House liberals warn Obama they’ll oppose Social Security cuts

House liberals are pressuring President Obama’s debt
commission to avoid cuts to Social Security benefits as it seeks ways to right
the nation’s fiscal ship.

In a letter to the panel’s chairmen, the Congressional
Progressive Caucus on Thursday threatened to oppose any recommendations that
“cut or diminish Social Security in any way.”

{mosads}“We write to express our strong opposition to any potential
proposal from your commission that would undermine Social Security by reducing
benefits, increasing the retirement age, or privatizing elements of the
program,” caucus co-chairmen Reps. Raul Grijalva (D-Ariz.) and Lynn Woolsey
(D-Calif.) wrote in the letter, which was provided to The Hill.

“We will not allow the commission to reduce Social Security
payments, especially during an economic downturn that has wiped out trillions
of dollars in net worth around the country.

“Any recommendations from your commission must be enacted by
both houses of Congress. If any of those recommendations cut or diminish Social
Security in any way, we will stand firmly against them.”

With 82 members, the progressive caucus can wield
significant influence on the Democratic agenda, although previous threats to
oppose healthcare legislation that did not include a public insurance option
were not followed through. Many Democrats have questioned claims by
Republicans and some economists that the Social Security system is in crisis.

The bipartisan commission, led by Democrat Erskine Bowles
and Republican former Sen. Alan Simpson, will issue recommendations to reduce
the nation’s long-term debt and deficit on Dec. 1. Fourteen of the panel’s 18
members must sign on to the proposals. Democratic congressional leaders have
pledged to bring the proposals to a vote in the House and Senate, provided the
party retains control of Congress in the November midterm elections.

While Obama has said all options must be on the table for
reducing the debt, the panel has faced an avalanche of pressure from both sides
of the political aisle. Democrats have pushed to leave Social Security out of
the debate, while some Republicans have warned that the panel is a stalking
horse for broad tax increases.

Many economists and fiscal experts have said a combination
of spending cuts, entitlement reform and tax increases will be necessary to
rein in deficits that are running into the trillions of dollars.

This story was initially posted with an incorrect time stamp.