We have been waiting for several days to do this. We will keep the time. I say to Senator Santorum, as he can tell, I was originally hesitant to yield to our distinguished Democratic colleague, but I am now so grateful that the Senator did…
We have been waiting for several days to do this. We will keep the time.
I say to Senator Santorum, as he can tell, I was originally hesitant to yield to our distinguished Democratic colleague, but I am now so grateful that the Senator did yield because it made the case of why we need to guarantee benefits and why we need to stop the raid on the Social Security surplus.
Practically all the information that we heard is untrue as it relates to my bill, but the misleading information is the best case for the Guarantee Act that Senator Santorum has proposed. It is so important, when people are getting untruths and so much misinformation that is intended to confuse them, that we reassure the American people that regardless of how we change Social Security to benefit future workers, that we are not going to change anything about the benefits of anyone who was born before 1950.
I am honored to be presenting these ideas with Senator Santorum today. There is no one in this Congress and probably no one in this country who has done more to protect Social Security for this generation or the next than has Senator Santorum.
I am also supporting this Guarantee Act because Americans know that we have a problem with Social Security. It is disingenuous for any Member of the Senate to suggest otherwise. So we must guarantee in the face of these folks knowing we have a problem, but we also must begin now the process of fixing the Social Security system so it will be there for younger Americans. We can do that by, first, stop spending Social Security on other things. That is what we are doing right now as I speak.
Americans know why we have a problem with Social Security. Maybe Senator Santorum can add more later since he has done so many townhalls. There are many Congressmen and Senators who have gone out to talk about Social Security, and they have had many people stand up and say, Social Security would be fine if you folks in Congress would stop spending Social Security on other things. They figured out that every dime that comes in for Social Security that is not needed for today's retirees is spent on other programs.
If we could look at the next slide, since the mid-1980s we have had $1.7 trillion of Social Security taxes that have come in that were not needed to pay benefits. Our colleagues will say that that is safe and sound in the trust fund but, frankly, if there is one fact that is true on this floor tonight, it is that every dime has been spent on something else. Not one penny has been saved for Social Security for today's retirees or for tomorrow's retirees.
What we are proposing is to stop that raid on Social Security. We are not proposing a comprehensive change in the Social Security system. In fact, Americans would see no difference in the Social Security system. What we would start doing is to take the money that is not needed for Social Security today and save it so that it would not be spent on other things.
Here is the proposition: Between now and 2017, we are going to spend another $775 billion of Social Security money on other things unless we pass this Stop the Raid on Social Security bill. We can see it year to year. This year it is almost $70 billion that came in for Social Security that was spent on other things. Next year it will be well over $80 billion, and it will continue until it disappears in 2017. At that point, there will not be enough Social Security taxes to pay benefits, and we will have to start moving money from the general fund to make sure every American gets their Social Security check.
The Stop the Raid bill would take all of this money, $775 billion, and put it in Treasury bills so that it could not be spent on other things. Instead of the government owning it, the people who send the money for Social Security would own it.
My Democrat colleagues oppose ownership. They do not want the American people to own their own Social Security system. They want the Government to own it, and they want the Government to continue to spend it on other things. We want to stop that raid on Social Security. The Democrats, as we have heard tonight, will say that if we stop spending this Social Security money on other things, it is going to increase the deficit. Again, that is not true. All it does is make us honest with our accounting.
Right now, the $1.7 trillion we have already spent, and this 775 billion additional dollars is spent without any recognition that we are creating a debt. If we save this money in Treasury notes where there is no risk to the American people, we have to start counting it as debt if we continue to spend it. This is a secret slush fund that Congress has used for many years--$1.7 trillion plus $775 billion. Congress, every year, spends this money on other things and does not count it as debt. If we start saving it for Social Security, it will be a debt if we continue to spend it.
Only in Washington--and I am afraid only my Democrat colleagues-- could say that saving money creates a debt. I am afraid only a Democratic colleague at this point could say that saving $775 billion of Social Security money for Social Security actually weakens the program. Their intent is to oppose ownership by the American people who should own Social Security. Their intent is to spend this $775 billion on something else.
I have heard my Democrat colleagues over the last couple of weeks talk about stopping the raid. They want to stop the raid by increasing taxes. They have said that they stopped the raid. That has never happened, and that is not true because even when we were in surpluses as a nation a few years ago, every dime of Social Security was spent. Some of it was spent to pay down debt, but it was all spent. And not one penny, even when the Nation was in surplus, was saved for Social Security. We need to stop that practice and be honest with the American people.
My Democrat colleagues have said interesting things about stopping the raid. Our distinguished minority leader has said he supports the raid. He called stopping the raid a ``bad idea'' that will ``threaten benefits and increase the debt and weaken Social Security.'' Get that. We are going to save Social Security for Social Security and that weakens Social Security. It is amazing.
Let's look at another comment from Democrat leaders. This comes from our colleague in the House, Minority Leader Nancy Pelosi:
There is nothing wrong with Social Security lending money
with the prospect of returning it.
One more quote, and then I know Senator Santorum has probably some questions for me. This is from our colleague, Charlie Rangel, the House Ways and Means ranking member. When talking about the raid, he says:
There is nothing wrong with that.
But let be read his whole statement. He said:
Would you have any problem if you put your money into a
bank and they just took your money and invested it and you
went to the bank and they gave you your money when you needed
it? There is nothing wrong with that.
The problem is, that is the core of the misinformation we are hearing from Democrats, that our money from Social Security is actually saved in a bank; that it is actually there. But that is not true. It is not fair to tell the American people that it is true. There is no bank. There is no money. We need to start today to stop the raid on Social Security money.
I have had people back home, when we are talking about saving Social Security and putting it in personal accounts, tell me that is what they thought was already happening. They thought we were saving their money because we talk about a trust fund. But the more people find out about the truth, when we say there is not any money in the trust fund, first people smile and think I am not telling them the truth. We need to tell Americans the truth.
Right now the largest tax most Americans pay is the 12.5 percent for Social Security. That is thousands of dollars for the average American family every year. It comes into the Social Security system. It is credited to a trust fund. Then it is spent either on Social Security benefits or spent on other things.
We have made Americans believe we are saving that money for them, but it is all passing through. The only thing that is in the Social Security trust fund is IOUs. Our President, who has been a leader on this issue, actually went and opened the file cabinet where these IOUs are.
The problem, Senator, as you know, is we cannot pay future benefits from IOUs. But we can from real money if we start saving it. There is nothing risky about saving this money in Treasury notes so it cannot be spent on other things. But you asked an important question. Right now, the Government owns the Social Security benefit and politicians control it. If we start saving Social Security in personal accounts--we are not talking about taking it out of the Social Security system. It is still just as much a part of the Social Security system as what we have today, only it is real money and people own it, which means they have
a legal right to it, which they do not today. In the future, politicians cannot build their whole election campaign around frightening seniors that we are going to take their Social Security.
This bill alone would not change anyone's benefits. In fact, it includes, as yours does, a guarantee. People will continue to get the benefit they have been promised. Only part of their benefit would be paid by the traditional system and part from real money. Our hope is, as you mentioned before, this is a first step. We need to move past the first step of saving the $775 billion and go back and get the Government to pay back what they have already borrowed from Social Security, invest that in those accounts and let them earn interest, and it grows. It is a large step toward solving the future problems of Social Security.
It is going to take several steps to fix it, but this is the most important first step. If we cannot stop spending Social Security on other things we cannot go to the American people and honestly tell them we have a solution, not if we cannot even stop spending it on something else.
Only if we slow our spending as a government.
It is definitely an honest accounting bill. Right now this money goes on the table and the Government secretly sweeps it away and spends it.
Right. We are going to take it off the table and save it. So the whole point is, if you want to keep spending that money as a Congress, we are going to have to recognize it as debt and admit to the American people that we are spending more than we told them we were spending.
Exactly right. We will also be honest about telling the American people we have not been saving the money, but we are going to start saving their money and we are going to figure out a way to go back and get what has been borrowed from Social Security and put it back so that Social Security will be there for your children and mine and our grandchildren.
I say to the Senator, I know you want to make a motion. But it is important that you and our colleagues know what we are asking for. We are not asking to pass a bill tonight. We are asking to move the bill into the debate process so that the American people can find out more about where we are and how this Guarantee Act and this Stop the Raid Act can secure their future.
I yield back to the Senator to make the motion.