Saturday, January 17, 2015

New GOP Congress Fires Shot At Social Security On Day One

ByDylan Scott, Published January 6, 2015, 5:34 PM EST

With a little-noticed proposal, Republicans took aim at Social Security on the very first day of the 114th Congress.

The incoming GOP majority approved late Tuesday a new rule that experts say could provoke an unprecedented crisis that conservatives could use as leverage in upcoming debates over entitlement reform.

The largely overlooked change puts a new restriction on the routine transfer of tax revenues between the traditional Social Security retirement trust fund and the Social Security disability program. The transfers, known as reallocation, had historically been routine; the liberal Center for Budget and Policy Priorities said Tuesday that they had been made 11 times. The CBPP added that the disability insurance program "isn't broken," but the program has been strained by demographic trends that the reallocations are intended to address.

No comments: