SSA also performs a number of administrative functions to pay Social Security benefits. In 1953, the FSA was abolished and its functions were transferred to the Department of Health, Education and Welfare (HEW). Specifically, we found that HHS and SSA have progressed well in (1) identifying and transferring personnel and other resources; (2) effecting organizational changes prompted by the transition; and (3) addressing changes to SSA’s budget process, as called for in the act. Of these, 478 will provide personnel administration services for SSA, 289 will provide legal support, and 263 will perform audit and investigative activities. HHS and SSA have also agreed on nonpersonnel resources to be transferred, such as funds, computer equipment, and furniture. SSA plans to establish a Washington, D.C., office to facilitate a closer working relationship with the Congress and the executive branch. An Independent SSA Faces Significant Challenges

While SSA has progressed well toward completing the transition, the agency will continue to face significant challenges as an independent agency. SSA has undertaken initiatives to improve its disability application process to more efficiently handle caseloads and reduce backlogs. 4, 1993).
Why GAO Did This Study

Pursuant to a legislative requirement, GAO: (1) evaluated the Social Security Administration's (SSA) and Department of Health and Human Services' (HHS) transition plans; and (2) identified some of the policy changes SSA will face as an independent agency.

What GAO Found

GAO found that: (1) SSA and HHS have progressed towards the goal of SSA functioning as an independent agency; (2) HHS has successfully identified and transferred personnel and other resources to SSA; (3) there has been effective organizational changes prompted by the transition; (4) SSA and HHS have made changes to the SSA budget process, and SSA has initiated an effort to improve its claims processing function; (5) SSA and HHS have agreed that nonpersonnel transfers, such as funds, computer equipment, and furniture will be dependent on personnel transfers to SSA; (6) SSA will maintain its own legal and auditing departments; and (7) SSA will establish a Washington, DC office in order to bring about a closer working relationship with Congress and the executive branch.