[Congressional Record Volume 159, Number 157 (Wednesday, November 6, 2013)]
[Senate]
[Pages S7865-S7866]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
STRENGTHENING SOCIAL SECURITY ACT OF 2013
Mr. BROWN. Mr. President, this past Monday I visited a senior center
in Youngstown, OH, and met with seniors and others, talking about what
they hear as threats to Social Security. They hear some of the wise
people in this town, if you will--some of the people on television and
the political pundits and the economists and the newspaper editorial
boards--saying that we need to restructure entitlements or reform
entitlements, and that scares them because they don't get very
specific. They often, in those statements about reforming entitlements,
don't--the people saying it and the reporters asking the questions
don't really scratch underneath the surface and say: What does that
really mean? It usually means cutting Social Security benefits, but
more on that in a second.
I spoke with a woman named Gloria, a 70-year-old widow, currently
living in subsidized housing. She has lived on Social Security since
her husband's death. Her benefits barely cover the costs of housing and
groceries, not to mention health care. She told me that without Social
Security, she would not know what to do to be able to get along in her
life.
We owe it to our children and our grandchildren to deal with this
Nation's deficit. That means everything from eliminating farm
subsidies--the directed payments we are doing in the farm bill, and
Senator Thune and I wrote the language to do that. It means closing the
carried interest loophole for Wall Street hedge fund managers. It means
eliminating tax breaks for oil companies and stopping the idiotic--for
want of a better term--practice of encouraging and enticing, through
the Tax Code, companies to actually invest overseas, so that if you
shut down a plant in Steubenville or Toledo and move it to Wuhan or
Xi'an, China, you actually can get tax breaks to do that.
I am a grandfather a couple of times and about to be a third time. I
guess as we get older, we look at the world, not surprisingly, from a
different perspective. I see, because of Social Security and Medicare,
that hundreds of thousands, millions of Americans get to spend more
time with their children and grandchildren. That is because of Social
Security and Medicare. Forty-five years ago, before Medicare, 48 years
ago, half of America's seniors did not have health insurance. Today, 99
percent have it. We know that means people live longer, healthier
lives. It means not just that they get to see their grandchildren,
which is the pleasure and the delight of almost all grandparents, it
also means they get to impart their wisdom and knowledge and values to
their grandchildren.
Margaret Mead once said wisdom and knowledge are passed from
grandparent to grandchild, because there is this sort of natural
tension--or there might be--between children and parents, but between
grandchildren and grandparents it makes for a richer society. Because
of these two Social Security programs, Medicare and Social Security, we
are a richer, better country.
Today, 63 million Americans receive Social Security benefits. In my
State it is 2 million. Let me give a couple of statistics, because this
is really a moral question of what we do with our retirement system.
For two-thirds of seniors, Social Security is more than half of their
income in my State and in the State of the Senator from New Hampshire,
who is sitting here. In the State of the Senator from Connecticut it is
not much different. No State is much different from this. Social
Security provides more than half of the income for about two-thirds of
seniors. For more than one-third of seniors, Social Security provides
essentially 90 percent, or all, of their income. For one-third of
seniors, without Social Security, they would have zero or close to zero
income.
[[Page S7866]]
It lifts 15 million Americans out of poverty. In my home State of
Ohio, if Social Security did not exist, almost half of seniors would
live in poverty.
Looking forward, improving Social Security's adequacy is the best way
to address the retirement crisis. That is why I am working with Senator
Harkin and Senator Begich and Senator Hirono and Senator Schatz on the
Strengthening Social Security Act.
My colleagues will talk about strengthening Social Security, but what
do they mean by that? They usually mean that strengthening Social
Security means we make cuts in benefits. Those cuts in benefits can be
raising the retirement age, it can be something called the chained CPI,
which is cutting the Social Security cost-of-living adjustment. It can
mean some kinds of means testing, so people get less, if they are a
little wealthier. It can mean a whole host of things, but each of them
is a cut to Social Security.
So the debate here seems to be not: How do we make seniors' lives
better--when a third of seniors on Social Security get almost all their
income from Social Security. And they are not doing that great with
Medicare either. With some of the copays and the deductibles and all
that, some get some help that way. But the debate should not be all
about cutting Social Security--which it really is, this whole
strengthening. We have to strengthen Social Security, is the way they
talk about it. We have to reform entitlements. We have to worry about
the sustainability of Social Security and Medicare, and I do worry
about them. But the fix is not to debate cutting these programs and
giving these seniors less.
As the Presiding Officer knows, defined pension benefits are less
than they used to be. Fewer and fewer people retiring now have defined
pension benefits. Unless they have a government job or a good union
job, fewer and fewer and fewer have retirement benefits. Fewer people
are able to save money because we know in the last decade savings rates
have gone down because incomes--while the wealthy have done better and
better and better, profits have gone up and up and up, productivity in
the workforce has gone up and up and up--wages have decoupled with
that. They have not kept up. That means people are saving less.
So originally as to Social Security, you would have Social Security,
you would have a pension, and the third of the three-legged stool is
you had savings. Well, now the savings and the pension--whether it is a
401(k) or a defined pension--are less than they used to be. So Social
Security is more important.
So why are we even discussing the whole idea of cutting Social
Security? That is why we need a fairer COLA to start with. The Harkin
bill would formalize a Consumer Price Index for the Elderly that
calculates the Consumer Price Index, the cost-of-living adjustment, not
the way it does now--a 40-year-old in the workplace--it calculates it
based on a 70-year-old who is retired. A 40-year-old in the workplace
has a very different set of expenses for their standard of living than
does a 70-year-old. Obviously, the 40-year-old spends less on health
care, on the average, than the 70-year-old, on the average, spends on
health care. So we should calculate the cost-of-living adjustment that
way.
That is not what so many people in this body want to do. There is
just something about a bunch of Members of Congress, who have good
salaries, who have good taxpayer-financed health care, making decisions
to cut Social Security and cut Medicare.
I will close with this because I know Senator Shaheen is scheduled to
speak and I will not take much longer.
But I hear these self-appointed budget hawks, most of whom will not
be relying--almost none of whom, colleagues here, will be relying--on
Social Security to make ends meet in their retirement. I take a back
seat to nobody in what we do about budget cuts because I have been
involved with a lot of colleagues on both sides of the aisle on how we
deal with budget deficits. But when you hear these self-appointed
fiscal hawks, these so-called wise men--and they are mostly men--
talking about how we need to reform entitlements, scratch a little
deeper. Ask them what they mean by that. They will probably say: Well,
we can't sustain this. Ask them: Well, what do you mean by that? Then
they will probably say: Well, we need structural reform. Ask them:
Well, what do you mean by that? Ask them the question--what do they
really mean? What is their idea? Their idea, almost always, is either
raise the retirement age or cut benefits in some ways, cut the cost-of-
living adjustment, something like that.
I will close with this. As to that townhall I was attending in
Youngstown, I was there 3 years ago at a townhall, and a woman stood up
and said: I have two jobs, both $9 or $10 an hour jobs. I have worked
all my life this hard. She said: Do you know what. I am 63 years old. I
just have to find a way to stay alive until I am 65--just for another
year and a half--so I can have health insurance.
Imagine. This is a woman living right on the edge. She will not have
much from Social Security. She has no savings. She just wanted to stay
alive until she got health insurance.
That is why it matters so much what we do on social insurance, why it
matters that we protect Medicare--really protect Medicare, not protect
it by privatizing it. And it really matters why we protect Social
Security and not ``strengthen'' the program by cutting the benefits.
That is why our work matters. That is why it is so important we pass
the Harkin-Begich-Hirono-Schatz-Brown bill.
Mr. President, I yield the floor to the Senator from New Hampshire.
The PRESIDING OFFICER. The Senator from New Hampshire.
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