Seniors And Veterans Emergency Benefits Act

Floor Speech

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Ms. HIRONO. Mr. President, last month I joined Senator Warren and others in introducing the Seniors And Veterans Emergency Benefits Act, also known as the SAVE Benefits Act. This legislation is needed because for the first time in over 40 years, our seniors, veterans, and people with disabilities won't receive a cost-of-living adjustment, or a COLA, for 2016. We are here again to urge our colleagues to support this much needed legislation that would provide a 3.9-percent COLA increase next year. There is a reason we hit upon the 3.9-percent number as the appropriate increase. I will get to that.

Many of our people who rely on Social Security and other Federal benefits are on fixed incomes. Every extra dollar helps them buy basic necessities. These Americans worked hard and earned modest benefits. However, based on the current benefit formula this year, they are out of luck. They won't see any increase in their income.

But here is the thing. That is not the case for our Nation's top CEOs. According to analysis by the Economic Policy Institute, CEOs of some of America's biggest, richest corporations not only earn an average of $16 million per year, but they received a 3.9-percent salary bump in 2014; hence our 3.9-percent COLA increase for recipients of the SAVE Benefits Act.

What does a 3.9-percent increase mean to these CEOs? About $635,000 more a year in their pockets--far more than most workers who rely on Social Security saw in 1 year or 10 years or perhaps even in their lifetimes. By contrast, what does a 3.9-percent increase mean to most seniors in Hawaii? About $580 more a year. Again, focusing on Hawaii, that is about enough for a Hawaii senior to buy almost 3 months of groceries or cover the average cost of a year's worth of prescription drugs. So $580 is a big deal for a lot of people in Hawaii.

This bill would help about 19 percent of Hawaii's population, or 268,000 people. They include seniors, children, and disabled workers who rely on Social Security to make ends meet. It includes 24,000 veterans and their family members, who would receive an increase to their well-earned benefits. That extra payment of $580 would help to prevent some 2,000 people in Hawaii from falling into poverty.

We are hearing from people all across the country about what will happen next year without the COLA increase.

One woman from Lanai City in Hawaii wrote:

I feel it is deplorable that Social Security did not receive a COLA increase. Many Seniors and poor people rely on this money to help them make it through the month and although I am not one of them I still want to speak for them as I feel it is important.

This person from Lanai said this is a deplorable situation, and I agree. That is why we need to pass the SAVE Benefits Act.

This bill is paid for by closing a tax loophole that benefits the wealthiest CEOs. Remember that $600,000-plus salary increase they got? Well, some of that is paid for by taxpayers because of this tax loophole.

This bipartisan idea of closing this tax loophole was even included in the former chairman of the House Ways and Means Committee's 2014 tax reform proposal.

We only have a few days left for Congress to act before the end of the year. I urge my colleagues to join me in letting seniors in Hawaii and across the country know that we are on their side by cosponsoring the SAVE Benefits Act. Let's just think about the disparity--$600,000-plus increases for CEOs making over $16 million a year versus the millions of seniors and veterans and disabled people who rely on Social Security and who need and deserve this COLA increase.

I urge my colleagues to bring the SAVE Benefits Act to the floor for a vote, vote on it, and send it on to President Obama for his signature.

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