Res. No. 1092
Title
Resolution calling upon the Congress of the United States to enact legislation that will strengthen and secure Social Security into the next century.
Body
By: The Speaker (Council Member Vallone) and Council Members Harrison, Berman, Dear, Malave-Dilan, Eisland, Espada, Freed, Henry, Lopez, Marshall, Nelson, Perkins, Reed, Warden, Abel and Stabile; and also Council Members Fisher, Foster, Koslowitz, Leffler, McCaffrey, Michels, O'Donovan, Povman, Quinn, Robles, Spigner, Watkins and Wooten
Whereas, Since the enactment of Social Security more than 60 years ago, elderly poverty has dropped sharply, reaching a level of below 11 percent in 1996 from over 35 percent in 1959; and
Whereas, It is generally agreed by experts that, if Social Security did not
exist, half of all American retirees would be living in poverty; and
Whereas, Today the Social Security system is sound, but the future of the system is threatened by the anticipated demographic crisis which will occur as 76 million baby boomers reach retirement age; and
Whereas, By 2030, it is projected that there will be twice as many elderly as there are today; and
Whereas, In 1960 there were over five people working for every person drawing Social Security, in 1997 there were over three people working for every person drawing benefits, and by 2030 it is anticipated that there will be only two people working for every person receiving Social Security; and
Whereas, The Social Security Trust Fund is sufficient to pay all obligations of Social Security, both retirement and disability, until only 2029, after which it will no longer cover those obligations and payroll contributions will only be enough to cover 75 cents on the dollar of current benefits; and
Whereas, Strong retirement benefits for the baby boom generation can be ensured if the system makes changes now in anticipation of the need; and
Whereas, It is estimated that using $100 billion of the budget surplus now would add a year or more to the solvency of the Trust Fund without making any other changes; and
Whereas, Other changes could be made which can be phased in over time and which would have huge impacts 30 years from now; and
Whereas, While it is important to reform Social Security in a way that strengthens and protects a guarantee for the 21st century, the basic program should not be abandoned; and
Whereas, Most advocates object to proposals that would significantly raise the age of retirement or reduce benefits as a result of Social Security shortfalls; and
Whereas, Social Security must provide a benefit that people can depend on regardless of the fluctuations of the economy or the financial markets; now, therefore, be it,
Resolved That the Council of the City of New York calls upon the Congress of the United States to enact legislation that will strengthen and secure Social Security into the next century.
Referred to the Committee on Aging.
LS2355
MB:ts
11/16/99
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