Romney introduces legislation to tackle Social Security's funding shortfalls
Senator Mitt Romney (R-UT) leads a non-partisan coalition to promote social security among other federal trust programs that are in a funding crisis.
Jointly sponsored by six Democrats, nine Republicans, and one Independent in the Senate and House of Representatives, the United States Trusts Rescue Act (TRUST) aims to address the country's at-risk federal programs like the Highway Trust Fund, Medicare Part A. and the Social Security Pension and Disability Funds when their reserves run low.
"It is generally accepted that we must address the impending bankruptcy of our federal trust funds," Senator Romney said in a press release. “Congress needs to respond in a way that addresses this long-term problem that is falling on the pike much sooner than expected. Our TRUST Act is a bipartisan solution that powers our federal trust funds and puts us on our way to a stronger fiscal future. "
Senator Mitt Romney (R-UT) interviewed Xavier Becerra, candidate for Secretary of State for Health and Human Services (HHS), during his confirmation hearing before the Senate Committee on Health, Education, Labor and Pensions on February 23, 2021 in Washington, DC . (Photo by Sarah Silbiger-Pool / Getty Images)
The Highway Trust Fund is only a year away from depletion of its reserves, while the Medicare Health Insurance Trust Fund has five years before its additional resources are depleted. According to a September 2020 analysis by the Congressional Budget Office, the Old Age and Survivors Trust Fund and the Disability Insurance Trust Fund are expected to run out of surplus in eleven years, potentially reducing benefits for retirees if a solution is not found .
The trusts are funded from special sources of income that in some cases have been affected by the pandemic. According to Romney's press release, it is even more urgent for Congress to look into the matter.
According to a September 2020 analysis by the Congressional Budget Office, the Old Age and Survivor Trust Fund and the Disability Trust Fund are expected to run out of surpluses in eleven years. (Photo: Getty)
The proposed legislation would create bipartisan 12-member subcommittees or rescue committees for each trust fund that would have 180 days to draft laws aimed at improving each program while ensuring long-term funding. When the committee puts forward a bill, it is quickly examined in both chambers.
"Future generations of Americans today shouldn't be burdened by our bad financial decisions," said Senator Joe Manchin (D-WV) in a press release. "We have to work to put the federal budget back in order to reflect our priorities and at the same time be fiscally responsible."
In addition to Manchin, the act is co-sponsored by Sens. Todd Young (R-IN), Kyrsten Sinema (D-AZ), Shelley Moore Capito (R-WV), Angus King (I-ME) and Rob Portman (sponsored) R-OH ), Mark Warner (D-VA), John Cornyn (R-TX), Mike Rounds (R-SD), Kevin Cramer (R-ND) and Cynthia Lummis (R-WY). The representatives Mike Gallagher (R-WI), Ed Case (D-HI), Scott Peters (D-CA), Jodey Arrington (R-TX) and Carolyn Bourdeaux (D-GA) have introduced an accompanying law in the house.
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Stephanie is a reporter for Yahoo Money and Cashay, a new personal finance website. Follow her on Twitter @SJAsymkos.
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