Larson Pushes to Get Social Security Reform Proposal for House Vote

Published in RINewsToday on June 13, 2022

The House Ways and Means Committee is preparing for a full mark-up on H.R. 5723, Social Security 2100: A Sacred Trust, authored by Committee Chairman John B. Larson (D-CT) this summer. Last week Larson held a press conference calling for passage of the legislative proposal. 

The morning press conference, held on June 2nd at the Connecticut AFL-CIO headquarters, based in Rocky Hill, Connecticut, brought together Connecticut AFL-CIO President Ed Hawthorne, Connecticut Alliance for Retired Americans President Bette Marafino, State Senator Matt Lesser, State Senator Saud Anwar, State Representative Amy Morrin Bello to announce the endorsement of H.R. 5723 by the AFL-CIO.  The AFL-CIO is known as the nation’s largest federation of unions, made up of 56 national and international unions, representing more than 12 million active and retired workers.

On the same day, the Social Security Administration released the 2022 Social Security Trustee Report.

According to Larson’s statement, over 200 House Democrats [no Republican has yet to support the proposal], are cosponsoring H.R. 5723. Forty-two national organizations (aging, union, veterans, disability and consumer health organizations) are calling for passage of H.R. 5723, including the Leadership Council on Aging Organizations and the Strengthen Social Security Coalition representing hundreds of national and state aging organizations.

Larson noted that it has been 50 years since Congress acted to expand Social Security benefits. The Connecticut Congressman stated: “By passing Social Security 2100: A Sacred Trust, we can act now to expand our nation’s most effective anti-poverty program and ensure this program remains a ‘sacred trust’ between the government and its people. It is an honor to stand alongside the AFL-CIO today as they announce their support for our legislation.”

“Social Security benefits are a promise made to workers and Social Security 2100 is essential in fulfilling this promise,” said Connecticut AFL-CIO President Ed Hawthorne. He praised Larson’s efforts to repeal the Windfall Elimination Provision that harms Connecticut’s teachers, firefighters, and police officers by reducing social security benefits they earned because they are receiving pensions after years of dedicated public service.

“Retirees and those most vulnerable in our society depend on Social Security to live a life of dignity. The Connecticut AFL-CIO and our over-200,000 members stand in solidarity with Congressman Larson in his fight to ensure Social Security is a promise we keep for generations of Americans to come,” said Hawthorne.

State Senator Saud Anwar, (D-South Windsor) joined Larson and others, too, supporting H.R. 5723. “Social Security has long been an American institution, one relied upon and paid into by countless citizens who receive a promise that they will be taken care of,” said the Connecticut Senate’s Deputy President pro tempore. “We must take action to expand this program and ensure this vital service will remain available for future generations, and Social Security 2100 will do just that. I am grateful for Connecticut’s federal representatives in their work to support our communities, our state and our country,” he said.

Senator Richard Blumenthal (D-CT), who introduced the companion bill to H.R. 5723 in the Senate could not be there, but issued this statement: “As seniors and people with disabilities struggle with the costs of food, housing, and prescription drugs, this bill enhances and expands benefits for millions of Americans who need them. I am proud to stand with my colleagues and union members to support the Social Security 2100 Act, keeping this vital lifeline solvent ensuring our nation’s bedrock social insurance program will continue to provide current and future beneficiaries with a quality standard of living,” said Connecticut’s senior Senator. 

H.R. 5723: The Nuts and Bolts

On Oct. 26, 2021, H.R. 5723 was referred to the House Ways and Means, Education and Labor, and Energy and Commerce Committees, being introduced in the lower chamber that day.

According to a legislative fact sheet, H.R. 5723 gives a benefit bump for current and new Social Security beneficiaries by providing an increase for all beneficiaries (receiving retirement, disability or dependent benefits).

Larson’s Social Security fix also protects Social Security beneficiaries against inflation by adopting a Consumer Price Index for the Elderly (CPI-E), to better reflect the costs incurred by seniors who spend a greater portion of their income on health care and other necessities.

This legislative proposal protects low-income workers by providing a new minimum benefit set at 25% above the poverty line and would be tied to wage levels to ensure that minimum benefits does not fall behind.

It also contains other provisions that seniors and their advocates have sought for years, including:

  • Improving Social Security benefits for widows and widowers in two income households so they are not penalized for having two incomes.
  • Ending the five-month waiting period to receive disability benefits so those with ALS or other severe disabilities no longer have to wait.
  • Providing caregiver credits for Social Security wages to ensure that caregivers are not penalized in retirement for taking timeout of the workforce to care for children and other dependents.
  • Extending Social Security benefits for students to age 26 and for part-time students.
  • Increasing access to Social Security dependents for children who live with grandparents or other relatives.                       

H.R. 5723 would pay for strengthening the Social Security Trust Fund by having millionaires and billionaires pay the same rate as everyone else. Currently, payroll taxes are not collected on an individual wages over $142,800. The legislative proposal would apply payroll taxes to wages above $400,000, only impacting the top 0.04% of wage earners.

Larson’s proposal would also extend the solvency of Social Security by giving Congress more time to ensure long-term solvency of the Trust Fund.  It also cuts long-term shortfalls by more than half.

Finally, H.R. 5723 would combine the Old-Age and Survivors Insurance with Disability Insurance into one Social Security Trust Fund, to ensure all benefits will be paid.

NCPSSM Pushes for Passage

Even with over 200 cosponsors, a Washington insider says that H.R. 5723 may be stalled because of concerns of House Speaker Nancy Pelosi’s (D-CA) policy staff about the cost of the proposed legislation.  At press time, House lawmakers are waiting for the non-partisan Congressional Budget Office to score the legislation [to determine its cost], this being required to bring it to the House floor for a vote.

In a blog article, posted on May 27th by the Washington, DC-based National Committee to Preserve Social Security and Medicare (NCPSSM), seniors are urged to request their House lawmakers, if they are not currently cosponsoring H.R. 5723, to support Larson’s landmark legislation to strengthen Social Security.  According to the NCPSSM, Reps. Cynthia Axne (D-IA) Susie Lee (D-NV) and Tom O’Halleran (D-AZ) are among the 22 Democrats that have not yet sponsored H.R. 5723. With the upcoming mid-term elections just 148 days away, these Democratic lawmakers may fear Republican attacks, accusing them of raising taxes, speculates NCPSSM.

“The more Democratic co-sponsorships the bill garners, the stronger the case that House leadership should bring it to the floor for a vote,” says NCPSSM.

NCPSSM reports that Larson’s Social Security proposal has strong public support. “A poll by Lake Research Partners showed that across party lines, 79% supported paying for an increase in benefits by having wealthy Americans pay the same rate into Social Security as everyone else. A recent survey of our members and supporters indicated 96 percent support for raising the cap,” says the Social Security Advocacy group.

NCPSSM says Larson’s legislative proposal gives Democrats an opportunity to build upon, strengthen, and expanding the Social Security program, created by President Franklin D. Roosevelt in 1935. 

Many feel it is time for House Speaker Nancy Pelosi to use the power of her office, responding to over 200 Democrats in her Caucus, to bring H.R. 5723 to a House Ways and Means Committee and floor vote.  If the Republicans take control of the House and Senate Chambers, Social Security reform to expand and strengthen Social Security may be in jeopardy, so time is of the essence to supporters to see H.R. 5723 passed and enacted.

Trustee Reports predict improved outlook for Social Security and Medicare

Published in RINewsToday on June 6, 2022

On June 2, 2022, following a meeting of the Social Security and Medicare Boards of Trustees, the Social Security Administration (SSA) – joined by the Departments of Health and Human Services and Labor, the Centers for Medicare & Medicaid Services, and the U.S. Department of Treasury — released a 275-page annual report giving us a snapshot of the financial health of the Social Security Trust Funds.

The Trustee reports findings

According to this year’s Trustee Reports, “Social Security and Medicare both face long-term financing shortfalls under currently scheduled benefits and financing. Costs of both programs will grow faster than gross domestic product (GDP) through the mid-2030s primarily due to the rapid aging of the U.S. population. Medicare costs will continue to grow faster than GDP through the late 2070s due to projected increases in the volume and intensity of services provided.”

The Social Security Trustees report that the combined asset reserves of the Old-Age and Survivors Insurance and Disability Insurance (OASI and DI) Trust Funds, paying benefits to 65 million retirees, disabled people as well as survivors of deceased workers, are projected to become depleted in 2035, one year later than projected last year, with 80 percent of benefits payable at that time. The DI Trust Fund asset reserves are not projected to become depleted during the 75-year projection period.

“It is important to strengthen Social Security for future generations. The Trustees recommend that lawmakers address the projected trust fund shortfalls in a timely way to phase in necessary changes gradually,” says Kilolo Kijakazi, Acting Commissioner of Social Security in a statement announcing the released report. “Social Security will continue to be a vital part of the lives of 66 million beneficiaries and 182 million workers and their families during 2022,” she adds.   

The Medicare Board of Trustees note in its 263 page report that the projected depletion date for Medicare’s trust fund for inpatient hospital care (Part A), covering around 64 million retirees and disabled persons, moved from last year’s forecast of 2026 to 2028. At this time Medicare will only be able to pay 90% of the scheduled benefits when the fund is depleted.

“We are committed to running a sustainable Medicare program that provides high quality, person-centered care to older Americans and people with disabilities,” said CMS Administrator Chiquita Brooks-LaSure. In a statement “Medicare trust fund solvency is an incredibly important, longstanding issue and we are committed to working with Congress to continue building a vibrant, equitable, and sustainable Medicare program,” she says.

Thoughts from senior advocacy groups

In a statement, AARP CEO Jo Ann Jenkins said that this year’s Social Security and Medicare Trustee report sends this clear message to Congress: “The Social Security and Medicare Trustees’ reports should send this “clear message” to Congress: “Despite the short-term improvement, you must act to protect the benefits people have earned and paid into both now and for the long-term. The stakes are too high for the millions of Americans who rely on Medicare and Social Security for their health and financial well-being.”

“These reports also underscore the urgent need for Congress to pass legislation allowing Medicare to negotiate for lower prescription drug prices, which would result in billions of dollars of savings for seniors, the Medicare program, and taxpayers,” says Jenkins.

Jenkins also calls on Congress to increase funding to fix serious long-time Social Security customer service problems, which currently impede or keep seniors and people with disabilities from getting their benefits in a timely manner.

Following the release of the Trustees Report, Executive Director Alex Lawson, of the Washington, DC-based Social Security Works, (SSW) a social welfare organization that lobbies for Social Security Reforms, also issued a statement: “Today’s report shows that our Social Security system remains strong. Protecting and expanding benefits is a question of values, not affordability. That this year’s projections are even stronger than last year’s proves once again that Social Security is built to withstand times of crisis, including pandemics.”

We don’t have a Social Security crisis, but we do have a retirement income crisis. With prices rising, seniors and people with disabilities are struggling to afford food and medicine. The solution is to expand Social Security,” says Lawson. 

According to SSW, the 2020 Social Security Trustee’s Report reported that Social Security has an accumulated surplus of about $2.85 trillion.  It projects that, even if Congress took no action whatsoever, Social Security not only can pay all benefits and associated administrative costs until 2035, it is 90 percent funded for the next quarter century, 84 percent for the next half century, and 81 percent for the next three quarters of a century.  

“At the end of the century, in 2095, Social Security is projected to cost just 5.86 percent of the gross domestic product (“GDP”), less than most other wealthy countries spend on their counterpart programs,” says SSW.

Max Richtman, President and CEO of the Washington, DC-based National Committee to Preserve Social Security and Medicare (NCPSSM), throws in his two cents about this year’s Trustee Report. “The takeaway from the latest Social Security Trustees report is this:  Congress must strengthen the program’s finances without delay. The Trustees project that the combined Social Security retirement and disability trust fund will become depleted by 2035, one year later than projected in their previous report. At that point, every Social Security beneficiary will suffer a 20% cut to their benefits.”

“Seniors struggling to meet rising living expenses need Social Security to be boosted and strengthened. The pandemic, runaway inflation and devastating stock market losses serve to remind us how vital a robust Social Security program is to workers, retirees, the disabled and their families. The clock is running down. The time for fair, just, and equitable action that safeguards Social Security’s financial stability is now,” adds Richtman.   

While acknowledging that the trust fund insolvency date may fluctuate from year to year, the urgent need to boost the program’s financing and benefits remains consistent, says Richtman. 

NCPSSM’s Richtman says, over the years, the GOP has opposed the expansion and strengthening of Social Security and has called for raising the retirement age, privatization, and more recently, ‘sunsetting’ Social Security and Medicare every five years.  He calls for passage of Rep. John Larson’s Social Security 2100: A Sacred Trust legislation that would extend trust fund solvency by requiring high wage earners to contribute their fair share through an adjustment in the payroll wage cap. 

A Washington Insider says that House Speaker’s Nancy Pelosi (D-CA) policy staff are concerned about the cost of Larson’s Social Security fix legislation and are seeking a CBO cost estimate. At press time this measure has more than 200 Democratic cosponsors in the House. The Congressional Asian Pacific American Caucus (CAPAC), Congressional Black Caucus (CBC), the Congressional Hispanic Caucus (CHC), the Task Force on Aging and Families, and the Congressional Progressive Caucus have all called on Pelosi to bring the bill to the House floor for a vote.

“Thanks to the American Rescue Plan, our economic recovery has strengthened both the Social Security and Medicare Hospital Insurance Trust Funds and improved financial projections for these vital programs. But to ensure that every American worker, senior, child, and person with disabilities receives the necessary and earned benefits provided by both Social Security and Medicare, we need to act. That’s why I am an original cosponsor of legislation like Social Security 2100: A Sacred Trust, to not only enhance benefits for seniors and some of our most vulnerable neighbors, but to also guarantee access to these programs for generations to come,” said Congressman David Cicilline, (D-RI).  

Congress can step in to financially strengthen the Social Security and Medicare programs. A message from the Social Security and Medicare Boards of Trustees suggest Congress pass legislation to reduce or eliminate the long-term financing shortfalls in both the Social Security and Medicare. “Taking action sooner rather than later will allow consideration of a broader range of solutions and provide more time to phase in changes so that the public has adequate time to prepare,” say the Trustees.

Congress should look for “medium-term solvency” fixes to ensure that Social Security program can pay full benefits for several decades rather than for the full 75-year projection period, suggests Paul N. Van De Water, Senior Fellow at the Washington, DC-based Center for Budget and Policy Priorities, a nonprofit nonpartisan research organization and policy institute that conducts research on government policies and programs. “But shoring up the program’s financing for a substantial period of time is important for assuring both current and future beneficiaries that Social Security will be there for them in the years to come,” he says.

At a crossroad

NCPSSM’s Richtman believes Social Security’s future is now at a crossroads. “We can either cut benefits or expand benefits and pay for it by requiring the wealthiest to pay their fair share,” he says, calling on Congress to hold an up or down votes on Larson’s Social Security legislation.

Polling shows that voters support fixing Social Security and Medicare. Seniors may well go to the polls, sending a message with their vote that strengthening and expanding Social Security is important to them.   

For a copy of the 2022 Social Security Trustee Report, go to https://www.ssa.gov/OACT/TR/2022/tr2022.pdf. For a copy of the 2022 Medicare Trustee Report, go to https://www.cms.gov/files/document/2022-medicare-trustees-report.pdf

Older Americans Month: great time to bring back House Aging Committee

Published in RINewsToday on May 9, 2022

On April 29, President Joe Biden proclaimed the month of May, Older Americans Month for 2022 to honor the nation’s 54.1 million Americans aged 65 and over “who contribute their time and wisdom to make our communities stronger, more informed, and better connected.”

“Older adults have always been a vital source of strength and resilience in America,” stated Biden in the proclamation.  During the pandemic, many seniors came out of retirement to serve their communities in health care and education roles, filling job vacancies in critical shortage areas. Moving forward, we must ensure that older Americans have the appropriate resources to maintain their independence and stay connected to their communities,” he said.

The proclamation also noted that the nation is celebrating the 50th anniversary of the Older Americans Act Nutrition Program — the first federal program to support the well-being of older Americans through meal deliveries, nutrition services, educational programs, and counseling. This year is also the 10th anniversary of the nation’s National Plan to Address Alzheimer’s Disease and recommit to building upon this important work being done.

Biden recognizing this month in honor of seniors follows the footsteps of 11 presidents, beginning with President John F. Kennedy in 1963, when only 17 million Americans had reached their 65thbirthday. At that time,  about a third of America’s seniors lived in poverty and there were only a few federal programs to meet their needs. A meeting in April 1963 between Kennedy and the National Council of Senior Citizens led to designating May as “Senior Citizens Month,” later renamed “Older Americans Month.”

Over the years, OAM is a time the nation acknowledges the contributions of past and current older persons to our country, in particular those who defended our country. Communities across the nation pay tribute at ceremonies, events, and fairs, or in other ways to older persons in their communities.  

OAM – a great time to bring back the House Aging Committee

As the nation celebrates OAM, an eblast to over 90,000 seniors by the National Committee to Preserve Social Security and Medicare (NCPSSM) urged these older voters to call their congressmen to request them to cosponsor Rhode Island Congressman David Cicilline’s H. Res. 583, to reestablish the House Select Committee on Aging (HSCoA). “It couldn’t be a better time to highlight the urgent need to reinstate this investigative committee which would help restore Congressional focus on key policy issues [Social Security, Medicare, housing, prescription drugs, and long-term care] impacting the nation’s seniors says the Benefits Watch newsletter.   

“Today, with seniors representing a growing portion of the U.S. population and several federal programs that seniors rely on at an inflection point, there is an increasing need for a House committee that advocates for older Americans,” says NCPSM’s email, noting that’s why the Washington, DC-based advocacy group has signed onto the Leadership Council on Aging Organization’s (LCAO) letter calling on the House to pass H. Res. 583. 

“While there are other committees with jurisdiction over seniors’ programs, there is no single committee dedicated to keeping an eye on the big picture for seniors.  Fortunately, the Senate Special Committee on Aging has continued to operate in the absence of a House counterpart,” notes NCPSSM’s email, noting that “seniors would benefit from a reinstated and robust HSCoA, whose sole mission would be to look out for older American’s needs.

National Aging Groups, former Pepper staffer weighs in

“Older Americans month would be the perfect time to bring back the Aging Committee,” says Bob Weiner, former Chief of Staff under chairman Claude Pepper of the House Select Committee on Aging. “It’s sorely missing now. With Pepper’s legacy as the guide, pandemic deaths, nursing homes, home health care, Social Security, and Medicare would be improved by the sunlight of oversight. Seniors are now vulnerable and threatened by what could happen and having the Aging Committee back would reinstate the wall of protection that Pepper gave them,” he says. 

“The LCAO supports the establishment of HSCoA to provide an important forum for discussion, debate and exploration of issues impacting an aging society,” says Katie Smith Sloan, chair of the Leadership Council of Aging Organizations (LCAO), a coalition of 69 Washington, DC-based aging organizations. “Addressing the needs of older adults and families, which are increasingly prevalent with our population shifts, now, as we celebrate Older Americans Month, is appropriate – and urgent,” says Sloan. LCAO sent a letter to members of Congress on March 4, 2022, urging them to cosponsor H. Res. 583. 

“Passing H Res 583 in May to coincide with it being Older Americans month would make eminent policy and political sense.  It is an investment in having a stronger and dedicated advocacy voice for older adults in the House which has been missing for almost 20 years,” says Robert B. Blancato, National Coordinator of the Elder Justice Coalition, who was the longest serving staff person on the original House Aging Committee, from 1977 to 1993.

“As our country’s older adult population continues to grow each day, so does the urgency with which we need to pursue effective solutions to myriad aging issues,” says Erika Kelly, Chief Membership and Advocacy Officer of Meals on Wheels America. “To see the House pass this resolution to reestablish the HSCoA during Older Americans Month would be a tremendous step forward,” she says.

“Older Americans Act programs, like Meals on Wheels, will undoubtedly face the lingering impact of the pandemic and other challenges for years to come. Having this HSCoA come [back] to life again, especially during this celebratory month, would provide critical leadership and attention when it’s needed most and make a difference in the lives of tens of millions of older adults,” says Kelly.

Finally, Cicilline, H. Res. 583’s sponsor and the NCPSSM tells us why it is important for House Speaker Nancy Pelosi and her Democratic leadership colleagues to support and bring H. Res. 583 to the House Rules Committee for a vote during Older Americans Month.

“With Older Americans Month upon us, this is an important moment to underscore how the pandemic has disproportionately impacted seniors. Now, with growing concerns about inflation, seniors on fixed incomes will bear the burden of the rising cost of prescription drugs, food, housing, and other essentials. A House Permanent Select Committee on Aging would help Congress focus on, study, and address the issues that affect seniors to make sure they can live the rest of their lives with dignity and security,” says Cicilline.

“When there was a HSCoA before it was abolished in 1995, the investigative House committee held hearings on aspects of the Older Americans Act leading up to the 1992 reauthorization of the law,” noted NCPSSM’s Dan Adcock, Director of Government Relations and Policy. “The findings of these hearings were helpful to the House Committee on Education and Labor which had legislative jurisdiction over the Older Americans Act.  The Subcommittee on Human Resources [now called the Civil Rights and Human Services Subcommittee] under the full Education and Labor Committee held several of its own hearings on the OAA, too – including field hearings held across the country — leading to the enactment of the 1992 reauthorization., he said. 

According to Adcock, during that period of time, there was significant communication between the House Aging Committee staff and the Ed and Labor Committee and Human Resources Subcommittee staff.  But the legislative language was written and marked up by the latter. “A reestablished HSCoA could play a similar role in the future, but the panel’s ability to have an impact on legislation drafted by the authorizing committees would depend on the cooperation between the respective committee chairs and staff and the degree of relevancy of the hearings held by a reconstituted House Aging Committee,” he says. 

Over 400 senior groups support H. Res. 583

While LCAO is a pretty diverse group of national aging organizations – each with their own policy priorities, the coalition of 69 members, representing over 100 million over 50, and 50 million over 65 came together to endorse and affirm their support of Cicilline’s resolution.  

Ms. Nancy Altman, President of Social Security Works and Chair of the Strengthen Social Security Coalition, strongly supports the passage of H. Res. 583 and that her coalition of 350 national and state organizations representing 50 million Americans endorses Rep. Cicilline’s resolution.  

As we celebrate OAM, it is key to House Speaker Nancy Pelosi, Majority Leader Steny Hoyer (D-MD) and Whip James Clyburn (D-SC) to join Cicilline along with Congresswomen Jan Schakowsky (D-IL) and Doris Matsui (D-CA), cochairs of the Task Force on Aging and Family and 43 cosponsors of H. Res 583, giving the green light to the House Rules committee to vote, and if approved send it quickly to the floor.

H. Res. 583 does not require Senate consideration and only requires a House Rules and floor vote for passage.  Passing the reestablishment of an investigative committee in the House would send a powerful message to older Americans that Congress following in Pepper’s footsteps will again get serious in addressing aging issues. 

As mentioned in previous commentaries, bringing back the HSCoA is a winning federal policy to positive impact America’s seniors and this group.  It’s the  right thing to do especially at a time when seniors have been a disproportionately impacted by the continuing COVID-19 pandemic.    

Over 450 national and state aging organizations representing conservatively over 150 million seniors, support the enactment of H. Res. 583. That’s a great reason for the lower chamber to strongly support.

To see the LCAO’s letter sent to Congress on March 4, 2022, endorsing H. Res. 583, go to https://www.lcao.org/wp-content/uploads/2022/03/House-Aging-Committee-LCAO-Letter-3-4-22.pdf.

For a historical background of the HSCoA and details about H. Res. 583, go to https://rinewstoday.com/congressman-cicilline-poised-for-legacy-as-next-fiery-advocatsie-on-aging/.

For details about Congressman Claude Pepper (D-FL) Congressman, during his six-year serving as chair of the HSCoA, go to https://rinewstoday.com/congressman-cicilline-poised-for-legacy-as-next-fiery-advocate-on-aging/.