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Alan Simpson Calls Recipient Of Angry Letter

First Posted: 9/1/10 Updated: 5/25/11

Cheney Center

Alan Simpson reached out to a recipient of one of his angry letters on Tuesday night, insisting that he did not mean to personally attack Merton and Joan Bernstein but instead intended to send the letter directly to the Huffington Post.

The letter, dated June 2nd, was mailed to the Bernsteins in Massachusetts in response to a May piece they published in HuffPost. Simpson made news last week with an email in response to a separate HuffPost item by Ashley Carson, head of the Older Women's League, in which he disparaged Social Security recipients and called the program "a milk cow with 310 million tits!"

Simpson is co-chair of President Obama's deficit commission and calls for Simpson's resignation have mounted in the wake of his comment. The White House is standing by its co-chair and has accepted an apology he offered to Carson, though Carson herself is still calling for him to step down.

Merton Bernstein told HuffPost that he picked up the phone Tuesday night and the caller told him: "You don't know who I am."

"Oh, yes I do," Bernstein said he told Simpson. Bernstein, who was a senior consultant to the 1983 commission that reformed Social Security, said he used the opportunity to try to educate Simpson.

The commission, chaired by Alan Greenspan, reformed Social Security so that it could handle the onslaught of the pending baby boom retirements. Simpson was unaware of what the commission had done, said Bernstein.

"That's not true," Bernstein said of Simpson's claim -- which he has made in the past and repeated to Bernstein -- that the commission did not account for baby boomers. "They very clearly and explicitly addressed that issue. That's why they built in a surplus." Bernstein told him that he was in the room with Bob Ball and other commission leaders when they made the decision to account for the pending wave of retirements.

"Then why are they in such trouble now?" Simpson responded. Bernstein responded that they are not in fact in trouble today. The surplus is now over $2 trillion and is projected to reach $4.6 trillion.

"Well, don't you pay attention to the trustee's report?" Simpson responded, as Bernstein recalled. Bernstein told him that he does pay attention to such reports, and that the most recent report found that Social Security was in no worse shape this year than it was last year, despite the recession. The program is on track to pay full benefits at least until 2037, at which point most surviving boomers will be in their late 80s and 90s.

Bernstein also tried to explain to Simpson that his proposals to means-test benefits to restrict them to low-income seniors would not save money because of the high administrative costs of such an effort. "He didn't seem to understand that," said Bernstein.

The unsolicited note to the Bernsteins, provided to HuffPost, does not include contempt for Social Security recipients but does include aggressive language. "I was stunned that two people of your apparent intelligence and background could come up with such an extraordinary screed. Rather than going any further into any richer vocabulary than I would desire, let me just do one thing," writes Simpson, saying that he is including a presentation from Stephen C. Goss, Social Security's actuary.

Simpson also sent the presentation to Carson, indicating that he finds it highly significant, though little new is contained within it. Rather, it is a rehash of the annual trustee's report.

Meanwhile, Simpson should be happy: Carson, whom he told to get back to him once she'd found "honest work!" is leaving her job as head of the Older Women's League (OWL) to be a senior staffer at the Senate Special Committee on Aging. Simpson, a former Republican senator from Wyoming, was previously the chairman of that committee. Carson confirmed her new position to HuffPost but declined to comment.

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Alan Simpson reached out to a recipient of one of his angry letters on Tuesday night, insisting that he did not mean to personally attack Merton and Joan Bernstein but instead intended to send the let...
Alan Simpson reached out to a recipient of one of his angry letters on Tuesday night, insisting that he did not mean to personally attack Merton and Joan Bernstein but instead intended to send the let...
 
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COMMUNITY PUNDITS
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undecidedaboutPOTUS 03:32 PM on 09/01/2010
Does Social Security need reform? Will changing Social Security help with the Deficit?
or is Simpson just grasping at straws while putting his foot in his mouth?

Read this item: Research Desk responds: Could raising the income cap save Social Security?

Completely eliminatin­g the cap without increasing benefits actually creates a long-term surplus, and  Read More...
09:48 PM on 10/14/2010
If you lift the income cap on social security wages there is no deficit 2100 and beyond.
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undsoweiter
but I know where to look it up
08:59 AM on 09/02/2010
Republican­s want to do away with Social Security because it puts the lie to their narrative of "Governmen­t can't do anything right"
SS, a democratic program, works well, always has worked well, and always will work well, for ALL Americans.
Social Security is not broken, it doesn't need to be fixed.
06:52 AM on 09/02/2010
All the problems with Social Security occur after 2037 - and even then it is a 24% problem with 76% of all benefits covered - look at Goss's presentati­on (http://big­.assets.hu­ffingtonpo­st.com/Bud­getCommiss­.pdf). From this it is absolutely clear that the problem is with the Income Tax.

For the last 30 years the USG has not been able to pay operating costs as it should - from the Income Tax that everyone pays - and has been borrowing from the FICA payroll tax that is only paid by working people on earned income under $161,800. In 2015 the FICA payroll tax will not be sufficient to pay benefits so Social Security will no longer be able to loan money to the USG for operating expenses.

The Social Security retirement fund is not responsibl­e for USG operating costs - why would it be? Responsibi­lity for operating costs - including principle and interest on debt - belong to all Americans - not just those with earned incomes less than $161,800 - so these costs must be paid with Income Taxes.

Is it not clear? The shortfall is not in Social Security revenues it is in Income Tax revenues. Income Taxes must be raised to cover their shortfall. For 30 years the rich have invested the money they should have paid in taxes - and instead borrowed from the Social Security trust fund. They received good profitable returns on that money and now - like any other loan - they have to pay it back.

lff
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Foxrocks
Level III Thermographer
07:03 AM on 09/02/2010
Taxes shouldn't be raised to cover shortfalls in SS. They need to adjust benefits for people who won't retire within the next 20 years.
07:54 AM on 09/02/2010
Before we "adjust benefits" on retirement programs that won't be in deficit until 2037 we need to manage the programs that are already costing more than the revenues available to pay for them. The way to do that is to increase the revenues available for those programs and the majority of that revenue comes from the Income Tax.

Income tax rates - especially in the upper brackets - have been drasticall­y cut from 1980 to present. The top marginal rate went from 70% in 1980 to 35% today. Over that period the US has run nearly constant budget deficits - except for the last 3 years of the Clinton Administra­tion - and much of that borrowing was from the Social Security payroll (FICA) tax revenues. This debt needs to be repaid.

Cutting benefits is stealing from the working Americans who paid into Social Security for the last 30 years and giving the money to the upper bracket - rich - income tax payers who had their rates cut over the same period.

This country's economy has thrived with marginal income tax rates as high as 90%. There is no reason marginal income tax rates cannot rise considerab­ly above the 35% now paid by the richest Americans.

It is only fair that those who profited from income tax cuts now pay back the people they borrowed the investment capital from. Businessme­n pay back banks and bondholder­s every day. Why can't they pay their debts to working Americans?

lff
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HUFFPOST SUPER USER
rebt
a liberal in the bible belt. Oh the humanity.
06:50 AM on 09/02/2010
Simpson has been after S.S. and medicare all his political career. I hope Obama will take the recommenda­tions of this panel of mostly people that want to steal away S.S. and tell them "Naw, Naw, Naw, we going to go out there and hit em in the mouff." To quote a pro football coach. Obama needs to turn down any recommenda­tions that cut or privatize S.S. It would be political suicide and cruel to the elderly.
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jmdziuban1
Aspiring ne'er-do-not-so-well
07:01 AM on 09/02/2010
That is the biggest problem of Simpson being on the panel, he has a pre-determ­ined solution. He wants to "reform" S.S. into extinction­. Always has, always will. His purpose on the panel is not to weigh the evidence for a solution, it is to look for support for his pre-determ­ined solution. That being the case, then what is the point of the panel?
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Foxrocks
Level III Thermographer
07:05 AM on 09/02/2010
"then what is the point of the panel?"

There is no point to the panel. They aren't going to make any cuts to anything. Obama just wants to use the panel for cover to raise taxes.
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Foxrocks
Level III Thermographer
07:02 AM on 09/02/2010
AS it's been stated so many times on this website, the executive branch doesn't write the legislatio­n.
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HUFFPOST SUPER USER
rebt
a liberal in the bible belt. Oh the humanity.
07:06 AM on 09/02/2010
But it can influence it. It can veto legislatio­n.
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farmilyman
everything is illusion
06:22 AM on 09/02/2010
Simpson needs to set the example by giving up his government pension for a few years of work which he didn't contribute any money towards before cutting social security.
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HUFFPOST SUPER USER
cloudmaker
05:58 AM on 09/02/2010
I say fire the crypt keeper.
05:33 AM on 09/02/2010
How much do you make, Alan, from your government Pension.??­?? And I guess maybe you're on a few "boards" of companies you lobbied for during your career. With all that cash flowing in, much of it from TAXPAYERS, you decide as a "HAVE MORE" that the "Barely Haves" are just getting a wee bit too much from Social Security. Absolutely disgusting­. I wonder how you feel about the "Tax Cuts" the top 2% got from Bush. I'm betting you want to keep those just as they are..right­?? Oh yeah.
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HUFFPOST SUPER USER
SLOMO66
We live in the house of Upside Down
05:24 AM on 09/02/2010
Jesus, Obama, wake up, your letting your intelligen­ce be blinded by democrat ideology (weakness, pretending to fix the problem, ect)

Simpson needs to go, he's been sexist and attacked Vietnam troops.... along with wanting to 'cut' (annihilat­e) social security (and probably Medicare).­.....
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05:02 AM on 09/02/2010
I will treat Mr. Simpson the same as I would any other thief that tries to put his hand in my pocket!

You ARE NOT ENTITLED TO MINE!
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HUFFPOST PUNDIT
Carolab
63 and supporting OccupyMinnesota
04:53 AM on 09/02/2010
Facts don't matter to those like Simpson with a clear agenda.

And for THAT he should be sacked, never mind his mouth.
HUFFPOST SUPER USER
LLeGrande
An Increasingly Disgusted Liberal Democrat.
04:14 AM on 09/02/2010
Know what this Simpson trash-mout­h matter is all about?

The increasing incompeten­ce of the Obama Administra­tion.
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HUFFPOST SUPER USER
kinogod
word farmer
02:28 AM on 09/02/2010
Obama is totally using mister crazy pants for his own reasons,
HUFFPOST PUNDIT
dawgspiel
03:40 AM on 09/02/2010
Yep.
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ChicagoBob
I've learned that I still have a lot to learn.
08:02 AM on 09/02/2010
It's possible. I hope so. But either way it's time to go on the offensive or the mid-term elections will be a route.

Angry voters are not smart enough to understand that a vote for the GOP is not a vote for a better country or a stronger economy.
HUFFPOST SUPER USER
john649
02:25 AM on 09/02/2010
this SS scam is a TOTAL republican scheme to get our money!!
There was NEVER any problem with Social security.
Another old, white and rich ploy to hoodwink the masses into a fear frenzy.

http://pol­.moveon.or­g/ssmyths/­index.html
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HUFFPOST PUNDIT
Carolab
63 and supporting OccupyMinnesota
04:54 AM on 09/02/2010
EXACTLY. It is just as Bernstein and so many others have reported. And we've been listening to the same li-es for 20 years.

ENOUGH. That's MY money and keep your HANDS OFF it, Simpson.
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02:13 AM on 09/02/2010
It is time for Mr. Simpson to leave public life.
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HUFFPOST SUPER USER
rotorhead1871
who are you jivin' with that cosmic debris?...
01:44 AM on 09/02/2010
he looks dead..and acts like it too....tot­ally disconnect­ed from this world..GO OBAMA GO, keep picking those great advisors..­..