I

107TH CONGRESS

1ST SESSION H. R. 2035

To require the establishment of a Consumer Price Index for Elderly Consumers to compute cost-of-living increases for Social Security and Medicare benefits under titles II and XVIII of the Social Security Act.

IN THE HOUSE OF REPRESENTATIVES

MAY 25, 2001

Mr. SANDERS introduced the following bill; which was referred to the Committee on Ways and Means, and in addition to the Committees on Energy

and Commerce, and Education and the Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of

such provisions as fall within the jurisdiction of the committee concerned

A BILL

To require the establishment of a Consumer Price Index

for Elderly Consumers to compute cost-of-living increases

for Social Security and Medicare benefits under titles

II and XVIII of the Social Security Act.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Consumer Price Index

5 for Elderly Consumers Act’’.
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1 SEC. 2. CONSUMER PRICE INDEX FOR ELDERLY CON2 SUMERS.

3 (a) IN GENERAL.—The Bureau of Labor Statistics

4 of the Department of Labor shall prepare and publish an

5 index for each calendar month to be known as the ‘‘Con6 sumer Price Index for Elderly Consumers’’ that indicates

7 changes over time in expenditures for consumption which

8 are typical for individuals in the United States who are

9 62 years of age or older.

10 (b) EFFECTIVE DATE.—Subsection (a) shall apply

11 with respect to calendar months ending on or after July

12 31 of the calendar year following the calendar year in

13 which this Act is enacted.

14 (c) AUTHORIZATION OF APPROPRIATIONS.—There

15 are authorized to be appropriated such sums as are nec16 essary to carry out the provisions of this section.

17 SEC. 3. COMPUTATION OF COST-OF-LIVING INCREASES.

18 (a) AMENDMENTS TO TITLE II.—

19 (1) IN GENERAL.—Section 215(i) of the Social

20 Security Act (42 U.S.C. 415(i)) is amended—

21 (A) in paragraph (1)(G), by inserting be22 fore the period the following: ‘‘, and, solely with

23 respect to any monthly insurance benefit pay24 able under this title to an individual who has

25 attained age 62, effective for adjustments under

26 this subsection to the primary insurance
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1 amount on which such benefit is based (or to

2 any such benefit under section 227 or 228) oc3 curring after such individual attains such age,

4 the applicable Consumer Price Index shall be

5 deemed to be the Consumer Price Index for El6 derly Consumers and such primary insurance

7 amount shall be deemed adjusted under this

8 subsection using such Index’’; and

9 (B) in paragraph (4), by striking ‘‘and by

10 section 9001’’ and inserting ‘‘, by section

11 9001’’, and by inserting after ‘‘1986,’’ the fol12 lowing: ‘‘and by section 3(a) of the Consumer

13 Price Index for Elderly Consumers Act,’’.

14 (2) CONFORMING AMENDMENTS IN APPLICABLE

15 FORMER LAW.—Section 215(i)(1)(C) of such Act, as

16 in effect in December 1978 and applied in certain

17 cases under the provisions of such Act in effect after

18 December 1978, is amended by inserting before the

19 period the following: ‘‘, and, solely with respect to

20 any monthly insurance benefit payable under this

21 title to an individual who has attained age 62, effec22 tive for adjustments under this subsection to the pri23 mary insurance amount on which such benefit is

24 based (or to any such benefit under section 227 or

25 228) occurring after such individual attains such
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1 age, the applicable Consumer Price Index shall be

2 deemed to be the Consumer Price Index for Elderly

3 Consumers and such primary insurance amount

4 shall be deemed adjusted under this subsection using

5 such Index’’.

6 (3) EFFECTIVE DATE.—The amendments made

7 by paragraph (1) shall apply to determinations made

8 by the Commissioner of Social Security under sec9 tion 215(i)(2) of the Social Security Act (42 U.S.C.

10 415(i)(2)) with respect to cost-of-living computation

11 quarters ending on or after September 30 of the sec12 ond calendar year following the calendar year in

13 which this Act is enacted.

14 (b) AMENDMENTS TO TITLE XVIII.—

15 (1) IN GENERAL.—Title XVIII of such Act (42

16 U.S.C. 1395 et seq.) is amended—

17 (A) in section 1814(i)(2)(B), by inserting

18 ‘‘(i) for accounting years ending before October

19 1 of the second calendar year following the cal20 endar year in which the Consumer Price Index

21 for Elderly Consumers Act was enacted,’’ after

22 ‘‘for a year is’’, and by inserting after ‘‘fifth

23 month of the accounting year’’ the following:

24 ‘‘, and (ii) for accounting years ending after

25 October 1 of such calendar year, the cap
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1 amount determined under clause (i) for the last

2 accounting year referred to in such clause, in3 creased or decreased by the same percentage as

4 the percentage increase or decrease, respec5 tively, in the medical care expenditure category

6 (or corresponding category) of the Consumer

7 Price Index for Elderly Consumers, published

8 by the Bureau of Labor Statistics, from March

9 of such calendar year to the fifth month of the

10 accounting year’’;

11 (B) in section 1821(c)(2)(C)(ii)(II), by

12 striking ‘‘consumer price index for all urban

13 consumers (all items; United States city aver14 age)’’ and insert ‘‘Consumer Price Index for El15 derly Consumers’’;

16 (C) in section 1833(h)(2)(A)(i), by striking

17 ‘‘Consumer Price Index for All Urban Con18 sumers (United States city average)’’ and insert

19 ‘‘Consumer Price Index for Elderly Con20 sumers’’;

21 (D) in section 1833(i)(2)(C), by striking

22 ‘‘consumer price index for all urban consumers

23 (U.S. city average)’’ and insert ‘‘Consumer

24 Price Index for Elderly Consumers’’;
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1 (E) in section 1834(a)(14)(D), by striking

2 ‘‘consumer price index for all urban consumers

3 (United States city average)’’ and insert ‘‘Con4 sumer Price Index for Elderly Consumers’’;

5 (F) in section 1834(h)(4)(A)(vi), by strik6 ing ‘‘consumer price index for all urban con7 sumers (United States city average)’’ and insert

8 ‘‘Consumer Price Index for Elderly Con9 sumers’’;

10 (G) in section 1834(l)(3)(A), by striking

11 ‘‘consumer price index for all urban consumers

12 (U.S. city average)’’ and insert ‘‘Consumer

13 Price Index for Elderly Consumers’’;

14 (H) in section 1834(l)(3)(B), by striking

15 ‘‘consumer price index for all urban consumers

16 (U.S. city average)’’ and insert ‘‘Consumer

17 Price Index for Elderly Consumers’’;

18 (I) in section 1842(s)(1), by striking ‘‘con19 sumer price index for all urban consumers

20 (United States city average)’’ and insert ‘‘Con21 sumer Price Index for Elderly Consumers’’;

22 (J) in section 1882(p)(11)(C)(ii), by strik23 ing ‘‘Consumer Price Index for all urban con24 sumers (all items; U.S. city average)’’ and in-
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1 sert ‘‘Consumer Price Index for Elderly Con2 sumers’’; and

3 (K) in section 1886(h)(5)(B), by striking

4 ‘‘Consumer Price Index for All Urban Con5 sumers (United States city average)’’ and insert

6 ‘‘Consumer Price Index for Elderly Con7 sumers’’.

8 (2) EFFECTIVE DATE.—The amendments made

9 by paragraph (1) shall apply with respect to deter10 minations made for periods ending after December

11 31 of the second calendar year following the cal12 endar year in which this Act was enacted.

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