Retirement issues before Congress
The issues facing our country that are likely to come up for debate before the 107th Congress include several that are of deep concern to AFT retirees.

Social Security
While the reform of Social Security financing was a major issue during the presidential campaigns, it seems to have been put on the back burner. President Bush is considering the appointment of a bipartisan commission that may be open to his views on privatization. The AFT will continue its aggressive efforts to educate Congress and the American people about the continuing need and value of the existing Social Security system.

Tax cuts
Bush's massive tax cut is not on the back burner. The administration has proposed a $1.6 trillion tax cut, 43 percent of which would go to Americans earning over $319,000 a year. Those high earners would receive at least a $4,600 tax break, while families earning under $40,000 would receive only $227. Everyone loves a tax cut, but one that undermines the effort to reduce the federal deficit and fund essential programs--and gives most tax relief to the very wealthy--must be avoided. The AFT will fight to make sure that tax relief benefits go to working families and are not "paid for" by surplus Social Security and Medicare tax receipts.

Medicare and drug benefits
It's generally expected that this Congress will address the issue of drug benefits for older Americans. The Bush plan would subsidize low-income seniors to help them buy private insurance to get drug coverage but sets no specific premiums for other participants and does not guarantee the same benefit to people in different states. The AFT strongly supports a drug benefit for seniors but wants these benefits to be part of the Medicare system. The AFT believes that a Medicare prescription drug plan should offer the same benefit to all. The union supports a plan that would have a uniform premium nationwide; would allow each individual to decide whether to participate; and would provide subsidies for low-income seniors.

Bush also favors making radical changes in the Medicare system itself. His proposal would substitute a voucher for the existing Medicare benefit. These vouchers, which would be capped at a specific amount, would allow beneficiaries to buy private insurance to replace Medicare. As private insurance premiums increase, the vouchers would not cover the cost of the private health insurance that would replace Medicare. The result: Many seniors would lose adequate medical coverage. The AFT will continue to fight the dismantling of the existing Medicare program and will work to ensure adequate financing for the existing Medicare system for the future.