Tuesday, August 2, 2016

Bill Establishing Time Limits for SSDI Payments Likely to Fail

Republican Senator Tom Cotton (R-AR) and Representative J. French Hill (R-AR - 2) are pushing a piece of legislation that would set time limits for Social Security Disability payments.  This bill hasn't received much support.  The proposed bill called "Social Security Disability Return to Work Act of 2016" establishes four categories in which beneficiaries can be placed.  Each category sets a different durational period for the payment of benefits.  

The four categories are:

  1. "Medical Improvement Expected" (MIE)- Under this category benefits would end at the 23rd month of benefits.
  2. "Medical Improvement Likely" (MIL) - Under this category benefits would end at the 59th month of benefits.
  3. "Medical Improvement Possible" (MIP) - Under this category the claimant would have to undergo a Continuing Disability Review ("CDR") after five years.
  4. "Medical Improvement Not Expected" (MINE) - Under this category the claimant would have to undergo a Continuing Disability Review ("CDR") after ten years.
The proposed legislation does not allow claimants to appeal the category that they are placed in.   The bill also provides a benefit offset for individuals who are placed on the MIE and the MIL categories. Earnings above the Substantial Gainful Activity level would result in $1 reduction in benefits for every $2 earned.

Fortunately, no action has been taken on these bills and this Congress will probably never act on this initiative.