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Capitol Comment

Social Security: A capital matter

Take-home lessons from the first-ever GPO/WEP summit

By Josh Sanderson, ATPE lobbyist

Thanks to our great working relationship with the Texas Retired Teachers Association, ATPE was invited to participate in the first-ever Government Pension Offset/Windfall Elimination Provision (GPO/WEP) Summit March 9–10 in Washington, D.C. During the summit, ATPE State President Sam Spurlock and I heard about the status of Social Security reform from several congressmen and U.S. Sen. Kay Bailey Hutchison, as well as from Social Security and Government Accountability Office (GAO) staff. (Never missing an opportunity, we also met with key congressional staff on the impending renewal of the Elementary and Secondary Education Act, formerly known as No Child Left Behind.)

ATPE: Ahead of the curve
The member-written and -approved ATPE Legislative Program has several positions that address educator benefits—ranging from compensation and Teacher Retirement System (TRS) pensions to incentive pay and Social Security. Ultimately, ATPE’s goal is to maximize benefits for all educators. One way to achieve this is by reforming or repealing the GPO and WEP.

Here’s a quick refresher: The GPO and WEP affect anyone eligible for both a publicly subsidized pension, such as a TRS pension, and Social Security. This is the case for most Texas public school employees. The GPO reduces the amount of your spousal or survivor benefits by two-thirds of your TRS pension. The WEP reduces your personal Social Security benefits by an amount determined by how long you contributed to Social Security in other jobs. Both the GPO and WEP negatively affect Texas’ ability to recruit and retain quality educators.

ATPE has long advocated for full repeal of the WEP and GPO. We have supported bills filed in Congress calling for full repeal, such as the Social Security Fairness Act, and have testified in support of their passage. We have also supported legislation, specifically the Public Servant Retirement Protection Act (PSRPA), that would repeal the arbitrary penalty imposed under the WEP and institute a clear, fair method of determining individual Social Security benefits for anyone who is eligible for a government pension.

At the summit, we learned that once again, ATPE is ahead of the curve. During his address to attendees, U.S. Rep. Kevin Brady (who represents Texas’ 8th Congressional District) mentioned working with ATPE on the issue and presented a convincing argument that pursuing reform instead of full repeal is the best option for increasing benefits at this time. The PSRPA is a first step toward full repeal. Rep. Brady said that congressional leaders have stated they will not take up WEP and GPO legislation alone but rather wait to address Social Security reform as a whole. The good news here: The Obama administration has indicated Social Security reform is on its agenda.

The primary reason full GPO and WEP repeal has not already occurred is the cost. The GAO projects doing so would cost more than $90 billion over 10 years, and, as expected, the cost would increase going forward. However, the estimated price tag for implementing the PSRPA’s reforms is significantly less: approximately $8 billion.

Looking forward on this issue
Here’s what we can take away from the summit: Your voices are being heard, and elected officials are very aware of ATPE’s position. The fact that Rep. Brady and Sen. Hutchison took the time to address our group is telling, and it is vital that we continue to have this discussion with our elected officials. As we know, the fight to repeal the GPO and WEP has been a long battle and could continue for years to come. However, we do have hope.

The decisions you make at retirement are among life’s most important. If you have questions about Social Security, call us, and we will see that you get the answers you need. The key to creating the best environment possible for Texas educators is for you to stay informed on the issues and contact your elected officials regularly to make sure they know where you stand. If you have questions about who your representatives are or how to best communicate with them, contact ATPE Governmental Relations at government@atpe.org or (800) 777-ATPE.