I
107TH CONGRESS
1ST SESSION
H. R. 634
To amend title XI of the Social Security Act to include additional information
in Social Security account statements.
IN THE HOUSE OF REPRESENTATIVES
FEBRUARY 14, 2001
Mr. DEMINT (for himself, Ms. MCCARTHY of Missouri, Mr. ARMEY, Mr.
SUNUNU, Mr. WELLER, Mr. STENHOLM, Mr. KOLBE, Mrs. JOHNSON of
Connecticut, Mr. FOLEY, Mr. SAM JOHNSON of Texas, Mr. GREENWOOD,
Mr. WALSH, Mr. BARTLETT
of Maryland, Mr. CALVERT, Mr.
CHAMBLISS, Mr. COOKSEY, Mr. GRAHAM, Mr. GREEN of Wisconsin, Mr.
ISAKSON, Mr. ISSA, Mr. JONES of North Carolina, Mr. LARGENT, Mr.
GARY MILLER of California, Mr. PITTS, Mr. ROGERS of Michigan, Mr.
RYUN of Kansas, Mr. SCHAFFER, Mr. SESSIONS, Mr. SHADEGG, Mr.
SIMPSON, Mr. SPENCE, Mr. SWEENEY, Mr. TANCREDO, Mr. TERRY, Mr.
WALDEN of Oregon, and Mr. WELDON of Pennsylvania) introduced the
following bill; which was referred to the Committee on Ways and Means
A BILL
To amend title XI of the Social Security Act to include
additional information in Social Security account statements.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Straight Talk on Social
Security Act of 2001’’.
SEC. 2. MATERIAL TO BE INCLUDED IN SOCIAL SECURITY
ACCOUNT STATEMENT.
Section 1143(a)(2) of the Social Security Act (42
U.S.C. 1320b–13(a)(2)) is amended—
(1) in subparagraph (C) by striking ‘‘and’’;
(2) in subparagraph (D) by striking the period
and inserting a semicolon; and
(3) by adding at the end the following:
‘‘(E) a statement of the current social security
tax rates applicable with respect to wages and self-
employment income, including an indication of the
combined total of such rates of employee and em-
ployer taxes with respect to wages; and
‘‘(F)(i) as determined by the Chief Actuary of
the Social Security Administration, a comparison of
the total annual amount of social security tax
inflows (including amounts appropriated under sub-
sections (a) and (b) of section 201 of this Act and
section 121(e) of the Social Security Amendments of
1983 (26 U.S.C. 401 note)) during the preceding
calendar year to the total annual amount paid in
benefits during such calendar year;
‘‘(ii) as determined by such Chief Actuary—
‘‘(I) a statement of whether the ratio of
the inflows described in clause (i) for future cal-
endar years to amounts paid for such calendar
years is expected to result in a cash flow deficit,
‘‘(II) the calendar year that is expected to
be the year in which any such deficit will com-
mence, and
‘‘(III) the first calendar year in which
funds in the Federal Old-Age and Survivors In-
surance Trust Fund and the Federal Disability
Insurance Trust Fund will cease to be sufficient
to cover any such deficit;
‘‘(iii) an explanation that states in substance—
‘‘(I) that the Trust Fund balances reflect
resources authorized by the Congress to pay fu-
ture benefits, but they do not consist of real
economic assets that can be used in the future
to fund benefits, and that such balances are
claims against the United States Treasury that,
when redeemed, must be financed through in-
creased taxes, public borrowing, benefit reduc-
tion, or elimination of other Federal expendi-
tures,
‘‘(II) that such benefits are established and
maintained only to the extent the laws enacted
by the Congress to govern such benefits so pro-
vide, and
‘‘(III) that, under current law, inflows to
the Trust Funds are at levels inadequate to en-
sure indefinitely the payment of benefits in full;
and
‘‘(iv) in simple and easily understood terms—
‘‘(I) a representation of the rate of return
that a typical taxpayer retiring at retirement
age (as defined in section 216(l)) credited each
year with average wages and self-employment
income would receive on old-age insurance bene-
fits as compared to the total amount of em-
ployer, employee, and self-employment contribu-
tions of such a taxpayer, as determined by such
Chief Actuary for each cohort of workers born
in each year beginning with 1925, which shall
be set out in chart or graph form with an ex-
planatory caption or legend, and
‘‘(II) an explanation for the occurrence of
past changes in such rate of return and for the
possible occurrence of future changes in such
rate of return.
The Comptroller General of the United States shall con-
sult with the Chief Actuary to the extent the Chief Actu-