I 106thcongress 1stSession To require the establishment ofa ConsumerPrice IndexforElderly Con- sumerstocomputecost-of-livingincreasesforSocialSecurityandMedi- care benefits under titles II and XVIII of the Social Security Act. IN THE HOUSE OF REPRESENTATR^S April14,1999 Mr.Sanders(forhimself,Mr.Ney,Mr.BORSKI,Mr.Filner,Mr.Wexler, Mr.Olver,Mr.Weiner,Ms.KlLPATRICK,Mr.SHOWS,Mr.HiLLIARD, Mr. HlNCHEY, Mr. BROWN ofOhio, Mr. BROWN ofCalifornia, Mrs. Christensen, Mr. Crowley, Mr. ThompsonofMississippi, Mr. Ro- mero-Barcelo,Ms.Pelosi,Mr.Stark,Mr.Kucinich,Mr. Nadler, Ms. WooLSEY, Mr. Hastings of Florida, Mr. Owens, Mr. Aber- CROMBIE, Mr. Farr of California, Ms. NORTON, Ms. Lee, Mr. LaTourette, Mr. COYN-E, andMr. BONnOR) introduced the following bill;whichwasreferredtotheCommitteeonWaysandMeans, andin additiontotheCommitteesonCommerce,andEducationandtheWork- force,foraperiodtobesubsequentlydeterminedbytheSpeaker,ineach caseforconsiderationofsuchprovisionsasfallwithinthejurisdictionof thecommitteeconcerned A BILL To require the establishment of a Consumer Price Index forElderlyConsumerstocomputecost-of-livingincreases for Social Securit\^ and Medicare benefits under titles nandX\^IoftheSocialSecurityAct. 1 BeitenactedbytheSenateandHouseofRepresenta- 2 tivesoftheUnitedStatesofAmericainCongressassembled, — 2 1 SECTION1.SHORTTITLE. 2 ThisActmaybecitedasthe"ConsumerPriceIndex 3 forElderlyConsumersAct". 4 SEC. 2. CONSUMER PRICE INDEX FOR ELDERLY CON- 5 SUMERS. — 6 (a) In General. The Bureau ofLabor Statistics 7 oftheDepartmentofLaborshallprepareandpubhshan 8 indexforeachcalendarmonthtobeknowmasthe ''Con- 9 sumerPriceIndexforElderlyConsumers" thatindicates 10 changes overtimeinexpendituresforconsumptionwhich 11 are typical for individuals in the United States who are 12 62yearsofageorolder. — 13 (b) Effective Date. Subsection (a) shall apply 14 withrespectto calendar months endingon or afterJuly 15 31 of the calendar year following the calendar year in 16 whichthisActisenacted. — 17 (c) Authorization of Appropriations. There 18 are authorizedtobe appropriated such sums as arenec- 19 essarytocarryouttheprovisionsofthissection. 20 SEC.3.COMPUTATIONOFCOST-OF-LIVINGINCREASES. 21 (a)AmentdmentstoTitlen. — 22 (1) In general. Section 215(i) ofthe Social 23 SecurityAct (42U.S.C. 415(i))isamended— 24 , , (A) in paragraph (1)(G), by inserting be- 25 foretheperiodthefollowing: and, solelywith 26 respect to any monthly insurance benejfit pay- m •HR1422 3 1 able under this title to an individual who has 2 attainedage62,effectiveforadjustmentsunder 3 this subsection to the primary insurance 4 amount on which such benefit is based (or to 5 anysuchbenefitundersection 227 or228) oc- 6 curring after such individual attains such age, 7 the apphcable Consumer Price Index shall be 8 deemedtobethe ConsumerPriceIndexforEl- 9 derly Consumers and such primary insurance 10 amount shall be deemed adjusted under this 11 subsectionusingsuchIndex";and 12 (B) inparagraph (4), bystriking "andby 13 section 9001" and inserting by section 14 9001", and byinserting afi:er "1986," the fol- 15 lowing: "and by section 3(a) ofthe Consumer 16 Price Index for Elderly Consumers Act of 17 1999,". 18 (2) Conformingamendmentsinapplicable — 19 FORMERLAW. Section 215(i)(l)(C) ofsuchAct, as 20 in effect in December 1978 and applied in certain 21 casesundertheprovisionsofsuchActineffectafter 22 December 1978, is amendedbyinsertingbefore the 23 period the following: ", and, solely with respect to 24 any monthly insurance benefit payable under this 25 titletoanindi\idualwhohasattainedage 62,effec- •HR1422ra — 4 1 tiveforadjustmentsunderthissubsectiontothepri- 2 mary insurance amount on which such benefit is 3 based (orto any such benefit under section 227 or 4 228) occurring after such individual attains such 5 age, the apphcable Consumer Price Index shall be 6 deemed tobethe ConsumerPriceIndexforElderly 7 Consumers and such primary insurance amount 8 shallbedeemedadjustedunderthissubsectionusing 9 suchIndex". — 10 (3) Effective date. The amendmentsmade 11 byparagraph(1) shallapplytodeterminationsmade 12 by the Commissioner of Social Security under sec- 13 tion 215(i)(2) ofthe Social SecurityAct (42 U.S.C. 14 415(i)(2)) with respectto cost-of-li\ingcomputation 15 quartersendingonorafterSeptember30ofthesec- 16 ond calendar year following the calendar year in 17 whichthisActisenacted. 18 (b)AmendmentsTOTitleXVm.— 19 (1) In general.—TitleXVIII ofsuchAct (42 20 U.S.C. 1395etseq.)isamended 21 (A) in section 1814(i)(2)(B), by inserting 22 "(i) foraccountingyears endingbefore October 23 1 ofthesecondcalendaryearfollowingthecal- 24 endaryearinwhichthe Consumer Price Index 25 for Elderly ConsumersActwas enacted," after m •HR1422 ; 5 1 "for a year is", and by inserting after "fifth 2 month of the accounting year" the following: 3 ", and (ii) for accounting years ending after 4 October 1 of such calendar year, the cap 5 amountdeterminedunderclause (i) forthelast 6 accounting year referred to in such clause, in- 7 creasedordecreasedbythesamepercentageas 8 the percentage increase or decrease, respec- 9 tively, inthe medical care expenditure category 10 (or corresponding category) of the Consumer 11 Price Index for Elderly Consumers, published 12 bythe Bureau ofLabor Statistics, fromMarch 13 ofsuch calendaryeartothefifthmonthofthe 14 accountingyear'' 15 (B) in section 1821(c)(2)(C)(ii)(n), by 16 striking "consumer price index for all urban 17 consumers (all items; United States city aver- 18 age)" andinsert"ConsumerPriceIndexforEl- 19 derlyConsumers"; 20 (C) insection 1833(h)(2)(A)(i),bystriking 21 "Consumer Price Index for AU Urban Con- 22 sumers (United-Statescityaverage)" andinsert 23 "Consumer Price Index for Elderly Con- 24 sumers"; •HR1422IH 6 1 (D) in section 1833(i)(2)(C), by striking 2 "consumerprice indexfor allurban consumers 3 (U.S. city average)" and insert "Consumer 4 PriceIndexforElderlvConsumers"; 5 (E) in section 1834(a)(14)(D), by striking 6 "consumerprice indexfor allurban consumers 7 (United States cityaverage)" and insert "Con- 8 sumerPriceIndexforElderlyConsumers"; 9 (F) in section 1834(h)(4)(A)(vi), by strik- 10 ing "consumer price index for aU urban con- 11 sumers(UnitedStatescityaverage)" andinsert 12 "Consumer Price Index for Elderly Con- 13 sumers"; 14 (G) in section 1834(1)(3)(A), by striking 15 "consumerprice indexfor allurban consumers 16 (U.S. citj^ average)" and insert "Consumer 17 PriceIndexforElderlyConsumers"; 18 (H) in section 1834(1)(3)(B), by striking 19 "consumerprice indexfor allurban consumers 20 (U.S. city average)" and insert "Consumer 21 PriceIndexforElderlyConsumers"; 22 (I) insection 1842(s)(l),bystriking"con- 23 sumer price index for aU urban consumers 24 (United States cityaverage)" and insert "Con- 25 sumerPriceIndexforElderlyConsumers"; m •HR1422 7 1 (J) in section 1882(p)(ll)(C)(ii), bystrik- 2 ing "Consumer Price Index for all urban con- 3 sumers (all items; U.S. citj^ average)" and in- 4 sert "Consumer Price Index for Elderly Con- 5 sumers";and 6 (K) in section 1886(h)(5)(B), by striking 7 "Consumer Price Index for All Urban Con- 8 sumers(UnitedStatescityaverage)" andinsert 9 "Consumer Price Index for Elderly Con- 10 sumers". — 11 (2) Effective date. The amendmentsmade 12 by paragraph (1) shall applywith respect to deter- 13 minations made for periods ending after December 14 31 of the second calendar year following the cal- 15 endaryearinwhichthisActwasenacted. O m >HR1422 ensLIBRHRV 3 amS DDDlEHbS 7