Generations United also agrees Americans need to save more for retirement to supplement Social Security benefits they have contributed to throughout their working lives. Calling on employers to help through the creation of ‘myRA’ savings account may be a helpful tool. However, this proposed new program should in no way weaken Social Security which is a critical family protection program.
Wednesday, January 29, 2014
Generations United’s Response to the State of the Union Address
Generations United also agrees Americans need to save more for retirement to supplement Social Security benefits they have contributed to throughout their working lives. Calling on employers to help through the creation of ‘myRA’ savings account may be a helpful tool. However, this proposed new program should in no way weaken Social Security which is a critical family protection program.
Friday, January 10, 2014
University Students and LBFE Elders Share Lessons on Aging and Friendship
Back to school for elder Ginnie and North Park student Kathryn |
A North Park University Student working with elder Dorothy |
Wednesday, June 13, 2012
Understanding “Sequestration”
Last year, Congress and the President worked together to pass the Budget Control Act of 2011 (BCA) to address immediate and long-term fiscal concerns for our nation. (Read Generations United’s full statement on the BCA.) Because Congress couldn’t agree on how to cut the federal budget, automatic across the board cuts – known as sequestration - will kick in in January 2013.
These automatic cuts will be applied in a 50-50 split between defense and non-defense spending. This represents $54.7 billion in domestic spending which will be cut from a wide range of programs, including programs that are vital to children, youth and older adults.
Sequestration will affect both mandatory and discretionary domestic funding sources. Mandatory cuts will include:
- Cuts in Medicare payments to providers and insurance plans; those cuts are limited to 2 percent of such payments in any year, or $11 billion in 2013. This means that Medicare providers will continue to bill Medicare in the normal way but will be reimbursed at a rate of 98 cents on the dollar.
- About $5.2 billion in cuts in the other mandatory programs, the biggest of which supports farm prices; other affected programs include student loans, vocational rehabilitation, mineral leasing payments, the Social Services Block Grant, and dozens of smaller programs.
Other domestic programs, which are funded through discretionary spending, would face even more drastic cuts of $35.5 billion – or 8.4%. The bulk of the cuts to domestic spending would be to important programs for children, youth and older adults. These include Head Start and K-12 education funding, the Low Income Home Energy Assistance Program (LIHEAP), employment and nutrition programs for older adults, and funding to implement the Affordable Care Act.
(For a listing of projected cuts, see the Coalition on Human Needs’ report Self-Inflicted Wounds: Protecting Families and Our Economy from Bad Budget Choices.)
Congress is currently discussing ways to avoid sequestration, but some proposals would protect defense spending at the expense of even deeper cuts to domestic programs, or even those exempted from cuts under the BCA (such as, Medicare, SNAP, and Temporary Assistance for Needy Families (TANF)).
Generations United urges Congress and the President to protect our nation’s most vulnerable and invest in our country’s future by supporting proposals which would provide adequate revenue to address the needs of our citizens.
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Wednesday, March 21, 2012
Response to Ryan’s Budget Plan
Yesterday, Congressman Paul Ryan presented his latest “Pathway to Prosperity” budget. After examining the document, Generations United was deeply troubled by many of the proposals contained in it because they would significantly reduce funding to the critical social safety net for America’s most vulnerable children, youth and older adults. Here is our analysis of the Ryan budget.
Food and Nutrition
If enacted, Ryan’s plan would convert the Supplemental Nutrition Assistance Program (SNAP) into a block grant. In the long term, this would harm tens of millions of children, families, and older adults who rely on this critical safety net program. Hunger, food insecurity, and poverty are significant problems affecting millions of people in the U.S. and are expected to persist at high levels due to the weakened economy.
Higher Education
Additionally, the Ryan budget proposes to restructure Pell grants by “limiting the growth of financial aid and focusing it on low-income students.” Without specific language, it is hard to gauge the full impact of this proposal. When combined with additional budget cuts, this would surely limit access to this critical program that serves nearly 10 million college students.
Health Care
Proposed changes to essential health programs are even more concerning. The Ryan budget calls for repealing the Affordable Care Act (ACA). The act provides critical health benefits to an estimated 19 million children and older adults by 2019 and includes provisions that would save $418 billion in Medicare costs over 10 years. In place of the ACA, the Ryan budget proposes that employers provide a cash supplement for their employees to purchase health care on the open market. That proposal ignores the troubling question of how our nation’s most vulnerable, including the unemployed or underemployed, will access health care.
The budget also proposes to convert Medicaid to a block grant, shifting the costs and risks to states, providers, and beneficiaries. With state budgets already overstretched, that move could jeopardize access to critical health services and put states in the difficult position of choosing between providing health care coverage for children's doctor visits or long-term care for older adults.
While ensuring existing Medicare benefits for those over 55, the Ryan budget would provide an unspecified amount of money directly to younger workers and require them to buy their own coverage in a way that may not guarantee the same coverage seniors have come to trust from Medicare. While Generations United believes the nation must address Medicare spending, this proposal sets up the potential for younger workers to not receive the care they need when they age.
Social Security
While the specifics in Ryan’s plan are unclear, we know his claims that it will “strengthen” Social Security are false. In reality, the provisions he has outlined would result in cuts for beneficiaries, many of whom increasingly rely on Social Security as a safeguard against poverty. Despite knowing first-hand the role Social Security plays in the lives of children and youth, Ryan refers to Social Security solely as a retirement security program. Social Security is more than a retirement program. Nearly seven million children receive part of their family income from Social Security today.
The Federal Budget
To balance the budget and reduce the deficit, the Ryan budget proposes measures that would dramatically slash spending and place children, youth and older adults at risk. These measures include relying on six separate committees to recommend cuts. These cuts would be directed at domestic spending including nutrition, Medicare, and Medicaid. Additionally, the Ryan budget would require caps on both discretionary and mandatory spending, beyond what was agreed to in the final budget agreement reached in fall 2011. Any increases to mandatory spending would require Congress to reduce other spending to pay for the increases and to “review mandatory spending programs” regularly. This sets up a dangerous situation where vital safety net services could be cut to pay for needed increases in mandatory spending. Generations United opposes any deficit reduction plan that puts the burden of cuts on the backs of the most vulnerable Americans. We must ensure that budget reduction is done in a responsible manner that truly reflects shared sacrifice, without disproportionately burdening the most vulnerable.
We at Generations United strongly support investing in our country’s economy and people. These investments include creating opportunities for vulnerable people to overcome hunger and poverty, extending the rights of today’s youth to continue their education through college, and for today’s older adults to receive affordable care on a fixed income. These investments are needed more than ever in today’s economy. If we fail to support them, we fail our commitment to the generations before and after us. The true path to prosperity is through strengthening our safety net and investing in our country; not by cutting critical supports to Americans in need and balancing the budget on the backs of the most vulnerable.
-Eric Masten
Wednesday, January 25, 2012
Generations United Responds to the State of the Union Address
Thursday, February 05, 2009
Applauding SCHIP and Staying Vigilant on Economic Recovery Act
Yesterday, a vital expansion of the Children’s Health Insurance Program was signed into law by the President Obama. The new law will provide health insurance to four million uninsured and vulnerable children. This is a crucial victory for children and the country, particularly during this economic downturn. During the signing-ceremony President Obama said providing health care for children was the, “duty of any decent society.” I couldn’t agree more.
Today, the news was decidedly different. The Senate is debating the economic recovery plan to kick start the economy and provide for long-term investments that will grow our economy for years to come. While no bill is perfect, especially one that has almost a trillion dollars of spending in it, I believe that funding initiatives like Head Start and school construction are the epitome of what Congress should be trying to pass. These initiatives provide tremendous intergenerational opportunities that should be promoted rather than pared.