Drug bill lacks safeguard on Social Security

[Robbien]

Congressional Democratic leaders yesterday said the Medicare prescription-drug bill passed last year could limit future Social Security benefits, and some charged that it was a deliberate effort by Republicans to set the stage for partially privatizing the federal retirement program.

"Seniors' Social Security cost-of-living adjustments and benefits are under attack from Republicans," said Rep. Pete Stark, California Democrat. "This is one more step in the Republicans' plan to ignore Social Security benefits and try to privatize it. ... This is terrorism enacted against our seniors."

Mr. Stark, a member of the House Joint Economic Committee, issued a report illustrating how deductions in Social Security payments to cover Medicare prescription-drug benefits (Part D benefits) have no safeguards against inflation, unlike deductions for doctors' care (Part B premiums).

The Part D deductions, the report says, will outpace cost-of-living increases applied annually to Social Security benefits by 2007. The deductions for Part B premiums are under a "hold-harmless" rule to prevent them from rising above the COLA

http://washingtontimes.com/national/20040722-121146-8513r.htm

It is hard to believe that here I am for the second time this week posting a Moonie Times article which is unfavorable to BushCo. What is going on with the Loonie Moonie?

[izzie]

1. I do think the COL thing is off on SS

It is done in a percent which is silly as mine is low as I get little but if you get top dollar you get a lot more. The bread and milk for me goes up just as much as the people on the higher end.Should be a flat fee and that would help on low end and the govt.

[Robbien]

2. Yes, COLA numbers are kept low on purpose

because the government doesn't want to pay out fair increases to Social Security, government bond issues and government workers. Instead of reporting the true cost of living increases, they fudge the numbers. They are saving that money to give tax cuts to the rich and subsidies to drug companies.