[Congressional Record Volume 140, Number 107 (Friday, August 5, 1994)]
[Senate]
[Page S]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: August 5, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
         SOCIAL SECURITY ADMINISTRATION INDEPENDENT AGENCY BILL

  Mr. COHEN. Mr. President, I am pleased that the Senate is considering 
today the conference report on H.R. 4277, a bill making the Social 
Security Administration an independent agency. While this bill contains 
many important provisions, I want to address my remarks to particular 
reforms in the bill that will go far in correcting a major misuse of 
taxpayer and Social Security trust fund dollars.
  I also, however, want to point out a provision in the conference 
report which was not included in the Senate-passed bill and which, I 
believe, may result in unfair consequences for some individuals who 
sorely need help from the disability program.
  From time to time, astounding examples of absurd Federal spending 
policies come to light and stop us in our tracks. The findings earlier 
this year of an investigation by my staff on the Senate Special 
Committee on Aging and the GAO that drug addicts and alcoholics are 
being given cash disability benefits that are in turn perpetuating 
their addictions is just such an outrageous example of how a well-
intentioned Federal program has been manipulated extensively, resulting 
in the misuse of millions of taxpayer dollars.
  While Congress' original purpose in giving disability benefits to 
drug addicts and alcoholics was to encourage treatment, this goal has 
been turned on its head: instead of promoting treatment, the disability 
programs are feeding their addictions. In fact, the Social Security 
Administration has been criticized as being one of the easiest sources 
of cash for drugs and alcohol in the United States.
  It is clear that Congress' original goal of rehabilitating drug 
addicts and alcoholics has failed and that the Social Security 
Administration has instead become the enabler of hundreds of thousands 
of drug addicts and alcoholics by providing them with unsupervised cash 
that they can use to buy more drugs and drink.
  There are now over 250,000 addicts and alcoholics on the disability 
rolls, but only 78,000--or less than a third--are required to receive 
treatment or have a third party manage their benefits for them. The 
other 172,000 addicts and alcoholics on the rolls are not required by 
SSA to receive treatment, and receive cash benefits, which are often 
used to buy them more drugs or alcohol.
  The taxpayer is left paying the tab of over $1 billion a year for the 
172,000 drug addicts and alcoholics who are not required to seek 
treatment. In addition, since most of these individuals are never 
reviewed by the agency to determine if they are still eligible for 
benefits--many of these addicts are on the disability program for life.
  In addition, we found that up until this year the SSA had established 
agencies to refer addicts to treatment and monitor their compliance in 
only 18 States--leaving 26 States without any approved agency to 
oversee the substance abusers. For example, Maine has never had a 
treatment referral agency in the entire history of the SSI program and 
recently had its proposal turned down with no explanation.
  Some clever addicts find ways to game the system even when the Social 
Security Administration appoints a person to manage benefits on behalf 
of the drug addict or alcoholic. In some cases, the local bartender was 
selected as a responsible third party for addicts and alcoholics to 
manage their monthly benefits. In most cases, a family member or friend 
is chosen and is inevitably pressured or threatened to give the money 
directly to the substance abuser.

  Even more alarming is the fact that, in many cases, due to the length 
of time it takes to process a claim, addicts and alcoholics are 
eligible for cash lump sum retroactive payments that can total up to 
$25,000. It is no surprise that these taxpayer dollars are often drunk 
away or shot into the arms of drug users.
  Perhaps the most outrageous finding of our investigation was that 
even when drug addicts directly admit to the Social Security 
Administration that they are actively engaged in criminal activity, 
such as drug dealing and stealing, to support their addiction they are 
still awarded benefits. The effect of this policy is that one hand of 
our Federal Government is trying to crack down on crime and illegal 
drug use, while the other hand is supplying drugs to the dealers and 
addicts who commit the crimes. Fighting the war on crime is hard enough 
without buying supplies for the other side.
  The conference report we are passing today addresses many of the 
major flaws we uncovered in the disability program. Most importantly, 
it will get cash out of the hands of many addicts and alcoholics for 
whom the disability check has become their main source of drugs and 
alcohol.
  This bill will also ensure that drug addicts and alcoholics on both 
the SSI and Social Security disability insurance rolls receive 
treatment for their substance abuse as a condition of receiving 
benefits, and requires that SSA monitor the treatment of these persons 
to be sure they are complying with the law.
  There are, however, concerns that I have with the final version of 
this legislation. The conference report adopted a House provision which 
limits SSI benefits to drug addicts and alcoholics to 3 years of 
benefits, regardless of whether they have begun to receive treatment or 
not. I have concerns that this provision does not adequately take into 
account the long waiting lists for treatment that exist in some areas 
of the country. Since the goal of this limitation on benefits should be 
an incentive to rehabilitate and then successfully remove substance 
abusers from the disability rolls, starting the clock on the 3 years of 
benefits when treatment is not even available does not reflect this 
goal.

  In my bill, I would have treated the disability insurance recipients 
and the SSI recipients the same by not counting the 36-month time limit 
until treatment was available. In other words, what I did in our 
legislation was to say that those individuals who are, addicted to 
drugs or to alcohol, must seek treatment and treatment must be 
available. And until that treatment is available, the 36-month period 
would not run.
  At this particular time I doubt very much whether there is any 
sentiment on the part of either the House or Senate to change this 
provision. But I must say it is flawed in my opinion. To say to an 
individual that you must seek treatment and we will start counting the 
time in which you are allowed to receive these benefits but if 
treatment is not available, it is your tough luck, I think that is an 
unfair provision. I hope to amend that as we consider more legislation, 
if not this year then certainly next year. I hope to amend that 
particular provision to make sure that those individuals who qualify 
for these benefits will in fact be able to receive the treatment or not 
be taken off the program.
  I also would have preferred that the requirements for representative 
payees and treatment be required for all drug addicts and alcoholics on 
the disability rolls, in order to tighten the controls even further on 
these programs.
  Despite these two concerns, I believe that this legislation is a 
major step toward restoring the public's confidence and integrity in 
our Nation's disability programs.
  Mr. President, I want to thank Senator Moynihan, Senator Packwood, 
and Senator Dole and their staffs for their strong support and 
assistance in passing these reforms. I would particularly like to 
recognize Kathy Tobin and Margaret Malone of the Senate Finance 
Committee staff, Alexander Vachon of Senator Dole's staff, and Marty 
Sieg-Ross and Sally Satel of the Labor Committee for their assistance 
with this legislation.

                          ____________________