each level of appeal involves multi-step procedures for 
evidence collection, review, and decision-making. 

Figure 1: SSA's Disability Claims Process: 

[Refer to PDF for image: illustration] 

Claimant Contacts SSA Field Office: 
Application Process Begins: 
SSA Field Office personnel: 
* Obtain information; 
* Determine eligibility for nonmedical factors; 
If nonmedical eligibility factors are met, application is forwarded to 
DDS. 

Initial Determination: 
State DDS personnel: 
* Gather, develop, and review medical evidence; 
* Decide on eligibility on basis of medical and work-related factors; 
If determination is not favorable, claimant has 60 days to request a 
reconsideration. 

Reconsideration: 
State DDS personnel: 
* Reexamine prior and any new evidence; 
* Render a new eligibility decision; 
If reconsideration is not favorable, claimant has 60 days to request a 
hearing before an ALJ. 

Administrative Law Judge (AU) Hearing: 
SSA Hearings Office personnel: 
* Review for additional medical evidence; 
* Conduct a hearing and render a new decision; 
If All decision is not favorable, claimant has 60 days to request an 
appeals council review. 

Appeals Council: 
SSA Appeals Council: 
* Decides whether to review the case; 
* If case is reviewed, decides whether to reverse decision or return 
case to ALJ; 
If appeals council decision is not favorable, claimant can appeal to 
federal court. 

Federal Court: 
* Renders a new decision. 

Source: SSA Documents. 

[End of figure] 

Generally, a claimant applies for disability benefits at one of SSA's 
1,300 field offices across the country, where a claims representative 
determines whether the claimant meets financial and other program 
eligibility criteria. If the claimant meets these eligibility 
criteria, the claims representative forwards the claim to the state 
disability determination service (DDS).[Footnote 6] DDS staff then 
obtain and review evidence about the claimant's impairment to 
determine whether the claimant is disabled. Once the claimant is 
notified of the medical decision, the claim is returned to the field 
office for payment processing or file retention. This completes the 
initial claims process. 

Claimants who are initially denied benefits can ask to have the DDS 
reconsider its initial denial. If the decision at this reconsideration 
level remains unfavorable, the claimant can request a hearing before a 
federal administrative law judge (ALJ) at an SSA hearings office, and, 
if still dissatisfied, the claimant can request a review by SSA's 
Appeals Council. Upon exhausting these administrative remedies, the 
individual may file a complaint in federal district court. 

Given its complexity, the disability claims process can be confusing, 
frustrating, and lengthy for claimants. Many individuals who appeal 
SSA's initial decision will wait a year or longer for a final decision 
on their benefit claims. In fact, the commissioner recently testified 
that claimants can wait as long as 1,153 days from initial claim 
through a decision from the Appeals Council. Moreover, the claims 
process can also result in inconsistent assessments of whether 
claimants are disabled; specifically, the DDS may deny a claim that is 
later allowed upon appeal. For example, in fiscal year 2000, about 40 
percent of claimants denied at the initial level filed an appeal and 
about two-thirds were awarded benefits. This inconsistency calls into 
question the fairness, integrity and cost of SSA's disability 
decisions. Program rules, such as claimants' ability to submit 
additional evidence and to allege new impairments upon appeal, as well 
as the worsening of some claimants' conditions over time can explain 
only some but not all of the overturned cases. Other overturned cases 
may be due to inaccurate decisions by the DDSs or ALJs or to other 
unexplained factors. 

In response to these problems, SSA first announced an ambitious plan 
to redesign the disability claims process in 1994, after a period of 
rapid growth in the number of people applying for disability benefits. 
This plan represented the agency's first effort to significantly 
revise its procedures for deciding disability claims since the DI 
program began in the 1950's. The overall purpose of the redesign was 
to: 

* ensure that decisions are made quickly, 

* ensure that the disability claims process is efficient, 

* award legitimate claims as early in the process as possible, 

* ensure that the process is user friendly for claimants and those who 
assist them, and, 

* provide employees with a satisfying work environment. 

The agency's initial plan entailed a massive effort to redesign the 
way it made disability decisions. SSA had high expectations for its 
redesign effort. Among other things, SSA planned to develop a 
streamlined decision-making and appeals process, more consistent 
guidance and training for decision makers at all levels of the 
process, and an improved process for reviewing the quality of 
eligibility decisions. In our reviews of SSA's efforts after 2 and 4 
years, we found that the agency had accomplished little.[Footnote 7] 
In some cases, the plans were too large and too complex to keep on 
track. In addition, the results of many of the initiatives that were 
tested fell far short of expectations. Moreover, the agency was not 
able to garner consistent stakeholder support and cooperation for its 
proposed changes. 

In 1999, we recommended that SSA focus attention and resources on 
those initiatives that offer the greatest potential for achieving the 
most critical redesign objectives, such as quality assurance, computer 
support systems, and initiatives that improve consistency in decision-
making. In addition, because implementing process changes can be even 
more difficult than testing them, we recommended that SSA develop a 
comprehensive and meaningful set of performance measures that help the 
agency assess and monitor the results of changes in the claims process 
on a timely basis. We have also pointed out the need for effective 
leadership and sustained management attention to maintain the momentum 
needed to effect change in such a large and complex system. 

SSA's Recent Redesign Initiatives Have Had Limited Success: 

SSA's five most recent initiatives were designed to improve claims 
processing at all levels of the service delivery system. These 
redesign initiatives continue to experience only limited success. A 
brief summary of the status, results and problems experienced in 
implementing each of the five initiatives follows. 

* The Disability Claim Manager initiative, which began in November 
1997 and ended in June 2001, was designed to make the claims process 
more user friendly and efficient by eliminating steps resulting from 
numerous employees handling discrete parts of the claim. It did so by 
having one person—the disability claim manager—serve as the primary 
point of contact for claimants until initial decisions were made on 
their claims.[Footnote 8] The managers assumed responsibilities 
normally divided between SSA's field office claims representatives and 
state DDS disability examiners. After an initial training phase, SSA 
tested the concept in 36 locations in 15 states from November 1999 
through November 2000. While the test resulted in several benefits, 
such as improved customer and employee satisfaction and quicker claims 
processing, the increased costs of the initiative and other concerns 
convinced SSA not to implement the initiative. 

* The Prototype changed the way state DDSs process initial claims, 
with the goal of ensuring that legitimate claims are awarded as early 
in the process as possible. This initiative makes substantial changes 
to the way the DDS processes initial claims. The Prototype requires 
disability examiners to more thoroughly document and explain the basis 
for their decisions and it gives them greater decisional authority for 
certain claims. The Prototype also eliminates the DDS reconsideration 
step. It has been operating in 10 states since October 1999 with mixed 
results. Interim results show that the DDSs operating under the 
Prototype are awarding a higher percentage of claims at the initial 
decision level without compromising accuracy, and that claims are 
reaching hearing offices faster because the Prototype eliminates DDS 
reconsideration as the first level of appeal. However, interim results 
also indicate that more denied claimants would appeal to 
administrative law judges (AI J) at hearings offices, which would 
increase both administrative and program costs (benefit payments) and 
lengthen the wait for final agency decisions for many claimants. As a 
result, SSA decided that the Prototype would not continue in its 
current form. In April, the commissioner announced her "short-term" 
decisions to revise certain features of the Prototype in order to 
reduce processing time while it continues to develop longer-term 
improvements. It remains to be seen whether these revisions will 
retain the positive results from the Prototype while also controlling 
administrative and program costs. 

* The Hearings Process Improvement initiative is an effort to overhaul 
operations at hearings offices in order to reduce the time it takes to 
issue decisions on appealed claims. This was to be accomplished by 
increasing the level of analysis and screening done on a case before 
it is scheduled for a hearing with an ALT; by reorganizing hearing 
office staff into small "processing groups" intended to enhance 
accountability and control in handling each claim; and by launching 
automated functions that would facilitate case monitoring. The 
initiative was implemented in phases without a test beginning in 
January 2000 and has been operating in all 138 hearings offices since 
November 2000. 

The initiative has not achieved its goals. In fact, decisions on 
appealed claims are taking longer to make, fewer decisions are being 
made, and the backlog of pending claims is growing and approaching 
crisis levels. The initiative's failure can be attributed primarily to 
SSA's decision to implement large-scale changes too quickly without 
resolving known problems. For example, problems with process delays, 
poorly timed and insufficient staff training, and the absence of the 
planned automated functions all surfaced during the first phase of 
implementation and were not resolved before the last two phases were 
implemented. Instead, the pace of implementation was accelerated when 
the decision was made to implement the second and third phases at the 
same time. Additional factors, such as a freeze on hiring ALJs and the 
ALJs' mixed support for the initiative, may also have contributed to 
the initiative's failure to achieve its intended results. 

SSA has recently made some decisions to implement changes that can be 
made relatively quickly in order to help reduce backlogs and to 
streamline the hearings process, and they are preparing to negotiate 
some of these changes with union officials before they can be 
implemented. These changes include creating a law clerk position and 
allowing ALJs to issue decisions from the bench immediately after a 
hearing and including them in the early screening of cases for on-the-
record decisions. They also include decisions to enhance the use of 
technology in the hearings process, as well as other refinements. 

* The Appeals Council Process Improvement initiative combined 
temporary staff support with permanent case processing changes in an 
effort to process cases faster and to reduce the backlog of pending 
cases. The initiative was implemented in fiscal year 2000 with 
somewhat positive results. The initiative has slightly reduced both 
case processing time and the backlog of pending cases, but the results 
fall significantly short of the initiative's goals. The temporary 
addition of outside staff to help process cases did not fulfill 
expectations, and automation problems and changes in policy which made 
cases with certain characteristics more difficult to resolve hindered 
the initiative's success. However, SSA officials believe that recent 
management actions to resolve these problems should enhance future 
progress. 

* Improving or revamping its quality assurance system has been an 
agency goal since 1994, yet it has made very little progress in this 
area, in part because of disagreement among stakeholders on how to 
accomplish this difficult objective. In March 2001, a contractor 
issued a report assessing SSA's existing quality assurance practices 
and recommended a significant overhaul to encompass a more 
comprehensive view of quality management. We agreed with this 
assessment and in our recent report to this subcommittee recommended 
that SSA develop an action plan for implementing a more comprehensive 
and sophisticated quality assurance program.[Footnote 9] Since then, 
the commissioner has signaled the high priority she attaches to this 
effort by appointing to her staff a senior manager for quality who 
reports directly to her. The senior manager, in place since mid-April, 
is responsible for developing a proposal to establish a quality-
oriented approach to all SSA business processes. The manager is 
currently assembling a team to carry out this challenging undertaking. 

Problems Implementing Technological Improvements Have Long Undermined 
SSA's Redesign Efforts: 

SSA's slow progress in achieving technological improvements has 
contributed, at least in part, to SSA's lack of progress in achieving 
results from its redesign initiatives. As originally envisioned, SSA's 
plan to redesign its disability determination process was heavily 
dependent upon these improvements. The agency spent a number of years 
designing and developing a new computer software application to 
automate the disability claims process. However, SSA decided to 
discontinue the initiative in July 1999, after about 7 years, citing 
software performance problems and delays in developing the software. 
[Footnote 10] 

In August 2000, SSA issued a new management plan for the development 
of the agency's electronic disability system. SSA expects this effort 
to move the agency toward a totally paperless disability claims 
process. The strategy consists of several key components, including 
(1) an electronic claims intake process for the field offices, (2) 
enhanced state DDS claims processing systems, and (3) technology to 
support the Office of Hearing and Appeals' business processes. The 
components are to be linked to one another through the use of an 
electronic folder that is being designed to transmit data from one 
processing location to another and to serve as a data repository, 
storing documents that are keyed in, scanned, or faxed. SSA began 
piloting certain components of its electronic disability system in one 
state in May 2000 and has expanded this pilot test to one more state 
since then. According to agency officials, SSA has taken various steps 
to increase the functionality of the system; however, the agency still 
has a number of remaining issues to address. For example, SSA's system 
must comply with privacy and data protection standards required under 
the Health Information Portability and Accountability Act, and the 
agency will need to effectively integrate its existing legacy 
information systems with new technologies, including interactive Web-
based applications. 

SSA is optimistic that it will achieve a paperless disability claims 
process. The agency has taken several actions to ensure that its 
efforts support the agency's mission. For example, to better ensure 
that its business processes drive its information technology strategy, 
SSA has transferred management of the electronic disability strategy 
from the Office of Systems to the Office of Disability and Income 
Security Programs. In addition, SSA hired a contractor to 
independently evaluate the electronic disability strategy and 
recommend options for ensuring that the effort addresses all of the 
business and technical issues required to meet the agency's mission. 
More recently, the commissioner announced plans to accelerate 
implementation of the electronic folder. 

Implications for Future Progress: 

In spite of the significant resources SSA has dedicated to improving 
the disability claims process since 1994, the overall results have 
been disappointing. We recognize that implementing sweeping changes 
such as those envisioned by these initiatives can be difficult to 
accomplish successfully, given the complexity of the decision-making 
process, the agency's fragmented service delivery structure, and the 
challenge of overcoming an organization's natural resistance to 
change. But the factors that led SSA to attempt the redesign—
increasing disability workloads in the face of resource constraints—
continue to exist today and will likely worsen when SSA experiences a 
surge in applications as more baby boomers reach their disability-
prone years. 

Today, SSA management continues to face crucial decisions on its 
initiatives. We agree that SSA should not implement the Disability 
Claim Manager at this time, given its high costs and the other 
practical barriers to implementation at this time. We also agree that 
the Appeals Council Process Improvement initiative should continue, 
but with increased management focus and commitment to achieve the 
initiative's performance goals. Deciding the future course of action 
on each of the remaining three initiatives presents a challenge to 
SSA. For example, SSA continues to face decisions on how to proceed 
with the Prototype initiative. Although SSA has recently decided to 
revise some features of the Prototype in the near term, it also is 
considering long-term improvements. As such, SSA continues to face the 
challenge of ensuring that the revisions it makes retain the 
Prototype's most positive elements while also reducing its impact on 
costs. 

We are most concerned about the failure of the Hearings Process 
Improvement initiative to achieve its goals. Hearing office backlogs 
are fast approaching the crisis levels of the mid-1990's. We have 
recommended that the new commissioner act quickly to implement short-
term strategies to reduce the backlog and develop a long-term strategy 
for a more permanent solution to the backlog and efficiency problems 
at the Office of Hearings and Appeals. The new commissioner responded 
by announcing her decisions on short-term actions intended to reduce 
the backlogs, and the agency is preparing to negotiate with union 
officials on some of these planned changes. It is too early to tell if 
these decisions will have their intended effect, and the challenge to 
identify and implement a long-term strategy for a more permanent 
solution remains. It is especially crucial that the Office of Hearings 
and Appeals make significant headway in reducing its backlog quickly, 
as it faces in the next several months a potentially significant 
increase in Medicare appeals due to recent legislative changes in that 
program. 

In addition to the changes the agency is currently considering, it may 
be time for the agency to step back and reassess the nature and scope 
of its basic approach. SSA has focused significant energy and 
resources over the past 7 years on changing the steps and procedures 
of the process and adjusting the duties of its decision makers, yet 
this approach has not been effective to date. A new analysis of the 
fundamental issues impeding progress may help SSA identify areas for 
future action. Experts, such as members of the Social Security 
Advisory Board, have raised concerns about certain systemic problems 
that can undermine the overall effectiveness of SSA's claims process, 
which in turn can also undermine the effectiveness of SSA's redesign 
efforts.[Footnote 11] The Board found that SSA's fragmented disability 
administrative structure, created nearly 50 years ago, is ill-equipped 
to handle today's workload. Among other problems, it identified the 
lack of clarity in SSA's relationship with the states and an outdated 
hearing process fraught with tension and poor communication. As the 
new commissioner charts the agency's future course, she may need to 
consider measures to address these systemic problems as well. 

Regardless of the choices the agency makes about which particular 
reform initiatives to pursue, SSA's experience over the past 7 years 
offers some important lessons. For example, sustained management 
oversight is critical, particularly in such a large agency and with 
such a complex process. We have found that perhaps the single most 
important element of successful management improvement initiatives is 
the demonstrated commitment of top leaders to change. In addition, 
some initiatives have not enjoyed stakeholder support or have 
contributed to poor morale in certain offices, both of which may 
undermine the chances for success. 

While it is probably not possible for the agency to fully please all 
of its stakeholders, it will be important for the agency to involve 
stakeholders in planning for change, where appropriate, and to 
communicate openly and often the need for change and the rationale for 
agency decisions. Moreover, because SSA has experienced problems 
implementing its process changes, the agency will need to continue to 
closely monitor the results of its decisions and watch for early signs 
of problems. An improved quality assurance process and a more 
comprehensive set of performance goals and measures can help the 
agency monitor its progress and hold different entities accountable 
for their part in implementing change and meeting agency goals. Thus, 
we are concerned about SSA's lack of progress in revamping its quality 
assurance system. Without such as system, it is difficult for SSA to 
ensure the integrity of its disability claims process. 

Finally, because SSA has had mixed success in implementing information 
technology initiatives in the past, it is vital that the agency look 
back at its past problems and take the necessary steps to make sure 
its electronic disability system provides the needed supports to the 
disability claims process. It is imperative that the agency 
effectively identify, track, and manage the costs, benefits, schedule, 
and risks associated with the system's full development and 
implementation. Moreover, SSA must ensure that it has the right mix of 
skills and capabilities to support this initiative and that desired 
end results are achieved. 

Mr. Chairman, this concludes my statement. I would be pleased to 
respond to any questions that you or other members of the subcommittee 
may have. 

Contacts and Acknowledgments: 

For further information regarding this testimony, please contact 
Robert E. Robertson, Director, or Kay E. Brown, Assistant Director, 
Education, Workforce, and Income Security at (202) 512-7215. Ellen 
Habenicht and Angela Miles made key contributions to this testimony on 
the status of the five initiatives, and Valerie Melvin was the key 
contributor to the section on information technology. 

[End of section] 

Related GAO Products: 

Social Security Administration: Agency Must Position Itself Now to 
Meet Profound Challenges. [hyperlink, 
http://www.gao.gov/products/GAO-02-289T]. Washington, D.C.: May 2, 
2002. 

Social Security Disability: Disappointing Results From SSA's Efforts 
to Improve the Disability Claims Process Warrant Immediate Attention. 
[hyperlink, http://www.gao.gov/products/GAO-02-322]. Washington, D.C.: 
February 27, 2002. 

Information Technology Management: Social Security Administration 
Practices Can Be Improved. [hyperlink, 
http://www.gao.gov/products/GAO-01-961]. Washington, D.C.: August 21, 
2001. 

Social Security Disability: SSA Has Had Mixed Success in Efforts to 
Improve Caseload Management." [hyperlink, 
http://www.gao.gov/products/GAO/T-HEHS-00-22]. Washington, D.C.: 
October 21, 1999. 

Social Security Administration: Update on Year 2000 and Other Key 
Information Technology Initiatives. [hyperlink, 
http://www.gao.gov/products/GAO/T-AIMD-99-259]. Washington, D.C.: July 
29, 1999. 

SSA Disability Redesign: Actions Needed to Enhance Future Progress. 
[hyperlink, http://www.gao.gov/products/GAO/HEHS/99-25]. Washington, 
D.C.: March 12, 1999. 

Social Security Disability: SSA Must Hold Itself Accountable for 
Continued Improvement in Decision-making. [hyperlink, 
http://www.gao.gov/products/GAO/HEHS-97-102]. Washington, D.C.: August 
12, 1997. 

SSA Disability Redesign: Focus Needed on Initiatives Most Crucial to 
Reducing Costs and Time. [hyperlink, 
http://www.gao.gov/products/GAO/HEHS-97-20]. Washington, D.C.: 
December 20, 1996. 

[End of section] 

Footnotes: 

[1] U.S. General Accounting Office, Social Security Administration: 
Agency Must Position Itself Now to Meet Profound Challenges, 
[hyperlink, http://www.gao.gov/products/GAO-02-289T] (Washington, 
D.C.: May 2, 2002). 

[2] The $39 million includes expenditures for contractor support, 
travel, transportation, equipment, supplies, services, and rent. It 
excludes personnel costs, most of which would have been incurred 
processing workloads regardless of redesign projects. It also excludes 
the costs incurred for all but one initiative tested or implemented 
after March 1999, when the commissioner ended disability process 
redesign as a separate agency project. 

[3] U.S. General Accounting Office, Social Security Disability: 
Disappointing Results From SSA's Efforts to Improve the Disability 
Claims Process Warrant Immediate Attention, [hyperlink, 
http://www.gao.gov/products/GAO-02-322], (Washington, D.C.: Feb. 27, 
2002) and [hyperlink, http://www.gao.gov/products/GAO-02-289T]. 

[4] The Social Security Act defines disability for adults as an 
inability to engage in any substantial gainful activity because of any 
medically determinable physical or mental impairment which can be 
expected to result in death or which has lasted or can be expected to 
last for a continuous period of not less than 12 months. 

[5] Some DI beneficiaries have incomes low enough to qualify them for 
SSI; therefore, they receive benefits from both programs. 

[6] DDSs are state agencies that contract with SSA to determine 
claimants' medical eligibility for DI and SSI disability benefits. 
Although federally funded and guided by SSA in their decision making, 
the DDSs hire their own staff and retain a degree of independence in 
how they manage their offices and conduct disability determinations. 

[7] U.S. General Accounting Office, SSA Disability Redesign: Focus 
Needed on Initiatives Most Crucial to Reducing Costs and Time, 
[hyperlink, http://www.gao.gov/products/GAO/HEHS-97-20], (Washington, 
D.C.: Dec. 20, 1996); and SSA Disability Redesign: Actions Needed to 
Enhance Future Progress, [hyperlink, 
http://www.gao.gov/products/GAO/HEHS-99-25], (Washington, D.C.: Mar. 
12, 1999). 

[8] The Disability Claim Manager initiative excluded claims for SSI 
children's benefits. 

[9] [hyperlink, http://www.gao.gov/products/GAO-02-322]. 

[10] U.S. General Accounting Office, Social Security Administration: 
Update on Year 2000 and Other Key Information Technology Initiatives, 
[hyperlink, http://www.gao.gov/products/GAO/T-AIMD-99-259], 
(Washington, D.C.: July 29, 1999). 

[11] See Social Security Advisory Board, How SSA's Disability Programs 
Can Be Improved (Washington, D.C.: SSAB, Aug. 1998); Selected Aspects 
of Disability Decision Making (Washington, D.C.: SSAB, Sept. 2001); 
and Charting the Future of Social Security's Disability Programs: The 
Need for Fundamental Change (Washington, D.C.: SSAB, Jan. 2001). The 
Board is an independent, bipartisan Board created by the Congress and 
approved by the President and the Congress. Its purpose is to advise 
the President, the Congress, and the Commissioner of Social Security 
on matters related to SSA's programs. 

[End of section]