Rep. Tom Davis (R) of Virginia -- he of the dry powder -- apparently got an earful at his townhall meeting in Fairfax today.
We've also been reviewing Davis's statements over the past few months to see whether or not he fits the current criteria for membership in the Conscience Caucus. A couple months ago someone who was going to such lengths to keep his distance from the president's phase-out plan would have gotten membership in a heartbeat. But for the moment we're still reviewing the record.
There is a short piece in the Times tomorrow noting that GOP astroturfer Charlie Jarvis plans to keep up his goonish campaign of disinformation against AARP and any and all who try to stand in the way of the president's Social Security phase-out plan. But let me take the opportunity to follow up on the O'Neill Marketing Company (OMC), the direct mail services provider that used to work out of the same offices as USANext and was at one point partly owned by them.
We've been able to find out a bit more about their relationship with Jarvis's operation. And though they apparently leased space from USANext until as recently as late last year, the financial ties between the OMC and USANext ended in 2002. In fact, from what I understand, it was Jarvis's arrival at USANext, and the new direction in which he took the organization, that prompted the folks at OMC to sever those ties.
Now, the ins-and-outs of the business history of this direct-mail company in Northern Virginia certainly aren't at the top of most people's concerns. But Charlie Jarvis is out there playing some pretty nasty hardball against anyone opposing phase-out. And plenty of folks on the other side are happy to oblige him by giving him the same in return. But, from the best I can tell, these folks at O'Neill are pretty much just caught in the crossfire.
Whatever slime Jarvis is peddling -- and he's peddling plenty -- isn't coming from them.
Jon Sawyer of the Post-Dispatch has a nice run-down of how the Social Security debate is shaping up in Missouri. The basic story, like most everywhere else, Democrats love talking about it, Republicans want to talk about anything but.
In a speech before a local Chamber of Commerce, Rep. Kenny Hulshoff (R) (better known to TPMers as one of the congressmen purged from the Ethics Committee in the Night of the Long Gavels) didn't even mention private accounts.
(ed.note: Note of thanks to TPM Reader DK for keeping us up to speed on the latest happenings across the country.)
George W. Bush, 1978: "[Social Security] will be bust in 10 years unless there are some changes ... The ideal solution would be for Social Security to be made sound and people given the chance to invest the money the way they feel."
Another blog serves up an inspired bit of pop culture riffing/criticism about the little tyke the phase-out forces have dragooned into joining the Bamboozlepalooza Tour.
The Newark Star-Ledger says that Rep. Chris Smith (R) of New Jersey, recently-defenestrated Chairman of the House Veterans Affairs Committee, "said recently he does not support the creation of private Social Security accounts."
For the moment, we're entering Smith in the Conscience Caucus, on the basis of Star-Ledger reporter Robert Cohen's report. But we're curious to hear from anyone who knows how and when Smith stated his opposition.
The article also states that Rep. Michael Ferguson (R) of New Jersey, a Social Security bamboozler of the Heather Wilson variety, has announced that Pres. Bush will visit Westfield next Friday as part of the Bamboozlepalooza tour.
Finally, the Mobile Register reports that of the seven Republicans in the state's congressional delegation, six held no Social Security events during the congressional recess. The seventh, Rep. Terry Everett, had apparently gone so far to ground that he wouldn't even answer the paper's queries.
In a townhall meeting on Social Security in Beverly Shores this week, Rep. Chris Chocola (R) of Indiana got a question many members have been getting this week. A constituent asked why we can't raise or eliminate the payroll tax cap as a way to strengthen the Social Security system and ensure its long-term solvency. Chocola responded, according to the local paper, that "that would buy about seven years but he is looking for long-term solutions."
Well, that's just not true. Or, if you want to say it's true because it's vague, it is nonetheless highly misleading.
Let me explain.
Earlier today we noted a new actuarial memo put out by the Social Security administration. The memo looks at 18 potential 'fixes' and examines how long each would extend the solvency of the program. For our purposes, we'll focus on #14, which looks at how the outlook would change if the payroll tax cap were eliminated (ed.note: The table in question can be found on page 18 of the linked pdf document.)
What does it say?
It says that whereas the Trust Fund is scheduled to be exhausted in 2042 under current law, this change would keep the system solvent through 2079 (ed.note: under SSA scoring procedures they don't go past 75 years, thus the date 2079).
In 2079, the Trust Fund would be shrinking. But measured as a percentage of the annual budget of Social Security it would be slightly larger than it is now. Now, I don't know about you but that sounds like it extends solvency considerably past 37 years, not 7 years.
Another way of putting this is to say that simply making this one change, getting rid of the cap, would extend the solvency of Social Security well beyond the lifetimes of almost anyone living today.
So what the hell is Chocola talking about?
Chocola is talking about the year that you have to start drawing money out of the Trust Fund, i.e., the 2018 date folks are always talking about.
Now, you might figure that the two numbers should be about the same -- put off dipping into the Trust Fund for seven years and you put off when it runs out of money by about seven years. But the Social Security actuaries' estimates show clearly that that is not true.
Now, two points. First, there are a lot of complexities and ins-and-outs behind those magic dates of 2018 and 2042. But as long as those are our benchmarks, removing the cap makes a very big deal. And Chocola isn't levelling with his constituents. Second, it's not just Chocola -- he's got his own unique portfolio of shenanigans we'll be discussing later. But this 'seven years' line is being used by virtually every Republican holding townhalls this week. And they are seldom being called on it. In fact, I bet will hear it several times on the Sunday shows. And I wonder if anyone will contradict it.
Late Update: I now see that Duncan Black (aka Atrios) has already been addressing this point -- particularly reporters' failure to call people on it -- in two excellent pieces (one and two) at Media Matters.
Now Rep. McCrery (R) of Louisiana needs a helping hand?
Seems like just a few weeks ago McCrery was saying: "The AARP and the Democrats think if you divert some money from the trust fund [the existing program will be undermined] That is true on its face. It does decrease the level of the trust fund. Politically, that's going to be a very strong tool that (opponents) can use to defeat a plan."
Now he says he's eager to get to work doing just that.
And now President Bush says he's going to come to McCrery's district to spread the good news about private accounts.
But is McCrery happy to see him?
The announcement triggered this response from McCrery, who seems to have some odd rhetorical ambivalence wedged down deep in his soul: "This trip to Shreveport should be seen not having anything to do with my role in the process. It should be seen as another stop in the president's journey that there's a need for change in the Social Security system."
Just another stop on the president's journey to private accounts nirvana.
Representative Tom Davis (R) of Virginia has been hovering around the edges of the Conscience Caucus for some time. We <$NoAd$>may even reevaluate his status. He hasn't so much expressed reservations on policy grounds. But he's close to a go-to-guy for the press when they want a quote from a Republican saying that privatization could be a disaster for the GOP.
Back on the 19th he told the LA Times: "The situation is fluid, but it has the potential to blow up. I'm going to keep my mouth shut." For which you can at least give him credit for a level of candor.
Here's a bit of an article that appeared yesterday in a local paper ...
"As a practical matter, 2018 is a tipping point," [Davis] said. "You don't want to be there because you'll be cutting education and defense. Every year you wait, it becomes a little tougher." Davis said he is not sure about private accounts, though he said they do not help the program's solvency.
Ideally, he would like to avoid raising taxes to pay for social security and would also like to avoid cutting future benefits as well.
"I've got a healthy dose of skepticism," he said. "But I applaud the president for identifying the problems with the program."