The White House just announced a new $13 billion proposal to give 57 million Americans already receiving Social Security or some other government benefits a $250 “Economic Revovery Payment.”
The statement reads:
“Even as we seek to bring about recovery, we must act on behalf of those hardest hit by this recession. That is why I am announcing my support for an additional $250 in emergency recovery assistance to seniors, veterans, and people with disabilities to help them make it through these difficult times. These payments will provide aid to more than 50 million people in the coming year, relief that will not only make a difference for them, but for our economy as a whole, complementing the tax cuts we’ve provided working families and small businesses through the Recovery Act,” said President Obama. “This additional assistance will be especially important in the coming months, as countless seniors and others have seen their retirement accounts and home values decline as a result of this economic crisis. I want to compliment all the members of Congress who have been working to address these challenges, especially Senators Reid, Baucus, Sanders, and Lincoln, Speaker Pelosi, and Representatives Rangel, McCarthy, and DeFazio.”
This is pretty clearly a way for Obama to push another mini-economic aid package to avoid the political blowback from pushing a full-fledged second stimulus bill.
According to the fact sheet, “The President is committed to ensuring that the $13 billion cost of the proposal does not reduce the solvency of Social Security or other social insurance programs.” But in no way does it explain how that would be ensured.