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HRD-82-126 1 (1982-09-02)

handle is hein.gao/gaobabmrg0001 and id is 1 raw text is: UNITED STATES GENERAL ACCOUNTING OFFICE 9 SWASHINGTON, D.C. 20548 HUMAN RESOURCES DIVISION September 2, 1982 Mr. John A. Svahn Commissioner of Social Security Department of Health and Human Services Dear Mr. Svahn: Subject: ,Social Security Needs to Determine the Cost Effectiveness of the Supplemental Security Income Redetermination Process and to Implement Recom- mendations Made for Eliminating Erroneous Payments (GAO/HRD-82-126) We recently undertook a survey of the cost effectiveness of the Social Security Administration's (SSA's) procedures and practices for redetermining a Supplemental Security Income (SSI) recipient's continued eligibility and correct benefit amount and to determine if improvements in the process were needed to achieve its intended purpose. In fiscal year 1981, almost 3.3 million re- determinations were performed at a cost of about $163 million. Our work was performed at the regional and selected district offices in the State-of New York and SSA headquarters in Baltimore, Maryland. In May 1982, we briefed Office of Assessment officials on our survey and on the lack of information on eligibility and benefit payment corrections attributed to the redetermination process. The Office of Assessment concurred with the need for a cost effec- tiveness analysis of the process and agreed to perform one as part of its assessment responsibilities. Consequently, we are discon- tinuing our survey. Based on the survey work we performed, however, we would like to share with you our observations concerning the redetermination process and other mechanisms we believe should be adopted for reducing payment errors in the program. BACKGROUND In 1972, legislation was enacted to establish the SSI pro- gram and to provide for periodic reexamination of SSI recipients whose financial status fluctuated during the year and to ensure that benefits paid were based on their current income. SSI rede- terminations were expected to be made quarterly or less frequently when significant increases in income were unlikely. In this (105155) I I 979Q

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