Ridin' With Biden, Con't

President Biden plans to appoint former Maryland Democratic Gov. Martin O'Malley to head the Social Security Administration, and we'll see if Biden can keep all Dems on board, including Sens. Manchin and Sinema.

 

O’Malley, a Democrat, will require Senate confirmation to take over at the agency, which oversees a $1 trillion budget and is responsible for distributing benefits to older adults and disabled people.

The Social Security Administration has been run by acting Commissioner Kilolo Kijakazi since President Joe Biden fired then-Commissioner Andrew Saul, a Trump holdover, in 2021. Saul’s ouster set off a partisan backlash, with members of each party accusing the other of politicizing the independent federal agency. Saul, who refused to resign, was just two years into a six-year term.

Beyond political infighting, O’Malley will also have to reckon with questions around the long-term financing of the Social Security Administration. Funds for its key social safety nets programs are expected to be depleted by 2035, mainly due to the country’s aging populating. Congress has struggled to agree on a fix.

O’Malley served as governor of Maryland from 2007 to 2015, and was the mayor of Baltimore before that.

Biden said in a statement that those experiences made him a strong pick for the job.

“Governor O’Malley is a lifelong public servant who has spent his career making government more accessible and transparent, while keeping the American people at the heart of his work,” Biden said.

Democrats in Congress also welcomed his nomination.

“Governor Martin O’Malley’s commitment to expanding and protecting Americans’ earned benefits as well as his record of public service will not only safeguard the future of Social Security but also modernize the agency and value its dedicated workforce,” Rep. Richard Neal (D-Mass.), ranking member of the House Ways and Means Committee, said in a statement.

 

If Manchin wanted to make trouble (or Sinema for that matter) they could very well do so here. Especially if Manchin's making good on his threat to run as the No Labels 2024 spoiler candidate, putting down a marker on how Social Security is run would get his name in the papers and noticed by older Americans counting on government checks.  The same goes for Sinema, who is trying to save her own seat in 2024.

We'll see who objects to O'Malley, but if it goes the way Julie Su's nomination at Labor is going, it could be months before this moves forward, if at all.

Biden is sticking by Su, but business groups are already saying they will challenge any regulatory changes as invalid because she hasn't been confirmed yet.

A trade group that has opposed Julie Su’s nomination to lead the Labor Department is demanding the Biden administration refrain from issuing a high-profile rule on gig workers until a Senate-confirmed secretary heads the department.

Flex, the trade group for app-based companies including DoorDash, GrubHub, Lyft and Uber, argued in a letter on Monday that any rules and regulations issued while Su is acting secretary don’t have political legitimacy or constitutional authority.

It’s an early hint at the challenges likely to be raised to the legitimacy of Su’s tenure as she serves as an indefinite acting secretary. And it echoes Republican arguments that any regulations issued by the Labor Department without a Senate-confirmed secretary in place could be subject to legal challenge.

“Any action taken to finalize the proposed worker classification regulation under Ms. Su’s current leadership as Acting Secretary would circumvent the Senate’s constitutional role of providing advice and consent on nominees,” Flex CEO Kristin Sharp said in the letter addressed to President Joe Biden. It mirrored language others have used to forecast legal challenges to Su’s regulations. “The Department should not finalize its worker classification proposal before having a permanent Secretary.”

Though it is publicly encouraging senators to support the nomination, the Biden administration has determined that Su doesn’t currently have enough votes to be confirmed in the Senate. The president plans to keep her in the role as acting secretary.

 

Remember, Su is in limbo because of Manchin and Sinema right now, along with blanket opposition signaled by all Republicans.  I don't think O'Malley's nomination will be as contentious, but we'll see.