January 29, 2009

Recently I asked you to tell me your most pressing concerns about the economy.  Responses from over  42,000 people show that the number one worry for most of you is loss of value in your retirement funds. Other top concerns are access to affordable health care and the rising rate of unemployment.

Loss of retirement income
Seniors who played by the rules and carefully planned for retirement should not be saddled with the mistakes of those who got us into this mess. I called for an investigation into the events that led up to the financial crisis, including the role of credit rating agencies; the Senate's Permanent Subcommittee on Investigations has decided to begin such an investigation. I am cosponsoring S.133, the Troubled Asset Relief Program (TARP) Transparency Reporting Act to ensure greater protection of taxpayer money.

And, I am working on reforms that protect the hard-earned retirement benefits of seniors. Last year, many of you wrote to say it was unfair to force retirees to take a distribution from their savings—as required by law--given the record losses suffered. A new law passed by Congress puts a one-year moratorium on the required minimum annual distributions from tax-deferred retirement accounts of individuals who are 70 ½ years old or older, effective for this year.

Access to quality, affordable health care
Floridians are worried about having enough money for their health care and the specter of losing coverage entirely if they lose their jobs.

The Senate's version of the stimulus package now making its way through Congress would allow those who lost their jobs to maintain health care coverage for themselves and their families until they can find work and new coverage..

There's also additional Medicaid funding that would greatly help states, particularly those hurt worst by the economic downturn. Medicaid incentive payments will spur the adoption of health information technology, which will help stimulate the economy in the present, and can reduce health care costs and improve quality in the future.

Losing and holding onto jobs
According to the U.S. Bureau of Labor Statistics, Florida is second to only California in terms of job losses in 2008, and because California's labor force is almost twice as large as Florida's, our job loss was proportionately much larger. Miami-Dade's unemployment rate is at a whopping 7 percent.

For those struggling with job loss, the Senate stimulus plan includes funds to extend and increase unemployment benefits and gives aid to struggling state economies.

The Senate's plan includes $342 billion in tax cuts for families and businesses, with a particular focus on creating jobs in the green energy, highway, and school-building sectors. Meantime, there's no better federal investment than reducing waste by improving our energy efficiency. The building and construction industry has suffered greatly over the last six months, but it provides an ideal pool of labor for retrofitting buildings and homes to make them less wasteful and more efficient.

The Growing Deficit
As we debate ways to help Americans and lift our economy, I remain concerned about the effects of a burgeoning federal deficit. Last year I voted against spending $700 billion to bail out Wall Street because the bill lacked meaningful relief for homeowners facing foreclosure and didn't include adequate protections for American taxpayers. I remain more committed than ever to reducing wasteful spending and improving transparency in federal funding, especially in these toughest of times.

Other Concerns
Many of you are concerned about increasing home foreclosures and the rising cost of property taxes and insurance.

The Senate will soon begin debate on proposals to stem foreclosures by allowing judges to modify mortgages on primary residences; one analyst said that such measures could reduce foreclosures by as much as 20 percent.

Meantime, the Senate's stimulus plan would spur home purchases by eliminating repayment of the $7,500 tax credit for homes purchased after 2008 and before July 1, 2009.

The news that StateFarm plans to stop writing homeowners' policies in Florida is a grim reminder that even after two seasons without a major hurricane, the insurance market in Florida is in a state of crisis. I will continue to pursue action at the federal level regarding homeowners' insurance and work with our governor to come up with solutions.

Your feedback from this survey is valuable information that I can share with Congress and President Obama to bolster the case for economic stimulus and recovery legislation to extend unemployment benefits and help those struggling to find jobs cover their health insurance costs. I'll be sending additional surveys in the coming months; I look forward to hearing from you again.