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Senators Back More Funds for Social Security Administration

Wednesday, November 29, 2006; Page D04

With spending bills apparently stalled, 54 senators have sent an appeal to the Senate leadership asking that the Social Security Administration receive adequate funding to avert workplace disruptions.

The senators -- 42 Democrats and 12 Republicans -- called for a fiscal 2007 appropriation that would add $401 million to the agency's administrative account. Without the money, Social Security would be forced to send employees home without pay and shut offices for 10 days next year, the senators said.

"A furlough of this scope and magnitude will create a significant hardship on the elderly and disabled persons who depend heavily on field office staff resources -- particularly those in rural areas who must travel long distances to access services," the senators said in a letter to Senate Republican and Democratic leaders.

Fears of the lack of spending bills -- or what those spending bills might bring -- are hitting other agencies. Except for the Defense and Homeland Security departments, Congress has not enacted the regular spending bills for the government, and some agencies are worrying about being caught in a pinch. Until budgets are settled, for example, the Energy Department has suspended employee bonuses, and the Labor Department has adopted a "soft freeze" on hiring.

Since Oct. 1, the agencies have operated under continuing resolutions -- interim funding bills known as CRs. They finance operations at the lowest of three possible levels -- the 2006 budget, the Senate's 2007 proposed budget or the House's version for 2007. Congress returns next week for what some Capitol Hill aides think will be a short legislative session, and it's likely that Congress will again put off budget decisions until next year. In that event, Hill aides predict, some small agencies could be at risk of layoffs or short-term layoffs, called furloughs.

The Food Safety and Inspection Service, for example, has no plans for furloughs, but more than 80 percent of its budget goes toward salaries and benefits. "When an agency has that large of a percentage going to salaries, and if there are salary increases that take effect in January, it will be difficult to make up the increase out of program costs," said Steven Cohen, senior press officer at the agency.

The Veterans Affairs Department has been counting on a $2.8 billion increase for veterans' health care in fiscal 2007. "Operating under a long-term continuing resolution will, before long, adversely affect the timely delivery of care and the effective and efficient management of the department," said Lisette Mondello, the department's assistant secretary for public and intergovernmental affairs.

The White House's Office of Management and Budget hopes to work with Congress on a solution that avoids staffing problems. "There is currently language in the existing CR that prevents furloughs, and we expect the next CR to address reductions in force," said Christin Baker, OMB associate director for communications. "If the government continues to operate under a long-term CR, we will work closely with agencies and lawmakers to ensure there are no major disruptions to essential government services."

Concern about the plight of Social Security has been mounting since mid-September, in part because it provides benefits to nearly 49 million Americans.

The Senate's bill for Social Security would provide $9.1 billion for the agency's administrative expenses, $401 million less than the president requested and $54 million below what was appropriated in fiscal 2006. The House bill would leave Social Security about $200 million short of what the White House is seeking.

Sens. Olympia J. Snowe (R-Maine) and Kent Conrad (D-N.D.) organized the letter to Senate leadership. It pointed out that Social Security has been given additional work, such as handling the new Medicare prescription drug benefit, while coping with staffing shortages caused by previous budget shortfalls. New workloads and lack of staff "have slowed processing times for disability claims" and "lessened the quality of service" to the public, the letter said.

Asked about the letter, Social Security Commissioner Jo Anne B. Barnhart said she appreciated "the widespread bipartisan support for the president's budget request," which she said would allow the agency to provide "the public with the service they expect and deserve."

Jenny Manley, spokeswoman for the Senate Appropriations Committee, said the committee chairman, Sen. Thad Cochran (R-Miss.), "is well aware of the needs of the Social Security Administration." Manley said: "Our preference would have been to address this in regular order and in an appropriations bill, but that does not seem to be in the cards at this point."


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