I 111th CONGRESS 2d Session H. R. 4429 IN THE HOUSE OF REPRESENTATIVES January 13, 2010 Mr. Adler of New Jersey (for himself, Mr. McMahon, Mr. Mica, and Mr. Young of Florida) introduced the following bill; which was referred to the Committee on Ways and Means, and in addition to the Committees on Appropriations, Veterans’ Affairs, Oversight and Government Reform, and Transportation and Infrastructure, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned A BILL To provide for an increase of $250 in benefits under certain Federal cash benefit programs for one month in 2010 to compensate for the lack of a cost-of-living adjustment for that year.

1.

Short title

This Act may be cited as the Restoring the Social Security COLA Act.

2.

Increase in monthly cash benefit for one month payable in 2010

(a)

In general

Except as provided in this section, each individual who is entitled to a monthly cash benefit under a covered Federal cash benefit program (as defined in subsection (b)) for the month in which this Act is enacted and is also entitled to such benefit for the applicable increase month (as defined in subsection (c)) shall be entitled to an increase in such monthly cash benefit for the applicable increase month in the amount of $250. (b)

Covered Federal cash benefit program

For purposes of this section, the term covered Federal cash benefit program means a Federal program providing— (1)Social Security benefits (as defined in section 86(d) of the Internal Revenue Code of 1986 (without regard to paragraph (3) thereof)), (2)benefits under chapter 11, 13, or 15 of title 38, United States Code, or (3)benefits under chapter 83 or 84 of title 5, United States Code. (c)

Applicable increase month

For purposes of this section, the term applicable increase month means the first month beginning after the earlier of— (1)120 days after the date of the enactment of this Act, or (2)November 30, 2010. (d)

Restriction of increase to one month

Nothing in this section shall affect the amount of a monthly cash benefit under any Federal cash benefit program for any month other than the applicable increase month. (e)

Notice

Not later than the date of the monthly cash benefit to each individual which reflects the benefit increase under this section, the Secretary of the Treasury shall issue to such individual a written notice which includes the following statement: Your monthly cash benefit for ______ reflects a one-time increase in the monthly benefit for that month of $250 which is in lieu of an annual cost-of-living increase in benefits for 2010., with the blank space therein being filled with a reference to the calendar month which is the applicable increase month. (f)

Simultaneous entitlements

In any case in which an individual is entitled to 2 or more monthly cash benefits under a covered Federal cash benefit program for the applicable increase month, the increase provided in subsection (a) shall apply to the total amount of such benefits for the applicable increase month, after application of any provision under such program providing for coordination of multiple benefits for any month, in lieu of the amount of each benefit which is so payable. (g)

Effect on family maximums

The amount of the increase in monthly cash benefits provided under subsection (a) in connection with a covered Federal cash benefit program shall be disregarded in determining reductions under such program in benefits under any provision under such program providing for reductions in benefits based on the same work record or in connection with family membership. (h)

Increase To be disregarded for purposes of all Federal and Federally assisted programs

(1)

In general

The increase under subsection (a) shall not be regarded as income and shall not be regarded as a resource for the applicable increase month and the following 9 months, for purposes of determining the eligibility of the recipient (or the recipient’s spouse or family) for benefits or assistance, or the amount or extent of benefits or assistance, under any Federal program or under any State or local program financed in whole or in part with Federal funds. (2)

Federal retirement

The increase under subsection (a) shall not be taken into account— (A)for purposes of applying section 8340(g) of title 5, United States Code; or (B)for purposes of any computation under section 8342(e) or 8424(f) of such title. (i)

Increase not considered income for purposes of taxation

The increase under subsection (a) shall not be considered as gross income for purposes of the Internal Revenue Code of 1986. (j)

Benefits not otherwise payable

Nothing in this section shall be construed to provide, in connection with the increase under this section of any monthly cash benefit under a covered Federal cash benefit program, for a payment of any amount of such monthly cash benefit to any individual if— (1)such monthly cash benefit is not otherwise payable or is suspended or reduced by reason of— (A)confinement of the individual in a jail, prison, or other penal institution or correctional facility, confinement of the individual in an institution at public expense, flight by the individual to avoid criminal prosecution or custody or confinement after conviction of a crime, or violation by the individual of a condition of probation or parole, or (B)failure of the individual to make child support payments required under applicable law, or (2)such individual is an alien who is not lawfully present in the United States.

3.

Funding

(a)

In general

Effective February 1, 2010, of the unobligated balance of the discretionary appropriations made available by division A of the American Recovery and Reinvestment Act of 2009 (Public Law 111–5), there is rescinded the amount determined by the Director of the Office of Management and Budget to be required to offset the increase in spending resulting from the provisions of section 2. (b)

Application

The rescission made by subsection (a) shall be applied proportionately— (1)to each discretionary account; and (2)within each such account, to each program, project, and activity (with programs, projects, and activities as delineated in the appropriation Act or accompanying reports for the relevant fiscal year covering such account, or for accounts not included in an appropriation Act, as delineated in the most recently submitted President's budget). (c)

OMB report

Not later than March 1, 2010, the Director of the Office of Management and Budget shall submit to the House of Representatives and the Senate a report specifying the reductions made to each account, program, project, and activity pursuant to this section.