[Congressional Record Volume 151, Number 8 (Tuesday, February 1, 2005)]
[Extensions of Remarks]
[Page E127]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                            SOCIAL SECURITY

                                 ______
                                 

                            HON. TOM LANTOS

                             of california

                    in the house of representatives

                       Tuesday, February 1, 2005

  Mr. LANTOS. Mr. Speaker, today's debate is an extremely important 
conversation on the future of Social Security. Unfortunately, it is 
soured by the sharp rhetoric of my colleagues on the other side of the 
aisle. We simply cannot allow for misleading analysis and flowery 
language to disguise the truth of this debate. Not only do our current 
and future retirees deserve better, but also our children and 
grandchildren, who will be most directly affected by this new proposal, 
deserve better.
  Social Security is truly one of our greatest success stories, 
virtually eliminating poverty for the aged. While we all agree that 
important concerns about Social Security should be effectively 
addressed, I do not believe turning this matter into a crisis should 
force us to accept what would otherwise be unacceptable. The scenarios 
touted by the Administration and their Republican allies are better 
suited for a work of fiction, not a domestic policy debate. 
Manufacturing a crisis in order to force this ideological agenda on 
retirees is unacceptable. The $11 trillion shortfall is a figure 
plucked out of thin air using fuzzy math based on voodoo economics. And 
finally, the Administration is selling semi-privatization of Social 
Security as the solution to all of our problems.
  Let's not be fooled by hyperbole. The facts are indisputable and 
should not be misrepresented by the President or Members of Congress. 
Crisis? What crisis? If we do absolutely nothing to Social Security, 
the Trust Fund will be able to pay out 100 percent of benefits for the 
next 50 years. The real, worst-case scenario shortfall based on a 75-
year projection used by the economists at the Congressional Budget 
Office (CBO) and the Social Security Administration (SSA) would be 
between $2 trillion to $3.7 trillion. While these numbers require our 
undivided attention, privatizing part of Social Security is not the 
solution. The President's plan to create private retirement accounts 
will cost at least $2 trillion to implement, equivalent to the entire 
75-year shortfall predicted by the CBO. In addition, most proponents of 
semi-privatization admit that the creation of these accounts will not 
avoid a shortfall on their own merits. In order to achieve its goal, 
the Administration is also recommending the guaranteed benefits be cut 
by as much as 40 percent. This cut is in addition to the diversion of 
almost a third of Social Security funds to private accounts.
  Social Security is the core of old-age support and was intended as an 
income supplement and a crucial safety net for seniors, not a money 
making scheme. We must preserve Social Security through sound fiscal 
discipline and legitimate policy adjustments to meet the demands of 
future generations. I believe that the Administration should 
immediately strengthen Social Security by submitting to Congress a 
balanced budget. If not a balanced budget this year, then the 
Administration should submit at least a plan or announced course of 
action on achieving a balanced budget. I also call on the President to 
reevaluate his tax cut proposal. Making the tax cuts permanent will 
cost as much as 3 to 5 times the cost of the Social Security shortfall. 
These fiscally responsible, common sense proposals will help protect 
Social Security and can be done now. Once these steps are taken we can 
more responsibly solve any un-addressed concerns. Instead of weakening 
Social Security I believe that it should be strengthened and made more 
secure ensuring its success for generations to come. We cannot turn 
Social Security into Social Insecurity.

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