Date: 1981-10-15
Speaker: ROBERT C. BYRD (democrat)
Chamber: S

Mr. President. last February the President promised the American people that his Federal budgetcutting plan would be humane because it would Include a safety net of programs. including social security retirement. whose benefits would be preserved In fullexempt from budget cuts. The administration then turned around and asked Congress to eliminate the social security minimum benefit for both Present and future retirees as part of its budgetcutting plan. Consequently. the benefit was taken away from 3 million retirees. and eliminated for future social security retirees In the administrations August budgetcutting victory. Two weeks ago. President Reagan addressed the American people for the fourth time regarding the state of the Nations economy. In that speech. the President asked Congress to restore the social security minimum benefit for the majority of retirees already receiving It. The legislation being considered by the Senate today would meet the Presidents reauest. When the President asked Congress to restore the minimum benefit he told the American people: It was never our intention to take away this support from those who truly need It. Yet. during the budget Process when Senate Democrats led a strong fight against elimination of the benefit for current recipients. the administration had forcefully and consistently argued for complete acrosstheboard repeal. During that time. 0MB released an official administration statement describing the benefit as a "Pure 4 windfall for recipients." and saying that financially needy retirees would. have a welfare "safety net" to fall back on when their hardearned retirement -income was slashed. It seems clear that the administrations change In thinking on restoration of the minimum benefit came only with the realization that the Congress would restore the Payment regardless of White House budgetcutting goals. The request for restoration came only after the Senate had already held five partyline votes on the question. The Presidents request came on the very day that Senate Republicans. by only a two Vote margin. had prevented an up or down vote by the full Senate on restoration of the Payment. MoreOver. It was obvious that the Senate would have to vote again and again on the Minimum benefit until the payment was restored. Senate Democrats.- led by Senators RrEGLE. CHILES. and MoyNIHAN. were not going to let the matter die a victim to OMBs knife. The Presidents request came on the evening of the day that the Senate Finance Committee unanimously voted to restore the benefit for the majority of Americans already receiving it. TIhe request came 2 months after the House voted 404 to 20 to restore the benefit. hardly what one would characterize as a partisan vote. Senate Democrats would have welcomed Republican votes early on In our fight to maintain the minimum benefit for retired Americans. but partisan politics. directed from the Office of Management and Budget. resulted in partisan votes time and time again. During the budget process when Senate Democrats attempted to preserve the benefit. the administration wrote to congressional leaders on July 18. and accused Members of Congress of "opportunistic political maneuvering. cynically designed to play on the fears of many Americans." The White House wrote that restoration of the payment "would Jeopardize our economic recovery program so vital to the wellbeing of the Nation." I regret that legitimate and strongly held policy disagreements were characterized In such a political and partisan fashion. In the July 18 letter. the President promised to confront the social security issue headon In a nationally televised address. He promised to tell the American peoplethe "facts" on social security "as soon as possible." The Presidents speech of 2 weeks ago represents an administration retreat from Its promise of the "facts." The facts are that the draconian benefit cuts proposed by the White House last May simply are not necessary to keep the social security system solvent in the short term. The President seemed to recognize this in his address to the Nation. Rather than $88 billion in immediate benefit ruts as he originally requested. the President recommended that Congress enact Interfund borrowing authority as an appropriate financing measure for the shortterm cash flow Problems of the system. The legislation pending before the Senate would meet thlb Presidents request. But as late as July. In the revised July budget. the administration continued to insist on the May plan of $88 billion In benefit cuts over the next 6 years. The White House publicly changed Its position from supporting those deep cuts to favoring interfund borrowing authority only after two Senate votes in support of borrowing authority. and only after the Senate Finance Committee voted unanimously for this course of action. In his recent speech. the President told the American people: "Well were not going to cut benefits." But. he again recommended the same cuts In social security formnulated by OMB Director Stockmnan which the Senate promptly rejected last May. The difference being that the President appeared willing to Phase In these cuts over an unspecilfid time period. This reveals a lack of perception on the administrations part regarding the Senates reasons for rejecting the May 12 plan. The Senate rejected that plan because it was precipitious: It would have Pulled the rug out from under many eldcrly Americans dependent upon promised social security retirement income. The Senate rejected the plan because it went far beyond what savings might be necessary to Insure the financial health of the system. The Senate also rejected the plan because it retreated from the challenge of social security: to provide an adequate national retirement safety net for elderly Americans. Other aspects of the Presidents recent speech were equally troubling. The President outlined yet another major round of Federal budget cuts and he was very emphatic when he told us that this latest round of cuts would rot be the last. One week later. OMB Director Stockmnan reiterated before the House Budget Committee that social security retirement benefits should not be immune from futuro rounds of cuts. The President backed away from his Impressive August victories on large budget and tax cutswhen the administration proclaimed that its new program was now in placeby stating: In the euphoria after our budget bill was approved this summer. we dIdnt point out Immediately that while we 41d get most of what wed asked for. most I=%\ all. Yet. for fiscal year 1982. Congress cut $800 million more in Federal budget outlays than the President requested. When the White House circulated an official fact sheet to support the Presidents remarks. It explained that when the President said Congress had not given him all that he wanted. he was talking about the social security cuts proposed last May. Th4A Senates action on the pending social security measure is a solid first step to resolving the crisis of confidence surrounding the fiscal health of the system. Solutions to longterm financing issues can be found and the American people expect us to find them. Democrats stand ready to work for a resolution of the problems facing the retirement program. It may be that Democrats and Republicans will simply have different Ideas on what the social security system should be. I Democrats want a system that protects the financ~al security of our Nations elderly. and we may find that we can all agree on this. We will continue *to look to the President for leadership on this Issue. and we will need an administration that speaks with one voice. For too long now. the President has said one thing on social security while administration officials have acted to do another. In his television address the President said "Some nave suggested reducing benefits." but he believed that "there are better solutions." The President said this as If his administration had never asked for the largest. deepest social security cuts in our Nations history. To put this behind us. the Presidents words and administration actions will S 11504 CO] have to mesh. It is my hope that we have seen the last of administration efforts to balance the budget by raiding. the social security system. Mr. President. I ask unanimous consent to have printed. in the RECORD the administrations May 12 plan. a collection of Wlhte House statements on social security. recent correspondence between myself and the administration regarding social security. and a summary of Senate social becurity votes held this session.