Social Security bill by June?

WASHINGTON — House Republicans injected new urgency Friday into their drive to overhaul Social Security, unveiling plans to draft legislation in June and brushing aside Democratic claims they intend to cut benefits for middle-class retirees.

"I'm confident we're going to get something done," said President Bush, struggling to build support for the centerpiece of his second-term domestic agenda.

After months of little evident progress on the issue, House Republicans said they intended to have legislation before the Ways and Means Committee by June. "It won't just be a Social Security bill. It will be a retirement bill," said Rep. Bill Thomas, the chairman.

Apart from changes in Social Security itself, the California Republican spoke vaguely of steps to encourage private retirement savings. He indicated he may attach provisions to ease the financial burden of long term or chronic care for the elderly.

He spoke in guarded terms about Bush's call for personal accounts for younger workers. "I believe you can construct a personal savings account that could be one component of many that address solvency," he said.

"House Republicans are ready to roll up their sleeves and do some hard work on Social Security. We look forward to searching for solutions so that younger workers aren't left with an empty promise from the government," said Speaker Dennis Hastert, R-Ill.

Official Social Security estimates predict that annual benefit costs will begin to exceed payroll tax income beginning in 2017, and the trust fund will be depleted in 2041. At that point, the government would be obliged to cut benefits for all recipients.

Bush favors personal accounts for younger workers as well as curbs on benefits for medium and upper wage earners who have yet to retire. Both are intensely controversial., and Hastert has wanted to let the Senate act first on Social Security legislation. His statement gave no indication he has changed his mind.

The Senate Finance Committee is expected to consider legislation by the end of July The panel's chairman, Charles Grassley, R-Iowa, has previously cited the idea of a sliding scale benefit as one of numerous options under consideration but has not accorded it any particular priority.

Thomas made his comments on the day after Bush indicated support for tilting the current Social Security system to make it more favorable to lower-income retirees. That would be accomplished by permitting benefits for future lower-income retirees to rise in accordance with current law, while growing more slowly for middle and upper income people.