A-01-10-20153 - Alternate Format

Report Summary
Social Security Administration Office of the Inspector General

April 2010

Congressional Response Report: Reinstatement of Reconsideration Step in the Michigan Disability Determination Services
(A-01-10-20153)

Objective

To assess the impact of reinstating the reconsideration step in the Michigan Disability Determination Services (DDS) under four scenarios.

Background

In 1999, SSA began testing several modifications to the disability determination procedures, including the elimination of the reconsideration step in 10 States. In Fiscal Year (FY) 2011, SSA will reinstate the reconsideration step in Michigan because allowing claims at the reconsideration level provides benefits earlier to some claimants who would otherwise wait for a hearing at the Office of Disability Adjudication and Review (ODAR).

On April 5, 2010, we received a Congressional request to review the impact of reinstating reconsiderations in the Michigan DDS.

To view the full report, visit http://www.ssa.gov/oig/ADOBEPDF/A-01-10-20153.pdf

Our Findings

1. SSA implements its plan to reinstate reconsideration.

DDS: Average cumulative processing time for initial claims in FY 2011: 123 days. Processing times would not change significantly in future FYs.
ODAR: Average cumulative processing time in FY 2011: 915 days. Processing times may decrease in future FYs.

2. Michigan remains a Prototype State, and no additional funds are allocated to the Michigan DDS to process reconsiderations.

DDS: Average cumulative processing time for initial claims in FY 2011: 123 days. Processing times would not change significantly in future FYs.
ODAR: Average cumulative processing time in FY 2011:
762 days. Processing times would not change significantly in future FYs.

3. Michigan remains a Prototype State, and the funds SSA would have used for the reinstatement of reconsideration are provided to the Michigan DDS for processing initial claims.

DDS: DDS could adjudicate about 25,300 more initial claims in FY 2011. Processing times would not change significantly in future FYs.
ODAR: ODAR could receive about 6,780 more hearing requests per year. Processing times would probably increase in future FYs.

4. Michigan remains a Prototype State, and the funds SSA would have used for reconsiderations are provided to Michigan hearing offices.

DDS: Average cumulative processing time for initial claims in FY 2011: 123 days. Processing times would not change significantly in future FYs.
ODAR: ODAR could process about 17,600 additional hearings per year. Processing times would probably decrease in future FYs.