Last night, the press reported that President Obama will include the “chained CPI” in his budget proposal, which would involve cuts to Social Security and veterans benefits.
This morning, leading Congressional Democrats balked at the proposal, condemning it as a cut to benefits.
Rep. Barbara Lee (D-CA):
Sen. Jeff Merkley (D-OR):
Progressive Caucus Co-ChairsAi??Reps. RaA?l M. Grijalva (D-AZ) and Keith Ellison (D-MN), in a statement emailed to us:
ai???Republicans have been trying to dismantle Social Security ever since President Roosevelt proposed it during the Great Depression. We should not try toAi??bargain for their good will withAi??policies that hurt ourAi??seniors,Ai??especiallyAi??sinceAi??theyai??i??ve been unwilling toAi??reduceAi??tax loopholes for millionaires and wealthy corporationsAi??by so much as a dime.
ai???One hundred seven Members of the House of Representatives, a majority of the Democratic Caucus, have already stated our vigorous opposition to cuttingAi??Social Security, Medicare, or Medicaid benefits.Ai??Americans all over the country depend on every single dollar they get from Social Security to put food on the table and pay for housing.Ai??Using chained CPIAi??willAi??shift more costs onto already struggling American families,Ai??seniors, veterans ai??i?? includingAi??our 3.2 million disabled veterans who also depend on the Social Security calculation for their Veterans Affairs benefitsAi??ai??i?? individuals with disabilities,Ai??andAi??children on survivorsai??i?? benefits.
ai???This week, aAi??newAi??study from the New America Foundation finds that proposals to cut Social Security benefitsAi??couldAi??be disastrous for our economyAi??becauseAi??the recession has led more seniors toAi??relyAi??to Social Security for income.Ai??Cutting benefits now, when people are already struggling to make ends meet, will mean unnecessary hardship for millions of people. It is unpopular, unwise and unworkable.ai???
Sen. Bernie Sanders (I-VT), and independent who caucuses with Senate Democrats, in a statement posted to his website:
Millions of working people, seniors, disabled veterans, those who have lost a loved one in combat, and women will be extremely disappointed if President Obama caves into the long standing Republican effort to cut Social Security and benefits for disabled veterans and their survivors through a so-called chained CPI.Ai?? In 2008, candidate Barack Obama told the American people that he would not cut Social Security.Ai?? Having him go back on his word will only add to the rampant political cynicism that our country is experiencing today.
If Obama is serious about dealing with our deficit he would not cut Social Security ai??i?? which has not added one penny to the deficit.Ai?? Instead, he would support legislation that ends the absurdity of one out of four profitable corporations paying nothing in federal income taxes.Ai?? He would also help us close the offshore tax haven loopholes that enable large corporations and the wealthy to avoid paying $100 billion a year in federal taxes.
Additionally, blogger Howie Klein points out that a number of individuals running for Congress as Democrats have already condemned the plan.
State SenatorAi??Daylin Leach (D-PA), running for Congress in Pennsylvania:
“At a time when corporate profits, executive compensation, the stock market and wealth disparity are at near record highs, it is obscene to even consider balancing our budget on the backs of seniors and veterans. I fully supported President Obama’s election, but I can’t support any drift towards corporatism to appease tea-party extremists. If we are really serious about ensuring the solvency of Social Security while preserving benefits well into the future, there is a simple solution. We should raise the cap on income subject to the payroll tax from $110,000 per year to $200,000 per year. This is fair, reasonable, and keeps faith with those who rely on Social Security to survive.”
Nick Ruiz, running for Congress as a Democrat in Florida in a bid to unseat Rep. John Mica (R):
There is a sinister trick to rob citizens of retirement security, which is being promulgated as sound policy in this discussion. Let’s reveal it. Congress and the President have continued to stifle wages and reduce job opportunities for citizens, and now suggest that upon retirement or disablement, people should receive less. Why? By all measures, the economy needs more jobs, and citizens need higher wages, with more robust retirement and disablement assistance. So,Ai??reducingAi??any of these things, will make people suffer.
“But the Congress is not suffering. Nor is the President. Nor is the Fortune 500 that bankroll fake populist political campaigns and wealth-biased policy think tanks. Thus, it’s plain to see. This President and Congress, enabled by the wealthy and their enterprises– aim to make Americans suffer. There are many selfish reasons why they would do this, that are probably beyond the scope of a conversation about cutting benefits with the chained CPI trick– but it starts with the basic premise that the world economy will not grow for the foreseeable future. With smaller net margins expected, the capital stream is being tightened to preserve their wealth and nothing else.
“The important thing to recognize is that these hateful agendas that will further decimate average living standards will not stop– unless progressives stop them.”
The PCCC is preparing to push back against this cut to Social Security benefits, but we need to hear from you.Ai??Can you please help by sharing your thoughts about the president and cuts to Social Security benefits?
UPDATE:
Rep. Rick Nolan (D-MN):
UPDATE II:
Sen. Tom Harkin (D-IA):
UPDATE III:
Rep. Jerry Nadler (D-NY):
The chained cpi benefit cut would actually be a tax on those least able to pay. The proceeds of the tax would not go into the Social Security trust fund and so could not possibly be said to “strengthen” Social Security. The proceeds would simply go into the general fund and therefore constitute just one more transfer of wealth from the poor to the rich. For the Democratic leadership to propose this atrocity is a fundamental betrayal. I would contribute to primary challengers against Democratic incumbents who support Obama on this.
This just came out of no where!!! And it is so wrong to change our lives. so the few at the top (moneywise) don’t have to pay a little more. It won’t change anything as far as a budget goes. It will hurt millions of us!
What a travesty to take away EARNED Benefits from a forced “savings plan” and target the senior and veteran population.
The numbers of the dollars lost as people age is discouraging to say the least. How can this ever be justified, particularly with a demographic that is challenged when seeking jobs in the first place. Studies and statistics verify how difficult it can be for older workers to find jobs.
Social Security and Medicare are critical for many seniors. To start down this path of shredding the safety net and reforming “entitlements” is so wrong at so many levels. SS and Medicare are EARNED Benefits..and should not be the sacrificial lamb to acquire a Grand Baragain. This is gut wrenching for millions.
We saw this coming. It was the same proposal President Obama made in his talks with Boehner in 2011. Why “progessives” (or any Democrats) supported and continue to support this president is something I do not understand. He is a Republican trojan horse.
Very fantastic, I like this blog and I shared this topic on my facebook profile. I think agree with you ! I cant speak english very good but. My opinion you unterstand me :).
God please save our nation,not allow the super rich to get away with not paying taxes.Especially corporations raking in billions in profits and not paying a cent in taxes.Insanity up