![](media/image1.png){width="0.6868055555555556in" height="0.70625in"}

[SOCIAL SECURITY]{.underline}

The Commissioner

December 31, 2007

The Honorable Max Baucus

Chairman, Committee on Finance United States Senate

Washington, D.C. 20510

Dear Mr. Chairman:

The purpose of this letter is to transmit the Social Security
Administration\'s (SSA) Report to Congress on Fiscal Year (FY) 2007
Competitive Sourcing Efforts as required by Section 647(b) of Division F
of the Consolidated Appropriations Act, 2004, Public Law 108-199*.* The
report has been prepared in accordance with Office of Management and
Budget Memorandum M-08-02.

SSA continues to focus on results that create more efficient functions
within the Agency, generate cost savings and improve performance. In FY
2007, SSA completed six competitive sourcing competitions, which
resulted in improved service and increased efficiency for the Agency.

SSA continues to use competitive sourcing in a reasoned and responsible
manner to improve the efficiency of the organization. If there are any
questions concerning the report, your staff may contact Dennis Wilhite,
Director of Competitive Sourcing Staff, at 410-966-6988.

> ![](media/image2.png){width="1.1534722222222222in"
> height="0.9131944444444444in"}

Enclosures:

Tab A *\--* FY 2007 Summary Spreadsheets

Tab B \-- Narrative Statement

Tab C \-- Statement on Alignment of Human Capital

SOCIAL SECURITY ADMINISTRATION BALTIMORE MD 21235-000l

![](media/image3.png){width="0.6868055555555556in" height="0.7in"}

[SOCIAL SECURITY]{.underline}

The Commissioner

> December 31, 2007

The Honorable Richard B. Cheney President of the Senate Washington, D.C.
20510

Dear Mr. Cheney:

The purpose of this letter is to transmit the Social Security
Administration\'s (SSA) Report to Congress on Fiscal Year (FY) 2007
Competitive Sourcing Efforts as required by Section 647(b) of Division F
of the Consolidated Appropriations Act, 2004, Public Law 108-199. The
report has been prepared in accordance with Office of Management and
Budget Memorandum M-08-02.

SSA continues to focus on results that create more efficient functions
within the Agency, generate cost savings and improve performance. In FY
2007, SSA completed six competitive sourcing competitions, which
resulted in improved service and increased efficiency for the Agency.

SSA continues to use competitive sourcing in a reasoned and responsible
manner to improve the efficiency of the organization. If there are any
questions concerning the report, your staff may contact Dennis Wilhite,
Director of Competitive Sourcing Staff, at 410-966-6988.

> ![](media/image4.png){width="1.1736111111111112in"
> height="0.9069444444444444in"}

Enclosures:

Tab A \-- FY 2007 Summary Spreadsheets

Tab B \-- Narrative Statement

Tab C \-- Statement on Alignment of Human Capital

![](media/image1.png){width="0.6868055555555556in" height="0.70625in"}

[SOCIAL SECURITY]{.underline}

The Commissioner

December 31, 2007

The Honorable Susan M. Collins United States Senate

Washington, D.C. 20510

Dear Senator Collins:

The purpose of this letter is to transmit the Social Security
Administration\'s (SSA) Report to Congress on Fiscal Year (FY) 2007
Competitive Sourcing Efforts as required by Section 647(b) of Division F
of the Consolidated Appropriations Act, 2004, Public Law 108-199. The
report has been prepared in accordance with Office of Management and
Budget Memorandum M-08-02.

SSA continues to focus on results that create more efficient functions
within the Agency, generate cost savings and improve performance. In FY
2007, SSA completed six competitive sourcing competitions, which
resulted in improved service and increased efficiency for the Agency.

SSA continues to use competitive sourcing in a reasoned and responsible
manner to improve the efficiency of the organization. If there are any
questions concerning the report, your staff may contact Dennis Wilhite,
Director of Competitive Sourcing Staff, at 410-966-6988.

> Sincerely,
>
> ![](media/image5.png){width="1.1604166666666667in"
> height="0.7895833333333333in"}

Enclosures:

Tab A \-- FY 2007 Summary Spreadsheets

Tab B \-- Narrative Statement

Tab C \-- Statement on Alignment of Human Capital

SOCIAL SECURITY ADMINISTRATION BALTIMORE MD 21235-0001

![](media/image1.png){width="0.6868055555555556in" height="0.70625in"}

[SOCIAL SECURITY]{.underline}

The Commissioner

December 31, 2007

The Honorable Tom Davis House of Representatives Washington, D.C. 20515

Dear Mr. Davis:

The purpose of this letter is to transmit the Social Security
Administration\'s (SSA) Report to Congress on Fiscal Year (FY) 2007
Competitive Sourcing Efforts as required by Section 647(b) of Division F
of the Consolidated Appropriations Act, 2004, Public Law 108-199. The
report has been prepared in accordance with Office of Management and
Budget Memorandum M-08-02.

SSA continues to focus on results that create more efficient functions
within the Agency, generate cost savings and improve performance. In FY
2007, SSA completed six competitive sourcing competitions, which
resulted in improved service and increased efficiency for the Agency.

SSA continues to use competitive sourcing in a reasoned and responsible
manner to improve the efficiency of the organization. If there are any
questions concerning the report, your staff may contact Dennis Wilhite,
Director of Competitive Sourcing Staff, at 410-966-6988.

> Sincerely,
>
> ![](media/image6.png){width="1.1701388888888888in"
> height="0.7965277777777777in"}

Enclosures:

Tab A \-- FY 2007 Summary Spreadsheets

Tab B \-- Narrative Statement

Tab C \-- Statement on Alignment of Human Capital

SOCIAL SECURITY ADMINISTRATION BALTIMORE MI) 21235-0001

![](media/image7.png){width="0.6833333333333333in"
height="0.7131944444444445in"}

[SOCIAL SECURITY]{.underline}

The Commissioner

December 31, 2007

The Honorable Charles E. Grassley

United States Senate

Washington, D.C. 20510

Dear Senator Grassley:

The purpose of this letter is to transmit the Social Security
Administration\'s (SSA) Report to Congress on Fiscal Year (FY) 2007
Competitive Sourcing Efforts as required by Section 647(b) of Division F
of the Consolidated Appropriations Act, 2004, Public Law 108-199. The
report has been prepared in accordance with Office of Management and
Budget Memorandum M-08-02.

SSA continues to focus on results that create more efficient functions
within the Agency, generate cost savings and improve performance. In FY
2007, SSA completed six competitive sourcing competitions, which
resulted in improved service and increased efficiency for the Agency.

SSA continues to use competitive sourcing in a reasoned and responsible
manner to improve the efficiency of the organization. If there are any
questions concerning the report, your staff may contact Dennis Wilhite,
Director of Competitive Sourcing, at 410-966-6988.

> Sincerely,
>
> ![](media/image8.png){width="1.1666666666666667in"
> height="0.7902777777777777in"}

Enclosures:

Tab A \-- FY 2007 Summary Spreadsheets

Tab B \-- Narrative Statement

Tab C \-- Statement on Alignment of Human Capital

SOCIAL SECURITY ADMINISTRAT1ON BALTIMORE MD 21235-0001

![](media/image9.png){width="0.6833333333333333in"
height="0.7069444444444445in"}

[SOCIAL SECURITY]{.underline}

The Commissioner

December 31, 2007

The Honorable Tom Harkin

Chairman, Subcommittee on Labor, Health

and Human Services, Education, and Related Agencies Committee on
Appropriations

United States Senate

Washington, D.C. 20510

Dear Mr. Chairman:

The purpose of this letter is to transmit the Social Security
Administration\'s (SSA) Report to Congress on Fiscal Year (FY) 2007
Competitive Sourcing Efforts as required by Section 647(b) of Division F
of the Consolidated Appropriations Act, 2004, Public Law 108-199. The
report has been prepared in accordance with Office of Management and
Budget Memorandum

M-08-02.

SSA continues to focus on results that create more efficient functions
within the Agency, generate cost savings and improve performance. In FY
2007, SSA completed six competitive sourcing competitions, which
resulted in improved service and increased efficiency for the Agency.

SSA continues to use competitive sourcing in a reasoned and responsible
manner to improve the efficiency of the organization. If there are any
questions concerning the report, your staff may contact Dennis Wilhite,
Director of Competitive Sourcing Staff, at 410-966-6988.

> ![](media/image10.png){width="1.20625in"
> height="0.9069444444444444in"}

Enclosures:

Tab A \-- FY 2007 Summary Spreadsheets

Tab B \-- Narrative Statement

Tab C \-- Statement on Alignment of Human Capital

> SOCIAL SECURITY ADMINISTRATION BALTIMORE MD 21235-0001
>
> ![](media/image11.png){width="0.6833333333333333in"
> height="0.7138888888888889in"}

[SOCIAL SECURITY]{.underline}

The Commissioner

December 31, 2007

The Honorable Sam Johnson House of Representatives Washington, D.C. 2051
5

Dear Mr. Johnson:

The purpose of this letter is to transmit the Social Security
Administration\'s (SSA) Report to Congress on Fiscal Year (FY) 2007
Competitive Sourcing Efforts as required by Section 647(b) of Division F
of the Consolidated Appropriations Act, 2004, Public Law 108-199. The
report has been prepared in accordance with Office of Management and
Budget Memorandum M-08-02.

SSA continues to focus on results that create more efficient functions
within the Agency, generate cost savings and improve performance. In FY
2007, SSA completed six competitive sourcing competitions, which
resulted in improved service and increased efficiency for the Agency.

SSA continues to use competitive sourcing in a reasoned and responsible
manner to improve the efficiency of the organization, If there are any
questions concerning the report, your staff may contact Dennis Wilhite,
Director of Competitive Sourcing Staff, at 410-966-6988.

> Sincerely,
>
> ![](media/image12.png){width="1.179861111111111in"
> height="0.7895833333333333in"}

Enclosures:

Tab A \-- FY 2007 Summary Spreadsheets

Tab B \-- Narrative Statement

Tab C \-- Statement on Alignment of Human Capital

SOCIAL SECURITY ADMINISTRATION BALTIMORE MD 21235-0001

![](media/image13.png){width="0.6861111111111111in"
height="0.7131944444444445in"}

[SOCIAL SECURITY]{.underline}

The Commissioner

December 31, 2007

The Honorable Joseph I. Lieberman

Chairman, Committee on Homeland Security

and Government Affairs United States Senate

Washington, D.C. 20510

Dear Mr. Chairman:

The purpose of this letter is to transmit the Social Security
Administration\'s (SSA) Report to Congress on Fiscal Year (FY) 2007
Competitive Sourcing Efforts as required by Section 647(b) of Division F
of the Consolidated Appropriations Act, 2004, Public Law 108-199. The
report has been prepared in accordance with Office of Management and
Budget Memorandum M-08-02.

SSA continues to focus on results that create more efficient functions
within the Agency, generate cost savings and improve performance. In FY
2007, SSA completed six competitive sourcing competitions, which
resulted in improved service and increased efficiency for the Agency.

SSA continues to use competitive sourcing in a reasoned and responsible
manner to improve the efficiency of the organization. If there are any
questions concerning the report, your staff may contact Dennis Wilhite,
Director of Competitive Sourcing Staff, at 410-966-6988.

> Sincerely,
>
> ![](media/image14.png){width="1.1666666666666667in"
> height="0.7965277777777777in"}

Enclosures:

Tab A \-- FY 2007 Summary Spreadsheets

Tab B \-- Narrative Statement

Tab C \-- Statement on Alignment of Human Capital

SOCIAL SECURITY ADMINISTRATION BALTIMORE MD 21235-0001

![](media/image15.png){width="0.6930555555555555in"
height="0.7201388888888889in"}

[SOCIAL SECURITY]{.underline}

The Commissioner

December 31, 2007

The Honorable Michael R. McNulty

Chairman, Subcommittee on Social Security

Committee on Ways and Means House of Representatives Washington, D.C.
20515

Dear Mr. Chairman:

The purpose of this letter is to transmit the Social Security
Administration\'s (SSA) Report to Congress on Fiscal Year (FY) 2007
Competitive Sourcing Efforts as required by Section 647(b) of Division F
of the Consolidated Appropriations Act, 2004, Public Law 108-199. The
report has been prepared in accordance with Office of Management and
Budget Memorandum M-08-02.

SSA continues to focus on results that create more efficient functions
within the Agency, generate cost savings and improve performance. In FY
2007, SSA completed six competitive sourcing competitions, which
resulted in improved service and increased efficiency for the Agency.

SSA continues to use competitive sourcing in a reasoned and responsible
manner to improve the efficiency of the organization. If there are any
questions concerning the report, your staff may contact Dennis Wilhite,
Director of Competitive Sourcing Staff, at 410-966-6988.

> Sincerely,
>
> ![](media/image16.png){width="1.1666666666666667in"
> height="0.7868055555555555in"}

Enclosures:

Tab A \-- FY 2007 Summary Spreadsheets

Tab B \-- Narrative Statement

Tab C \-- Statement on Alignment of Human Capital

SOCIAL SECURITY ADMINISTRATION BALTIMORE MD 21235-0001

![](media/image1.png){width="0.6868055555555556in" height="0.70625in"}

[SOCIAL SECURITY]{.underline}

The Commissioner

December 31, 2007

The Honorable David R. Obey

Chairman, Subcommittee on Labor, Health

> and Human Services, Education, and Related Agencies

Committee on Appropriations House of Representatives Washington, D.C.
20515

Dear Mr. Chairman:

The purpose of this letter is to transmit the Social Security
Administration\'s (SSA) Report to Congress on Fiscal Year (FY) 2007
Competitive Sourcing Efforts as required by Section 647(b) of Division F
of the Consolidated Appropriations Act, 2004, Public Law 108-199. The
report has been prepared in accordance with Office of Management and
Budget Memorandum

M-08-02.

SSA continues to focus on results that create more efficient functions
within the Agency, generate cost savings and improve performance. In FY
2007, SSA completed six competitive sourcing competitions, which
resulted in improved service and increased efficiency for the Agency.

SSA continues to use competitive sourcing in a reasoned and responsible
manner to improve the efficiency of the organization. If there are any
questions concerning the report, your staff may contact Dennis Wilhite,
Director of Competitive Sourcing Staff, at 410-966-6988.

> ![](media/image17.png){width="1.2138888888888888in"
> height="0.9333333333333333in"}

Enclosures:

Tab A \-- FY 2007 Summary Spreadsheets

Tab B \-- Narrative Statement

Tab C \-- Statement on Alignment of Human Capital

SOCIAL SECURITY ADMINISTRATION BALTIMORE MD 21235-0001

![](media/image18.png){width="0.6868055555555556in"
height="0.7069444444444445in"}

[SOCIAL SECURITY]{.underline}

The Commissioner

December 31, 2007

The Honorable Nancy Pelosi

Speaker of the House of Representatives Washington, D.C. 20515

Dear Madam Speaker:

The purpose of this letter is to transmit the Social Security
Administration\'s (SSA) Report to Congress on Fiscal Year (FY) 2007
Competitive Sourcing Efforts as required by Section 647(b) of Division F
of the Consolidated Appropriations Act, 2004, Public Law 108-199. The
report has been prepared in accordance with Office of Management and
Budget Memorandum M-08-02.

SSA continues to focus on results that create more efficient functions
within the Agency, generate cost savings and improve performance. In FY
2007, SSA completed six competitive sourcing competitions, which
resulted in improved service and increased efficiency for the Agency.

SSA continues to use competitive sourcing in a reasoned and responsible
manner to improve the efficiency of the organization. If there are any
questions concerning the report, your staff may contact Dennis Wilhite,
Director of Competitive Sourcing Staff, at 410-966-6988.

> ![](media/image19.png){width="1.1902777777777778in"
> height="0.8701388888888889in"}

Enclosures:

Tab A \-- FY 2007 Summary Spreadsheets

Tab B \-- Narrative Statement

Tab C \-- Statement on Alignment of Human Capital

SOCIAL SECURITY ADMINISTRATION BALTIMORE MD 21235-0001

![](media/image20.png){width="0.6868055555555556in"
height="0.7131944444444445in"}

[SOCIAL SECURITY]{.underline}

The Commissioner

December 31, 2007

The Honorable Arlen Specter United States Senate Washington, D.C. 20510

Dear Senator Specter:

The purpose of this letter is to transmit the Social Security
Administration\'s (SSA) Report to Congress on Fiscal Year (FY) 2007
Competitive Sourcing Efforts as required by Section 647(b) of Division F
of the Consolidated Appropriations Act, 2004, Public Law 108-199. The
report has been prepared in accordance with Office of Management and
Budget Memorandum M-08-02.

SSA continues to focus on results that create more efficient functions
within the Agency, generate cost savings and improve performance. In FY
2007, SSA completed six competitive sourcing competitions, which
resulted in improved service and increased efficiency for the Agency.

SSA continues to use competitive sourcing in a reasoned and responsible
manner to improve the efficiency of the organization. If there are any
questions concerning the report, your staff may contact Dennis Wilhite,
Director of Competitive Sourcing Staff, at 410-966-6988.

> Sincerely,
>
> ![](media/image21.png){width="1.1729166666666666in"
> height="0.7833333333333333in"}

Enclosures:

Tab A \-- FY 2007 Summary Spreadsheets

Tab B \-- Narrative Statement

Tab C \-- Statement on Alignment of Human Capital

SOCIAL SECURITY ADMINISTRATION BALTIMORE MD 21235-0001

![](media/image22.png){width="0.6701388888888888in"
height="0.7131944444444445in"}

[SOCIAL SECURITY]{.underline}

The Commissioner

December 31, 2007

The Honorable James T. Walsh House of Representatives Washington, D.C.
20515

Dear Mr. Walsh:

The purpose of this letter is to transmit the Social Security
Administration\'s (SSA) Report to Congress on Fiscal Year (FY) 2007
Competitive Sourcing Efforts as required by Section 647(b) of Division F
of the Consolidated Appropriations Act, 2004, Public Law 108-199. The
report has been prepared in accordance with Office of Management and
Budget Memorandum M-08-02.

SSA continues to focus on results that create more efficient functions
within the Agency, generate cost savings and improve performance. In FY
2007, SSA completed six competitive sourcing competitions, which
resulted in improved service and increased efficiency for the Agency.

SSA continues to use competitive sourcing in a reasoned and responsible
manner to improve the efficiency of the organization. If there are any
questions concerning the report, your staff may contact Dennis Wilhite,
Director of Competitive Sourcing Staff, at 410-966-6988.

> ![](media/image23.png){width="1.1965277777777779in" height="0.9in"}

Enclosures:

Tab A \-- FY 2007 Summary Spreadsheets

Tab B \-- Narrative Statement

Tab C \-- Statement on Alignment of Human Capital

SOCIAL SECURITY ADMINISTRATION BALTIMORE MD 21235-0001

![](media/image24.png){width="0.7097222222222223in"
height="0.7368055555555556in"}

[SOCIAL SECURITY]{.underline}

The Commissioner

December 31, 2007

The Honorable Henry A. Waxman Chairman, Committee on Oversight and
Government Reform

House of Representatives

Washington, D.C. 20515

Dear Mr. Chairman:

The purpose of this letter is to transmit the Social Security
Administration\'s (SSA) Report to Congress on Fiscal Year (FY) 2007
Competitive Sourcing Efforts as required by Section 647(b) of Division F
of the Consolidated Appropriations Act, 2004, Public Law 108-199. The
report has been prepared in accordance with Office of Management and
Budget Memorandum M-08-02.

SSA continues to focus on results that create more efficient functions
within the Agency, generate cost savings and improve performance. In FY
2007, SSA completed six competitive sourcing competitions, which
resulted in improved service and increased efficiency for the Agency.

SSA continues to use competitive sourcing in a reasoned and responsible
manner to improve the efficiency of the organization. If there are any
questions concerning the report, your staff may contact Dennis Wilhite,
Director of Competitive Sourcing Staff, at 410-966-6988.

> ![](media/image25.png){width="1.2166666666666666in"
> height="0.9298611111111111in"}

Enclosures:

Tab A \-- FY 2007 Summary Spreadsheets

Tab B \-- Narrative Statement

Tab C \-- Statement on Alignment of Human Capital

![](media/image26.jpeg){width="12.879861111111111in"
height="7.309722222222222in"}

![](media/image27.jpeg){width="12.879861111111111in" height="7.225in"}

![](media/image28.jpeg){width="12.879861111111111in" height="7.225in"}

![](media/image29.jpeg){width="13.019444444444444in" height="7.225in"}

![](media/image30.jpeg){width="13.019444444444444in"
height="7.054861111111111in"}

![](media/image31.jpeg){width="13.159722222222221in"
height="5.6097222222222225in"}

Enclosure 2 **Narrative Statement**

**Total Projected Number of Full-time Equivalents Scheduled for
Competition in Fiscal Year 2008**

• The Social Security Administration plans to analyze activities
involving 139 full-time equivalents (FTE) in Fiscal year 2008 for
potential competition.

> Enclosure 3 **Alignment of Competitive Sourcing and Human Capital**

SSA has taken several steps to ensure that its competitive sourcing
plans and human capital plans are aligned and complement each other.
Specific human resources and human capital issues affected by
competitive sourcing are addressed in the Agency\'s Competitive Sourcing
Human Resources Plan and Labor Relations Strategic Plan. These plans
outline alternatives for employees affected by competitive sourcing and
offer strategies for placing, hiring, training and accommodating those
employees. SSA\'s Competitive Sourcing Human Resources Plan also
supports the Agency\'s efforts to hire and promote people with
disabilities. (In FY 2007, the Agency hired 5,077 permanent and
temporary employees, of which 348 were people with disabilities;
bringing the overall percentage for this group to 8.1% of the total
workforce.) The SSA Labor Relations Strategic Plan addresses labor
relations obligations and issues arising from competitive sourcing
activities.

The Competitive Sourcing Human Resources Plan and Labor Relations
Strategic Plan are strategically aligned with the Agency\'s major human
capital planning and accountability documents. SSA has developed a
comprehensive Strategic Human Capital Plan (SHCP) that fully supports
the President\'s Management Agenda on the Strategic Management of Human
Capital. The SHCP, which is aligned with the Agency Strategic Plan and
the Office of Personnel Management\'s Human Capital Assessment and
Accountability Framework, sets our course for achieving measurable human
capital results that will not only improve the service we provide, but
also provide accountability for all of our human capital activities.
Specific goals and strategies regarding competitive sourcing activities
and the use of the aforementioned strategic competitive sourcing plans
are identified in the SHCP. Further, these and other activities in the
SHCP are tracked quarterly through SSA^\'^s Future Workforce Transition
Plan, and annual goal attainment is evaluated and reported in the annual
Human Capital Management Accountability Report.

The Office of Human Resources (OHR) and Human Capital Planning Staff
work closely with the Competitive Sourcing Staff on competitive sourcing
activities. When a study is announced, OHR also works with the component
developing the Performance Work Statement to identify a specific
transition plan for potentially affected employees involved in the
competition. These transition plans include identifying potential
positions where employees could be redirected, if necessary, as well as
skill gap assessments and training. OHR also identifies the extent to
which functions are occupied with persons with disabilities. This
information is used in considering functions for competitive sourcing.
As new functions are considered for study, SSA evaluates the effect that
competition will have on this significant part of our workforce, working
to ensure employees with disabilities are not adversely affected by any
of the Agency\'s competitions.

Finally, on an Agency-wide scale, OHR has been actively working for many
years to identify and properly plan for the potential effects of the
impending retirement wave on the Agency\'s ability to deliver services.
The primary document that captures this effort is the \"Retirement Wave
Analysis.\" This document is updated annually and shared with all
staffs, including the Competitive Sourcing Staff, and can be used to
help determine whether a function is a potential candidate for a
competitive sourcing study.