[Congressional Record Volume 141, Number 11 (Thursday, January 19, 1995)]
[Extensions of Remarks]
[Page E129]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]



[[Page E129]]
              LEGISLATION TO REFORM CONGRESSIONAL PENSIONS

                                 ______


                           HON. BOB GOODLATTE

                              of virginia

                    in the house of representatives

                       Thursday, January 19, 1995

  Mr. GOODLATTE. Mr. Speaker, calls for reduced Government spending 
have echoed throughout this great Nation of ours. Unfortunately, the 
voices of the people have often been ignored by this Chamber in 
previous years. When these cries have been heard, the response has been 
to shift the burden of budget cuts. I believe the time has come for the 
Members of Congress to lead by example.
  Today I am introducing legislation that demonstrates to the American 
people the steadfast commitment of this Congress to fight against 
excessive spending by tackling the largest perk in government--
Congressional pension plans. I also introduced this legislation in the 
103d Congress. I hope and anticipate that the reform-minded 104th 
Congress will look upon this bill much more favorably and make the bold 
move to reconcile profitable congressional pensions with those of hard 
working Americans.
  Congressional retirement benefits are ridiculously more lucrative 
than those of many private sector and all Federal employees. Some 
Members of Congress make more in retirement than most Americans could 
hope to make in a lifetime.
  The National Taxpayers Union estimates that over 180 Members will 
collect over $1 million each in lifetime benefits. My legislation will 
slam shut the doors of this congressional pension millionaires club.
  Under current law, retired Members of Congress receive a pension that 
is 10 to 20 percent higher than comparable pensions for retired Federal 
employees. There is a drastic difference in the formulas used to 
calculate Members' pensions and those of Federal employees. Due to the 
huge disparity in the pension equations, Members of Congress receive 
thousands of dollars more in annual retirement benefits compared to 
Federal employees with comparable years of service.
  Furthermore, when you consider that Members of Congress are near the 
top of the Federal pay scale, the difference between most pension plans 
and the lucrative congressional plans is compounded.
  Clearly, Representatives' and Senators' retirement benefits should be 
consistent with Federal employees which is why I am introducing a bill 
which will do just that.
  My bill recalibrates the formula used to calculate Members' pensions. 
It changes the equation so that our pension plan is the same as that of 
any other Federal employee. It also increases the age at which a form 
Member may begin to collect their benefits from age 50 to age 55. The 
bill would finally put Members' retirement benefits on par with Federal 
employees.
  The time has come for us to address the gross disparities between 
congressional retirement benefits and those of the average American. 
The era of governmental abuse has come to a close and the buck stops 
with us. I urge my fellow Members to hear the calls of the American 
people, and demonstrate your leadership by setting the example and 
cosponsoring this legislation.

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