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[Congressional Record: August 4, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]
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CONFERENCE REPORT ON H.R. 4277
Mr. GIBBONS submitted the following conference report and statement
on the bill (H.R. 4277), to establish the Social Security
Administration as an independent agency and to make other improvements
in the old-age, survivors, and disability insurance program:
Conference Report (H. Rept. 103-670)
The committee of conference on the disagreeing votes of the
two Houses on the amendment of the Senate to the bill (H.R.
4277), to establish the Social Security Administration as an
independent agency and to make other improvements in the old-
age, survivors, and disability insurance program, having met,
after full and free conference, have agreed to recommend and
do recommend to their respective Houses as follows:
That the House recede from its disagreement to the
amendment of the Senate and agree to the same with an
amendment as follows:
In lieu of the matter proposed to be inserted by the Senate
amendment, insert the following:
SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Social
Security Independence and Program Improvements Act of 1994''.
(b) Table of Contents.--The table of contents of this Act
is as follows:
Sec. 1. Short title and table of contents.
TITLE I--ESTABLISHMENT OF THE SOCIAL SECURITY ADMINISTRATION AS AN
INDEPENDENT AGENCY
Sec. 101. Establishment of Social Security Administration as an
independent agency.
Sec. 102. Commissioner and Deputy Commissioner; other officers.
Sec. 103. Social Security Advisory Board.
Sec. 104. Personnel; budgetary matters; seal of office.
Sec. 105. Transfers to the new Social Security Administration.
Sec. 106. Transition rules.
Sec. 107. Conforming amendments to titles II and XVI of the Social
Security Act.
Sec. 108. Additional conforming amendments.
Sec. 109. Rules of construction.
Sec. 110. Effective dates.
TITLE II--PROGRAM IMPROVEMENTS RELATING TO OASDI AND SSI
Sec. 201. Restrictions on payment of benefits based on disability to
substance abusers.
Sec. 202. Commission on childhood disability.
Sec. 203. Regulations regarding completion of plans for achieving self-
support.
Sec. 204. SSI eligibility for students temporarily abroad.
Sec. 205. Disregard of cost-of-living increases for continued
eligibility for work incentives.
Sec. 206. Expansion of the authority of the Social Security
Administration to prevent, detect, and terminate
fraudulent claims for OASDI and SSI benefits.
Sec. 207. Disability review required for SSI recipients who are 18
years of age.
Sec. 208. Continuing disability reviews.
Sec. 209. Exemption from adjustment in pass-along requirements.
TITLE III--MISCELLANEOUS PROGRAM IMPROVEMENTS
Sec. 301. Issuance of physical documents in the form of bonds, notes,
or certificates to the social security trust funds.
Sec. 302. GAO study regarding telephone access to local offices of the
Social Security Administration.
Sec. 303. Expansion of State option to exclude service of election
officials or election workers from coverage.
Sec. 304. Use of social security numbers by States and local
governments and Federal district courts for jury
selection purposes.
Sec. 305. Authorization for all States to extend coverage to State and
local police officers and firefighters under existing
coverage agreements.
Sec. 306. Limited exemption for Canadian ministers from certain self-
employment tax liability.
Sec. 307. Exclusion of totalization benefits from the application of
the windfall elimination provision.
Sec. 308. Exclusion of military reservists from application of the
government pension offset and windfall elimination
provisions.
Sec. 309. Repeal of the facility-of-payment provision.
Sec. 310. Maximum family benefits in guarantee cases.
Sec. 311. Authorization for disclosure of social security information
for purposes of public or private epidemiological and
similar research.
Sec. 312. Misuse of symbols, emblems, or names in reference to Social
Security Administration, Department of Health and Human
Services, or Department of the Treasury.
Sec. 313. Increased penalties for unauthorized disclosure of social
security information.
Sec. 314. Increase in authorized period for extension of time to file
annual earnings report.
Sec. 315. Extension of disability insurance program demonstration
project authority.
Sec. 316. Cross-matching of social security account number information
and employer identification number information maintained
by the Department of Agriculture.
Sec. 317. Certain transfers to railroad retirement account made
permanent.
Sec. 318. Authorization for use of social security account numbers by
Department of Labor in administration of Federal workers'
compensation laws.
Sec. 319. Coverage under FICA of Federal employees transferred
temporarily to international organizations.
Sec. 320. Extension of the FICA tax exemption and certain tax rules to
individuals who enter the United States under a visa
issued under section 101 of the Immigration and
Nationality Act.
Sec. 321. Technical and clerical amendments.
TITLE I--ESTABLISHMENT OF THE SOCIAL SECURITY ADMINISTRATION AS AN
INDEPENDENT AGENCY
SEC. 101. ESTABLISHMENT OF SOCIAL SECURITY ADMINISTRATION AS
AN INDEPENDENT AGENCY.
Section 701 of the Social Security Act (42 U.S.C. 901) is
amended to read as follows:
``SOCIAL SECURITY ADMINISTRATION
``Sec. 701. (a) There is hereby established, as an
independent agency in the executive branch of the Government,
a Social Security Administration (in this title referred to
as the `Administration').
``(b) It shall be the duty of the Administration to
administer the old-age, survivors, and disability insurance
program under title II and the supplemental security income
program under title XVI.
SEC. 102. COMMISSIONER AND DEPUTY COMMISSIONER; OTHER
OFFICERS.
Section 702 of the Social Security Act (42 U.S.C. 902) is
amended to read as follows:
``COMMISSIONER; DEPUTY COMMISSIONER; OTHER OFFICERS
``Commissioner of Social Security
``Sec. 702. (a)(1) There shall be in the Administration a
Commissioner of Social Security (in this title referred to as
the `Commissioner') who shall be appointed by the President,
by and with the advice and consent of the Senate.
``(2) The Commissioner shall be compensated at the rate
provided for level I of the Executive Schedule.
``(3) The Commissioner shall be appointed for a term of 6
years, except that the initial term of office for
Commissioner shall terminate January 19, 2001. In any case in
which a successor does not take office at the end of a
Commissioner's term of office, such Commissioner may continue
in office until the entry upon office of such a successor. A
Commissioner appointed to a term of office after the
commencement of such term may serve under such appointment
only for the remainder of such term. An individual serving in
the office of Commissioner may be removed from office only
pursuant to a finding by the President of neglect of duty or
malfeasance in office.
``(4) The Commissioner shall be responsible for the
exercise of all powers and the discharge of all duties of the
Administration, and shall have authority and control over all
personnel and activities thereof.
``(5) The Commissioner may prescribe such rules and
regulations as the Commissioner determines necessary or
appropriate to carry out the functions of the Administration.
The regulations prescribed by the Commissioner shall be
subject to the rulemaking procedures established under
section 553 of title 5, United States Code.
``(6) The Commissioner may establish, alter, consolidate,
or discontinue such organizational units or components within
the Administration as the Commissioner considers necessary or
appropriate, except that this paragraph shall not apply with
respect to any unit, component, or provision provided for by
this Act.
``(7) The Commissioner may assign duties, and delegate, or
authorize successive redelegations of, authority to act and
to render decisions, to such officers and employees of the
Administration as the Commissioner may find necessary. Within
the limitations of such delegations, redelegations, or
assignments, all official acts and decisions of such officers
and employees shall have the same force and effect as though
performed or rendered by the Commissioner.
``(8) The Commissioner and the Secretary of Health and
Human Services (in this title referred to as the `Secretary')
shall consult, on an ongoing basis, to ensure--
``(A) the coordination of the programs administered by the
Commissioner, as described in section 701, with the programs
administered by the Secretary under titles XVIII and XIX of
this Act; and
``(B) that adequate information concerning benefits under
such titles XVIII and XIX is available to the public.
``Deputy Commissioner of Social Security
``(b)(1) There shall be in the Administration a Deputy
Commissioner of Social Security (in this title referred to as
the `Deputy Commissioner') who shall be appointed by the
President, by and with the advice and consent of the Senate.
``(2) The Deputy Commissioner shall be appointed for a term
of 6 years, except that the initial term of office for the
Deputy Commissioner shall terminate January 19, 2001. In any
case in which a successor does not take office at the end of
a Deputy Commissioner's term of office, such Deputy
Commissioner may continue in office until the entry upon
office of such a successor. A Deputy Commissioner appointed
to a term of office after the commencement of such term may
serve under such appointment only for the remainder of such
term.
``(3) The Deputy Commissioner shall be compensated at the
rate provided for level II of the Executive Schedule.
``(4) The Deputy Commissioner shall perform such duties and
exercise such powers as the Commissioner shall from time to
time assign or delegate. The Deputy Commissioner shall be
Acting Commissioner of the Administration during the absence
or disability of the Commissioner and, unless the President
designates another officer of the Government as Acting
Commissioner, in the event of a vacancy in the office of the
Commissioner.
``Chief Financial Officer
``(c) There shall be in the Administration a Chief
Financial Officer appointed by the Commissioner in accordance
with section 901(a)(2) of title 31, United States Code.
``Inspector General
``(d) There shall be in the Administration an Inspector
General appointed by the President, by and with the advice
and consent of the Senate, in accordance with section 3(a) of
the Inspector General Act of 1978.''.
SEC. 103. SOCIAL SECURITY ADVISORY BOARD.
Section 703 of the Social Security Act (42 U.S.C. 903) is
amended to read as follows:
``SOCIAL SECURITY ADVISORY BOARD
``Establishment of Board
``Sec. 703. (a) There shall be established a Social
Security Advisory Board (in this section referred to as the
`Board').
``Functions of the Board
``(b) On and after the date the Commissioner takes office,
the Board shall advise the Commissioner on policies related
to the old-age, survivors, and disability insurance program
under title II and the supplemental security income program
under title XVI. Specific functions of the Board shall
include--
``(1) analyzing the Nation's retirement and disability
systems and making recommendations with respect to how the
old-age, survivors, and disability insurance program and the
supplemental security income program, supported by other
public and private systems, can most effectively assure
economic security;
``(2) studying and making recommendations relating to the
coordination of programs that provide health security with
programs described in paragraph (1);
``(3) making recommendations to the President and to the
Congress with respect to policies that will ensure the
solvency of the old-age, survivors, and disability insurance
program, both in the short-term and the long-term;
``(4) making recommendations with respect to the quality of
service that the Administration provides to the public;
``(5) making recommendations with respect to policies and
regulations regarding the old-age, survivors, and disability
insurance program and the supplemental security income
program;
``(6) increasing public understanding of the social
security system;
``(7) making recommendations with respect to a long-range
research and program evaluation plan for the Administration;
``(8) reviewing and assessing any major studies of social
security as may come to the attention of the Board; and
``(9) making recommendations with respect to such other
matters as the Board determines to be appropriate.
``Structure and Membership of the Board
``(c)(1) The Board shall be composed of 7 members who shall
be appointed as follows:
``(A) 3 members shall be appointed by the President, by and
with the advice and consent of the Senate. Not more than 2 of
such members shall be from the same political party.
``(B) 2 members (each member from a different political
party) shall be appointed by the President pro tempore of the
Senate with the advice of the Chairman and the Ranking
Minority Member of the Senate Committee on Finance.
``(C) 2 members (each member from a different political
party) shall be appointed by the Speaker of the House of
Representatives, with the advice of the Chairman and the
Ranking Minority Member of the House Committee on Ways and
Means.
``(2) The members shall be chosen on the basis of their
integrity, impartiality, and good judgment, and shall be
individuals who are, by reason of their education,
experience, and attainments, exceptionally qualified to
perform the duties of members of the Board.
``Terms of Appointment
``(d) Each member of the Board shall serve for a term of 6
years, except that--
``(1) a member appointed to a term of office after the
commencement of such term may serve under such appointment
only for the remainder of such term; and
``(2) the terms of service of the members initially
appointed under this section shall begin on October 1, 1994,
and expire as follows:
``(A) The terms of service of the members initially
appointed by the President shall expire as designated by the
President at the time of nomination, 1 each at the end of--
``(i) 2 years;
``(ii) 4 years; and
``(iii) 6 years.
``(B) The terms of service of members initially appointed
by the President pro tempore of the Senate shall expire as
designated by the President pro tempore of the Senate at the
time of nomination, 1 each at the end of--
``(i) 3 years; and
``(ii) 6 years.
``(C) The terms of service of members initially appointed
by the Speaker of the House of Representatives shall expire
as designated by the Speaker of the House of Representatives
at the time of nomination, 1 each at the end of--
``(i) 4 years; and
``(ii) 5 years.
``Chairman
``(e) A member of the Board shall be designated by the
President to serve as Chairman for a term of 4 years,
coincident with the term of the President, or until the
designation of a successor.
``Expenses and Per Diem
``(f) Members of the Board shall serve without
compensation, except that, while serving on business of the
Board away from their homes or regular places of business,
members may be allowed travel expenses, including per diem in
lieu of subsistence, as authorized by section 5703 of title
5, United States Code, for persons in the Government employed
intermittently.
``Meetings
``(g)(1) The Board shall meet at the call of the Chairman
(in consultation with the other members of the Board) not
less than 4 times each year to consider a specific agenda of
issues, as determined by the Chairman in consultation with
the other members of the Board.
``(2) Four members of the Board (not more than 3 of whom
may be of the same political party) shall constitute a quorum
for purposes of conducting business.
``Federal Advisory Committee Act
``(h) The Board shall be exempt from the provisions of the
Federal Advisory Committee Act (5 U.S.C. App.).
``Personnel
``(i) The Board shall, without regard to the provisions of
title 5, United States Code, relating to the competitive
service, appoint a Staff Director who shall be paid at a rate
equivalent to a rate established for the Senior Executive
Service under section 5382 of title 5, United States Code.
The Board shall appoint such additional personnel as the
Board determines to be necessary to provide adequate clerical
support for the Board, and may compensate such additional
personnel without regard to the provisions of title 5, United
States Code, relating to the competitive service.
``Authorization of Appropriations
``(j) There are authorized to be appropriated, out of the
Federal Disability Insurance Trust Fund, the Federal Old-Age
and Survivors Insurance Trust Fund, and the general fund of
the Treasury, such sums as are necessary to carry out the
purposes of this section.''.
SEC. 104. PERSONNEL; BUDGETARY MATTERS; SEAL OF OFFICE.
(a) In General.--Section 704 of the Social Security Act (42
U.S.C. 904) is amended to read as follows:
``ADMINISTRATIVE DUTIES OF THE COMMISSIONER
``Personnel
``Sec. 704. (a)(1) The Commissioner shall appoint such
additional officers and employees as the Commissioner
considers necessary to carry out the functions of the
Administration under this Act, and attorneys and experts may
be appointed without regard to the civil service laws. Except
as otherwise provided in the preceding sentence or in any
other provision of law, such officers and employees shall be
appointed, and their compensation shall be fixed, in
accordance with title 5, United States Code.
``(2) The Commissioner may procure the services of experts
and consultants in accordance with the provisions of section
3109 of title 5, United States Code.
``(3) Notwithstanding any requirements of section 3133 of
title 5, United States Code, the Director of the Office of
Personnel Management shall authorize for the Administration a
total number of Senior Executive Service positions which is
substantially greater than the number of such positions
authorized in the Social Security Administration in the
Department of Health and Human Services as of immediately
before the date of the enactment of the Social Security
Independence and Program Improvements Act of 1994 to the
extent that the greater number of such authorized positions
is specified in the comprehensive work force plan as
established and revised by the Commissioner under subsection
(b)(2). The total number of such positions authorized for the
Administration shall not at any time be less than the number
of such authorized positions as of immediately before such
date.
``Budgetary Matters
``(b)(1) The Commissioner shall prepare an annual budget
for the Administration, which shall be submitted by the
President to the Congress without revision, together with the
President's annual budget for the Administration.
``(2)(A) Appropriations requests for staffing and personnel
of the Administration shall be based upon a comprehensive
work force plan, which shall be established and revised from
time to time by the Commissioner.
``(B) Appropriations for administrative expenses of the
Administration are authorized to be provided on a biennial
basis.
``Employment Restriction
``(c) The total number of positions in the Administration
(other than positions established under section 702) which--
``(1) are held by noncareer appointees (within the meaning
of section 3132(a)(7) of title 5, United States Code) in the
Senior Executive Service, or
``(2) have been determined by the President or the Office
of Personnel Management to be of a confidential, policy-
determining, policy-making, or policy-advocating character
and have been excepted from the competitive service thereby,
may not exceed at any time the equivalent of 20 full-time
positions.
``Seal of Office
``(d) The Commissioner shall cause a seal of office to be
made for the Administration of such design as the
Commissioner shall approve. Judicial notice shall be taken of
such seal.
``Data Exchanges
``(e)(1) Notwithstanding any other provision of law
(including subsections (b), (o), (p), (q), (r), and (u) of
section 552a of title 5, United States Code)--
``(A) the Secretary shall disclose to the Commissioner any
record or information requested in writing by the
Commissioner for the purpose of administering any program
administered by the Commissioner, if records or information
of such type were disclosed to the Commissioner of Social
Security in the Department of Health and Human Services under
applicable rules, regulations, and procedures in effect
before the date of the enactment of the Social Security
Independence and Program Improvements Act of 1994; and
``(B) the Commissioner shall disclose to the Secretary or
to any State any record or information requested in writing
by the Secretary to be so disclosed for the purpose of
administering any program administered by the Secretary, if
records or information of such type were so disclosed under
applicable rules, regulations, and procedures in effect
before the date of the enactment of the Social Security
Independence and Program Improvements Act of 1994.
``(2) The Commissioner and the Secretary shall enter into
an agreement under which the Commissioner provides the
Secretary data concerning the quality of the services and
information provided to beneficiaries of the programs under
titles XVIII and XIX and the administrative services provided
by the Social Security Administration in support of such
programs. Such agreement shall stipulate the type of data to
be provided and the terms and conditions under which the data
are to be provided.
``(3) The Commissioner and the Secretary shall periodically
review the need for exchanges of information not referred to
in paragraph (1) or (2) and shall enter into such agreements
as may be necessary and appropriate to provide information to
each other or to States in order to meet the programmatic
needs of the requesting agencies.
``(4)(A) Any disclosure from a system of records (as
defined in section 552a(a)(5) of title 5, United States Code)
pursuant to this subsection shall be made as a routine use
under subsection (b)(3) of section 552a of such title (unless
otherwise authorized under such section 552a).
``(B) Any computerized comparison of records, including
matching programs, between the Commissioner and the Secretary
shall be conducted in accordance with subsections (o), (p),
(q), (r), and (u) of section 552a of title 5, United States
Code.
``(5) The Commissioner and the Secretary shall each ensure
that timely action is taken to establish any necessary
routine uses for disclosures required under paragraph (1) or
agreed to pursuant to paragraph (3).''.
(b) Report on SES Positions under Comprehensive Work Force
Plan.--Within 60 days after the establishment by the
Commissioner of Social Security of the comprehensive work
force plan required under section 704(b)(2) of the Social
Security Act (as amended by this Act), the Director of the
Office of Personnel Management shall transmit to the
Committee on Ways and Means of the House of Representatives
and the Committee on Finance of the Senate a report
specifying the total number of Senior Executive Services
positions authorized for the Social Security Administration
in connection with such work force plan.
(c) Effective Date and Transition Rule for Certain Data
Exchange Provisions.--
(1) Effective date.--Section 704(e)(4) of the Social
Security Act (as amended by subsection (a)) shall take effect
March 31, 1996.
(2) Transition rule.--Notwithstanding any other provision
of law (including subsections (b), (o), (p), (q), (r), and
(u) of section 552a of title 5, United States Code),
arrangements for disclosure of records or other information,
and arrangements for computer matching of records, which were
in effect immediately before the date of the enactment of
this Act between the Social Security Administration in the
Department of Health and Human Services and other components
of such Department may continue between the Social Security
Administration established under section 701 of the Social
Security Act (as amended by this Act) and such Department
during the period beginning on the date of the enactment of
this Act and ending March 31, 1996.
SEC. 105. TRANSFERS TO THE NEW SOCIAL SECURITY
ADMINISTRATION.
(a) Functions.--
(1) In general.--There are transferred to the Social
Security Administration all functions of the Secretary of
Health and Human Services with respect to or in support of
the programs and activities the administration of which is
vested in the Social Security Administration by reason of
this title and the amendments made thereby. The Commissioner
of Social Security shall allocate such functions in
accordance with sections 701, 702, 703, and 704 of the Social
Security Act (as amended by this title).
(2) Functions of other agencies.--
(A) In general.--Subject to subparagraph (B), the Social
Security Administration shall also perform--
(i) the functions of the Department of Health and Human
Services, including functions relating to titles XVIII and
XIX of the Social Security Act (including adjudications,
subject to final decisions by the Secretary of Health and
Human Services), that the Social Security Administration in
such Department performed as of immediately before the date
of the enactment of this Act, and
(ii) the functions of any other agency for which
administrative responsibility was vested in the Social
Security Administration in the Department of Health and Human
Services as of immediately before the date of the enactment
of this Act.
(B) Rules governing continuation of functions in the
administration.--The Social Security Administration shall
perform, on behalf of the Secretary of Health and Human
Services (or the head of any other agency, as applicable),
the functions described in subparagraph (A) in accordance
with the same financial and other terms in effect on the day
before the date of the enactment of this Act, except to the
extent that the Commissioner and the Secretary (or other
agency head, as applicable) agree to alter such terms
pertaining to any such function or to terminate the
performance by the Social Security Administration of any such
function.
(b) Personnel, Assets, Etc.--
(1) In general.--There are transferred from the Department
of Health and Human Services to the Social Security
Administration, for appropriate allocation by the
Commissioner of Social Security in the Social Security
Administration--
(A) the personnel employed in connection with the functions
transferred by this title and the amendments made thereby;
and
(B) the assets, liabilities, contracts, property, records,
and unexpended balance of appropriations, authorizations,
allocations, and other funds employed, held, or used in
connection with such functions, arising from such functions,
or available, or to be made available, in connection with
such functions.
(2) Unexpended funds.--Unexpended funds transferred
pursuant to this subsection shall be used only for the
purposes for which the funds were originally appropriated.
(3) Employment protections.--
(A) In general.--During the 1-year period beginning March
31, 1995,--
(i) the transfer pursuant to this section of any full-time
personnel (except special Government employees) and part-time
personnel holding permanent positions shall not cause any
such personnel to be separated or reduced in grade or
compensation solely as a result of such transfer, and
(ii) except as provided in subparagraph (B), any such
personnel who were not employed in the Social Security
Administration in the Department of Health and Human Services
immediately before the date of the enactment of this Act
shall not be subject to directed reassignment to a duty
station outside their commuting area.
(B) Special rules.--
(i) In the case of personnel whose duty station is in the
Washington, District of Columbia, commuting area immediately
before March 31, 1995, subparagraph (A)(ii) shall not apply
with respect to directed reassignment to a duty station in
the Baltimore, Maryland, commuting area after September 30,
1995.
(ii) In the case of personnel whose duty station is in the
Baltimore, Maryland, commuting area immediately before March
31, 1995, subparagraph (A)(ii) shall not apply with respect
to directed reassignment to a duty station in the Washington,
District of Columbia, commuting area after September 30,
1995.
(4) Office space.--Notwithstanding section 7 of the Public
Buildings Act of 1959 (40 U.S.C. 606), and subject to
available appropriations, the Administrator of General
Services may, after consultation with the Commissioner of
Social Security and under such terms and conditions as the
Administrator finds to be in the interests of the United
States--
(A) acquire occupiable space in the metropolitan area of
Washington, District of Columbia, for housing the Social
Security Administration, and
(B) renovate such space as necessary.
(c) Inter-Agency Transfer Arrangement.--The Secretary of
Health and Human Services and the Commissioner of Social
Security shall enter into a written inter-agency transfer
arrangement (in this subsection referred to as the
``arrangement''), which shall be effective March 31, 1995.
Transfers made pursuant to this section shall be in
accordance with the arrangement, which shall specify the
personnel and resources to be transferred as provided under
this section. The terms of such arrangement shall be
transmitted not later than January 1, 1995, to the Committee
on Ways and Means of the House of Representatives, to the
Committee on Finance of the Senate, and to the Comptroller
General of the United States. Not later than February 15,
1995, the Comptroller General shall submit a report to each
such Committee setting forth an evaluation of such
arrangement.
SEC. 106. TRANSITION RULES.
(a) Transition Rules Relating to Officers of the Social
Security Administration.--
(1) Appointment of initial commissioner of social
security.--The President shall nominate for appointment the
initial Commissioner of Social Security to serve as head of
the Social Security Administration established under section
701 of the Social Security Act (as amended by this Act) not
later than 60 days after the date of the enactment of this
Act.
(2) Assumption of office of initial commissioner before
effective date of new agency.--If the appointment of the
initial Commissioner of Social Security pursuant to section
702 of the Social Security Act (as amended by this Act) is
confirmed by the Senate pursuant to such section 702 before
March 31, 1995, the individual shall take office as
Commissioner immediately upon confirmation, and, until March
31, 1995, such Commissioner shall perform the functions of
the Commissioner of Social Security in the Department of
Health and Human Services.
(3) Treatment of inspector general and other
appointments.--At any time on or after the date of the
enactment of this Act, any of the officers provided for in
section 702 of the Social Security Act (as amended by this
title) and any of the members of the Social Security Advisory
Board provided for in section 703 of such Act (as so amended)
may be nominated and take office, under the terms and
conditions set out in such sections.
(4) Compensation for initial officers and board members
before effective date of new agency.--Funds available to any
official or component of the Department of Health and Human
Services, functions of which are transferred to the
Commissioner of Social Security or the Social Security
Administration by this title, may, with the approval of the
Director of the Office of Management and Budget, be used to
pay the compensation and expenses of any officer or employee
of the new Social Security Administration and of any member
or staff of the Social Security Advisory Board who takes
office pursuant to this subsection before March 31, 1995,
until such time as funds for that purpose are otherwise
available.
(5) Interim role of current commissioner after effective
date of new agency.--In the event that, as of March 31, 1995,
an individual appointed to serve as the initial Commissioner
of Social Security has not taken office, until such initial
Commissioner has taken office, the officer serving on March
31, 1995, as Commissioner of Social Security (or Acting
Commissioner of Social Security, if applicable) in the
Department of Health and Human Services shall, while
continuing to serve as such Commissioner of Social Security
(or Acting Commissioner of Social Security), serve as
Commissioner of Social Security (or Acting Commissioner of
Social Security, respectively) in the Social Security
Administration established under such section 701 and shall
assume the powers and duties under such Act (as amended by
this Act) of the Commissioner of Social Security in the
Social Security Administration as so established under such
section 701. In the event that, as of March 31, 1995, the
President has not nominated an individual for appointment to
the office of Commissioner of Social Security in the Social
Security Administration established under such section 701,
then the individual serving as Commissioner of Social
Security (or Acting Commissioner of Social Security, if
applicable) in the Department of Health and Human Services
shall become the Acting Commissioner of Social Security in
the Social Security Administration as so established under
such section 701.
(6) Interim inspector general.--The Commissioner of Social
Security may appoint an individual to assume the powers and
duties under the Inspector General Act of 1978 of Inspector
General of the Social Security Administration as established
under section 701 of the Social Security Act for a period not
to exceed 60 days. The Inspector General of the Department of
Health and Human Services may, when so requested by the
Commissioner, while continuing to serve as Inspector General
in such Department, serve as Inspector General of the Social
Security Administration established under such section 701
and shall assume the powers and duties under the Inspector
General Act of 1978 of Inspector General of the Social
Security Administration as established under such section
701. The Social Security Administration shall reimburse the
Office of Inspector General of the Department of Health and
Human Services for costs of any functions performed pursuant
to this subsection, from funds available to the
Administration at the time the functions are performed. The
authority under this paragraph to exercise the powers and
duties of the Inspector General shall terminate upon the
entry upon office of an Inspector General for the Social
Security Administration under the Inspector General Act of
1978.
(7) Abolishment of office of commissioner of social
security in the department of health and human services.--
Effective when the initial Commissioner of Social Security of
the Social Security Administration established under section
701 of the Social Security Act (as amended by this title)
takes office pursuant to section 702 of such Act (as so
amended)--
(A) the position of Commissioner of Social Security in the
Department of Health and Human Services is abolished; and
(B) section 5315 of title 5, United States Code, is amended
by striking the following:
``Commissioner of Social Security, Department of Health and
Human Services.''.
(b) Continuation of Orders, Determinations, Rules,
Regulations, Etc.--All orders, determinations, rules,
regulations, permits, contracts, collective bargaining
agreements (and ongoing negotiations relating to such
collective bargaining agreements), recognitions of labor
organizations, certificates, licenses, and privileges--
(1) which have been issued, made, promulgated, granted, or
allowed to become effective, in the exercise of functions (A)
which were exercised by the Secretary of Health and Human
Services (or the Secretary's delegate), and (B) which relate
to functions which, by reason of this title, the amendments
made thereby, and regulations prescribed thereunder, are
vested in the Commissioner of Social Security; and
(2) which are in effect immediately before March 31, 1995,
shall (to the extent that they relate to functions described
in paragraph (1)(B)) continue in effect according to their
terms until modified, terminated, suspended, set aside, or
repealed by such Commissioner, except that any collective
bargaining agreement shall remain in effect until the date of
termination specified in such agreement.
(c) Continuation of Proceedings.--The provisions of this
title (including the amendments made thereby) shall not
affect any proceeding pending before the Secretary of Health
and Human Services immediately before March 31, 1995, with
respect to functions vested (by reason of this title, the
amendments made thereby, and regulations prescribed
thereunder) in the Commissioner of Social Security, except
that such proceedings, to the extent that such proceedings
relate to such functions, shall continue before such
Commissioner. Orders shall be issued under any such
proceeding, appeals taken therefrom, and payments shall be
made pursuant to such orders, in like manner as if this title
had not been enacted, and orders issued in any such
proceeding shall continue in effect until modified,
terminated, superseded, or repealed by such Commissioner, by
a court of competent jurisdiction, or by operation of law.
(d) Continuation of Suits.--Except as provided in this
subsection--
(1) the provisions of this title shall not affect suits
commenced before March 31, 1995; and
(2) in all such suits proceedings shall be had, appeals
taken, and judgments rendered, in the same manner and effect
as if this title had not been enacted.
No cause of action, and no suit, action, or other proceeding
commenced by or against any officer in such officer's
official capacity as an officer of the Department of Health
and Human Services, shall abate by reason of the enactment of
this title. In any suit, action, or other proceeding pending
immediately before March 31, 1995, the court or hearing
officer may at any time, on the motion of the court or
hearing officer or that of a party, enter an order which will
give effect to the provisions of this subsection (including,
where appropriate, an order for substitution of parties).
(e) Continuation of Penalties.--This title shall not have
the effect of releasing or extinguishing any civil or
criminal prosecution, penalty, forfeiture, or liability
incurred as a result of any function which (by reason of this
title, the amendments made thereby, and regulations
prescribed thereunder) is vested in the Commissioner of
Social Security.
(f) Judicial Review.--Orders and actions of the
Commissioner of Social Security in the exercise of functions
vested in such Commissioner under this title and the
amendments made thereby (other than functions performed
pursuant to 105(a)(2)) shall be subject to judicial review to
the same extent and in the same manner as if such orders had
been made and such actions had been taken by the Secretary of
Health and Human Services in the exercise of such functions
immediately before March 31, 1995. Any statutory requirements
relating to notice, hearings, action upon the record, or
administrative review that apply to any function so vested in
such Commissioner shall continue to apply to the exercise of
such function by such Commissioner.
(g) Exercise of Functions.--In the exercise of the
functions vested in the Commissioner of Social Security under
this title, the amendments made thereby, and regulations
prescribed thereunder, such Commissioner shall have the same
authority as that vested in the Secretary of Health and Human
Services with respect to the exercise of such functions
immediately preceding the vesting of such functions in such
Commissioner, and actions of such Commissioner shall have the
same force and effect as when exercised by such Secretary.
SEC. 107. CONFORMING AMENDMENTS TO TITLES II AND XVI OF THE
SOCIAL SECURITY ACT.
(a) In General.--Title II of the Social Security Act (42
U.S.C. 401 et seq.) (other than section 201, section 231(c),
section 226, and section 226A) and title XVI of such Act (42
U.S.C. 1382 et seq.) (other than section 1614(f)(2)(B)) are
each amended--
(1) by striking, wherever it appears, ``Secretary of Health
and Human Services'' and inserting ``Commissioner of Social
Security'';
(2) by striking, wherever it appears, ``Department of
Health and Human Services'' and inserting ``Social Security
Administration'';
(3) by striking, wherever it appears, ``Department'' (but
only if it is not immediately succeeded by the words ``of
Health and Human Services'', and only if it is used in
reference to the Department of Health and Human Services) and
inserting ``Administration'';
(4) by striking, wherever it appears, each of the following
words (but, in the case of any such word only if such word
refers to the Secretary of Health and Human Services):
``Secretary'', ``Secretary's'', ``his'', ``him'', ``he'',
``her'', and ``she'', and inserting (in the case of the word
``Secretary'') ``Commissioner of Social Security'', (in the
case of the word ``Secretary's'') ``Commissioner's'', (in the
case of the word ``his'') ``the Commissioner's'', (in the
case of the word ``him'') ``the Commissioner'', (in the case
of the word ``her'') ``the Commissioner'' or ``the
Commissioner's'', as may be appropriate, and (in the case of
the words ``she'' or ``he'') ``the Commissioner''; and
(b) Amendments to Section 201.--
(1) Subsections (a)(3), (a)(4), (b)(1), and (b)(2) of
section 201 of such Act (42 U.S.C. 401) are amended by
striking ``Secretary of Health and Human Services'' and
inserting ``Commissioner of Social Security''.
(2) Subsections (a)(3) and (b)(1) of section 201 of such
Act (42 U.S.C. 401) are amended by striking ``such
Secretary'' and inserting ``such Commissioner''.
(3) Section 201(c) of such Act (42 U.S.C. 401(c)) is
amended--
(A) in the first sentence, by inserting ``the Commissioner
of Social Security,'' before ``the Secretary of the
Treasury''; and
(B) in the fifth sentence, by striking ``Commissioner of
Social Security'' and inserting ``Deputy Commissioner of
Social Security''.
(4) Section 201(g)(1)(A) of such Act (42 U.S.C.
401(g)(1)(A)) is amended--
(A) in clause (i), by striking ``by him and the Secretary
of Health and Human Services'' and inserting ``by the
Managing Trustee, the Commissioner of Social Security, and
the Secretary of Health and Human Services'', and by striking
``by the Department of Health and Human Services and the
Treasury Department for the administration of titles II, XVI,
and XVIII of this Act'' and inserting ``by the Department of
Health and Human Services for the administration of title
XVIII of this Act, and by the Department of the Treasury for
the administration of titles II and XVIII of this Act'';
(B) in clause (ii), by striking ``method prescribed by the
Board of Trustees under paragraph (4)'' and inserting
``applicable method prescribed under paragraph (4)'', by
striking ``the Secretary of Health and Human Services'' and
inserting ``the Commissioner of Social Security'', and by
striking ``the Department of Health and Human Services'' and
inserting ``the Social Security Administration''; and
(C) in the matter following clause (ii), by striking
``titles II, XVI, and XVIII'' in the first sentence and
inserting ``titles II and XVIII'', and by striking the last
sentence and inserting the following: ``There are hereby
authorized to be made available for expenditure, out of any
or all of the Trust Funds, such amounts as the Congress may
deem appropriate to pay the costs of the part of the
administration of this title, title XVI, and title XVIII for
which the Commissioner of Social Security is responsible, the
costs of title XVIII for which the Secretary of Health and
Human Services is responsible, and the costs of carrying out
the functions of the Social Security Administration,
specified in section 232, which relate to the administration
of provisions of the Internal Revenue Code of 1986 other than
those referred to in clause (i) of the first sentence of this
subparagraph.''.
(4)(A) Section 201(g)(1) of such Act (42 U.S.C. 401(g)(1))
is further amended by striking subparagraph (B) and inserting
the following new subparagraphs:
``(B) After the close of each fiscal year--
``(i) the Commissioner of Social Security shall determine--
``(I) the portion of the costs, incurred during such fiscal
year, of administration of this title, title XVI, and title
XVIII for which the Commissioner is responsible and of
carrying out the functions of the Social Security
Administration, specified in section 232, which relate to the
administration of provisions of the Internal Revenue Code of
1986 (other than those referred to in clause (i) of the first
sentence of subparagraph (A)), which should have been borne
by the general fund of the Treasury,
``(II) the portion of such costs which should have been
borne by the Federal Old-Age and Survivors Insurance Trust
Fund,
``(III) the portion of such costs which should have been
borne by the Federal Disability Insurance Trust Fund,
``(IV) the portion of such costs which should have been
borne by the Federal Hospital Insurance Trust Fund, and
``(V) the portion of such costs which should have been
borne by the Federal Supplementary Medical Insurance Trust
Fund, and
``(ii) the Secretary of Health and Human Services shall
determine--
``(I) the portion of the costs, incurred during such fiscal
year, of the administration of title XVIII for which the
Secretary is responsible, which should have been borne by the
general fund of the Treasury,
``(II) the portion of such costs which should have been
borne by the Federal Hospital Insurance Trust Fund, and
``(III) the portion of such costs which should have been
borne by the Federal Supplementary Medical Insurance Trust
Fund.
``(C) After the determinations under subparagraph (B) have
been made for any fiscal year, the Commisioner of Social
Security and the Secretary shall each certify to the Managing
Trustee the amounts, if any, which should be transferred from
one to any of the other such Trust Funds and the amounts, if
any, which should be transferred between the Trust Funds (or
one of the Trust Funds) and the general fund of the Treasury,
in order to ensure that each of the Trust Funds and the
general fund of the Treasury have borne their proper share of
the costs, incurred during such fiscal year, for--
``(i) the parts of the administration of this title, title
XVI, and title XVIII for which the Commissioner of Social
Security is responsible,
``(ii) the parts of the administration of title XVIII for
which the Secretary is responsible, and
``(iii) carrying out the functions of the Social Security
Administration, specified in section 232, which relate to the
administration of provisions of the Internal Revenue Code of
1986 (other than those referred to in clause (i) of the first
sentence of subparagraph (A)).
The Managing Trustee shall transfer any such amounts in
accordance with any certification so made.
``(D) The determinations required under subclauses (IV) and
(V) of subparagraph (B)(i) shall be made in accordance with
the cost allocation methodology in existence on the date of
the enactment of the Social Security Independence and Program
Improvements Act of 1994, until such time as the methodology
for making the determinations required under such subclauses
is revised by agreement of the Commissioner and the
Secretary, except that the determination of the amounts to be
borne by the general fund of the Treasury with respect to
expenditures incurred in carrying out the functions of the
Social Security Administration specified in section 232 shall
be made pursuant to the applicable method prescribed under
paragraph (4).''.
(5) Section 201(g)(2) of such Act (42 U.S.C. 401(g)(2)) is
amended, in the second sentence, by striking ``established
and maintained by the Secretary of Health and Human
Services'' and inserting ``maintained by the Commissioner of
Social Security'', and by striking ``Secretary shall
furnish'' and inserting ``Commissioner of Social Security
shall furnish''.
(6) Section 201(g)(4) of such Act (42 U.S.C. 401(g)(4)) is
amended to read as follows:
``(4) The Commissioner of Social Security shall utilize the
method prescribed pursuant to this paragraph, as in effect
immediately before the date of the enactment of the Social
Security Independence and Program Improvements Act of 1994,
for determining the costs which should be borne by the
general fund of the Treasury of carrying out the functions of
the Commissioner, specified in section 232, which relate to
the administration of provisions of the Internal Revenue Code
of 1986 (other than those referred to in clause (i) of the
first sentence of paragraph (1)(A)). If at any time or times
thereafter the Boards of Trustees of such Trust Funds
consider such action advisable, they may modify the method of
determining such costs.''.
(7) Section 201(i)(1) of such Act (42 U.S.C. 401(i)(1)) is
amended to read as follows:
``(i)(1) The Managing Trustee may accept on behalf of the
United States money gifts and bequests made unconditionally
to the Federal Old-Age and Survivors Insurance Trust Fund,
the Federal Disability Insurance Trust Fund, the Federal
Hospital Insurance Trust Fund, or the Federal Supplementary
Medical Insurance Trust Fund or to the Social Security
Administration, the Department of Health and Human Services,
or any part or officer thereof, for the benefit of any of
such Funds or any activity financed through such Funds.''.
(8) Subsections (j) and (k) of section 201 of such Act (42
U.S.C. 401) are each amended by striking ``Secretary'' each
place it appears and inserting ``Commissioner of Social
Security''.
(9) Section 201(l)(3)(B)(iii)(II) of such Act (42 U.S.C.
401(l)(3)(B)(iii)(II)) is amended by striking ``Secretary''
and inserting ``Commissioner of Social Security''.
(10) Section 201(m)(3) of such Act (42 U.S.C. 401(m)(3)) is
amended by striking ``Secretary of Health and Human
Services'' and inserting ``Commissioner of Social Security''.
(c) Amendment to Section 231.--Section 231(c) of such Act
(42 U.S.C. 431(c)) is amended by striking ``Secretary
determines'' and inserting ``Commissioner of Social Security
and the Secretary jointly determine''.
SEC. 108. ADDITIONAL CONFORMING AMENDMENTS.
(a) Amendments to Title VII.--
(1) Title VII of the Social Security Act (42 U.S.C. 901 et
seq.) is amended by adding at the end the following new
section:
``DUTIES AND AUTHORITY OF SECRETARY
``Sec. 712. The Secretary shall perform the duties imposed
upon the Secretary by this Act. The Secretary is authorized
to appoint and fix the compensation of such officers and
employees, and to make such expenditures as may be necessary
for carrying out the functions of the Secretary under this
Act. The Secretary may appoint attorneys and experts without
regard to the civil service laws.''.
(2) Section 706 of such Act (42 U.S.C. 907) is repealed.
This paragraph shall not apply with respect to the Advisory
Council for Social Security appointed in 1994.
(3) Paragraph (2) of section 709(b) of such Act (42 U.S.C.
910(b)) is amended by striking ``(as estimated by the
Secretary)'' and inserting ``(for amounts which will be paid
from the Federal Old-Age and Survivors Insurance Trust Fund
and the Federal Disability Insurance Trust Fund, as estimated
by the Commissioner, and for amounts which will be paid from
the Federal Hospital Insurance Trust and the Federal
Supplementary Medical Insurance Trust Fund, as estimated by
the Secretary)''.
(b) Amendments to Title XI.--
(1) Section 1101(a) of such Act (42 U.S.C. 1301(a)) is
amended by adding at the end the following new paragraph:
``(10) The term `Administration' means the Social Security
Administration, except where the context requires
otherwise.''.
(2) Section 1106(a) of such Act (42 U.S.C. 1306(a)) is
amended--
(A) by inserting ``(1)'' after ``(a)'';
(B) by striking ``Department of Health and Human Services''
each place it appears and inserting ``applicable agency'';
(C) by striking ``Secretary'' each place it appears and
inserting ``head of the applicable agency''; and
(D) by adding at the end the following new paragraph:
``(2) For purposes of this subsection and subsection (b),
the term `applicable agency' means--
``(A) the Social Security Administration, with respect to
matter transmitted to or obtained by such Administration or
matter disclosed by such Administration, or
``(B) the Department of Health and Human Services, with
respect to matter transmitted to or obtained by such
Department or matter disclosed by such Department.''.
(3) Section 1106(b) of such Act (42 U.S.C. 1306(b)) is
amended--
(A) by striking ``Secretary'' each place it appears and
inserting ``head of the applicable agency''; and
(B) by striking ``Department of Health and Human Services''
and inserting ``applicable agency''.
(4) Section 1106(c) of such Act (42 U.S.C. 1306(c)) is
amended--
(A) by striking ``the Secretary'' the first place it
appears and inserting ``the Commissioner of Social Security
or the Secretary''; and
(B) by striking ``the Secretary'' each subsequent place it
appears and inserting ``such Commissioner or Secretary''.
(5) Section 1106(d) of such Act (added by section 311 of
this Act) is amended--
(A) by striking ``Secretary'' the first place it appears
and inserting ``Commissioner of Social Security'';
(B) by striking ``Secretary'' the second place it appears
and inserting ``Commissioner'';
(C) by striking ``Secretary'' the third place it appears
and inserting ``Commissioner in consultation with the
Secretary of Health and Human Services''; and
(D) by striking ``Secretary'' each subsequent place it
appears and inserting ``Commissioner''.
(6) Section 1107(b) of such Act (42 U.S.C. 1307(b)) is
amended by striking ``the Secretary of Health and Human
Services'' and inserting ``the Commissioner of Social
Security or the Secretary''.
(7) Section 1110 of such Act (42 U.S.C. 1310) is amended--
(A) by striking ``he'', ``his'', and ``him'' each place
they appear (except in subsection (b)(2)(A)) and inserting
``the Commissioner'', ``the Commissioner's'', and ``the
Commissioner'', respectively;
(B) in subsection (a)(2), by inserting ``(or the
Commissioner, with respect to any jointly financed
cooperative agreement or grant concerning titles II or XVI)''
after ``Secretary'';
(C) in subsection (b)(1)--
(i) by striking ``Secretary'' each place it appears in the
first two sentences and inserting ``Commissioner'';
(ii) by striking in the third sentence ``determined by the
Secretary,'' and inserting ``determined by the Commissioner
with respect to the old-age, survivors, and disability
insurance programs under title II and the supplemental
security income program under title XVI, and by the Secretary
with respect to other titles of this Act,''; and
(iii) by striking the fourth sentence and inserting the
following new sentences: ``If, in order to carry out a
project under this subsection, the Commissioner requests a
State to make supplementary payments (or the Commissioner
makes them pursuant to an agreement under section 1616) to
individuals who are not eligible therefor, or in amounts or
under circumstances in which the State does not make such
payments, the Commissioner shall reimburse such State for the
non-Federal share of such payments from amounts appropriated
to carry out title XVI. If, in order to carry out a project
under this subsection, the Secretary requests a State to
provide medical assistance under its plan approved under
title XIX to individuals who are not eligible therefor, or in
amounts or under circumstances in which the State does not
provide such medical assistance, the Secretary shall
reimburse such State for the non-Federal share of such
assistance from amounts appropriated to carry out title XVI,
which shall be provided by the Commissioner to the Secretary
for this purpose.'';
(D) in subsection (b)(2), by striking ``Secretary'' each
place it appears and inserting ``Commissioner''; and
(E) in subsection (b), by striking paragraph (3).
(8) Subsections (b) and (c) of section 1127 of such Act (42
U.S.C. 1320a-6) are each amended by striking ``Secretary''
and inserting ``Commissioner of Social Security''.
(9) Section 1128(f) of such Act (42 U.S.C. 1320a-7(f)) is
amended--
(A) in paragraph (1), by inserting after ``section 205(g)''
the following: ``, except that, in so applying such sections
and section 205(l), any reference therein to the Commissioner
of Social Security or the Social Security Administration
shall be considered a reference to the Secretary or the
Department of Health and Human Services, respectively'', and
(B) in paragraph (3), by inserting after ``title II'' the
following: ``, except that, in so applying such section and
section 205(l), any reference therein to the Commissioner of
Social Security shall be considered a reference to the
Secretary''.
(10)(A) Section 1129 of such Act (added by section 206(b)
of this Act) is amended--
(i) by striking ``Secretary'' each place it appears and
inserting ``Commissioner of Social Security'';
(ii) in subsection (a)(1)--
(I) by striking ``exclude, as provided in section 1128,''
and inserting ``recommend that the Secretary exclude, as
provided in section 1128,''; and
(II) by striking ``and to direct'' and all that follows
through ``determines'';
(iii) in subsection (g)--
(I) by striking ``Secretary's'' and inserting
``Commissioner's''; and
(II) by striking ``the provisions'' and all that follows
and inserting the following: ``the Commissioner shall notify
the Secretary of the final determination and the reasons
therefor, and the Secretary shall then notify the entities
described in section 1128A(h) of such final determination.'';
(iv) in subsection (k), by inserting ``based on a
recommendation under subsection (a)'' after ``section 1128'';
and
(v) in subsection (l) (added by section 206(e)(1)), by
striking ``Department of Health and Human Services'' and
inserting ``Social Security Administration''.
(B) Section 206(g) of this Act is amended--
(i) by striking ``Secretary of Health and Human Services''
and inserting ``Commissioner of Social Security''; and
(ii) by striking ``Secretary has exercised'' and inserting
``Commissioner has exercised''.
(11) Section 1131 of such Act (42 U.S.C. 1320b-1) is
amended--
(A) by striking ``Secretary'' each place it appears and
inserting ``Commissioner of Social Security'';
(B) in subsection (a)(1)(A), by adding ``or'' at the end;
(C) in subsection (a)(1)(B), by striking ``or'' at the end;
(D) by striking subsection (a)(1)(C);
(E) by redesignating subsection (a)(2) as subsection
(a)(3);
(F) by inserting after subsection (a)(1) the following new
paragraph:
``(2) the Secretary makes a finding of fact and a decision
as to the entitlement under section 226 of any individual to
hospital insurance benefits under part A of title XVIII,
or''; and
(G) in the matter in subsection (a) following paragraph (3)
(as so redesignated), by striking ``he'' and inserting ``the
Commissioner of Social Security'', by striking ``paragraph
(1)'' and inserting ``paragraph (1) or (2)'', by striking
``paragraph (2)'' and inserting ``paragraph (3)'', and by
striking ``paragraph (1) or (2)(A)'' and inserting
``paragraph (1), (2), or (3)(A)''.
(12) Section 1140 of such Act (42 U.S.C. 1320b-10) (as
amended by section 312 of this Act) is amended--
(A) in subsection (a)(2)--
(i) by inserting ``(A)'' after ``(2)'';
(ii) by striking ``or of the Department of Health and Human
Services'';
(iii) by striking ``which the Secretary shall prescribe''
and inserting ``which the Commissioner of Social Security
shall prescribe''; and
(iv) by adding at the end the following new subparagraph:
``(B) No person may, for a fee, reproduce, reprint, or
distribute any item consisting of a form, application, or
other publication of the Department of Health and Human
Services unless such person has obtained specific, written
authorization for such activity in accordance with
regulations which the Secretary shall prescribe.'';
(B) in subsection (b), by striking ``the Secretary'' and
inserting ``the Commissioner or the Secretary (as
applicable)'';
(C) in subsection (c)(2), by striking ``the Secretary''
each place it appears and inserting ``the Commissioner or the
Secretary (as applicable)''; and
(D) in subsection (d), by striking ``the Office of
Inspector General of the Department of Health and Human
Services'' and inserting ``the Office of the Inspector
General of the Social Security Administration or the Office
of the Inspector General of the Department of Health and
Human Services (as appropriate)''.
(13) Section 1141 of such Act (42 U.S.C. 1320b-11) is
amended--
(A) by striking ``Secretary'' each place it appears and
inserting ``Commissioner of Social Security'';
(B) by striking ``Secretary's'' each place it appears and
inserting ``Commissioner's'';
(C) in the first sentence of subsection (a), by striking
``under the direction of the Commissioner of Social
Security,''; and
(D) in subsection (d)(6), by striking ``Department of
Health Services and inserting ``Social Security
Administration''.
(14) Section 1155 of such Act (42 U.S.C. 1320c-4) is
amended by striking ``(to the same extent as is provided in
section 205(b))'' and all that follows and inserting ``(to
the same extent as beneficiaries under title II are entitled
to a hearing by the Commissioner of Social Security under
section 205(b)). For purposes of the preceding sentence,
subsection (l) of section 205 shall apply, except that any
reference in such subsection to the Commissioner of Social
Security or the Social Security Administration shall be
deemed a reference to the Secretary or the Department of
Health and Human Services, respectively. Where the amount in
controversy is $2,000 or more, such beneficiary shall be
entitled to judicial review of any final decision relating to
a reconsideration described in this subsection.''.
(c) Amendments to Title XVIII.--
(1) Section 1817 of such Act (42 U.S.C. 1395i) is amended--
(A) in subsection (a), by striking ``Secretary of Health
and Human Services'' each place it appears and inserting
``Commissioner of Social Security'';
(B) in subsection (b), by inserting ``the Commissioner of
Social Security,'' before ``the Secretary of the Treasury'';
and
(C) in subsection (f), by striking ``Secretary of Health
and Human Services'' each place it appears and inserting
``Commissioner of Social Security''.
(2) Section 1840(a) of such Act (42 U.S.C. 1395s(a)) is
amended--
(A) in paragraph (1), by striking ``Secretary'' and
inserting ``Commissioner of Social Security'', and by adding
at the end the following new sentence: ``Such regulations
shall be prescribed after consultation with the Secretary.'';
and
(B) in paragraph (2), by striking ``Secretary of Health and
Human Services'' and inserting ``Commissioner of Social
Security''.
(3) Section 1841(b) of such Act (42 U.S.C. 1395t) is
amended by inserting ``the Commissioner of Social Security,''
before ``the Secretary of the Treasury''.
(4) Section 1872 of such Act (42 U.S.C. 1395ii) is amended
by inserting after ``title II'' the following: ``, except
that, in applying such provisions with respect to this title,
any reference therein to the Commissioner of Social Security
or the Social Security Administration shall be considered a
reference to the Secretary or the Department of Health and
Human Services, respectively''.
(5) Sections 1866(h)(1), 1869(b)(1), and 1881(g)(3) of such
Act (42 U.S.C. 1395cc(h)(1), 1395ff(b)(1), 1395rr(g)(3)) are
amended by inserting after ``section 205(g)'' the following:
``, except that, in so applying such sections and in applying
section 205(l) thereto, any reference therein to the
Commissioner of Social Security or the Social Security
Administration shall be considered a reference to the
Secretary or the Department of Health and Human Services,
respectively''.
(6) Section 1876(c)(5)(B) of such Act (42 U.S.C.
1395mm(c)(5)(B)) is amended by adding at the end the
following: ``In applying sections 205(b) and 205(g) as
provided in this subparagraph, and in applying section 205(l)
thereto, any reference therein to the Commissioner of Social
Security or the Social Security Administration shall be
considered a reference to the Secretary or the Department of
Health and Human Services, respectively.''.
(d) Amendments to Title XIX.--
(1) Section 1902(a)(10)(A)(ii)(XI) of such Act (42 U.S.C.
1396a(a)(10)(A)(ii)(XI)) is amended by striking ``Secretary''
and inserting ``Commissioner of Social Security''.
(2) Section 1905(j) of such Act (42 U.S.C. 1396d(j)) is
amended by striking ``Secretary'' and inserting
``Commissioner of Social Security''.
(3) Section 1905(q)(2) of such Act (42 U.S.C. 1396d(q)(2))
is amended by striking ``Secretary'' and inserting
``Commissioner of Social Security''.
(4) Section 1910(b)(2) of such Act (42 U.S.C. 1396i(b)(2))
is amended, in the first sentence, by inserting after
``section 205(g)'' the following: ``, except that, in so
applying such sections and in applying section 205(l)
thereto, any reference therein to the Commissioner of Social
Security or the Social Security Administration shall be
considered a reference to the Secretary or the Department of
Health and Human Services, respectively''.
(5) Section 1918 of such Act (42 U.S.C. 1396q) is amended
by inserting after ``title II'' the following: ``, except
that, in so applying such subsections, and in applying
section 205(l) thereto, with respect to this title, any
reference therein to the Commissioner of Social Security or
the Social Security Administration shall be considered a
reference to the Secretary or the Department of Health and
Human Services, respectively''.
(e) Amendments to Title 5, United States Code.--Title 5,
United States Code, is amended--
(1) by adding at the end of section 5312 the following new
item:
``Commissioner of Social Security, Social Security
Administration.'';
(2) by adding at the end of section 5313 the following new
item:
``Deputy Commissioner of Social Security, Social Security
Administration.'';
(3) by adding at the end of section 5315 the following new
item:
``Inspector General, Social Security Administration.'';
(4) by striking ``Secretary of Health, Education, and
Welfare'' each place it appears in section 8141 and inserting
``Commissioner of Social Security''; and
(5) by striking ``Secretary of Health and Human Services''
in section 8347(m)(3) and inserting ``Commissioner of Social
Security''.
(f) Amendments to Food Stamp Act of 1977.--
(1) Sections 6(c)(3) and 8(e)(6) of the Food Stamp Act of
1977 (7 U.S.C. 2015(c)(3) and 2017(e)(6)) are each amended by
inserting ``the Commissioner of Social Security and'' before
``the Secretary of Health and Human Services''.
(2) Sections 6(g), 11(j), and 16(e) of such Act (7 U.S.C.
2015(g), 2020(j), and 2025(e)) are each amended by striking
``Secretary of Health and Human Services'' each place it
appears and inserting ``Commissioner of Social Security''.
(3) Section 11(i) of such Act (7 U.S.C. 2020(i)) is amended
by adding ``, the Commissioner of Social Security'' after
``the Secretary''.
(g) Amendment to Title 14, United States Code.--Section
707(e)(3) of title 14, United States Code, is amended by
striking ``Secretary of Health and Human Services'' each
place it appears and inserting ``Commissioner of Social
Security''.
(h) Amendments to Internal Revenue Code of 1986.--
(1) Subsections (c)(1), (c)(2)(E), (e)(2), (g)(1),
(g)(2)(A), and (g)(2)(B) of section 1402 of the Internal
Revenue Code of 1986 are amended by striking ``Secretary of
Health and Human Services'' each place it appears and
inserting ``Commissioner of Social Security''.
(2) Section 3121(b)(10)(B) of such Code is amended by
striking ``Secretary of Health and Human Services'' each
place it appears and inserting ``Commissioner of Social
Security''.
(3) Section 3127 of such Code is amended by striking
``Secretary of Health and Human Services'' each place it
appears and inserting ``Commissioner of Social Security''.
(4) Section 6050F(c)(1)(A) of such Code is amended by
striking ``Secretary of Health and Human Services'' and
inserting ``Commissioner of Social Security''.
(5) Subsections (d) and (f) of section 6057 of such Code
are amended by striking ``Secretary of Health and Human
Services'' each place it appears and inserting ``Commissioner
of Social Security''.
(6) Section 6103(l)(5) of such Code is amended--
(A) by striking ``Department of Health and Human Services''
in the heading and inserting ``Social Security
Administration''; and
(B) by striking ``Secretary of Health and Human Services''
and inserting ``Commissioner of Social Security''.
(7) Subsections (d)(3)(C) and (e) of section 6402 of such
Code are amended by striking ``Secretary of Health and Human
Services'' each place it appears and inserting ``Commissioner
of Social Security''.
(8) Section 6511(d)(5) of such Code is amended by striking
``Secretary of Health and Human Services'' and inserting
``Commissioner of Social Security''.
(9)(A) Subsections (b)(2) and (h) of section 9704 of such
Code are amended by striking ``Secretary of Health and Human
Services'' and inserting ``Commissioner of Social Security''.
(B) Section 9706 of such Code is amended--
(i) by striking ``Secretary of Health and Human Services''
each place it appears and inserting ``Commissioner of Social
Security'';
(ii) in such section as amended by clause (i), by striking
``Secretary'' each place it appears and inserting
``Commissioner''; and
(iii) in subsection (d)(3), by striking ``Secretary's'' and
inserting ``Commissioner's''.
(i) Amendments to Black Lung Benefits Act.--
(1) Section 402(c) of the Black Lung Benefits Act (30
U.S.C. 902(c)) is amended by striking ``where used in part
B'' and all that follows through ``part C'' and insert
``where used in part C''.
(2) Part B of such Act (30 U.S.C. 921 et seq.) is amended
by striking ``Secretary of Health, Education, and Welfare''
each place it appears and inserting ``Commissioner of Social
Security, and by striking ``Secretary'' each place it
otherwise appears in reference to the Secretary of Health and
Human Services and inserting ``Commissioner of Social
Security''.
(3) Section 426 of such Act (30 U.S.C. 936) is amended--
(A) in subsection (a), by striking ``and the Secretary of
Health, Education, and Welfare'' and inserting ``, the
Commissioner of Social Security, and the Secretary of Health
and Human Services''; and
(B) in subsection (b), by striking ``the Secretary of
Health, Education, and Welfare'' and inserting ``the
Commissioner of Social Security''.
(4) Section 435 of such Act (30 U.S.C. 945) is amended by
striking ``Secretary of Health, Education, and Welfare'' each
place it appears and inserting ``Commissioner of Social
Security''.
(5) Section 508 of such Act (30 U.S.C. 957) is amended by
striking ``the Secretary of Health, Education, and Welfare,''
and inserting ``the Secretary of Health and Human Services,
the Commissioner of Social Security,''.
(j) Amendments to Title 31, United States Code.--
(1) Section 901(b)(2) of title 31, United States Code, is
amended by adding at the end the following:
``(H) The Social Security Administration.''.
(2) Section 3720A(f)(2) of such title is amended by
striking ``Secretary of Health and Human Services'' each
place it appears in and inserting ``Commissioner of Social
Security''.
(k) Amendments to Title 38, United States Code.--Section
5105 of title 38, United States Code, is amended--
(1) by striking ``Secretary of Health and Human Services''
each place it appears and inserting ``Commissioner of Social
Security''; and
(2) by striking the second sentence of subsection (b) and
inserting the following new sentence: ``A copy of each such
application filed with either the Secretary or the
Commissioner, together with any additional information and
supporting documents (or certifications thereof) which may
have been received by the Secretary or the Commissioner with
such application, and which may be needed by the other
official in connection therewith, shall be transmitted by the
Secretary or the Commissioner receiving the application to
the other official.''.
(l) Amendments to Inspector General Act of 1978.--
(1) Section 9(a)(1) of the Inspector General Act of 1978 (5
U.S.C. App.) is amended--
(A) by striking ``and'' at the end of suchparagraph (V);
and
(B) by adding at the end the following new subparagraph:
``(W) of the Social Security Administration, the functions
of the Inspector General of the Department of Health and
Human Services which are transferred to the Social Security
Administration by the Social Security Independence and
Program Improvements Act of 1994 (other than functions
performed pursuant to section 105(a)(2) of such Act), except
that such transfers shall be made in accordance with the
provisions of such Act and shall not be subject to
subsections (b) through (d) of this section; and''.
(2) Section 11 of such Act (5 U.S.C. App.) is amended--
(A) in paragraph (1), by inserting ``; or the Commissioner
of Social Security, Social Security Administration'' before
``; as the case may be''; and
(B) in paragraph (2), by inserting ``, or the Social
Security Administration'' before ``; as the case may be''.
(m) Section 505 of the Social Security Disability
Amendments of 1980.--Section 505 of the Social Security
Disability Amendments of 1980 is amended--
(1) in subsection (a), by striking ``Secretary of Health
and Human Services'' and inserting ``Commissioner of Social
Security'';
(2) in subsection (a)(3), by amending the first sentence to
read as follows: ``In the case of any experiment or
demonstration project under paragraph (1) which is initiated
before June 10, 1996, the Commissioner may waive compliance
with the benefit requirements of title II of the Social
Security Act, and the Secretary of Health and Human Services
may (upon the request of the Commissioner) waive compliance
with the benefits requirements of title XVIII of such Act,
insofar as is necessary for a thorough evaluation of the
alternative methods under consideration.''; and
(3) in subsections (a) and (c), by striking ``Secretary''
each place it otherwise appears and inserting
``Commissioner''.
SEC. 109. RULES OF CONSTRUCTION.
(a) References to the Department of Health and Human
Services.--Whenever any reference is made in any provision of
law (other than this title or a provision of law amended by
this title), regulation, rule, record, or document to the
Department of Health and Human Services with respect to such
Department's functions under the old-age, survivors, and
disability insurance program under title II of the Social
Security Act or the supplemental security income program
under title XVI of such Act or other functions performed by
the Social Security Administration pursuant to section
105(a)(2) of this Act, such reference shall be considered a
reference to the Social Security Administration.
(b) References to the Secretary of Health and Human
Services.--Whenever any reference is made in any provision of
law (other than this title or a provision of law amended by
this title), regulation, rule, record, or document to the
Secretary of Health and Human Services with respect to such
Secretary's functions under the old-age, survivors, and
disability insurance program under title II of the Social
Security Act or the supplemental security income program
under title XVI of such Act or other functions performed by
the Commissioner of Social Security pursuant to section
105(a)(2) of this Act, such reference shall be considered a
reference to the Commissioner of Social Security.
(c) References to Other Officers and Employees.--Whenever
any reference is made in any provision of law (other than
this title or a provision of law amended by this title),
regulation, rule, record, or document to any other officer or
employee of the Department of Health and Human Services with
respect to such officer or employee's functions under the
old-age, survivors, and disability insurance program under
title II of the Social Security Act or the supplemental
security income program under title XVI of such Act or other
functions performed by the officer or employee of the Social
Security Administration pursuant to section 105(a)(2) of this
Act, such reference shall be considered a reference to the
appropriate officer or employee of the Social Security
Administration.
SEC. 110. EFFECTIVE DATES.
(a) In General.--Except as otherwise provided in this
title, this title, and the amendments made by such title,
shall take effect March 31, 1995.
(b) Transition Rules.--Section 106 shall take effect on the
date of the enactment of this Act.
(c) Exceptions.--The amendments made by section 103,
subsections (b)(4) and (c) of section 105, and subsections
(a)(1), (e)(1), (e)(2), (e)(3), and (l)(2) of section 108
shall take effect on the date of the enactment of this Act.
TITLE II--PROGRAM IMPROVEMENTS RELATING TO OASDI AND SSI
SEC. 201. RESTRICTIONS ON PAYMENT OF BENEFITS BASED ON
DISABILITY TO SUBSTANCE ABUSERS.
(a) Amendments Relating to Benefits Based on Disability
Under Title II of the Social Security Act.--
(1) Required payment of benefits to representative
payees.--
(A) In general.--Section 205(j)(1) of the Social Security
Act (42 U.S.C. 405(j)(1)) is amended--
(i) by inserting ``(A)'' after ``(j)(1)'';
(ii) in the last sentence, by inserting ``, if the interest
of the individual under this title would be served thereby,''
after ``alternative representative payee or''; and
(iii) by adding at the end the following new subparagraph:
``(B) In the case of an individual entitled to benefits
based on disability, if alcoholism or drug addiction is a
contributing factor material to the Secretary's determination
that the individual is under a disability, certification of
payment of such benefits to a representative payee shall be
deemed to serve the interest of such individual under this
title. In any case in which such certification is so deemed
under this subparagraph to serve the interest of an
individual, the Secretary shall include, in such individual's
notification of entitlement, a notice that alcoholism or drug
addiction is a contributing factor material to the
Secretary's determination of such individual's disability and
that the Secretary is therefore required to make a
certification of payment of such individual's benefits to a
representative payee.''.
(B) Conforming amendment.--Section 205(j)(2)(D)(ii)(II) of
such Act (42 U.S.C. 402(j)(2)(D)(ii)(II)) is amended by
striking ``or under the age of 15'' and inserting ``, under
the age of 15 years, or (if alcoholism or drug addiction is a
contributing factor material to the Secretary's determination
that the individual is under a disability) is eligible for
benefits under this title by reason of disability.''.
(C) 90-day delay in deferral or suspension of benefits for
current beneficiaries.--In the case of an individual who, as
of 180 days after the date of the enactment of this Act, has
been determined to be under a disability, if alcoholism or
drug addiction is a contributing factor material to the
determination of the Secretary of Health and Human Services
that the individual is under a disability, the Secretary may,
notwithstanding clauses (i) and (ii) of section 205(j)(2)(D)
of the Social Security Act, make direct payment of benefits
to such individual during the 90-day period commencing with
the date on which such individual is provided the notice
described in subparagraph (D)(ii) of this paragraph, until
such time during such period as the selection of a
representative payee is made pursuant to section 205(j) of
such Act.
(D) Effective date.--
(i) General rule.--Except as provided in clause (ii), the
amendments made by this paragraph shall apply with respect to
benefits paid in months beginning after 180 days after the
date of the enactment of this Act.
(ii) Treatment of current beneficiaries.--In any case in
which--
(I) an individual is entitled to benefits based on
disability (as defined in section 205(j)(7) of the Social
Security Act, as amended by this section),
(II) the determination of disability was made by the
Secretary of Health and Human Services during or before the
180-day period following the date of the enactment of this
Act, and
(III) alcoholism or drug addiction is a contributing factor
material to the Secretary's determination that the individual
is under a disability,
the amendments made by this paragraph shall apply with
respect to benefits paid in months after the month in which
such individual is notified by the Secretary in writing that
alcoholism or drug addiction is a contributing factor
material to the Secretary's determination and that the
Secretary is therefore required to make a certification of
payment of such individual's benefits to a representative
payee.
(E) Study regarding feasibility, cost, and equity of
requiring representative payees for all disability
beneficiaries suffering from alcoholism or drug addiction.--
(i) Study.--As soon as practicable after the date of the
enactment of this Act, the Secretary of Health and Human
Services shall conduct a study of the representative payee
program. In such study, the Secretary shall examine--
(I) the feasibility, cost, and equity of requiring
representative payees for all individuals entitled to
benefits based on disability under title II or XVI of the
Social Security Act who suffer from alcoholism or drug
addiction, irrespective of whether the alcoholism or drug
addiction was material in any case to the Secretary's
determination of disability,
(II) the feasibility, cost, and equity of providing
benefits through non-cash means, including (but not limited
to) vouchers, debit cards, and electronic benefits transfer
systems,
(III) the extent to which child beneficiaries are afflicted
by drug addition or alcoholism and ways of addressing such
affliction, including the feasibility of requiring treatment,
and
(IV) the extent to which children's representative payees
are afflicted by drug addiction or alcoholism, and methods to
identify children's representative payees afflicted by drug
addition or alcoholism and to ensure that benefits continue
to be provided to beneficiaries appropriately.
(ii) Report.--Not later than December 31, 1995, the
Secretary shall transmit to the Committee on Ways and Means
of the House of Representatives and the Committee on Finance
of the Senate a report setting forth the findings of the
Secretary based on such study. Such report shall include such
recommendations for administrative or legislative changes as
the Secretary considers appropriate.
(2) Increased reliance on professional representative
payees.--
(A) Preference required for organizational representative
payees.--Section 205(j)(2)(C) of such Act (42 U.S.C.
405(j)(2)(C)) is amended by adding at the end the following
new clause:
``(v) In the case of an individual entitled to benefits
based on disability, if alcoholism or drug addiction is a
contributing factor material to the Secretary's determination
that the individual is under a disability, when selecting
such individual's representative payee, preference shall be
given to--
``(I) a community-based nonprofit social service agency
licensed or bonded by the State,
``(II) a Federal, State, or local government agency whose
mission is to carry out income maintenance, social service,
or health care-related activities,
``(III) a State or local government agency with fiduciary
responsibilities, or
``(IV) a designee of an agency (other than of a Federal
agency) referred to in the preceding subclauses of this
clause, if the Secretary deems it appropriate,
unless the Secretary determines that selection of a family
member would be appropriate.''.
(B) Availability of public agencies and other qualified
organizations to serve as representative payees.--
(i) Allowable fees.--Section 205(j)(4)(A) of such Act (42
U.S.C. 405(j)(4)) is amended--
(I) by redesignating clauses (i) and (ii) as subclauses (I)
and (II), respectively;
(II) by inserting ``(i)'' after ``(4)(A)'';
(III) by striking subclause (II) (as redesignated by
subclause (I) of this clause) and inserting the following:
``(II) $25.00 per month ($50.00 per month in any case in
which the individual is entitled to benefits based on
disability and alcoholism or drug addiction is a contributing
factor material to the Secretary's determination that the
individual is under a disability).'';
(IV) by inserting, after and below subclause (II) (as
amended), the following new sentence:
``The Secretary shall adjust annually (after 1995) each
dollar amount set forth in subclause (II) under procedures
providing for adjustments in the same manner and to the same
extent as adjustments are provided for under the procedures
used to adjust benefit amounts under section 215(i)(2)(A),
except that any amount so adjusted that is not a multiple of
$1.00 shall be rounded to the nearest multiple of $1.00.'';
and
(V) by adding at the end the following new clause:
``(ii) In the case of an individual who is no longer
currently entitled to monthly insurance benefits under this
title but to whom all past-due benefits have not been paid,
for purposes of clause (i), any amount of such past-due
benefits payable in any month shall be treated as a monthly
benefit referred to in clause (i)(I).''.
(ii) Inclusion of State and local agencies as qualified
organizations.--Section 205(j)(4)(B) of such Act (42 U.S.C.
405(j)(4)(B))) is amended--
(I) by inserting ``State or local government agency whose
mission is to carry out income maintenance, social service,
or health care-related activities, any State or local
government agency with fiduciary responsibilities, or any''
after ``means any'';
(II) by striking ``representative payee and which,'' and
inserting ``representative payee, if such agency,'';
(III) by striking ``, and'' at the end of clause (ii) and
inserting a period; and
(IV) by striking clause (iii).
(iii) Retroactive repeal of sunset.--Effective July 1,
1994, section 205(j)(4) of such Act (42 U.S.C. 405(j)(4)) is
amended by striking subparagraph (D).
(C) Definition.--Section 205(j) of such Act (42 U.S.C.
405(j)) is amended by adding at the end the following new
paragraph:
``(7) For purposes of this subsection, the term `benefit
based on disability' of an individual means a disability
insurance benefit of such individual under section 223 or a
child's, widow's, or widower's insurance benefit of such
individual under section 202 based on such individual's
disability.''.
(D) Effective date.--Except as provided in subparagraph
(B)(iii), the amendments made by this paragraph shall apply
with respect to months beginning after 90 days after the date
of the enactment of this Act.
(3) Nonpayment or termination of benefits.--
(A) In general.--Section 225 of such Act (42 U.S.C. 425) is
amended--
(i) by striking the heading and inserting the following:
``additional rules relating to benefits based on disability
``Suspension of Benefits'';
(ii) by inserting before subsection (b) the following new
heading:
``Continued Payments During Rehabilitation Program'';
and
(iii) by adding at the end the following new subsection:
``Nonpayment or Termination of Benefits Where Entitlement Involves
Alcoholism or Drug Addiction
``(c)(1)(A) In the case of any individual entitled to
benefits based on disability, if alcoholism or drug addiction
is a contributing factor material to the Secretary's
determination that such individual is under a disability,
such individual shall comply with the provisions of this
subsection. In any case in which an individual is required to
comply with the provisions of this subsection, the Secretary
shall include, in such individual's notification of
entitlement, a notice informing such individual of such
requirement.
``(B) Notwithstanding any other provision of this title, if
an individual who is required under subparagraph (A) to
comply with the provisions of this subsection is determined
by the Secretary not to be in compliance with the provisions
of this subsection, such individual's benefits based on
disability shall be suspended for a period--
``(i) commencing with the first month following the month
in which such individual is notified by the Secretary of the
determination of noncompliance and that the individual's
benefits will be suspended, and
``(ii) ending with the month preceding the first month,
after the determination of noncompliance, in which such
individual demonstrates that he or she has reestablished and
maintained compliance with such provisions for the applicable
period specified in paragraph (3).
``(2)(A) An individual described in paragraph (1) is in
compliance with the requirements of this subsection for a
month if in such month--
``(i) such individual undergoes substance abuse treatment
which is appropriate for such individual's condition
diagnosed as alcoholism or drug addiction and for the stage
of such individual's rehabilitation and which is conducted at
an institution or facility approved for purposes of this
subsection by the Secretary, and
``(ii) such individual complies in such month with the
terms, conditions, and requirements of such treatment and
with requirements imposed by the Secretary under paragraph
(5).
``(B) An individual described in paragraph (1) may be
determined as failing to comply with the requirements of this
subsection for a month only if treatment meeting the
requirements of subparagraph (A)(i) is available for that
month, as determined pursuant to regulations of the
Secretary.
``(3) The applicable period specified in this paragraph
is--
``(A) 2 consecutive months, in the case of a first
determination that an individual is not in compliance with
the requirements of this subsection,
``(B) 3 consecutive months, in the case of the second such
determination with respect to the individual, or
``(C) 6 consecutive months, in the case of the third or
subsequent such determination with respect to the individual.
``(4) In any case in which an individual's benefit is
suspended for a period of 12 consecutive months for failure
to comply with treatment described in paragraph (2) of this
subsection, the month following such period shall be deemed,
for purposes of section 223(a)(1) or subsection (d)(1)(G)(i),
(e)(1), or (f)(1) of section 202 (as applicable), the
termination month with respect to such entitlement.
``(5)(A) The Secretary shall provide for the monitoring and
testing of individuals who are receiving benefits under this
title and who as a condition of payment of such benefits are
required to be undergoing treatment under paragraph (1) and
complying with the terms, conditions, and requirements
thereof as described in paragraph (2)(A), in order to assure
such compliance.
``(B) The Secretary, in consultation with drug and alcohol
treatment professionals, shall issue regulations--
``(i) defining appropriate treatment for alcoholics and
drug addicts who are subject to appropriate substance abuse
treatment required under this subsection, and
``(ii) establishing guidelines to be used to review and
evaluate their compliance, including measures of the progress
expected to be achieved by participants in such programs.
``(C)(i) For purposes of carrying out the requirements of
subparagraphs (A) and (B), the Secretary shall provide for
the establishment of one or more referral and monitoring
agencies for each State.
``(ii) Each referral and monitoring agency for a State
shall--
``(I) identify appropriate placements, for individuals
residing in such State who are entitled to benefits based on
disability and with respect to whom alcoholism or drug
addiction is a contributing factor material to the
Secretary's determination that they are under a disability,
where they may obtain treatment described in paragraph
(2)(A),
``(II) refer such individuals to such placements for such
treatment, and
``(III) monitor compliance with the requirements of
paragraph (2)(A) by individuals who are referred by the
agency to such placements and promptly report failures to
comply to the Secretary.
``(D) There are authorized to be transferred from the
Federal Old-Age and Survivors Insurance Trust Fund and the
Federal Disability Insurance Trust Fund such sums as are
necessary to carry out the requirements of this paragraph for
referral, monitoring, and testing.
``(6)(A) In the case of any individual who is entitled to a
benefit based on disability for any month, if alcoholism or
drug addiction is a contributing factor material to the
Secretary's determination that the individual is under a
disability, payment of any past-due monthly insurance
benefits under this title to which such individual is
entitled shall be made in any month only to the extent that
the sum of--
``(i) the amount of such past-due benefit paid in such
month, and
``(ii) the amount of any benefit for the preceding month
under such current entitlement which is payable in such
month,
does not exceed, subject to subparagraph (B), twice the
amount of such individual's benefit for the preceding month
(determined without applying any reductions or deductions
under this title).
``(B)(i) In the case of an individual who is no longer
currently entitled to monthly insurance benefits under this
title but to whom any amount of past-due benefits has not
been paid, for purposes of subparagraph (A), such
individual's monthly insurance benefit for such individual's
last month of entitlement shall be treated as such
individual's benefit for the preceding month.
``(ii) For the first month in which an individual's past-
due benefits referred to in subparagraph (A) are paid, the
amount of the limitation provided in subparagraph (A) shall
be increased by the amount of any debts of such individual
related to housing which are outstanding as of the end of the
preceding month and which are resulting in a high risk of
homelessness for such individual.
``(C) Upon the death of an individual to whom payment of
past-due benefits has been limited under subparagraph (A),
any amount of such past-due benefits remaining unpaid shall
be treated as an underpayment for purposes of section 204.
``(D) In the case of an individual who would be entitled to
benefits based on disability but for termination of such
benefits under paragraph (4) or (7), such individual shall be
entitled to payment of past-due benefits under this paragraph
as if such individual continued to be entitled to such
terminated benefits.
``(7)(A) Subject to subparagraph (B), in the case of any
individual entitled to benefits based on disability, if--
``(i) alcoholism or drug addiction is a contributing factor
material to the Secretary's determination that such
individual is under a disability, and
``(ii) as of the end of the 36-month period beginning with
such individual's first month of entitlement, such individual
would not otherwise be disabled but for alcoholism or drug
addiction,
the month following such 36-month period shall be deemed, for
purposes of section 223(a)(1) or subsection (d)(1)(G)(i),
(e)(1), or (f)(1) of section 202 (as applicable), the
termination month with respect to such entitlement. Such
individual whose entitlement is terminated under this
paragraph may not be entitled to benefits based on disability
for any month following such 36-month period if, in such
following month, alcoholism or drug addiction is a
contributing factor material to the Secretary's determination
that such individual is under a disability.
``(B) In determining whether the 36-month period referred
to in subparagraph (A) has elapsed--
``(i) a month shall not be taken into account unless the
Secretary determines, under regulations of the Secretary,
that treatment required under this subsection is available to
the individual for the month, and
``(ii) any month for which a suspension is in effect for
the individual under paragraph (1)(B) shall not be taken into
account.
``(8) Monthly insurance benefits under this title which
would be payable to any individual (other than the disabled
individual to whom benefits are not payable by reason of this
subsection) on the basis of the wages and self-employment
income of such disabled individual but for the provisions of
paragraph (1), (4), or (7) shall be payable as though such
paragraph did not apply.
``(9) For purposes of this subsection, the term `benefit
based on disability' of an individual means a disability
insurance benefit of such individual under section 223 or a
child's, widow's, or widower's insurance benefit of such
individual under section 202 based on the disability of such
individual.''.
(B) Report.--Not later than December 31, 1996, the
Secretary shall submit to the Committee on Ways and Means of
the House of Representatives and the Committee on Finance of
the Senate a full and complete report on the Secretary's
activities under paragraph (5) of section 225(c) of the
Social Security Act (as amended by subparagraph (A)). Such
report shall include the number and percentage of individuals
referred to in such paragraph who have not received regular
drug testing since the effective date of such paragraph.
(C) Sunset of 36-month rule.--Section 225(c)(7) of the
Social Security Act (added by subparagraph (A)) shall cease
to be effective with respect to benefits for months after
September 2004.
(D) Preservation of medicare benefits.--
(i) Section 226 of such Act (42 U.S.C. 426) is amended by
adding at the end the following:
``(i) For purposes of this section, each person whose
monthly insurance benefit for any month is terminated or is
otherwise not payable solely by reason of paragraph (1) or
(7) of section 225(c) shall be treated as entitled to such
benefit for such month.''.
(ii) Section 226A of such Act (42 U.S.C. 426A) is amended
by adding at the end the following:
``(c) For purposes of this section, each person whose
monthly insurance benefit for any month is terminated or is
otherwise not payable solely by reason of paragraph (1) or
(7) of section 225(c) shall be treated as entitled to such
benefit for such month.''.
(E) Effective date.--
(i) In general.--Except as otherwise provided in this
paragraph, the amendments made by this paragraph shall apply
with respect to benefits based on disability (as defined in
section 225(c)(9) of the Social Security Act, added by this
section) which are otherwise payable in months beginning
after 180 days after the date of the enactment of this Act.
The Secretary of Health and Human Services shall issue
regulations necessary to carry out the amendments made by
this paragraph not later than 180 days after the date of the
enactment of this Act.
(ii) Referral and monitoring agencies.--Section 225(c)(5)
of the Social Security Act (added by this subsection) shall
take effect 180 days after the date of the enactment of this
Act.
(iii) Termination after 36 months.--Section 225(c)(7) of
the Social Security Act (added by this subsection) shall
apply with respect to benefits based on disability (as so
defined) for months beginning after 180 days after the date
of the enactment of this Act.
(F) Transition rules for current beneficiaries.--In any
case in which an individual is entitled to benefits based on
disability, the determination of disability was made by the
Secretary of Health and Human Services during or before the
180-day period following the date of the enactment of this
Act, and alcoholism or drug addiction is a contributing
factor material to the Secretary's determination that the
individual is under a disability--
(i) Treatment requirement.--Paragraphs (1) through (4) of
section 225(c) of the Social Security Act (added by this
subsection) shall apply only with respect to benefits paid in
months after the month in which such individual is notified
by the Secretary in writing that alcoholism or drug addiction
is a contributing factor material to the Secretary's
determination and that such individual is therefore required
to comply with the provisions of section 225(c) of such Act.
(ii) Termination after 36 months.--
(I) In general.--For purposes of section 225(c)(7) of the
Social Security Act (added by this subsection), the first
month of entitlement beginning after 180 days after the date
of the enactment of this Act shall be treated as the
individual's first month of entitlement to such benefits.
(II) Concurrent beneficiaries currently under treatment.--
In any case in which the individual is also entitled to
benefits under title XVI and, as of 180 days after the date
of the enactment of this Act, such individual is undergoing
treatment required under section 1611(e)(3) of the Social
Security Act (as in effect immediately before the date of the
enactment of this Act), the Secretary of Health and Human
Services shall notify such individual of the provisions of
section 225(c)(7) of the Social Security Act (added by this
subsection) not later than 180 days after the date of the
enactment of this Act.
(III) Concurrent beneficiaries not currently under
treatment.--In any case in which the individual is also
entitled to benefits under title XVI but, as of 180 days
after the date of the enactment of this Act, such individual
is not undergoing treatment described in subclause (II),
section 225(c)(7) (added by this subsection) shall apply only
with respect to benefits for months after the month in which
treatment required under section 1611(e)(3) of the Social
Security Act (as amended by subsection (b)) is available, as
determined under regulations of the Secretary of Health and
Human Services, and the Secretary notifies such individual of
the availability of such treatment and describes in such
notification the provisions of section 225(c)(7) of the
Social Security Act (added by this subsection).
(4) Irrelevance of legality of services performed in
determining substantial gainful activity.--
(A) In general.--Section 223(d)(4) of such Act (42 U.S.C.
423(d)(4)) is amended--
(i) by inserting ``(A)'' after ``(4)''; and
(ii) by adding at the end the following new subparagraph:
``(B) In determining under subparagraph (A) when services
performed or earnings derived from services demonstrate an
individual's ability to engage in substantial gainful
activity, the Secretary shall apply the criteria described in
subparagraph (A) with respect to services performed by any
individual without regard to the legality of such
services.''.
(B) Conforming amendment relating to trial work.--Section
222(c)(2) of such Act (42 U.S.C. 422(c)(2)) is amended by
inserting ``(whether legal or illegal)'' after ``activity''.
(C) Effective date.--The amendments made by this paragraph
shall take effect on the date of the enactment of this Act.
(b) Amendments Relating to Supplemental Security Income
Benefits Under Title XVI of the Social Security Act.--
(1) Required payment of benefits to representative
payees.--
(A) In general.--Section 1631(a)(2)(A) of the Social
Security Act (42 U.S.C. 1383(a)(2)(A)) is amended--
(i) in clause (ii)--
(I) by inserting ``(I)'' after ``(ii)'';
(II) by striking ``or in the case of any individual or
eligible spouse referred to in section 1611(e)(3)(A),''; and
(III) by adding after and below the end the following:
``(II) In the case of an individual eligible for benefits
under this title by reason of disability, if alcoholism or
drug addiction is a contributing factor material to the
Secretary's determination that the individual is disabled,
the payment of such benefits to a representative payee shall
be deemed to serve the interest of the individual under this
title. In any case in which such payment is so deemed under
this subclause to serve the interest of an individual, the
Secretary shall include, in the individual's notification of
such eligibility, a notice that alcoholism or drug addiction
is a contributing factor material to the Secretary's
determination that the individual is disabled and that the
Secretary is therefore required to pay the individual's
benefits to a representative payee.''; and
(ii) in clause (iii), by striking ``to the individual or
eligible spouse or to an alternative representative payee of
the individual or eligible spouse'' and inserting ``to an
alternative representative payee of the individual or
eligible spouse or, if the interest of the individual under
this title would be served thereby, to the individual or
eligible spouse''.
(B) Conforming amendment.--Section 1631(a)(2)(B)(viii)(II)
of such Act (42 U.S.C. 1383(a)(2)(B)(viii)(II)) is amended by
striking ``15 years'' and all that follows and inserting ``of
15 years, or (if alcoholism or drug addiction is a
contributing factor material to the Secretary's determination
that the individual is disabled) is eligible for benefits
under this title by reason of disability.''.
(C) Effective date.--The amendments made by this paragraph
shall apply with respect to months beginning after 180 days
after the date of the enactment of this Act.
(2) Increased reliance on professional representative
payees.--
(A) Preference required for organizational representative
payees.--Section 1631(a)(2)(B) of such Act (42 U.S.C.
1383(a)(2)(B)), as amended by paragraph (1)(B) of this
subsection, is amended--
(i) by redesignating clauses (vii) through (xii) as clauses
(viii) through (xiii), respectively;
(ii) by inserting after clause (vi) the following:
``(vii) In the case of an individual eligible for benefits
under this title by reason of disability, if alcoholism or
drug addiction is a contributing factor material to the
Secretary's determination that the individual is disabled,
when selecting such individual's representative payee,
preference shall be given to--
``(I) a community-based nonprofit social service agency
licensed or bonded by the State;
``(II) a Federal, State, or local government agency whose
mission is to carry out income maintenance, social service,
or health care-related activities;
``(III) a State or local government agency with fiduciary
responsibilities; or
``(IV) a designee of an agency (other than of a Federal
agency) referred to in the preceding subclauses of this
clause, if the Secretary deems it appropriate,
unless the Secretary determines that selection of a family
member would be appropriate.'';
(iii) in clause (viii) (as so redesignated), by striking
``clause (viii)'' and inserting ``clause (ix)'';
(iv) in clause (ix) (as so redesignated), by striking
``(vii)'' and inserting ``(viii)'';
(v) in clause (xiii) (as so redesignated)--
(I) by striking ``(xi)'' and inserting ``(xii)''; and
(II) by striking ``(x)'' and inserting ``(xi)''.
(B) Availability of public agencies and other qualified
organizations to serve as representative payees.--
(i) Allowable fees.--Section 1631(a)(2)(D) of such Act (42
U.S.C. 1383(a)(2)(D)) is amended--
(I) in clause (i)--
(aa) by striking subclause (II) and inserting the
following:
``(II) $25.00 per month ($50.00 per month in any case in
which an individual is eligible for benefits under this title
by reason of disability and alcoholism or drug addiction is a
contributing factor material to the Secretary's determination
that the individual is disabled).''; and
(bb) by inserting after the 1st sentence the following:
``The Secretary shall adjust annually (after 1995) each
dollar amount set forth in subclause (II) of this clause
under procedures providing for adjustments in the same manner
and to the same extent as adjustments are provided for under
the procedures used to adjust benefit amounts under section
215(i)(2)(A), except that any amount so adjusted that is not
a multiple of $1.00 shall be rounded to the nearest multiple
of $1.00.''; and
(II) by adding at the end the following:
``(v) In the case of an individual who is no longer
eligible for benefits under this title but to whom any amount
of past-due benefits under this title has not been paid, for
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