Wahls unveils Social Security proposal in Coralville, criticizes staffing cuts

CORALVILLE — Standing outside the Coralville Social Security office Tuesday morning, Democratic U.S. Senate candidate Zach Wahls accused Republican U.S. Rep. Ashley Hinson of backing budget decisions and policy proposals that have weakened Social Security operations and put future benefits at risk, while announcing a new legislative proposal he says would reverse cuts and preserve benefits.

Wahls, a state senator from Coralville running for the Democratic nomination in Iowa’s 2026 U.S. Senate race, was joined by two local seniors — Curt Moore and Dhyana Kaufman — who shared personal stories underscoring the program’s importance.

“We are here today outside of one of 16 Social Security offices across Iowa to talk about a crisis in this office and in Social Security offices across the country,” Wahls said.

Hinson, of Marion, is campaigning for the GOP nomination to succeed Republican incumbent U.S. Sen. Joni Ernst, who is not seeking re-election. Her campaign rejected Wahls’ claims, saying she does not support cutting Social Security benefits and has worked to protect the program.

The campaign said Wahls is mischaracterizing a July 10, 2024, House Appropriations Committee vote on a fiscal year 2025 spending bill that proposed a roughly 4 percent, $450 million reduction in staffing funds at the Social Security Administration’s headquarters. Hinson’s campaign said the proposal, which did not become law, targeted funds associated with government work-from-home budgeting — not field offices or beneficiary payments — and were intended to refocus resources on customer-facing services.

Democrats at the time warned the proposal would worsen customer service problems.

The campaign also said Wahls is misleading voters by linking Hinson to proposals to raise the Social Security retirement age, and noting she has supported bipartisan bills like the Social Security Fairness Act, which increased benefits for millions of public service workers who also receive a public pension and had their Social Security benefits reduced in the past.

Hinson has said she does not support cutting Social Security, arguing reforms should protect seniors in or near retirement and ensure long-term solvency.

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“Ashley Hinson will never cut Social Security benefits for our seniors and she is fighting to protect it for future generations,” Deputy Campaign Manager Addie Lavis said in a statement to The Gazette. Lavis noted Hinson backs policies she says help seniors keep more of their income, including a temporary tax deduction for seniors age 65 or older contained in Republicans’ tax and spending law signed last summer.

Wahls also blamed Trump administration-backed budget reductions and management changes for growing backlogs and delays in processing benefits. He referenced reporting by The Washington Post, which found that Social Security backlogs have reached record levels following years of flat funding, staffing reductions and disruptive reorganizations under the Trump administration.

The Post noted that SSA Commissioner Frank Bisignano has authorized millions in overtime to address bottlenecks and said the agency has made progress.

‘Keep the Promise Act’

Wahls used the event to announce his “Keep the Promise Act,” a proposal he would introduce in the U.S. Senate, if elected.

The plan would:

More than 680,000 Iowans currently receive Social Security benefits.

Social Security faces automatic benefit cuts in 2033 unless Congress acts, according to the program’s most recent trustees report. The retirement trust fund is projected to run out of reserves, at which point incoming payroll taxes would cover only about 77 percent of scheduled benefits — triggering an across-the-board cut of roughly 23 percent.

A separate trust fund, supporting Social Security disability payments, is projected to remain solvent through 2099. If the retirement fund borrows from the disability fund, the trust funds would be depleted by 2034, leading to a 19 percent benefit cut.

Trustees said the timeline for insolvency has moved up since last year due to demographic pressures, as well as lower projected wage growth and recent changes that expanded benefits for millions of former public-sector workers.

“For nearly 100 years, generation after generation of Americans has paid into Social Security with a sacred promise that it will be there when we need it,” Wahls said. “… As your next U.S. senator, I will keep that promise to our generation with our ‘Keep the Promise Act’ and ensure that we can have the economic security that we need so hard working families can build our lives without fear of the future.”

Seniors describe stakes of staffing cuts

Moore, 72, said Social Security has long been a lifeline for families, noting that survivor benefits helped support his family after his father died in the 1960s. He criticized proposals that would raise the retirement age and warned that cuts would hit a state with a rapidly aging population.

He said he has paid into the system since his teens — in construction and for the Iowa Department of Corrections — and argued that wealthier Americans should be required to contribute more.

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“We need Social Security and Medicare to afford groceries, pay rent and property taxes,” Moore said, arguing Congress should “scrap the cap” on Social Security taxes for high earners so “Iowans and all Americans deserve to retire and not be afraid of losing their home.”

Currently, top earners don't pay Social Security taxes on any income above $184,500 a year. Removing the income cap would improve the program’s solvency, but not eliminate the long-term funding gap on its own, according to the Committee for a Responsible Budget.

Proponents argue it is a fairness issue, as high-income earners currently pay a smaller percentage of their total income compared to average workers.

Opponents argue it amounts to a massive tax hike that provides only a temporary fix that does not solve long-term issues without benefit cuts or other changes, and would also uncap the benefits that high-earning workers could earn.

Kaufman, 75, told reporters she feared a major disruption to her Social Security check after her bank account information was compromised late last year, but said staff at the Coralville office resolved the issue in minutes.

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“I was just so relieved and grateful,” Kaufman said. “ … And I know the Trump administration has been cutting and closing offices, cutting staffs, scaring staff away. And we need somebody from Iowa to take care of Social Security, make sure it stays strong — that it's well staffed — and I think Zach is the person to take care of that.”

Comments: (319) 398-8499; tom.barton@thegazette.com