In response to the President's State of the Union Address, Grassley said, "America has been given a windfall opportunity. It's an opportunity for giving our children and grandchildren a real shot at a better future. This opportunity comes on the doorstep of the new millennium. It comes from a robust economy, a balanced budget with potential surpluses, new trade opportunities in overseas markets, and relative peace in the world. The State of the Union reflects an optimistic future, provided that America's leaders make the right decisions now. That means we must commit to staying on track."
Next week, Grassley said he will consider the President's budget proposal from his position as the second most senior member of the Budget Committee. Specifically, Grassley said he intends to "stand firm" against attempts to spend the budget surplus. "Interest payments on the national debt make up the largest slice of the budget pie. By making that piece smaller we would substantially improve our children's future," Grassley said.
In fact, Grassley said that today the anticipated budget surplus, "which hasn't yet seen the light of day is, nonetheless, already burning a hole in Washington's collective pocket. I want to stay on track, pay down the $5.7 trillion debt, and set off a chain reaction that's good for America's families today and in the future."
In addition to leadership on the budget, Grassley said he will aggressively pursue his legislative agenda for Iowans, including reform of the Internal Revenue Service; a comprehensive plan to battle illegal drugs, especially methamphetamine; restoring U.S. leadership on world trade to pursure new export markets for Iowa products; extension of the ethanol program; and, education reform that requires federal dollars to go to students in the classroom.
Grassley also said the February 10th hearing he will conduct as Chairman of the Senate Special Committee on Aging will represent the first congressional hearing to consider how to ensure the viability of the Social Security program when the baby boomer generation begins to retire. The hearing represents a continued commitment by Grassley to enhance retirement income and health security for Iowans, including planning for long-term care needs, protecting hard-earned pensions and saving Medicare for the more than 36 million Americans who depend on the program.
"I welcome President Clinton to the very important debate on how to reform the Social Security program. Educating the public about the challenges facing this important program has been a top priority of mine as Chairman of the Special Committee on Aging. We must work together to seek a solution that will keep Social Security viable for the next generation of retirees, Grassley said. "Along with that, the best way to prepare to meet the challenges of the baby boomer retirement is to have our budget balanced and federal debt as small as possible."
In 1997, Grassley held Aging Committee field hearings in Washington, Sioux City and Omaha to examine the long-term viability of Social Security and Medicare. He also conducted town meetings on these issues in 69 communities throughout Iowa. And, Grassley urged policymakers in Washington to focus on long-term financial security for retirees in keynote speeches during the last year. Today, the Social Security Trust Fund is full of special government securities. The government has borrowed the money generated by payroll taxes to fund current spending. Social Security now takes in more money than it pays out. But starting in 2012 the cash flow will reverse. Then, the Social Security Trust Fund will bring those I.O.U.s back to the Treasury for payment.
In 1996, 41,950 Iowans received SSI benefits; 42,500 Iowans received Social Security disability insurance benefits; and, 342,480 Iowans received retirement benefits from Social Security.