Social Security
Madam Speaker, I ask unanimous consent that all Members may have 5 legislative days within which to revise and extend their remarks and include extraneous material on the subject of this Special Order. Madam Speaker, I rise tonight to…
Madam Speaker, I ask unanimous consent that all Members may have 5 legislative days within which to revise and extend their remarks and include extraneous material on the subject of this Special Order.
Madam Speaker, I rise tonight to highlight an important
issue that has been the topic of much discussion across the country, Social Security. The Republicans in Congress have joined together to form teams to highlight important issues facing our Nation today, and I am proud to serve as the chairman of the Retirement Security team and to be joined by a number of my colleagues to discuss this important topic tonight.
First, I would like to invite the gentlewoman from Tennessee (Mrs. Blackburn), my colleague, to share with us some of her perspectives on Social Security and how we address those challenges.
Madam Speaker, I want to thank the gentlewoman from Tennessee (Mrs. Blackburn) who has been such a leader in our conference and is so eager to participate in this conversation.
There is a lot of misinformation about Social Security that is being promulgated across this country, but I think the most important facts that we can share with our constituents is that of every program and every idea that has been put forward, nobody wants to change anything for today's seniors, and there is a good reason for that.
For today's seniors, there are enough workers in the system that their Social Security check is protected. They are going to be fine. For those people that are about to retire, there are enough workers and enough money in the system to protect them. But for younger workers who are going to bear the responsibility for those who retire before them, there will not be enough workers to provide for their Social Security check. So what we want is to allow younger workers to begin to build their own nest egg so they can prepare for their own retirement as they shoulder the responsibility for those that retire before them.
Madam Speaker, I welcome the gentleman from Indiana (Mr. Chocola) and thank the gentleman for being part of this discussion tonight. I know the gentleman is involved in talking about Social Security in his community. Please discuss some of what you hear and some of the misconceptions.
Madam Speaker, that is very reflective of the numbers in my district. There were about 2,000 inside listening to the President. There were a number of organizations that tried to stir up a lot of activity outside to protest. There were about 100 people outside protesting.
That morning AARP had held their own roundtable, their own town hall meeting in order to share why they thought the President was wrong on this issue. They of course have massive organization, a huge mailing list, and they actually got 40 people to their town hall meeting. So I think people know that the organizations that are saying there is no problem and we should not be doing anything about it, whether it is to seniors as in seniors that are retired or seniors as in seniors in college that might be found on the Notre Dame campus, both of those groups are eager to talk about it and be part of the discussion.
Madam Speaker, sometimes I use the analogy of the American family. Adults in that family come home from work, and from every single paycheck if they put $100 in a cookie jar for their children's college education, and then they borrow to buy a car, buy clothes, go on vacation, whatever they used it for, when the child is 18, they would have a cookie jar full of IOUs. And there is still the bill for the college tuition and no money in the cookie jar. That is essentially what has happened.
Social Security was a pay-as-you-go system. Whatever came in, whether it was taken out as part of your payroll tax or part of your income tax or part of your FICA, it went into the general treasury. Those dollars paid old age benefits and paid for services that the government provided.
So none of the dollars have been saved. Maybe many of us wish, especially those of us about to retire, wish this was not a tough or impending crisis, wish back when it was established in 1945 and subsequently that they had truly put the money aside in a trust fund and it had been earning interest. But that was not done back then and it has not been done, and so we need to wrestle with the facts.
We have some good ideas. We have some ideas that will make this a good system that will be there for our children. We know it will be there for our moms and dads. My mom is 82. Obviously, I want to make sure that everything is fine for her. And I want to make sure that for those about to retire, the trust they have had in the system that they be reassured that their benefits are secure.
But when we talk about it as a crisis, I will use another analogy and say it is like jumping off an 80-story building. As you pass the 40th floor, you can say, well, nothing bad has happened yet, but clearly intervention is needed. And intervention is needed today in Social Security.
It is amazing that people talk about this being a risky solution when, in fact, the riskiest thing we could do is to do nothing. The fact is that as we wait, each year it grows worse. In fact, right now because Social Security is bringing in a surplus, we still have a few years left where we could use those dollars to help fund a transition. For every year we wait, we lose one of these years that we are in surplus and we pick up at the other end of the 75-year spectrum that we are looking at, a year where we have $600 billion of additional unfunded liability. So we not only give a year of transition up, we gain a year where we have huge, impossible-to-meet deficits and unfunded liabilities.
I came to the House 8 years ago. There has not ever been a leader in the White House and certainly resolving this problem is going to take all the leadership potential that we have in this country and we need the White House. There has never been a leader in the White House that was willing to roll up their sleeves and to say, Let's work our way through this, let's bring everybody to the table, let's put all the ideas on the table and certainly a solution is going to take multiple ideas and maybe more than just one idea, personalized accounts or whatever. But if we had done this right when I first came to Congress back in 1996, before I understood how serious and how quickly the situation was deteriorating for future generations, I think if we had addressed the problem then, we would have gotten 8 more years of surpluses and certainly those surpluses before we had the war on terror, before we had some of the other challenges, and we would not be where we are today if we had addressed those. And so to wait even one more year is going to make the situation more costly, more difficult, we are going to lose a year of surplus that could help finance this transition. That looks like a crisis to me.
We know that we could not possibly tax our way out of these problems, we could not raise taxes enough and have a viable economy left if we tried to solve the Social Security problem with tax increases. We can look across the ocean to economies, for example, France where they did not address the Social Security problem, the Social Security challenge that they have there and because now the cost of those senior survivor benefits are so high in France, their economy is crumbling under the weight of those costs. In fact, no matter what solution we have, we depend on growth in this economy to fund the transition. And so we have to have two things. We have to have a plan to save and strengthen Social Security for our children. It is safe for today's seniors but for our children, to make it safe and secure and solvent for them, and we need a growing economy so that they can have those good jobs, so that they can build the personal accounts while they meet the Social Security needs for those that were in the workforce before them. And so growth and a new plan to enhance the Social Security for future generations are both needed. We cannot trade a growing economy in order to strengthen Social Security, because raising taxes would have a chilling effect on our economy and at the same time it would only be a very short-term fix.
I think these conversations, conversations with the American people, conversations with our constituents when we go back home and conversations between each other are helping us grow to better understand, better analyze the problem and to put forth good ideas. I am excited about the ideas that are being put forth. They are not scary to me. They are exciting.
I yield to the gentleman from Indiana to share with us his closing thoughts.