Social Security and Medicare Lock-Box Act

Hozzl · 2025-03-12T12:53:21Z

Explore the details of House Bill 1221 Social Security and Medicare Lock-Box Act currently in Congress. Get insights into its purpose, current status, sponsors, and potential impact on undefined. Stay informed on legislative developments.

3/12/2025, 12:53 PM

Summary of Bill HR 1221

Bill 119 hr 1221 aims to make changes to the Social Security Act and the Medicare program in order to protect the surplus funds in these programs. The bill proposes the creation of a Social Security Surplus Protection Account within the Federal Old-Age and Survivors Insurance Trust Fund, as well as a Medicare Surplus Protection Account within the Federal Hospital Insurance Trust Fund. These accounts would hold the surplus funds from Social Security and Medicare, respectively.

One key provision of the bill is the suspension of investment of the funds held in these accounts until legislation is enacted that allows for the investment of the Trust Funds in investment vehicles other than US government obligations. This means that the surplus funds would not be invested until alternative forms of investment are approved by Congress.

Additionally, the bill proposes the establishment of a Social Security and Medicare Part A Investment Commission. This commission would be responsible for making recommendations on alternative forms of investment for the surplus funds in Social Security and Medicare. This would allow for a more diverse and potentially higher-yielding investment strategy for these important programs. Overall, Bill 119 hr 1221 seeks to protect the surplus funds in Social Security and Medicare, while also exploring new investment opportunities to ensure the long-term sustainability of these programs.

Congressional Summary of HR 1221

Social Security and Medicare Lock-Box Act

This bill establishes (1) in the Federal Old-Age and Survivors Insurance Trust Fund, a Social Security Surplus Protection Account; and (2) in the Federal Hospital Insurance Trust Fund, a Medicare Surplus Protection Account.

The Managing Trustee of each trust fund (in both cases, the Secretary of the Treasury) (1) must transfer the annual surplus of the trust fund to its respective account; and (2) may not invest the balance in the account until a law takes effect that authorizes, for amounts in the trust fund, an investment vehicle other than U.S. obligations.

The bill establishes in the executive branch a commission to study the most effective vehicles for investment of the trust funds, other than investments in the form of U.S. obligations.

Read the Full Bill

Formatted Text PDF Formatted XML

Current Status of Bill HR 1221

Bill HR 1221 is currently in the status of Bill Introduced since February 11, 2025. Bill HR 1221 was introduced during Congress 119 and was introduced to the House on February 11, 2025. Bill HR 1221's most recent activity was Referred to the House Committee on Ways and Means. as of February 11, 2025

Bipartisan Support of Bill HR 1221

Total Number of Sponsors

Democrat Sponsors

Republican Sponsors

Unaffiliated Sponsors

Total Number of Cosponsors

Democrat Cosponsors

Republican Cosponsors

Unaffiliated Cosponsors

Policy Area and Potential Impact of Bill HR 1221

Primary Policy Focus

Alternate Title(s) of Bill HR 1221

To amend titles II and XVIII of the Social Security Act to establish a Social Security Surplus Protection Account in the Federal Old-Age and Survivors Insurance Trust Fund to hold the Social Security surplus and a Medicare Surplus Protection Account in the Federal Hospital Insurance Trust Fund to hold the Medicare surplus, to provide for suspension of investment of amounts held in such Accounts until enactment of legislation providing for investment of the Trust Funds in investment vehicles other than obligations of the United States, and to establish a Social Security and Medicare Part A Investment Commission to make recommendations for alternative forms of investment of the Social Security and Medicare surpluses.To amend titles II and XVIII of the Social Security Act to establish a Social Security Surplus Protection Account in the Federal Old-Age and Survivors Insurance Trust Fund to hold the Social Security surplus and a Medicare Surplus Protection Account in the Federal Hospital Insurance Trust Fund to hold the Medicare surplus, to provide for suspension of investment of amounts held in such Accounts until enactment of legislation providing for investment of the Trust Funds in investment vehicles other than obligations of the United States, and to establish a Social Security and Medicare Part A Investment Commission to make recommendations for alternative forms of investment of the Social Security and Medicare surpluses.

Start holding our government accountable!

Comments

Sponsors and Cosponsors of HR 1221

Tim Walberg

Michigan(Republican)

Latest Bills

Strengthening America’s Turning Point Act

Bill HR 1550March 26, 2025

MATCH IT Act of 2025

Bill HR 2002March 26, 2025

To amend the Workforce Innovation and Opportunity Act to define the term evidence-based.

Bill HR 2058March 26, 2025