Pelosi: ‘The More the American People Find Out About the President’s Privatization Plan, the Less They Like It’

Wednesday, March 16, 2005
Contact: Brendan Daly/Jennifer Crider

Washington, D.C. – House Democratic Leader Nancy Pelosi was joined by Members of the House and Senate Democratic Leadership today at a rally on Capitol Hill  to call on President Bush and Republicans to drop their privatization proposal and come to the table to find a bipartisan solution to Social Security.  Below are Pelosi’s remarks:

“In the past few days, as the President has traveled all over the country, he has learned what Democrats have known all along: the more the American people find out about the President’s privatization plan, the less they like it.

“The American people understand what the choice is.  They understand that privatization means slashing benefits, that it means saddling our children and grandchildren with massive debt, and they don’t like it.  They know privatization means breaking a promise and eliminating the retirement lifeline that Americans have earned.

“Creating private accounts in Social Security does not improve the solvency of Social Security.   In fact, it makes the problem worse by creating trillions of dollars in new debt that jeopardizes Social Security. 

“Today, as we are gathered here, on the floor of the House, Democrats are offering a motion that will give Members of Congress a chance to say exactly where they stand on the President’s proposal of privatization.  Our motion says plainly: payroll taxes cannot be used to fund private accounts.  Democrats are also working to make sure that the American people know what that vote is and know that privatization is a bad deal for them, for their families, and for the nation.

“I am proud of the work of our Democratic caucus.  Under Steny Hoyer’s leadership, more than 300 town hall meeting have taken place or shortly will take place.  We are now going on to the next phase of them.  We were very successful with the House and Senate Democrats ‘fly around’ last week.  We will build on that over the recess.

“We are highlighting the ‘real faces of Social Security,’ the retirees, people with disabilities, and survivors.  This will happen at dozens of events at which Members will share the story of a person in their district who receives Social Security.

“This is a new part of our plan.  House Democrats have been invited by independent groups to hold events in Republican districts, maybe as many as 55 districts.  Our Members are willing to travel anywhere in the country to ensure that Americans know the truth about the Republicans’ privatization plan.   The more they know about it, the less they like it.  We are on the road, on the Internet, on college campuses, we’re in Congress, and we’re on the news delivering this message.

“Democrats support strengthening Social Security as part of honoring the promise of America.  The federal government is morally and legally obligated to pay back the Social Security trust fund, and we intend to have the federal government honor that promise. 

“Social Security does face problems down the road, and we need to solve them.  But we have the time to do it right.  

“The first steps though, should be to stop the President from raiding the Social Security trust fund, to stop the Republicans from creating unprecedented deficits to pay for tax cuts for the super wealthy, and to honor the promise to use Social Security contributions for Social Security benefits.

“Once privatization is off the table, and that may take a little more time, Democrats want to work with Republicans in a bipartisan way to make any adjustments to keep Social Security solvent after the year 2050.  What we are talking about here, is what happens between the year 2050 and 2100.  The President is going out there describing this as an immediate crisis.  That is a disservice to the debate.  It simply is not true.  There is a problem down the road and we have time to solve it and we have time to do it right.

“Just as President Reagan worked with Speaker Tip O’Neill in 1983, we can work today in a bipartisan way to strengthen Social Security.

“Democrats will be there to strengthen Social Security.  We will not let it be destroyed.  We will not allow a guaranteed benefit be turned into a guaranteed gamble for the American people.”

“ Democrats are united in presenting a New Direction for America, one that will make our nation as strong as its people, one that brings opportunity, security, and prosperity to all Americans. ”

Democratic Leader Nancy Pelosi