ADVISORY

FROM THE COMMITTEE ON WAYS AND MEANS

SUBCOMMITTEE ON SOCIAL SECURITY

McCrery Announces Third in Series of Subcommittee Hearings on Social Security Number High-Risk Issues

Congressman Jim McCrery, (R-LA), Chairman, Subcommittee on Social Security of the Committee on Ways and Means, today announced that the Subcommittee will hold the third in a series of Subcommittee hearings on Social Security number (SSN) high-risk issues.  The hearing will examine the Social Security Administration’s (SSA’s) management of the assignment of SSNs and the payment of benefits to foreign-born individuals.  The hearing will take place on Thursday, March 2, 2006, in room B-318 Rayburn House Office Building, beginning at 10:00 a.m.

In view of the limited time available to hear witnesses, oral testimony at this hearing will be from invited witnesses only.  However, any individual or organization not scheduled for an oral appearance may submit a written statement for consideration by the Committee and for inclusion in the printed record of the hearing.

BACKGROUND:

To obtain an SSN, a person must submit evidence of age, identity, and U.S. citizenship or immigration status to the SSA.  According to the SSA, the SSN itself does not establish identity, nor does it reflect a person’s current work authorization status.  The SSN cards for non-citizens who lack U.S. authorization to work or have only a temporary authorization bear one of two legends describing the work authorization status at the time of application for the card: “Not Valid for Employment” or “Valid for Work Only with DHS authorization.”

In prior research and testimony before the Subcommittee, the U.S. Government Accountability Office (GAO) and the SSA Inspector General have shared concerns about the potential for non-citizens to fraudulently obtain SSNs or misuse SSNs in order to engage in unauthorized work.  The SSA has made changes to the process of assigning SSNs to help prevent this.  Examples include: verification of immigration documents with the U.S. Department of Homeland Security, creation of Social Security Card Centers that specialize in assigning SSNs, and assignment of SSNs to certain non-citizens when they enter the United States (“enumeration at entry”).  Despite improvements in the SSN issuing process, concerns remain about SSN fraud and misuse to engage in unauthorized work, as well as the potential to receive benefits based on those earnings. 

Once a non-citizen has his or her own SSN and pays Social Security taxes on a sufficient amount of earnings, that individual and his or her family members may (under certain circumstances) receive Social Security benefits.  However, benefits to non-citizens are restricted based on certain conditions.  For example, if a non-citizen worker was issued his SSN on or after January 1, 2004, benefits may be paid to the worker and his family only if the worker was authorized to work in the United States at the time the SSN was issued or at some later time.  Non-citizens living within the United States must be lawfully present in order to receive benefits.  Non-citizens living outside the United States may not receive benefits unless they meet certain criteria.   

In addition to the standard requirements for working and paying into Social Security to become eligible for benefits, U.S. citizens and non-citizens may become eligible for benefits through so-called “totalization” agreements--bilateral agreements between the United States and another country to coordinate their Social Security programs.  The first totalization agreement was implemented in 1978.  Currently, the SSA has totalization agreements in force with 21 countries, including Canada, Japan, Australia, and most of Western Europe.  The GAO has expressed concerns about the SSA’s assessment and documentation of risks associated with totalization agreements.  For example: the accuracy of foreign records and documents, the potential for benefit fraud, and the potential for costs to exceed estimates.

In announcing the hearing, Chairman McCrery stated:  “Social Security number fraud and misuse related to unauthorized work undermines overall public confidence in Social Security programs, and has implications for our Nation’s security.  We must address these issues carefully and deliberately to minimize the risk of fraud while maintaining fair treatment of workers and their families.”

FOCUS OF THE HEARING:

The Subcommittee will examine how SSNs are assigned to foreign-born individuals, the role of SSNs in work authorization, current law regarding Social Security coverage and benefits of non-citizens, the SSA’s administration of totalization agreements, and proposals to improve the integrity of the enumeration process, improve stewardship of totalization agreements, and modify Social Security coverage and benefits for non-citizens.

DETAILS FOR SUBMISSION OF WRITTEN COMMENTS:

Please Note:  Any person(s) and/or organization(s) wishing to submit for the hearing record must follow the appropriate link on the hearing page of the Committee website and complete the informational forms.  From the Committee homepage, http://waysandmeans.house.gov, select “109^th Congress” from the menu entitled, “Hearing Archives” (http://waysandmeans.house.gov/Hearings.asp?congress=17).  Select the hearing for which you would like to submit, and click on the link entitled, “Click here to provide a submission for the record.”  Once you have followed the online instructions, completing all informational forms and clicking “submit” on the final page, an email will be sent to the address which you supply confirming your interest in providing a submission for the record.  You MUST REPLY to the email and ATTACH your submission as a Word or WordPerfect document, in compliance with the formatting requirements listed below, by close of business Thursday, March 16, 2006.  Finally, please note that due to the change in House mail policy, the U.S. Capitol Police will refuse sealed-package deliveries to all House Office Buildings.  For questions, or if you encounter technical problems, please call (202) 225-1721.

FORMATTING REQUIREMENTS:

The Committee relies on electronic submissions for printing the official hearing record. As always, submissions will be included in the record according to the discretion of the Committee. The Committee will not alter the content of your submission, but we reserve the right to format it according to our guidelines. Any submission provided to the Committee by a witness, any supplementary materials submitted for the printed record, and any written comments in response to a request for written comments must conform to the guidelines listed below. Any submission or supplementary item not in compliance with these guidelines will not be printed, but will be maintained in the Committee files for review and use by the Committee.

1. All submissions and supplementary materials must be provided in Word or WordPerfect format and MUST NOT exceed a total of 10 pages, including attachments.  Witnesses and submitters are advised that the Committee relies on electronic submissions for printing the official hearing record.

2. Copies of whole documents submitted as exhibit material will not be accepted for printing.  Instead, exhibit material should be referenced and quoted or paraphrased.  All exhibit material not meeting these specifications will be maintained in the Committee files for review and use by the Committee.

3. All submissions must include a list of all clients, persons, and/or organizations on whose behalf the witness appears.  A supplemental sheet must accompany each submission listing the name, company, address, telephone and fax numbers of each witness.

Note:  All Committee advisories and news releases are available on the World Wide Web at http://waysandmeans.house.gov.

The Committee seeks to make its facilities accessible to persons with disabilities. If you are in need of special accommodations, please call 202-225-1721 or 202-226-3411 TTD/TTY in advance of the event (four business days notice is requested). Questions with regard to special accommodation needs in general (including availability of Committee materials in alternative formats) may be directed to the Committee as noted above.