I

103D CONGRESS

2D SESSION H. R. 3935

To amend title II of the Social Security Act to establish a Continuing

Disability Review Account in the Federal Disability Insurance Trust

Fund which shall be available solely for expenditures necessary to carry

out continuing disability reviews.

IN THE HOUSE OF REPRESENTATIVES

MARCH 2, 1994

Mr. JACOBS (for himself and Mr. BUNNING) introduced the following bill;

which was referred to the Committee on Ways and Means

A BILL

To amend title II of the Social Security Act to establish

a Continuing Disability Review Account in the Federal

Disability Insurance Trust Fund which shall be available

solely for expenditures necessary to carry out continuing

disability reviews.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Social Security Con5 tinuing Disability Review Account Act of 1994’’.
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1 SEC. 2. CONTINUING DISABILITY REVIEW ACCOUNT.

2 (a) IN GENERAL.—Section 201 of the Social Security

3 Act (42 U.S.C. 401) is amended by adding at the end the

4 following new subsection:

5 ‘‘(n)(1) There is hereby created in the Federal Dis6 ability Insurance Trust Fund a Continuing Disability Re7 view Account (hereinafter in this subsection referred to as

8 the ‘Account’). The Account shall consist of such amounts

9 as may be transferred to it under this subsection. The bal10 ance in the Account shall be available solely for expendi11 tures certified under paragraph (3).

12 ‘‘(2)(A) Not later than September 1 of each calendar

13 year, the Secretary shall—

14 ‘‘(i) estimate the present value of savings to the

15 Federal Disability Insurance Trust Fund which will

16 accrue for all years as a result of the cessation of

17 benefit payments during the fiscal year ending on

18 September 30 of the prior calendar year based on

19 continuing disability reviews carried out pursuant to

20 the requirements of section 221(i) during or prior to

21 such fiscal year, and

22 ‘‘(ii) certify the amount of such estimate to the

23 Managing Trustee of the Trust Fund.

24 ‘‘(B) Upon receipt of certification by the Secretary

25 under subparagraph (A), the Managing Trustee shall
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1 transfer to the Account from amounts otherwise in the

2 Trust Fund an amount equal to the lesser of—

3 ‘‘(i) 50 percent of the estimated savings so cer4 tified, or

5 ‘‘(ii) the difference (not less than $0) derived by

6 subtracting the balance in the Account as of the end

7 of the prior calendar year referred to in subpara8 graph (A)(i) from the estimated savings so certified.

9 ‘‘(3)(A) Not later than September 15 of each cal10 endar year, the Secretary shall—

11 ‘‘(i) estimate the total amount of expenditures

12 which will be necessary to carry out continuing dis13 ability reviews required under section 221(i) during

14 the fiscal year beginning on October 1 of such cal15 endar year, and

16 ‘‘(ii) certify such estimated amount to the Man17 aging Trustee of the Trust Fund.

18 ‘‘(B) The expenditures referred to in subparagraph

19 (A)(i) shall include, but not be limited to, the cost of staff20 ing, training, purchase of medical and other evidence, and

21 processing related to appeals (including appeal hearings)

22 and to overpayments.

23 ‘‘(C) To the extent of available funds in the Account,

24 and prior to any action thereon by the General Accounting

25 Office, the Managing Trustee shall, upon the commence-
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1 ment of each fiscal year, make available to the Secretary

2 from the Account an amount equal the total of estimated

3 expenditures for such fiscal year described in subpara4 graph (A)(i) as certified under subparagraph (A)(ii).

5 ‘‘(D) The Secretary shall use funds made available

6 pursuant to this paragraph solely for the purpose of carry7 ing out continuing disability reviews required under sec8 tion 221(i).’’.

9 (b) CONFORMING AMENDMENT.—Section

10 201(g)(1)(A) of such Act (42 U.S.C. 401(g)(1)(A)) is

11 amended in the last sentence by inserting ‘‘(other than

12 expenditures from available funds in the Continuing Dis13 ability Review Account in the Federal Disability Insurance

14 Trust Fund made pursuant to subsection (n))’’ after ‘‘is

15 responsible’’.

16 SEC. 3. ANNUAL REPORT.

17 Section 221(i)(3) of the Social Security Act (42

18 U.S.C. 421(i)(3)) is amended—

19 (1) by striking ‘‘and the number’’ and inserting

20 ‘‘the number’’;

21 (2) by striking the period at the end and insert22 ing a comma; and

23 (3) by adding at the end the following: ‘‘and a

24 final accounting of amounts transferred to the Con25 tinuing Disability Review Account in the Federal
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1 Disability Insurance Trust Fund during the year,

2 the amount made available from such Account dur3 ing such year for continuing disability reviews, and

4 expenditures for continuing disability reviews made

5 during the year, including a comparison of such

6 number of reviews with the estimated number of re7 views upon which the estimate of such expenditures

8 was made under section 201(n)(3).’’.

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