I wanted to be in touch about an important debate our nation is having about the future of Social Security. President Bush is pushing for major changes that deeply concern me. I wanted to make sure you were fully informed of the impact of these proposals. Since I recently became the lead Democrat on the Social Security Subcommittee of the Ways and Means Committee, I also wanted to share with you what I am doing to stop these proposals and any proposal to dismantle Social Security.

Social Security’s Proven Record
Social Security is an American success story that safeguards Americans’ independence and economic security when they get older. In addition, the program provides benefits for more than 14 million widows, orphans and disabled workers.

The Social Security Trust Fund currently holds $1.7 trillion in reserves and full benefits are covered for nearly 50 years. After that point, even if we make no changes, Social Security will be in a position to pay out 80 percent of a person’s benefits. Social Security is facing a long-term challenge, not a crisis. We must make the right adjustments to ensure that monies paid into the system are there for future generations.

Privatization Plans Would Drain Money from Social Security
Private accounts would make the challenge facing Social Security worse by diverting $1.4 trillion from the Social Security Trust Fund in the first ten years alone. Private accounts would require a dramatic increase in borrowing on top of already skyrocketing budget deficits. This new borrowing would be largely financed by loans from China, Japan, and other foreign countries, and would saddle current and future workers with higher interest rates and higher taxes.

Privatization Plans Would Cut Social Security Benefits
To make up for the funding shortfall caused by the private accounts, the plan the President calls a “good blueprint” would cut future benefits across the board. For a younger worker these benefit cuts would equal $152,000. Risky private accounts would not make up for this loss in guaranteed benefits.

Preserving Social Security for Future Generations
I stand ready to work on a bi-partisan basis to strengthen Social Security, as we did successfully in 1983. The first step must be for the President and Congressional Republicans to abandon efforts which I believe would dismantle Social Security through benefit cuts and by diverting trillions of dollars from the Social Security Trust Fund.

I hope you and your family will become actively engaged in this debate. I will be holding town hall meetings in Michigan, attending meetings, writing letters and sending emails to get the word out about the value of Social Security and the risky proposals being made by President Bush and Congressional Republicans. I hope you, too, will let me hear from you.