[Congressional Record (Bound Edition), Volume 147 (2001), Part 2]
[Extensions of Remarks]
[Page 2081]
[From the U.S. Government Publishing Office, www.gpo.gov]



           SOCIAL SECURITY AND MEDICARE LOCK-BOX ACT OF 2001

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                               speech of

                          HON. DANNY K. DAVIS

                              of illinois

                    in the house of representatives

                       Tuesday, February 13, 2001

  Mr. DAVIS of Illinois. Mr. Speaker, I rise to support House 
Resolution 2 Social Security and Medicare Lockbox Act, the Social 
Security is the Nation's largest retirement and disability program 
providing cash benefits to 44 million retired and disabled workers and 
to their dependents and survivors. Medicare provides 39 million of them 
with health insurance. Today, 1 out of 6 Americans receive Social 
Security; 1 out of 7 receives Medicare. About 155 million workers paid 
taxes to support the two programs. A major issue for President George 
W. Bush will be to provide a fiscal responsible plan for maintaining 
the solvency of the Social Security System while guaranteeing income 
for America's retired and disabled workers.
  Historically, Social Security has been a ``pay-as-you-go'' system. 
Ninety percent of the payroll taxes paid by workers are immediately 
spent as benefits to current Social Security recipients. The other 10 
percent goes into the Social Security Trust Fund for payment of future 
benefits. Here lies the problem. In 1950 it took 16 workers to support 
1 beneficiary on Social Security compared to 3.4 workers to support 1 
recipient today. Mr. Speaker the American people demand that the Social 
Security and Medicare surpluses will not be used for anything other 
than their current purposes. Even if, the current $2.7 trillion 
projected surpluses that are available for tax and spending initiatives 
will be used up by President Bush's tax cut for the wealthiest 1 
percent and other items that are associated with debt service costs. 
Spending our surpluses projected for the next 10 years leaves us 
nothing to protect Social Security and Medicare.

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