Contact: Telly Lovelace (202) 225-3635

Joliet, IL, Apr 29, 2005 - House Deputy Majority Whip Congressman Jerry Weller (R-Ill.-11) today hosted a media roundtable discussion and Social Security town meetings in Joliet, Kankakee and Ottawa with Florida Congressman and Former Chairman of the House Ways and Means Social Security Subcommittee E. Clay Shaw (R-Fla.-22). At the events, Reps. Shaw and Weller explained the details of legislation they are supporting in the Congress to guarantee the solvency of the current Social Security system by advocating personal accounts in addition to Social Security.

In February, Congressman Shaw introduced H.R. 750, the Social Security Guarantee Plus Plan. The legislation: (1) Preserves and guarantees promised benefits to retirees, near-retirees, and all workers; (2) No tax increases;
(3) Fully preserves disability and survivor benefits; (4) Offers individually controlled, voluntary personal retirement accounts that will augment Social Security.

“It’s an honor to have my friend and colleague, Congressman Shaw, here in Illinois,” said Weller. “Congressman Shaw is a leader in the Congress on the issue of Social Security and how to fix it. As past Chairman of the Social Security Subcommittee, he has participated in countless hearings closely examining the problems the current system faces. I thank Congressman Shaw for coming to Illinois to visit with my constituents and offering his insight on Social Security as the discussion moves forward.”

Congressman E. Clay Shaw, Jr. has represented South Florida in the U.S. House of Representatives since 1981. After 25 years in Congress, Mr. Shaw is the second most senior Republican on the Committee on Ways and Means. Shaw is the immediate-past Chairman of the House Ways and Means Subcommittee on Social Security and is the sponsor of the bipartisan Shaw Social Security Plan, which Mr. Weller is a cosponsor.

“In politics there is always a temptation to kick the can down the road and hope that problems might disappear,” said Shaw, a senior member of the House Ways and Means Committee. “That is not how Congressman Weller views his job. Lawmakers like Jerry Weller want to be in office to confront big challenges, not to pass them along to future generations and future Congresses. That's the kind of approach Americans expect from their leaders, especially when it comes to a defining national purpose like Social Security.”

Congressman Weller strongly believes that Social Security is one of America’s most successful programs. “Its retirement, disability and survivor benefits provide essential income security for almost one out of every six Americans of all ages including my parents and many members of my family,” said Weller, who serves on the House committee with jurisdiction over the Social Security system. “Without Social Security, nearly half of the 1.5 million seniors in Illinois would live in poverty.”

“Congressman Weller and I know that the longer we wait to address the coming crisis, the more difficult and expensive the job will be down the line,” said Shaw. “So we are working to save Social Security for all time, and put it on a path to permanent solvency and stability.”

Congressman Weller stressed how the Shaw Social Security Plan preserves Social Security in its current form. “The Shaw Plan give workers the opportunity to do better through a add-on personal account, all while protecting guaranteed benefits,” said Weller, a cosponsor of the Shaw Social Security Guarantee Plus Plan. “The Shaw Plan allows younger workers to built a nest egg today through voluntary personal retirement accounts modeled after the federal employees Thrift Savings Plan and which would be administered by the Social Security Administration. This successful model enjoyed by Federal employees including the Congress, would put real assets back into Social Security and provide workers real retirement security and ownership of their retirement nest egg. I support the creation of personal accounts as an add-on to the current Social Security system.”

In addition to promoting the Shaw plan, Congressman Weller discussed he legislation he has introduced called
the KidSave Social Security Account Act of 2005. At birth every child would receive a $2,000 loan from the Social Security Administration. The initial amount would be linked to inflation, so it would increase slightly every year. The money would be deposited into an account that couldn’t be opened until the owner retires or dies.

The account would be managed by the Thrift Savings Plan, the same plan that federal employees, including Members of Congress, use to manage our retirement funds. The KidSave accounts could reach up to $50,000 at maturity. Parents and grandparents can contribute up to $500 per year into a child’s KidSave account.

“KidSave would allow all children, from all socio-economic backgrounds, to enjoy the benefits of compound interest, to build a retirement nest egg at an early age,” said Weller. “Through KidSave, children will have the opportunity to lay the foundation for a secure retirement future and when they reach their golden years, they will have newfound wealth to spend on themselves or share it with their children and grandchildren.”

Congressman Weller noted that KidSave is a loan from Social Security, not a gift or a new government entitlement -- and it doesn’t cost taxpayers anything. When the account owner reaches age 30 -- an age at which most people are well along in their working lives -- the original loan would be repaid in five annual installments.