Bronx, NY--Congressman Eliot Engel (D-NY) will hold a news conference to announce the introduction of his legislation, the Guaranteed 3% Cost of Living for Seniors Act (H.R. 4193), which seeks to correct the formula for which the Cost of Living Adjustment (COLA) is calculated.

WHEN: SUNDAY, December 6, 2009
10:30 A.M.

WHERE: NEW YORK CITY HALL

WHO: REP. ELIOT ENGEL (D-Bronx, Rockland, Westchester)
SENIOR CITIZENS SUPPORTING THE LEGISLATION

“For the first time in 30 years, there will be no COLA for Social Security recipients. With average Social Security retirement benefits currently totaling $13,800 annually, this is an intolerable hardship for our senior citizens,” said Rep. Engel. “When you consider this total is below the minimum wage salary of $15,080 per year, you begin to understand how and why seniors need to have changes made to the system.”

The legislation would guarantee a minimum increase annually in COLA for Social Security recipients. The formula is currently based on the Consumer Price Index for Urban Wage Earners and Clerical Workers, which reflects the purchasing patterns of people who earn at least half of their income from earned wages. However, seniors have different priorities, they spend almost three times more on medical care that those between the ages of 25 to 64. Rep. Engel’s legislation uses the Consumer Price Index for the Elderly, geared to capturing inflation among the 62-and-over crowd.