Judd Legum: Memo details Trump plan to sabotage the Social Security Administration [View all]

https://popular.info/p/exclusive-memo-details-trump-plan

An internal Social Security Administration (SSA) memo, sent on March 13 and obtained by Popular Information, details proposed changes to the claims process that would debilitate the agency, cause significant processing delays, and prevent many Americans from applying for or receiving benefits.

The memo, authored by Acting Deputy SSA Commissioner Doris Diaz, purports to be motivated by a desire to mitigate "fraud risks."

Elon Musk has pushed several false claims about the nature and scope of Social Security fraud. In a recent interview on Fox Business, Musk suggested that 10% of federal expenditures were related to Social Security fraud. This is false. Social Security fraud does exist, but "improper" Social Security payments amounts to about $9 billion annually — less than 1% of total Social Security benefits paid and 0.1% of the federal budget. Most improper payments are not criminal fraud but the result of beneficiaries or the SSA failing to update records.

The biggest change contemplated by Diaz's memo is to require "internet identity proofing" for "benefit claims… made over the phone." When an SSA customer is "unable to utilize the internet ID proofing, customers will be required to visit a field office to provide in-person identity documentation."

Currently customers can make claims and verify their identity without using the internet or visiting a SSA office. Fraud is extremely rare because there are many safeguards in place. After initiating a call, customers must provide their social security number, date of birth, parents' names, mother's maiden name, and date of birth. After the initial teleapplication is completed, the information provided is checked against tax returns, pay stubs, bank statements, and medical information, depending on the nature of the claim. If there are any discrepancies, a customer may need to mail a copy of their birth certificate to the SSA. About 40% of all claims are currently processed over the phone.

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