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103D CONGRESS

1ST SESSION H. R. 2589

To improve benefits under title II of the Social Security Act and to increase

the social security benefit and contribution base.

IN THE HOUSE OF REPRESENTATIVES

JULY 1, 1993

Mr. JACOBS introduced the following bill; which was referred to the Committee

on Ways and Means

A BILL

To improve benefits under title II of the Social Security

Act and to increase the social security benefit and contribution base.

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 ‘‘Social Security Bene5 fits Improvement Act of 1993’’.

6 SEC. 2. ADJUSTMENTS IN EXEMPT AMOUNT FOR PURPOSES

7 OF THE RETIREMENT TEST.

8 (a) INCREASE IN EXEMPT AMOUNT FOR INDIVID9 UALS WHO HAVE ATTAINED RETIREMENT AGE.—Section
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1 203(f)(8)(D) of the Social Security Act (42 U.S.C.

2 403(f)(8)(D)) is amended to read as follows:

3 ‘‘(D)(i) Notwithstanding any other provision of

4 this subsection, the exempt amount which is applica5 ble to an individual who has attained retirement age

6 (as defined in section 216(1)) before the close of the

7 taxable year involved shall be—

8 ‘‘(I) for the taxable year beginning after

9 1993 and before 1995, $1,000.00,

10 ‘‘(II) for the taxable year beginning after

1994 and before 1996, $1,166.662 11 ⁄3,

12 ‘‘(III) for the taxable year beginning after

1995 and before 1997, $1,333.331 13 ⁄3,

14 ‘‘(IV) for the taxable year beginning after

15 1996 and before 1998, $1,500.00, and

16 ‘‘(V) for the taxable year beginning after

1997 and before 1999, $1,666.662 17 ⁄3.

18 ‘‘(ii) For purposes of subparagraph (B)(ii)(II),

19 the increase in the exempt amount provided under

20 clause (i)(V) shall be deemed to have resulted from

21 a determination which shall be deemed to have been

22 made under subparagraph (A) in 1997.’’.

23 (b) CONFORMING AMENDMENT.—The second sen24 tence of section 223(d)(4) of such Act (42 U.S.C.

25 423(d)(4)) is amended by striking ‘‘the exempt amount
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1 under section 203(f)(8) which is applicable to individuals

2 described in subparagraph (D) thereof’’ and inserting the

3 following: ‘‘an amount equal to the exempt amount which

4 would have been applicable under section 203(f)(8), to in5 dividuals described in subparagraph (D) thereof, if section

6 2 of the Social Security Benefits Improvement Act of 1993

7 had not been enacted’’.

8 (c) EFFECTIVE DATE.—The amendments made by

9 this section shall apply with respect to taxable years begin10 ning after 1993.

11 SEC. 3. ADJUSTMENT IN RATE OF ACTUARIAL REDUCTION

12 IN AMOUNT OF WIDOW’S AND WIDOWER’S IN13 SURANCE BENEFITS SO AS TO REDUCE MAXI14 MUM REDUCTIONS TO 25 PERCENT.

15 (a) IN GENERAL.—Section 202(q)(1)(A) of the Social

16 Security Act (42 U.S.C. 402(q)(1)(A)) is amended by

striking ‘‘19⁄40 of 1 percent’’ and inserting ‘‘5 17 ⁄12 of 1 per18 cent’’.

19 (b) CONFORMING AMENDMENTS.—

20 (1) Section 202(q)(9) of such Act (42 U.S.C.

21 402(q)(9)) is amended by striking ‘‘28.5 percent’’

22 each place it appears and inserting ‘‘25.0 percent’’.

23 (2) Section 202(q)(10) of such Act (42 U.S.C.

402(q)(10)) is amended by striking ‘‘19 24 ⁄40 of 1 per-
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cent’’ each place it appears and inserting ‘‘5 1 ⁄12 of 1

2 percent’’.

3 (c) EFFECTIVE DATE AND TRANSITION RULE.—

4 (1) EFFECTIVE DATE.—The amendments made

5 by this section shall apply with respect to benefits

6 for months after January 1994.

7 (2) TRANSITION RULE.—Section 1634 of the

8 Social Security Act (42 U.S.C. 1383c) is amended

9 by adding at the end the following new subsection:

10 ‘‘(e)(1) In the case of any eligible widow or widower

11 (as defined in paragraph (2)) who is entitled to a widow’s

12 or widower’s insurance benefit under section 202 (e) or

13 (f) for any month but is not eligible for benefits under

14 this title in that month—

15 ‘‘(A) such eligible widow or widower shall be

16 deemed for purposes of title XIX to be an individual

17 with respect to whom supplemental security income

18 benefits are paid under this title in that month, if

19 he or she would be eligible for such benefits in the

20 month involved if the amount of the increase de21 scribed in paragraph (2)(B) in his or her widow’s or

22 widower’s insurance benefits (and any subsequent

23 cost-of-living adjustments in such benefits under sec24 tion 215(i)) were disregarded, and
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1 ‘‘(B) such eligible widow or widower shall be

2 deemed for purposes of title XIX to be an individual

3 with respect to whom State supplementary pay4 ments, of the type referred to in section 1616(a) of

5 this Act or in section 212(a) of Public Law 93–66

6 which are paid by the Secretary under an agreement

7 referred to in such section 1616(a) or in section

8 212(b) of Public Law 93–66, are paid in that

9 month, if he or she would be eligible for such pay10 ments in the month involved if the amount of the in11 crease described in paragraph (2)(B) in his or her

12 widow’s or widower’s insurance benefits (and any

13 subsequent cost-of-living adjustments in such bene14 fits under section 215(i)) were disregarded.

15 ‘‘(2) For purposes of paragraph (1), the term ‘eligible

16 widow or widower’ means an individual—

17 ‘‘(A) who is entitled to a widow’s or widower’s

18 insurance benefit under section 202 (e) or (f) for

19 January 1994 and with respect to whom a benefit

20 under this title was paid in that month, and

21 ‘‘(B) who, because of the increase in the

22 amount of his or her widow’s or widower’s insurance

23 benefits which results from the amendments made

24 by subsections (a) and (b) of section 3 of the Social

25 Security Benefits Improvement Act of 1993, is not
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1 eligible for benefits under this title in the first

2 month in which such increase is paid to him or her

3 (and in which a retroactive payment of such increase

4 for prior months was not made).

5 ‘‘(3) For purposes of this subsection, the term ‘bene6 fit under this title’ means a supplemental security income

7 benefit under this title, and a State supplementary pay8 ment of the type referred to in section 1616(a) (or a pay9 ment of the type referred to in section 212(a) of Public

10 Law 93–66) which is paid by the Secretary under an

11 agreement referred to in section 1616(a) (or in section

12 212(b) of Public Law 93–66).’’.

13 SEC. 4. REPEAL OF 7-YEAR RESTRICTION ON ELIGIBILITY

14 FOR WIDOW’S AND WIDOWER’S INSURANCE

15 BENEFITS BASED ON DISABILITY.

16 (a) WIDOW’S INSURANCE BENEFITS.—

17 (1) IN GENERAL.—Section 202(e) of the Social

18 Security Act (42 U.S.C. 402(e)) is amended—

19 (A) in paragraph (1)(B)(ii), by striking

20 ‘‘which began before the end of the period spec21 ified in paragraph (4)’’;

22 (B) in paragraph (1)(F)(ii), by striking

23 ‘‘(I) in the period specified in paragraph (4)

24 and (II)’’;
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1 (C) by striking paragraph (4) and by re2 designating paragraphs (5) through (9) as

3 paragraphs (4) through (8), respectively; and

4 (D) in paragraph (4)(A)(ii) (as redesig5 nated), by striking ‘‘whichever’’ and all that fol6 lows through ‘‘begins’’ and inserting ‘‘the first

7 day of the seventeenth month before the month

8 in which her application is filed’’.

9 (2) CONFORMING AMENDMENTS.—

10 (A) Section 202(e)(1)(F)(i) of such Act

11 (42 U.S.C. 402(e)(1)(F)(i)) is amended by

12 striking ‘‘paragraph (5)’’ and inserting ‘‘para13 graph (4)’’.

14 (B) Section 202(e)(1)(C)(ii)(III) of such

15 Act (42 U.S.C. 402(e)(2)(C)(ii)(III)) is amend16 ed by striking ‘‘paragraph (8)’’ and inserting

17 ‘‘paragraph (7)’’.

18 (C) Section 202(e)(2)(A) of such Act (42

19 U.S.C. 402(e)(2)(A)) is amended by striking

20 ‘‘paragraph (7)’’ and inserting ‘‘paragraph

21 (6)’’.

22 (D) Section 226(e)(1)(A)(i) of such Act

23 (42 U.S.C. 426(e)(1)(A)(i)) is amended by

24 striking ‘‘202(e)(4)’’.

25 (b) WIDOWER’S INSURANCE BENEFITS.—
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1 (1) IN GENERAL.—Section 202(f) of such Act

2 (42 U.S.C. 402(f)) is amended—

3 (A) in paragraph (1)(B)(ii), by striking

4 ‘‘which began before the end of the period spec5 ified in paragraph (5)’’;

6 (B) in paragraph (1)(F)(ii), by striking

7 ‘‘(I) in the period specified in paragraph (5)

8 and (II)’’;

9 (C) by striking paragraph (5) and by re10 designating paragraphs (6) through (9) as

11 paragraphs (5) through (8), respectively; and

12 (D) in paragraph (5)(A)(ii) (as redesig13 nated), by striking ‘‘whichever’’ and all that fol14 lows through ‘‘begins’’ and inserting ‘‘the first

15 day of the seventeenth month before the month

16 in which his application is filed’’.

17 (2) CONFORMING AMENDMENTS.—

18 (A) Section 202(f)(1)(F)(i) of such Act (42

19 U.S.C. 402(f)(1)(F)(i)) is amended by striking

20 ‘‘paragraph (6)’’ and inserting ‘‘paragraph

21 (5)’’.

22 (B) Section 202(f)(1)(C)(ii)(III) of such

23 Act (42 U.S.C. 402(f)(2)(C)(ii)(III)) is amend24 ed by striking ‘‘paragraph (8)’’ and inserting

25 ‘‘paragraph (7)’’.
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1 (C) Section 226(e)(1)(A)(i) of such Act (as

2 amended by subsection (a)(2)) is further

3 amended by striking ‘‘, 202(f)(1)(B)(2), and

4 202(f)(5)’’ and inserting ‘‘and

5 202(f)(1)(B)(2)’’.

6 (c) EFFECTIVE DATE.—The amendments made by

7 this section shall apply with respect to benefits for months

8 after August 1993 for which applications are filed or

9 pending on or after September 1, 1993.

10 SEC. 5. INCREASE IN OASDI CONTRIBUTION AND BENEFIT

11 BASE.

12 Section 230(c) of the Social Security Act (42 U.S.C.

13 430(c)) is amended—

14 (1) in the first sentence, by striking ‘‘and’’ be15 fore ‘‘(2)’’, by striking the period at the end of

16 subclause (D) of clause (2) and inserting a comma,

17 and by adding at the end, after and below such

18 subclause (D), the following:

19 ‘‘and (3) the ‘contribution and benefit base’ with respect

20 to remuneration paid (and taxable years beginning) in

21 1994 shall be the contribution and benefit base which

22 would be determined under this section with respect to re23 muneration paid (and taxable years beginning) in such

24 year if section 5 of the Social Security Benefits Improve25 ment Act of 1993 had not been enacted, plus $2,100.00.’’;
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1 (2) in the last sentence, by striking ‘‘in 1982

2 and subsequent years’’ and inserting ‘‘in years be3 ginning after 1981 and ending before 1994’’; and

4 (3) by adding at the end the following new sen5 tence: ‘‘For purposes of determining under sub6 section (b) the ‘contribution and benefit base’ with

7 respect to remuneration paid (and taxable years be8 ginning) in 1995 and subsequent years, the con9 tribution and benefit base determined under clause

10 (3) of the first sentence of this subsection shall be

11 considered to have resulted from the application of

12 such subsection (b) and to be the contribution and

13 benefit base determined (with respect to 1994)

14 under that subsection.’’.

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