Date: 1981-05-20
Speaker: ROBERT C. BYRD (democrat)
Chamber: S

Mr. President. 8 days ago the President proposed a series of social security benefit reductions. The Congress and the American Public had no idea that such pr6cipitous benefit reductions were beinlg considered by the Reagan administration. Like many Amerlicans I listened to Mr. Reagans speech last July when he accepted the Republican nomination for the. Presidency. In his acceptance address. Mr. Reagan quoted Franklin D. Roosevelt. telling the American people. "It is essential that the integrity of all aspects of social security be preserved." Like many Americans. I paid careful attbntion to Mr. Reagans major economic address last September when he told the American people that he would reduce the Federal budget by eliminating fraud. waste. and abuse. and not be cutting benefits and services for people In need. In that speech. he reassured us when he said: This strategy for (economic) growth does not require altering or taking back necessary entitlements already granted. to the American people. The integrity of the Social Security system will be defended by my administration and its benefits will once again be made meaningful. President Reagan gave this economic address in Chicago. less than 2 months before election day. The Presidents election was not a mandate to tear up the Governments solemn commitment to those about to retire. And. while he is a popular and wellliked President. I caution his advisers against interpreting the tide of personal popularity as a license to unravel the social security system. When the President came before Congress to argue the merits of his budget cuts. he told us that no budget savings would be made by cutting social security retirement benefits. He said those benefits would be preserved as a part of the Nations "safety net". In spite of this promise. the administration has now called for immediately slashing benefits for those men and women planning to retire at age 62. Such a plan would not preserve the Integrity of the social security system as was promised during the Presidpntial campaignit would destroy that integrity. The social security system is based on trust. confidence and predictability. Without these essential quaities. the system loses its Integrity. Predictability means that the 61yearold worker who has planned for his or her retirement next yeardown to the last penny of his or her future social security checkis going to get that check. The administrations social security plan constitutes a breach of faith with elderly Americans who are approaching retirement age. Year after year. these workers have paid their monthly contributions into the system. and now they have planned their retirement upon the promise of a spelifle level of income. These people have worked and planned with the full expectation of that income. Let us recognize a simple fact: For many Americans. retirement at age 62 is not a matter of choice. Ill ealth. unemployment. obsolescent a s. and discrimination force them ino retirement. Social security serves vital national needs. It provides retirement with dignity for millions of Americans. For millions of. Americans it is the only inflationproof insurance that they will have adequate retirement income. In the first week of May. the Republican majority In the Finance Committee. at the request of the administration. voted to repeal title IVE of the Social Security Act. thereby abolishing the entitlement of orphan children to Federal aid in foster care. a provision of law for 66 years. The Republican platform reads: -Precisely because Social Security is a preclous lifeline for millions of the elderly. orphaned. and disabled. we -insist that its financing be sound and stable. The administrations social security proposals go beyond what might be necessary to insure adequate future financing for the retirement system. The Congress will not support any reductions in social security benefits which are designed to balance the Federal budget rather than insure the solvency of the trust funds. It is clear that the administrations social security proposals were developed as part of a budgetcutting strategy. When the Senate Budget Committee reported the first budget resolulon for fiscal year 1982 It proposed cutting Federal spending by $8 billion next year by changing the costofliving formula for social security and other Federal pension programs. including veterans pensions. The Edministration went on record against the change. but told the Senate to retain the proposed $8 billion cut. I wanted to know where the administration expected to cut $8 billion from social security and other Federal pension programs by next year. Therefore. I sent a letter to OMB Director Stockman and Treasury Secretary Regan and asked them for specific plans to produce the budget cuts. They responded by saying that the administration would achieve the cuts by reducing social security. The administrations plan came in the form of a hastily written and illconceived proposal to immediately cut social security benefits. The Congress Is not going to let the iocial security system go bankrupt. We will work very hard with Jfhe President to insure adequate future financing for the trust funds. But. we will not quickly draft proposals over the. weekend and present them as the right way to change the social security system. We will not follow the administrations example in this respect. . Any plan to reform the retirement system will take time. and it will have to go through the legislative process. There will need to be committee hearings by the appropriate committees in the two Houses. There will have to be opportunities given for witnesses to appear to make statements and to deliver testimony. There will have to be time for the committees to proceed with their necessary markups. So It cannot be done overnight. Mr. President. I am sure that with bipartisan support we can provide the solutions to the problems that exist In the social security system. It cannt be purely A Republican plan or a Democratic plan. Therefore. It Is my hope that the vote on the resolution before the Senate willnot be a party line vote. The Presidents. proposal to Immediately. cut benefits. has sent shock waves through the elderly community. Let us put their minds at rest. and begin to work together.