increase in benefit payments and ad- directly affected by the levels of busi- as of June 30,1951, are $7,116 million, ministrative expenses would be $1,433 ness activity and employment. The as compared with $7,328 million on million. Receipts and expenditures estimates of the operations of the June 30, 1950, and $8,182 million on for that year, under present and pro- trust fund contained in the Budget June 30, 1949. posed legislation combined, would be are based on assumptions of high em- Receipts of the proposed medical $4,018 million and $2,300 million, ployment in 1950-51. Receipts for care insurance trust fund are esti- respectively, making possible the 1949-50 and for 1950-51 are estimated mated at $250 million in 1950-51. acquisition of new securities amount- at $1,180 million and $1,358 million, Present plans call for increased con- ing to $1,718 million. The total assets respectively; expenditures for these tributions in subsequent years. Al- of the trust fund are expected to reach years are estimated at $2,034 million though no benefit payments are as- $13,033 million by June 30, 1950, and and $1,570 million. The net change sumed for 1950-51, expenditures for $14,751 million by June 30, 1951. in the fund as estimated represents a initial administrative outlays are The unemployment trust fund is decrease in assets. Anticipated assets estimated at $35 million.

To speed UP the hearing process, Notes and Brief ReDorts some States authorized their hearing L officers to render on-the-spot deci- sions, while others reserved this au- Public Assistance process”) in a variety of ways-by thority for the highest executive of- pamphlet, form letter, reproduction of ficer in the agency. Only a few States Hearings their hearing rules and regulations on make no delegation of authority and the back of application forms, and still require action of the State Board In the Bureau of Pub- various other means; local staffs sup- at its regular meeting for formal lic Assistance issued requirements re- plement the printed material in per- adoption of a hearing decision. lating to definite procedural provisions sonal discussions with applicants and Along with improving their hear- for hearings in the State public as- recipients. ing procedures, States worked on cut- sistance p1ans.l A review of State The number of hearings has not ting down the need for requests for a policies and practice since the effec- increased spectacularly with the in- hearing by providing effective and less tive date of these requirements-July creased availability of information formal channels through which griev- 1,1948-shows a general improvement about hearings, as some people ances could be adjusted. Recognizing in standards of performance, a grow- thought might happen. There has that any complaint, if not satisfac- ing acceptance of the concept of “due been a continuous, slow increase in torily settled, might grow into a hear- process” in public assistance adminis- requests for hearings ; the proportions ing issue, agencies in many States tration, and an increasing use of hear- of the principal causes that gave rise strengthened their adjustment pro- ings for the improvement of admin- to hearings, and the categories of as- cedures. Increasingly, the State and istrative processes. Some States have sistance in relation to which hearings local ofllces kept records of all com- issued new plan material, some have were requested, remained very nearly plaints-written and oral-and evalu- begun the process of revising their the same as in previous years. States ated them as an index to weaknesses in policies and procedures to achieve that earlier had had no hearings, or policy or procedure that needed consistency with new concepts, and hardly any, began to integrate the new strengthening to eliminate areas of some have merely continued the experience into their general admin- dissatisfaction. Recognition of the process of refining their practice istrative pattern, and others, which consistently high proportion of griev- since their policy material already met had treated their hearing function as ances arising out of the process of de- the test of the Federal definition. a more or less incidental activity, rec- termining need and the amount of as- One of the most important develop- ognized the importance of this aspect sistance, for instance, may have ments was the widespread adoption of of administration by developing spe- spurred the State agencies in their ef- improved methods of publicizing the cial job descriptions for a newly forts to make their policies more defi- right to a hearing and the procedures created position of hearing officer. nite and specific and thus assure by which dissatisfied individuals may State agency efforts to keep the cost greater uniformity and consistency obtain a hearing. Earlier studies had of hearings to a minimum led to inter- among individual case decisions. As a shown that in many States that had esting experimentation with various result, the administrative process has excellent hearing procedures practi- forms of recording the proceedings. become more predictable, from the cally no hearings were requested be- Some States used various mechanical claimant’s point of view, and there has cause claimants were unaware of the and electronic recording devices in- been greater equity of treatment as availability of the hearing process. stead of verbatim stenographic tran- far as county and State-wide case Today, most States provide explicit scripts. The submittal of full and de- loads were concerned. information on their hearing proce- tailed hearing briefs in addition to One area in which a considerable dures (still frequently called “appeals the transcript was in some States amount of work still needs to be done replaced by the development of digests is that of the conduct of the hearing ‘See the Bulletin, ,pp. 14-18. or reports in summary form. proper. Some agencies were success-

16 Social Security ful in developing their hearings into State agency in an administrative authority of the local administrative an informal administrative procedure hearing with the judicial function of a body to carry out its proper functions. through which the State agency pro- court in a judicial appeals process. In some isolated cases the courts had ceeds as if there had been no previous Another area in which many com- to be called upon to confirm the State local action and the case had come to plex problems arise is that of appar- agency’s responsibility and authority the agency for an original determina- ently conflicting authorities. This for enforcement of uniform program tion. All the facts available at the issue sometimes needs to be faced administration throughout the State. time of the hearing are reviewed, all when a State agency, under the au- As a result of their increased inter- evidence is examined, and all wit- thority vested in it through the hear- est in hearings, State agencies have nesses are heard on a de nova basis, ing process, arrives at a different been anxious to have copies of sample with the sole objective of settling the interpretation of State policy and cases, forms, statements of decisions, issue raised by the claimant in re- therefore takes an action different and similar documents that could be questing the hearing. from that taken by the county board used as training material for their In a few agencies, however, this responsible for program administra- staffs. In an effort to meet this need, process is not yet clearly understood, tion on the local level. Here again, the Bureau of Public Assistance devel- and the hearing is still considered a most agencies have succeeded in gain- oped a quarterly periodical, Hearings contest in which local agency and ing acceptance of the principle that, in Public Assistance, in which hearing claimant are pitted against each in a program operated under the transcripts, selected decisions, court other. The resulting decision is fre- supervision of a single State agency, decisions arising out of hearings, quently couched in terms of a confir- the agency must have authority to correspondence between agency and mation or reversal of the local agen- secure consistent application of State clients or between State and local cy’s action, rather than as a fresh policy throughout the State. In a few agencies, and other pertinent material determination related to the individ- instances, on the other hand, State contributed by State agencies on a ual’s claim for assistance, based on a agencies have encountered serious voluntary basis, are being published. reexamination of the pertinent in- difficulty because of the failure of The fact that agencies are today dis- formation by all parties concerned. local agencies to understand this tributing four times as many copies to Progress is gradually being made, principle, and they have found it hard their State and local staffs as when however, towards a more constructive to convince local boards that the the publication was launched in 1947 approach to the hearing process in State’s power to render hearing de- seems to indicate that the States those agencies that had been confus- cisions that are binding on the local are finding the material increasingly ing the administrative function of a unit does not in fact nullify the useful.

Expanding Federal Social Security.” Congressional Digest, Washington, Recent Publications in the Vol. 28, Dec. 1949, pp. 293320. 75 cents. FEDERAL SECURITY AGENCY. LIBRARY. Field of Social Security’ Progress Report on Legislation Re- winter of 1946-47. Limited free dis- ported Out of Committee Pertinent Social Security tribution: apply to the Bureau of or Closely Related to Agency Pro- Administration Old-Age and Survivors Insurance, grams. (81st Cong., 1st sess.) Baltimore, Md. Washington : The Library, 1949. BUREAU OF OLD-AGE AND SURVIVORS 37 PP. Processed. Limited free IN~UR.~NCE. Causes of Relatively distribution; apply to the Federal Low Average Monthly Wages Among General Security Agency Library, Washing- Primary Beneficiaries. Report 4.) AMERICAN ASSOCIATION OF SOCIAL ton 25, D. C. Baltimore: The Bureau, Oct. 1949. WORKERS. Social Work Fellowships INTERNATIONAL LABOUR OFPEE. Sys- 23 pp. Processed. and Scholarships Offered During the tems of Social Security: New Zea- A study based on information ob- Year 1950-1951. New York: The land. Geneva: The Office, 1949. 67 tained through personal interviews Association, Oct. 1949. 20 pp. pp. 40 cents. with a sample group of primary bene- Free distribution; apply to the ficiaries in Boston in the fall and American Association of Social The first of a series of handbooks Workers, 1 Park Ave., New York 16, on national systems of social security. Each Government will prepare an *Prepared in the Library, Federal Se- N. Y. curity Agency. The inclusion of prices of BLACK, BERTRAM J. Our Welfare analysis of its own system according publications in this list is intended as a Needs: A Study of to a uniform plan drafted by the In- service to the reader, but orders must be and Its Boroughs Showing the So- ternational Labor Office. Chapters directed to publishers or booksellers and cial and Economic Factors Affecting are devoted to the legal basis, scope not to the Social Security Administration of protection, benefit structure, or- or the Federal Security Agency. Federal Relative Need for Health and Wel- fare Services. New York: The ganization, and financing of social publications for which prices are listed security. should be ordered from the Superintend- Greater New York Fund, 1949. 49 ent of Documents, U. S. Government PP. and maps. U. S. PRESIDENT. Economic Report. . . Printing Oflice, Washington 25, D. C. “Congress Reviews the Problems of (H. Dot. 388, 81st Cong., 2d sess.)

Bulletin, March 1950 17