Opening Statement of the Hon. E. Clay Shaw, Jr., a Representative in Congress from the State of Florida,
and Chairman, Subcommittee on Social Security

Hearing on Challenges Facing the New Commissioner of Social Security

May 2, 2002

Today, we have the opportunity to welcome the new Commissioner of Social Security, Jo Anne B. Barnhart. Mrs. Barnhart is our 14^th Commissioner of Social Security and only the second Commissioner to be sworn in since the Social Security Administration became an independent agency in 1995. We appreciate having her appear before our Committee, and look forward to hearing her articulate her vision for the agency and outline her action priorities.

As you know, the Social Security Administration (SSA) was established to provide an economic safety net against loss of income due to retirement, death or disability. For almost two-thirds of a century, SSA has successfully succeeded in reducing the poverty rate among the nation’s elderly by 62 percent in 30 years.

In addition to providing a retirement safety net, SSA administers two disability programs–Disability Insurance and Supplemental Security Income–which seeks to provide an economic safety net for workers who become disabled. The disability programs along with the Social Security trust fund face major solvency challenges as the baby boom generation begins to age and places demands on Social Security’s services. Moreover, SSA’s own workforce is facing retirement of approximately half of its employees due to retirement further complicating the predicted future demands on service delivery.

The General Accounting Office (GAO), SSA’s Office of Inspector General and the bipartisan Social Security Advisory Board have each issued reports summarizing their views on the primary management challenges facing the agency. Their primary concerns address the areas of solvency, disability determination and return to work processing and misuse of the Social Security number. Our Subcommittee has held many hearings examining these issues and their challenges, and we will continue to do so.

Never before has a Commissioner of Social Security faced more challenges ranging from economic to workforce issues. We must waste no time in addressing these program concerns if we are to ensure their solvency and continuation for current and future generations.