Generations United Statement on the Republican Response to the State of the Union

On Tuesday evening, Governor Mitch Daniels of Indiana gave the Republican response to President Obama’s State of the Union. While raising valid concerns about fiscal discipline and the country’s economic challenges, Governor Daniels portrayal of current efforts to restore our economy were misleading and his approaches to protecting our Social Security and Medicare would, in reality, undermine them.

He explains that Social Security and Medicare have "served us well" since their creation but they are in need of "some repairs" which he goes on to explain would include fashioning a "new affordable safety net." His carefully worded recommendations call to fundamentally transform Social Security and Medicare, including means testing the programs. While on it face this recommendation sounds appealing and in the interest of middle class and low-income Americans, in reality it would cost more than it saves by undermining the program's universal appeal and support. Furthmore claims that Social Security is bankrupt are false. Social Security has a $2.6 trillion surplus and can pay full benefits through 2036 without any changes. Relatively modest changes can be made that would place the program on sound financial footing for 75 years and beyond. In additiion, Gov. Daniels call to fundamentally transform Social Security for our country's younger Americans when they retire failed to recognize that Social Security is more than a retirement program. Nearly 7 million children receive part of their family income from Social Security today and rely on it as a safeguard against poverty every day.

Governor Daniels raised valid concerns about addressing the country’s deficit. Generations United supports fiscal discipline to ensure that our nation satisfies its debts. It must, however, be done in a responsible way that ensures it does not fall on the backs of our nation’s most vulnerable children, youth, and older adults.

Lastly, Gov. Daniels urged a renewed commitment to growing the private sector to help rebuild our economy. We at Generations United strongly support investing in our country’s economy and people. We believe these investments are not limited to creating “real jobs”; they also include creating opportunities for vulnerable people to overcome hunger and poverty, extending the right for today’s youth to continue their education through college, and for today’s older adults to receive affordable health care on a fixed income. If we fail to support these programs, which are needed more than ever in today’s economy, we fail our commitment to the generations before us and after us. That is why Generations United supports our safety net programs and services that help people get back on their feet again. As Gov. Daniels said, our society must protect its vulnerable. We look out for one another, because we’re stronger together.

Generations United Responds to the State of the Union Address

In his State of the Union address this week, President Obama called on the nation to throw aside our differences and create an “America built to last”—one that revives the “basic American promise that if you worked hard you could do well enough to raise a family, own home, send your kids to college, and put a little away for retirement.” As our name implies, Generations United believes that we all must work together to revive America…because we’re stronger together.

Education

As President Obama noted, “A great teacher can offer an escape from poverty to the child who dreams beyond his circumstances…. Teachers matter. So, instead of bashing them…. Give [schools] the resources to keep good teachers on the job…” Generations United applauds the President’s recognition that investing in our education system is essential to the rebuilding process.

We believe that older adults can play a key role in that rebuilding process. Older adults are one of our nation’s few growing natural resources and can offer the individual attention and wisdom of experience that children need. A prime example is Experience Corps, an evidence-based program that engages adults over 55 to provide literacy coaching, homework help, consistent role models, and committed, caring attention to young people. Independent research has shown that Experience Corps boosts student academic performance, helps schools and youth-serving organizations become more successful, and enhances the well-being of older adults in the process. Currently, 2,000 older adults are involved in Experience Corps in 19 cities across the nation. Given the number of Baby Boomers now retiring, we could easily increase that number.

Older adults can play a critical role in promoting high-quality early education and care, as well.  While not highlighted in his address, President Obama is a strong supporter of early learning, a critical element of any rebuilding process.  Statistics have shown over and over that children who are exposed to high-quality learning early in life do better in school--and later in life.  That makes sense.  After all, 75 percent of brain development and 85 percent of intellect, personality, and social skills develop before age 5.  

Research has found that funding for early childhood education provides the greatest documented return for the expenditure.  That is why Generations United has rallied thousands of older adults to advocate on behalf of our children through our Seniors4Kids initiative.  These dedicated adults keep lawmakers focused on the need for and efficacy of early learning.

Along with revitalizing elementary education and investing in early learning initiatives, we must also focus on higher education. As the President rightly noted, “Higher education can’t be a luxury—it’s an economic imperative that every family in America should be able to afford.” At the same time, he acknowledged that the cost of college can be daunting for today’s students. While we applaud the President’s support for extending the tuition tax credit, Generations United urges Congress to do more to assist particularly vulnerable young people, those whose parent(s) are diseased or disabled. One way is by reinstating the student benefit under Social Security. That provision would help young people who have lost a parent or whose parent is disabled to receive survivor benefits through the age of 22 as long as they are enrolled in college. Social Security survivor and disability benefits can be a deciding factor in whether or not these young people can continue their education.

Social Security, Medicare/Medicaid, Health Care

“I will not go back to the days when health insurance companies had unchecked power to cancel your policy and deny your coverage.” With those words, President Obama reaffirmed his commitment to the Affordable Care Act that will extend health care coverage to millions more Americans when it is fully implemented by 2014. We applaud his determination to ensure the program is preserved and continues to provide new critical health care coverage and protections to our nation’s younger and older people.

We are also heartened by the President’s statement that, “I’m prepared to make more reforms that rein in long-term costs of Medicare and Medicaid, and strengthen Social Security, so long as those programs remain a guarantee of security for seniors.” But, we urge President Obama to ensure he—and Congress—do not overlook the critical role Social Security also plays in the lives of nearly 7 million children today who receive part of their family income from it. The Social Security program is sound because, like America, it was “built to last.”

Economy

Appealing directly to lawmakers of both parties, the President said everyone must work together to renew Americans’ belief that we can solve today’s economic and social challenges. The answer, he said, is in a “…return to the American values of fair play and shared responsibility. [This] will help us protect our people and our economy.

“Tax breaks either add to the deficit or somebody else has to make up the difference –like a senior on a fixed income; or a student trying to get through school; or a family trying to make ends meet. That’s not right. Americans know it’s not right. They know that this generation’s success is only possible because past generations felt a responsibility to each other, and to their country’s future, and they know our way of life will only endure if we feel the same sense of shared responsibility. That’s how we’ll reduce the deficit. That’s an America built to last.”

We couldn’t agree more. We ardently believe that we cannot achieve recovery by placing an even bigger burden on those who need our protection the most: our children, youth, and older adults. Giving tax breaks to the wealthy and protecting corporate tax subsidies only shift the burden to the middle class. Rather, as the President noted, our fellow citizens’ well-being should “…guide us as we look to pay down our debt and invest in our future.”

Investing in our future means ensuring Americans have an adequate safety net of programs and services that can help them get back up on their feet and moving forward. It means looking out for each other and, together, creating an America built to last. Because we’re stronger together.