Hatch Opposes Moving SSA Commissioner Nomination Forward

High Level SSA Staff under Investigation by Inspector General

WASHINGTON – In a speech on the Senate floor today, Finance Committee Ranking Member Orrin Hatch (R-Utah) voiced his opposition to moving the Administration’s nominee to head the Social Security Administration (SSA), Carolyn Colvin, forward.

“In recent weeks, a number of disturbing facts have come to light about Ms. Colvin and her tenure as the Acting Social Security Commissioner. These revelations, coupled with the fact that there is an ongoing investigation into the conduct of people in her immediate office, raise serious questions about whether she is qualified to serve in this position,”said Hatch.“Now, let me make one thing clear: My doubts about Ms. Colvin’s nomination have nothing to do with partisanship. I, along with 21 of my colleagues on the Senate Finance Committee, voted to report her nomination out of the Committee in September. At that time, I believed she had the necessary qualifications for the job and saw no reason to oppose her nomination. But, like I said, since that time, new facts have come to light.”

Earlier this month, whistleblowers informed the Senate Finance Committee that an investigation was underway regarding potential mismanagement of a nearly $300 million dollar project and a possible cover up by SSA officials. The committee learned the investigation was centered on the activities of certain members of Acting Commissioner Carolyn Colvin’s immediate office, including several high-level agency officials. Earlier this month, all Senate Finance Committee Republicans joined together to send a letter to Acting Commissioner Colvin asking a series of questions regarding the Inspector General’s (IG) investigation. Colvin was previously reported out of the Senate Finance Committee on September 18, 2014.

“I don’t know how the Senate can, with good conscience, vote to confirm anyone with this type of ongoing investigation going on around their immediate office. It may very well turn out that Ms. Colvin did nothing wrong – but we need to know for sure,” said Hatch.

Below is the text of Hatch’s full speech delivered on the Senate floor today:

Mr. President, I want to take a few minutes to talk about the nomination of Carolyn Colvin to be the Commissioner of the Social Security Administration.

In recent weeks, a number of disturbing facts have come to light about Ms. Colvin and her tenure as the Acting Social Security Commissioner. These revelations, coupled with the fact that there is an ongoing investigation into the conduct of people in her immediate office, raise serious questions about whether she is qualified to serve in this position.

Now, let me make one thing clear: My doubts about Ms. Colvin’s nomination have nothing to do with partisanship. I, along with 21 of my colleagues on the Senate Finance Committee, voted to report her nomination out of the Committee in September. At that time, I believed she had the necessary qualifications for the job and saw no reason to oppose her nomination.

But, like I said, Mr. President, since that time, new facts have come to light.

Just days before Ms. Colvin appeared before the Finance Committee, we became aware of allegations concerning potential waste and mismanagement at the SSA, as well as allegations regarding a possible cover-up of that waste and mismanagement.

Several sources, including the House Ways and Means Subcommittee on Social Security, the House Oversight and Government Reform Committee, and individual whistleblowers reported that SSA had, over a six-year period, burned through $300 million in a failed attempt to develop and implement the Disability Case Processing System, or DCPS.

These sources derived their information from a report issued in June by a private contractor commissioned by SSA. This report was subsequently provided to Congress by SSA whistleblowers.

According to the report, mismanagement and poor planning at the SSA stalled the development of the DCPS. This, in turn, resulted in the substantial waste of taxpayer dollars.

Once again, the amount was roughly $300 million.

These allegations were just breaking when Ms. Colvin appeared before the Finance Committee. But, I did mention them during the hearing.

Needless to say, as we’ve learned more details about the failures surrounding the DCPS, the picture has only gotten cloudier.

At a minimum these allegations call into question the quality of SSA’s overall management and the leadership skills of those managing the agency. It certainly calls into question their commitment to preventing waste and preserving SSA’s already scarce resources.

Sadly, it gets worse.

On July 23, 2014, the House Committee on Oversight and Government Reform sent a letter to Ms. Colvin that raised even more issues about the failures of the SSA, partially under Ms. Colvin’s leadership as Acting Commissioner, including possible actions by agency officials designed to intentionally mislead Congress and the IG’s office about the deficiencies in the development of the DCPS. Indeed, the allegation is that Congress may have been intentionally misled so as to facilitate approval of Ms. Colvin’s nomination to be the next Social Security Commissioner.

Subsequently, on November 18, 2014, a press release from the House Ways and Means Subcommittee on Social Security indicated that the “results of a criminal investigation regarding the implementation of DCPS are still pending.”

In addition, whistleblowers have informed the Senate Finance Committee that the ongoing IG investigation has centered on high-level officials at the SSA, including members of Ms. Colvin’s immediate office and that the alleged criminal conduct may extend to irregularities in the award of contracts for the DCPS project.

This is a problem, Mr. President.

I don’t know how the Senate can, with good conscience, vote to confirm anyone with this type of ongoing investigation going on around their immediate office.

It may very well turn out that Ms. Colvin did nothing wrong – but we need to know for sure.

That’s why I along with all the Republican members of the Senate Finance Committee sent a letter to Ms. Colvin last week asking for more details about the DCPS and her office’s conduct. She has since responded, claiming that she is not responsible for any mismanagement of the DCPS project and that she committed no criminal conduct.

Like I said, that may very well be the case. But, the specter of an ongoing investigation still hangs over her nomination. Therefore, I do not believe the Senate should proceed toward confirming her until this matter is resolved.

I want to make one thing clear – this is about more than just mismanagement of funds or bureaucratic incompetence. This is about an ongoing investigation of people in Ms. Colvin’s direct office for contract issues and allegations that they purposefully misled Congress in order to move her nomination through.

Once again, this isn’t partisan. I supported Ms. Colvin’s nomination in committee and continue to believe she has the right credentials and experience for this important job. Of course, if these allegations prove to be true, my assessment of her qualifications will most certainly change.

Put simply, with this investigation – which may very well have a criminal element to it – still ongoing, I cannot support moving forward on Carolyn Colvin’s nomination.

I hope this matter can be resolved quickly and cleanly. But, until such time, I plan to vote against confirming her to be the next Social Security Commissioner.

I yield the floor.

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