LEGISLATIVE UPDATE
Congressional Action As we go to press, the House is poised to approve a Senate amendment to legislation to increase the debt limit until early December, providing a few more weeks of cushion against the United States defaulting on its debt obligations. In addition, Congress has until December 3rd to enact a FY 2022 appropriations package before the current continuing resolution expires, or face the prospect of a federal government shutdown. Also on Congress’ agenda is approval of the bipartisan Infrastructure bill and the Build Back Better Act, a centerpiece of President Biden’s agenda that includes sizeable investments in child care and climate change and potentially make some long-overdue updates to SSI benefits and eligibility requirements. That package passed the House in September, and is expected to be taken up this month in the Senate under special budget reconciliation rules that require a simple majority rather than the 60 votes needed to overcome the filibuster promised by Republicans who oppose the price tag of the package. All of this adds up to a very busy season for legislators between now and the end of the calendar year. NADR has been urging Congress to make needed improvements to the Supplemental Security Income (SSI) program as part of that reconciliation. Most of the SSI eligibility rules have not been updated since the program was signed into law by President Nixon over 40 years ago. The current program rules effectively require recipients to live below the poverty line, leading to homelessness, hunger, and illness among older adults and persons with disabilities. Potential updates include: • • • • •
Increasing the minimum benefit to at least the federal poverty level; Increasing and indexing resource limits for inflation; Eliminating marriage penalties; Eliminating rules about “in-kind” support from friends and family; and Updating outdated income disregards.
While it is unlikely that all of these essential reforms will be included in the reconciliation package, we are optimistic that some of them will make it into the final package, thanks in part to the advocacy of NADR members who responded to our Call to Action asking Congress to simplify the claims process and restore this program that plays such a pivotal role in the security of millions of Americans, including over a million children. Social Security Board of Trustees 2021 Annual Report The Social Security Board of Trustees recently released its Annual Report on the solvency of the Old Age & Survivors and Disability Trust Funds. The report estimates that the OAS Trust Fund will be able to pay full benefits on time until 2033 – one year earlier than the estimate in last year’s report. At that point without congressional action, income would be sufficient to pay 76 percent of scheduled benefits. The report finds that the DI Trust Fund will be able to pay scheduled benefits until 2057 – eight years earlier than the previous report. Unless Congress acts before then, the fund would only be able to timely pay out 91 percent of scheduled benefits going forward. Combined, the Trust Funds will be able to pay scheduled benefits until 2034, after which income will be sufficient to pay 78 percent of scheduled benefits. The expectation is that Congress will take action to increase revenues, reduce benefits, or some combination of the two, in order to prevent a reduction in scheduled benefits. Action sooner rather than later is essential to minimizing the impact of the adjustments. SSA Nominations The President removed Andrew Saul as Commissioner of Social Security on July 9th, appointing Kilolo Kijakazi as Acting Commissioner. Her service in an acting capacity is limited by law to 210 days from the date the vacancy occurred, unless the President submits a nominee to the office of the Senate. Names floated as possible nominees include Nancy Altman, president of Social Security Works and chair of the Strengthen Social Security coalition, who also serves as a member of the Social Security Advisory Board; Seth Harris, former Obama Labor Department official and current advisor to President Biden on labor issues; Acting Commissioner Kilolo Kijakazi; Donna Shalala, former Member of the House of Representatives from Florida and former Secretary of the Department of Health and Human Services; and James Roosevelt, eldest son of President Franklin D. Roosevelt and former Member of the House of Representatives from California. Other open positions requiring Senate confirmation include the Deputy Commissioner of Social Security (David Black resigned in July at the President’s request); and the two public trustees of the Social Security Board of Trustees – positions that have been vacant since 2008. NADR NEWS
10
THIRD QUARTER 2021
