GOP Doubles Down on House Rule Requiring Social Security Cuts

WASHINGTON – Ways and Means Committee Ranking Member Sander Levin (D-MI) today issued the following statements in response to Consortium of Citizens with Disabilities, but it would also apply in the Senate, where points of order are particularly challenging to overcome.

Background:

American workers contribute to Social Security with each paycheck, and their contributions are divided between two trust funds, OASI and DI. Currently, 11 million workers and family members receive benefits paid from the DI Trust Fund, and 48 million from the OASI Trust Fund, although all workers contributed to both funds.

Although Social Security's combined trust funds have a current balance of $2.8 trillion and are projected to be fully solvent until 2033, the DI Trust Fund is projected to have a shortfall starting in 2016. If not addressed by Congress, the shortfall will force a 20 percent benefit cut for all 11 million Americans being paid from the DI Trust Fund.

President Obama has proposed to reallocate a small portion of the reserves in the OASI Trust Fund to prevent a DI shortfall, something that Congress has directed 11 times in the past.

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