We have to admit that is a headline we love to see!
For so many years now, the well-financed anti-Social Security lobby in Washington has owned the nation’s economic debate. They had a billion dollars invested to persuade Washington to pass benefit cuts for middle-class Americans to reduce deficits that Social Security and Medicare did not create.
The problem with their strategy is the American people never bought it. They didn’t then and they still don’t today. Americans of all ages and political parties simply don’t support cutting Social Security benefits to reduce the deficit. They know there are other ways to be fiscally responsible that don’t target Americans who’ve already suffered the most in this economy. Ultimately members of Congress urged the President—and he’s agreed -- to take the cost of living formula change called the Chained CPI out of his budget. The truth is, deficits are coming down and we didn’t have to target Social Security to do it.
The National Journal summed it up this way:
“After a three-year obsession with closing America's gaping budget hole, Washington, it seems, has moved on. Last month's budget deal, which put a momentary end to the cliffs and crises that have dominated fiscal policymaking since the tea party came to Congress, coupled with a rapidly shrinking short-term deficit, has driven the nation's budget imbalances quickly and quietly from the agenda.”
The Los Angeles Times says “Bye-Bye Chained CPI”
“...the chained CPI has lived on for years in Washington as a potential sop to conservatives in negotiations over a fiscal ‘grand bargain.’ The White House now indicates that it has finally given up hope on reaching that bargain with Republicans. (What took them so long?) So the chained CPI, which was part of President Obama's budget proposal as recently as last year, is out of the budget to be unveiled on March 4.
Social Security advocates are calling that a victory, because it effectively takes the chained CPI out of the mainstream of "entitlement reform." It's a significant victory, but the danger is that it might not be lasting. Recent history shows that the dream of forcing low-income seniors to pay for budget cuts so that wealthy Americans aren't burdened with a tax increase never really dies; it just goes into hibernation.”
Probably so, but supporters of Social Security are rightfully taking a victory lap now to celebrate the protection of our nation’s most successful program. Next step is to direct the conversation to where it should be...Boost Social Security now.
In briefings by the White House today reporters were given advance looks at the President's 2015 budget. In it are some pleasant surprises for seniors, veterans and the disabled who've been targeted with budget cuts in previous budgets.
"Last year’s Budget included policies like chained CPI - the number one policy change that Republicans had asked for in previous fiscal negotiations. However, over the course of last year, Republicans consistently showed a lack of willingness to negotiate on a deficit reduction deal, refusing to identify even one unfair tax loophole they would be willing to close, despite the President’s willingness to put tough things on the table. The offer to Speaker Boehner remains on the table for whenever the Republicans decide they want to engage in a serious discussion about a balanced plan to deal with our long-term fiscal challenges that includes closing loopholes for the wealthiest Americans and corporations, but the chained CPI provision will not be included in this year’s budget." White House budget preview memo
“Reports that President Obama will not include cuts to Social Security through adoption of the Chained CPI in his 2015 budget is welcome news for millions of seniors, veterans and people with disabilities who are tired of their modest benefits being used as deficit reduction bargaining chips. While it appears the White House has, for now, listened to the vast majority of Americans, of all ages and political parties, the President has still left the door open for more “let’s make a deal” bargaining with seniors’ benefits. He’s taking one step forward by keeping the Chained CPI out of his budget. We hope he won’t end up taking one step back by offering it up again later during any budget talks.
The chained CPI was a flawed idea from the start targeting both current and future retirees. It would cut benefits by 3% for workers retired for ten years and 6% for workers retired for twenty years. Three years after enactment, this translates to a benefit cut of $130 per year in Social Security benefits for a typical 65 year-old. The cumulative cut for that individual would be $4,631 or more than three months of benefits by age 75. We applaud the President for listening to members of Congress and Americans nationwide who have made the case repeatedly that cutting benefits to middle-class families is not the way to balance our books.
Unfortunately, it appears the White House will keep its plan to further means test Medicare in its 2015 budget proposal. Further means-testing Medicare continues to undermine the social insurance nature of Medicare and ultimately raises costs for middle and lower-income seniors who depend on it.”...Max Richtman, NCPSSM President & CEO
You can read more coverage of the President's 2015 budget in this Associated Press story.
Just a year and a half after it’s much ballyhooed launch, with dancing cans and supposedly serious politicos doing the Harlem Shake, Erskine Bowles and Alan Simpson’s “The Can Kicks Back” astroturf group is running out of funds.
Politico broke the story this week.
“The Can Kicks Back — which targets millennials and was conceived as a partner and affiliate of the group Fix the Debt — is running low on cash, according to emails and documents reviewed by POLITICO.
The group left a history of documents, including financial statements and internal deliberations over policy decisions, online in a Google Group that was open to public view but was recently closed. Those documents provide a peek into the day-to-day planning and operation of a modern public affairs campaign, one that publicly presented itself as driven by grass-roots energy but largely relied on big donors and wealthy Wall Street types for funding.”
“One fundraising problem The Can Kicks Back has faced is the entirely accurate perception that it is not actually a grassroots organization of young people deeply concerned with reckless entitlement spending and unsustainable long-term debt, but rather yet another front group — and in this case a particularly ineffective one — for the small network of billionaires who have spent decades advocating tax cuts and the rolling back of Social Security and Medicare benefits, in the name of fiscal responsibility.” Salon
For true grassroots organizations, tough economic times usually mean you turn to your grassroots membership for support. What is especially telling in The Can Kicks Back’s case is that according to internal emails obtained by Politico TCKB turned –not to the millennials they claim to represent – but to their true base, America’s 1%.
“According to emails, it also took meetings or made fundraising asks of former oil and gas executive T. Boone Pickens, aerospace magnate Norman R. Augustine and First Pacific CEO Bob Rodriguez, among others, since 2012.
The group has also approached Fix the Debt for additional financial resources and brainstormed a list of donors to be set up with that included former New York Mayor Michael Bloomberg, Blackrock CEO Larry Fink, salesforce.com CEO Marc Benioff, venture capitalist Reid Hoffman, eBay CEO John Donahoe and others.”
TCKB is suffering from more than just a lack of finances. It also suffers from a lack of a true identity, since the public never quite bought their claims of being an independent grassroots supported movement.
“In response to a 2012 Slate piece by reporter Dave Weigel linking The Can Kicks Back with the billionaire anti-debt activist Peter Peterson, Eisenstadt argued that the group should request a correction — saying that the perception that they are Peterson-funded was hurting their credibility, according to an email thread.
‘Technically one can make an argument that we are…” (THCKB organizer) Parent wrote back in an email. ‘We receive most of our money from [Committee for a Responsible Federal Budget], which has received large amounts of funding from Peterson.’ Slate never appended a correction to the piece.”
You might be tempted to write off this story as just one example of a financially troubled Washington advocacy group trying to stay afloat. But as the New York Times’ Paul Krugman reports, it’s much more than that. The Can Kicks Back story gives us all a seldom seen glimpse inside Washington’s web of astrotruf advocacy groups posing as representatives for a constituency with which they have virtually no contact. All the while they’re actually doing the business of America’s corporate and Wall Street backed interests.
“they show how much of what passes for genuine expression of public concern is really just a bought and paid-for (or, in the case of The Can, not sufficiently paid-for) front for plutocratic priorities.”
Lastly, the Huffington Post provides the most detailed description of the internal emails showing just how phony, this astroturf group truly is.
Education campaign will push for better benefits for workers, retirees and their families
We're building upon the growing public support for expanding Social Security by launching the Boost Social Security Now education campaign to inform and mobilize our membership, grassroots networks and on-line communities to convince Congress that now is the time to boost benefits, not cut them. For more than 30 years NCPSSM has been recognized as one of the nation’s most ardent and effective defenders of America’s social insurance safety net. In 2012, the National Committee expanded its focus on Social Security with the release of a proposal to modernize benefits, which included caregiver credits, shifting the annual cost of living adjustment formula to one designed for elderly consumers and improving the basic benefit of all current and future beneficiaries. Since that time, the call for expanded benefits has grown louder and includes support from within Congress including Senators Elizabeth Warren, Tom Harkin and Bernie Sanders, and Representatives Linda Sanchez and Gwen Moore.
“For years, Washington’s fiscal debate has been co-opted by the billion dollar austerity lobby and its single-minded quest to cut middle-class benefits in Social Security and Medicare to reduce the deficit. Their anti-Social Security mission ignores the cold hard economic realities facing millions of retirees, the disabled, widows and children. That’s why the National Committee, on behalf of its millions of members and supporters nationwide, is saying enough is enough. Now is the time to boost Social Security benefits, not cut them. It’s the right thing to do for our economy and America’s middle-class families and this is the right time to do it”...Max Richtman, NCPSSM President/CEO
The National Committee has endorsed nine different pieces of legislation that would enhance Social Security, including S. 567 and HR 3118 which, when fully phased in, would boost benefits by approximately $70 per month and adopt the more accurate consumer price index for the elderly (CPI-E). As a fiscally responsible way to increase and strengthen Social Security finances we also support lifting the payroll tax cap.
Today, Social Security’s average monthly benefit of just $1,269 is 90% or more of retirees’ income for 46% of unmarried elderly and 23% of married couples. Social Security will be even more important to future generations, especially the Recession Generation which faces income loss, diminished net worth, and high unemployment during their vital income earning years, all of which ultimately impacts their retirement.
Social Security’s positive economic impact shouldn’t be ignored. American families spend $775 billion in Social Security benefits nationwide each year, providing vital economic stimulus to local businesses and state economies they wouldn’t have without Social Security.
The goal of our Boost Social Security Now campaign is straightforward: Congress should increase Social Security benefits now to protect the economic security of millions of American families.
Here’s reaction to last night’s State of the Union address from National Committee President/CEO, Max Richtman:
“American families, across generations, will be encouraged to see our President acknowledge that job creation and economic insecurity are among the greatest challenges facing millions of average Americans. President Obama is right, too many have been left behind and still face unemployment, stagnant wages and an insecure future, even as the economy recovers. The President’s promise of a year of action to restore the basic bargain that built this country should also include preserving and strengthening the nation’s retirement and health security programs, Social Security and Medicare.
While we support proposals that encourage independent savings strategies, the surest and most time-tested path to economic security for older Americans is through the Social Security program. We urge the President to use his power and influence to boost the nation’s retirement system which has successfully served millions of Americans for more than 78 years.
Social Security benefits are not keeping pace with the cost of living in America. The average monthly benefit of $1269 is akin to a monthly paycheck for a worker on minimum wage. While the President is committed to raising the federal minimum wage to $10 per hour for workers, we would also like to see the President support an increase of $70 per month in Social Security benefits for retired workers as proposed by Senator Tom Harkin and Congresswoman Linda Sanchez in S.567 /H.R.3118. This benefit improvement could be paid for by lifting the payroll wage cap.
Rather than calling for benefits cuts through proposals like the Chained CPI, we should be talking about boosting benefits, adopting the more accurate consumer price index for the elderly (CPI-E) and increasing the minimum benefit formula. We urge the President to remember that reducing already modest benefits to seniors isn’t the path to economic security. The future of America’s retirees must remain a part of this debate. “…Max Richtman, NCPSSM President/CEO
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