social security, medicare & medicaid what’s at stake & what we need to do town hall ...
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Social Security, Medicare & Medicaid What’s at stake & What we need to do Town Hall Meetings Richmond 3/12/13 Roseville 3/13/13 San Francisco 3/14/13 San Jose 3/15/13 Stockton 3/16/13 Eric Kingson Professor of Social Work, Syracuse University - PowerPoint PPT PresentationTRANSCRIPT
Social Security, Medicare & Medicaid What’s at stake & What we need to do
Town Hall MeetingsRichmond 3/12/13Roseville 3/13/13
San Francisco 3/14/13San Jose 3/15/13Stockton 3/16/13
Eric KingsonProfessor of Social Work, Syracuse UniversityFounding Co-director, Social Security Works
Co-chair, Strengthen Social Security Coalitionwww.strengthensocialsecurity.org
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Organization of Presentation
What we built, why we built them & why they work
Why and how they are under attack
What’s at stake for each of us and the nation
What being done by our allies and what we can do
Generations of Americans Built SS, Medicare & Medicaid. They work well & have strong public support. Even so, they have been under attack for many years and there is danger that their protections will be severely cut.
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Generations of Americans Built SS, M & M
Our Social Security, Medicare & Medicaid are critical systems that serves us all, like the military or the highway system. SS is the foundation of our retirement security. They are basic protection for our families.
Each generation has done its part to build and maintain these systems over 77 (47) years.
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Why we built it
Our SS, M & M systems are vital because they are by far the safest, most efficient, and most reliable way for Americans to guarantee their retirement income and health care.
Private retirement investments are inherently risky. Even sophisticated investors can lose everything.
Health care costs can undermine family finances, access and care
Social Security Works for California5 million Californians received Social Security in 2010
About 3.5 million retired workers & their spouses700,000 disabled workers and their spouses
380,000 widows and widowers360,000 children
1 in 8 receive Social Security benefits
Each month $5.3 BILLION goes into CA homes from SSThat’s $64,000,000,000 per year ( $64Billion!)
Substantial impact on economy (3.4% of GDP)
4.6 million insured by Medicare
11 million insured by Medicaid/Child Health Plus
($156,000,000,000 per year from SS, Medicare & Medicaid)
Source: Social Security, Medicare and Medicaid Work for California
Social Security data available at end of PowerPoint presentation for the following counties:
Contra Costa CountyPlacer County
Sacramento County San Francisco County
San Joaquin CountySolano County
Social Security provides three-quarters of the total income to the 60% of elderly households with incomes below $32,602
Strong Support across all groups “Americans value Social Security, want to
improve benefits, and are willing to pay more for the more to pay more to maintain and expand its benefit protections (NASI, 2013)
– Roughly four out of five say they value it for themselves,
their families and for the sound protection it provides to tens of millions of beneficiaries;
– More than four-fifths say that benefits are too low for retirees
– Three-quarters favor improving retirement protections for working Americans even if it requires increasing payroll tax contributions.
– More than four out of five believe it should be preserved for future generations even if it requires increasing payroll tax contributions.
It’s about what we value• Based on civic and religious principles
• We are all in it together
• Hard work and fair return to work
• Responsibilities to care for our children, parents, neighbors and selves
• Right to live with dignity in old age, in disability or when a parent dies or is disabled.
• SS, M & M move our nation closer to what Dr. King called “the beloved community,” the community where we understand that…"all people [should] share in the wealth of the earth. ... [Where] poverty, hunger and homelessness will not be tolerated because ... human decency will not allow it." King Center
Social Security, Medicare and Medicaid are solutions, not problems
Politicians used to understand this
President Eisenhower
LETTER FROM PRESIDENT DWIGHT D. EISENHOWER TO HIS BROTHER, EDGAR EISENHOWER
Should any political party attempt to abolish social security, unemployment insurance, and eliminate labor laws and farm programs, you would not hear of that party again in our political history. There is a tiny splinter group, of course, that believes you can do these things. Among them are H. L. Hunt (you possibly know his background), a few other Texas oil millionaires, and an occasional politician or business man from other areas. Their number is negligible and they are stupid.
November 8, 1954 http://www.eisenhowermemorial.org/presidential-papers/first-term/documents/1147.cfm
What happened? Why are these institutions under attack?
Easy votes came to an endShift in mid-1970s towards financing concerns
Policy arena and conflict expandedRadical Conservative’s “Leninist” strategy & vision
Progressive’s talk “percents of taxable payroll”Conservative’s appeal to values
Intergenerational inequity/Young vs. Old frameUnfair to women, Latino’s, African-Americans, rich, poor
UnsustainableTurning “Entitlement” into a 4 letter word
PrivatizationThen Eureka: The Deficit/Debt Crisis!!!!!
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February 2009 Fiscal Task ForceConrad/Greg November 2009
National Commission for Fiscal Responsibility and Reform/Bowles-Simpson (Dec 1, 2010)
2011 State of the UnionGangs of 6 & 7
Obama/Boehner NegotiationsDebt Ceiling Negotiations July 2011
Supercommitee DeadlockBudget Control Act of 2011
SequestrationPresident’s continuing desire for Grand Bargain
New Ryan Budget
The “Entitlements Problem” FrameProgressives play “Whack a mole”
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SequestrationPlaying off young against old
White House seeking “grand bargain”
Ryan budget
Debt ceiling
Ageism / Blaming Baby Boomers
Threats
What’s at Stake?Cost of Living Adjustments for current & future beneficiaries
Retirement age increases in Social Security and Medicare
Basic structure of Social Security
Social Security Administration Services
Privatization “light”Privatizing Medicare
Defined benefit vs. defined contribution in Medicare
Block granting and radically diminishing Medicaid protections
Middle class security
Children’s & grandchildren’s security
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AFL-CIO Repeal the sequesterCongressional Progressive Caucus No Cuts letter 107
Grayson Takano Letter -PledgeRepeal the sequester petition – 300,000
March 20 Day of Action Senator Begich’s and Cong. Deutch Bill
Senator HarkinsSenator Sanders/Co-sponsor Senator Reid
Congressman Conyers – Cancel the sequesterTransition Report – Field activities
What organizations & champions are doing?
Retirement Income Crisis
2/3rds of working Americans unable to maintain standard of living in retirement (NRRI)
$6.6 trillion retirement income gap, ages 32-64(Pension Rights Center)
Household wealth dropped from $66 trillion in 2007 to $58 trillion in 2011
Households “headed” by person 55-64 dropped from $61,700 in 2009 to $ 55,750 in 2011
54% of 45-54 say “totally unprepared for retirement” (2011 Alliance Life Insurance Survey)
What we can do
Bring our voices into debate
Seek pledges/promise/hold politicians responsible
District visits
Write and call members of Congress and White House. Thank champions
Participate in CARA actions/National Day of Action
Newspaper letters, radio call-ins
An Affirmative Agenda
Lift the cap
CPI-E
Restore SSA to first class service
Special minimum, Caregiver credits, Student benefit & other targeted
improvements
SSI – assets tests, basic benefit
Benefit improvements as economy strengthens
Next steps:We have to keep fighting
• Tell them to scrap the cap, not…
• Keep SS out of Debt discussion
• Oppose All Cuts
• Cancel the sequester
• Hold Members Accountable, even our friends
• Focus on retirement income threats
• PROTECT THE LEGACY
End here
Report released in English & Spanish
by
California Alliance for Retired Americans
and
Social Security Works
Download in English from Social Security, Medicare and Medicaid Work for California
Download in Spanish from Seguro Social, Medicare y Medicaid funciona para california
Social Security Works for Solano County
1 in 7 receive Social Security benefits 1 in 8 insured by Medicare1 in 6 insured by Medicaid
60,000 received Social Security in 2010
About 40,000 retired workers & their spouses11,000 disabled workers and their spouses
5,000 widows and widowers5,000 children
Each year $766 MILLION into Solano County homes from SS Source: Social Security, Medicare and Medicaid Work for California
Seguro Social, Medicare y Medicaid funciona para california
Social Security Works for Contra Costa County
1 in 7 receive Social Security benefits 1 in 7 insured by Medicare1 in 8 insured by Medicaid
155,000 received Social Security in 2010
About 110,000 retired workers & their spouses22,000 disabled workers and their spouses
12,000 widows and widowers11,000 children
Each year $2.2 BILLION into Contra Costa homes from SS Source: Social Security, Medicare and Medicaid Work for California
Seguro Social, Medicare y Medicaid funciona para california
Social Security Works for Placer County
1 in 6 receive Social Security benefits 1 in 6 insured by Medicare1 in 12 insured by Medical
64,000 received Social Security in 2010
About 48,000 retired workers & their spouses8,000 disabled workers and their spouses
4,000 widows and widowers3,500 children
Each year $893 MILLION into Placer County homes from SS Source: Social Security, Medicare and Medicaid Work for California
Seguro Social, Medicare y Medicaid funciona para california
Social Security Works for Sacramento County
1 in 7 receive Social Security benefits 1 in 8 insured by Medicare1 in 4 insured by Medicaid
201,000 received Social Security in 2010
About 128,000 retired workers & their spouses39,000 disabled workers and their spouses
15,000 widows and widowers19,000 children
Each year $2.5 BILLION into Sacramento homes from SS Source: Social Security, Medicare and Medicaid Work for California
Seguro Social, Medicare y Medicaid funciona para california
Social Security Works for San Francisco
1 in 7 receive Social Security benefits 1 in 7 insured by Medicare1 in insured by Medical
112,000 received Social Security in 2010
About 82,000 retired workers & their spouses18,000 disabled workers and their spouses
7,000 widows and widowers5,000 children
Each year $1.4 BILLION into San Francisco homes from SS Source: Social Security, Medicare and Medicaid Work for California
Seguro Social, Medicare y Medicaid funciona para california
Social Security Works for Santa Clara County1 in 9 receive Social Security benefits
1 in 9 insured by Medicare1 in 7 insured by Medical
205,000 received Social Security in 2010
About 154,000 retired workers & their spouses24,000 disabled workers and their spouses
14,000 widows and widowers13,000 children
Each year $1.4 BILLION into San Francisco homes from SS Source: Social Security, Medicare and Medicaid Work for California
Seguro Social, Medicare y Medicaid funciona para california
Social Security Works for: Congressman Mike Honda’s Constituents (17th CD), 91,000 receive Social Security benefits each month
$1.1 billion each year
Congressman Ann ’s Constituents (18th CD), 96,000 receive Social Security benefits each month
$1.1 billion each year
Congresswoman Zoe Lofgren’s Constituents (19th CD), 120,000 receive Social Security benefits each month
$1.5 billion each year
Congressman Sam Farr’s Constituents (20th CD), 72,000 receive Social Security benefits each month
$717 million each year
Social Security Works for San Joaquin County1 in 7 receive Social Security benefits
1 in 8 insured by Medicare1 in 4 insured by Medical
93,000 received Social Security in 2010
About 60,000 retired workers & their spouses17,000 disabled workers and their spouses
7,000 widows and widowers9,000 children
Each year $1.2 BILLION into San Joaquin homes from SS Source: Social Security, Medicare and Medicaid Work for California
Seguro Social, Medicare y Medicaid funciona para california
Social Security Works for:
Congressman Jerry McNerney’s Constituents (9th CD)
81,221 receive Social Security benefits each month$1.1 billion each year
Budget Control Act of 2011Four components of the debt-ceiling deal
1) Established Super committee & process
2)$917 billion in discretionary spending cuts over the next 10 years.
3) Creation of “Super Committee” tasked to recommend another $1.5 trillion in deficit reduction for an up-or-down vote in Congress by December 23, 2011. No changes allowed.
4) Trigger to enact $1.2 trillion in across-the-board cuts if the Super Committee fails, split equally between defense and non-defense programs; Social Security is exempted.
The Long-Range Forecast(Source: 2012 OASDI Trustees Report)
• Social Security is currently in surplus and has an accumulated reserve of $2.7 trillion.
• Revenue will exceed benefits and admin. costs until 2021, at which time total accumulated reserves will be $3.1 trillion.
• The accumulated assets will enable the payment of full benefits until 2033, in the unlikely event that Congress does not act before then.
• In 2033, reserves are projected to be depleted. Income is forecast to cover 3/4ths of benefits due from 2033 through 2087.
• Projected shortfall 2.61% of taxable payroll
Finances – Three sources of RevenuesTrust fund income = $873.4 billion (mostly contributions)Trust fund outgo = $832.3 billion (99% in benefits) Surplus = $41.1 billion(2013 projections from 2012 OASDI Trustees Report)
By law, surpluses are invested in U.S. government securities and earn interest that goes to the trust funds.
Source: Social Security Administration, Income of the Aged Chartbook, 2010 http://www.ssa.gov/policy/docs/chartbooks/income_aged/2010/iac10.pdf
Used by the permission of Joel Pett and the Cartoonist Group http://www.kaiserhealthnews.org/Cartoons/2011/August/Monopoly-Money.aspx
Blaming Social Security, Medicare, Medicaid, UI, etc.
More than benefits
A commitment to each other