                           MEMORANDUM


FROM: James Gashel, Director of Governmental Affairs, National
Federation of the Blind

DATE: January 29, 1998

RE: current legislative priorities

     The information presented below describes the Legislative
priorities of the National Federation of the Blind at the
beginning of the second session of the 105th Congress.  These are
the matters of greatest concern.  While other issues arise from
time to time which require our attention, we expect to remain
actively involved in dealing with the matters presented here
until a resolution is achieved or the Congress adjourns,
whichever comes first.  

For more information contact: 
James Gashel 
Director of Governmental Affairs 


                       LEGISLATIVE AGENDA 

                              1998 

FROM:  Members of the National Federation of the Blind 

  TO:  Members of the 105th Congress 

  RE:  Legislative Priorities of Blind Americans 

     Public policies and laws affecting blind people have a
profound impact throughout our entire society.  Most people know
someone who is blind.  It may be a friend, a family member, or a
co-worker on the job.  In fact, as many as fifty thousand
Americans become blind each year, and the blind population in the
U.S. is estimated to exceed 700,000.  By themselves, these
numbers may not seem large, but the social and economic
consequences of blindness directly touch the lives of millions
and, at least indirectly, have some impact on everyone.  

     Public policies and laws that result from misconceptions or
lack of information about blindness are often more limiting than
the loss of eyesight itself.  This is why we have formed the
National Federation of the Blind.  The Federation's leaders and
the vast majority of the members are blind, but anyone is welcome
to join in the effort we are making to win understanding and
equality in society.

     Our priorities for the second session of the 105th Congress
reflect an urgent need for action in two specific areas of vital
importance to the blind this year. 

     (1)  Congress should restore work incentive equity by re-
enacting the identical earnings exemption threshold for blind and
senior citizen beneficiaries under title II of the Social
Security Act.  This proposal seeks to reduce (or eliminate
altogether) the work disincentive of the Social Security earnings
limit as it now affects blind beneficiaries.  In spite of a 1977
law to maintain the same earnings exemption threshold for blind
people and age-65 retirees, a decision was made to exclude the
blind when the threshold was raised for seniors in 1996.  This
means that a lower blind persons' earnings limit of $12,600 is
now in effect as compared to $14,500 for seniors.  By 2002, when
the seniors' exemption becomes $30,000, the blind persons'
lower limit will be less than half that amount unless the law is
changed.

     People of working age who are blind must not be forgotten
now that the earnings exemption for retirees has been raised. 
Just as with hundreds of thousands of seniors, the positive
response of blind people to higher earnings exemptions will bring
additional revenues into the Social Security trust funds.  The
chance to work, earn, and pay taxes is a constructive and valid
goal for senior citizens and blind Americans alike.  For more
details and an explanation of the need for this legislation, see
the fact sheet entitled "Winning the chance to earn and pay
taxes: How the Blind person's earnings limit in the Social
Security act must be changed."

     (2) Congress should expedite consideration and final passage
of pending legislation to reauthorize the vocational
rehabilitation program.  Last reauthorized in 1992, this program
is currently operating under an automatic one-year renewal
provision, effective through September 30, 1998.  Meanwhile, a
three-year extension bill has been passed by the House of
Representatives, and a seven-year extension measure is now under
active review in the Senate.  Legislation to combine vocational
rehabilitation with several other adult education, training, and
employment services was considered but rejected during the 104th
Congress.  As a result, the issue of consolidation appears to be
settled, although the legislation to continue the program still
awaits final action.  

     This program, which provides grants to states for assisting
persons with disabilities, has been conducted with leadership and
significant funding from the federal government for 78 years. 
For the person who is blind, the difficulty in finding suitable
employment is only one of many consequences.  The most profound
initial problem, in fact, is the need for specific help to deal
with adjustment to blindness.  Failure to provide services which
respond to the blind person's fears, lack of confidence, and lack
of relevant skills will almost certainly result in lifelong
dependence.  There is no program other than vocational
rehabilitation which has the responsibility of helping to meet
these needs.  For more details and an explanation of the need for
reauthorization see the fact sheet entitled "Reauthorizing
vocational rehabilitation and related programs: a call for
action"

     People who are blind are asking for your help to enact the
legislation described in the priority items of this agenda.  By
acting on these priorities in partnership with the National
Federation of the Blind, each member of Congress can help build
better lives for the blind both today and in the years ahead.

For further information contact:
James Gashel
Director of Governmental Affairs
NATIONAL FEDERATION OF THE BLIND
1800 Johnson Street
Baltimore, Maryland  21230
(410) 659-9314

                           FACT SHEET

            WINNING THE CHANCE TO EARN AND PAY TAXES:

          HOW THE BLIND PERSON'S EARNINGS LIMIT IN THE 
               SOCIAL SECURITY ACT MUST BE CHANGED

PENDING BILLS:   H.R. 612 ; S. 375

PURPOSE:   To restore the linkage between the earnings exemption
threshold for blind persons and the exemption allowed for
retirees at age 65 under title II of the Social Security Act 

BACKGROUND:  As the result of a 1996 law to raise the debt limit,
senior citizens age 65 to 70 are encouraged to continue working
while retaining entitlement to Social Security benefits.  This is
being done by annual changes in the exempt earnings threshold,
which is $14,500 in 1998 and will increase to $30,000 by the year
2002.  In making the case for this change, advocates in Congress
explained that senior citizens in greater numbers would now have
the opportunity to work, earn, and pay taxes.

     In spite of a law passed in 1977 to establish the earnings
exemption threshold for blind people at the identical exempt
amount used for seniors, a decision was made to exclude the blind
from the higher exemptions.  This means that a lower earnings
limit for the blind is now in effect.  This lower limit for 1998
is $12,600.  By 2002, when the exemption for seniors becomes
$30,000, the lower limit for the blind is expected to be $14,400.


     Earnings of this amount for a blind person who is age 64
will cause the complete loss of Social Security benefits until
the individual becomes a retiree at age 65.  At that point the
same individual is allowed to earn more than twice the amount
allowed for the blind.  This is the inequity that now exists.  

EXISTING LAW:  Section 216(i) of the Social Security Act defines
"blindness" in precise medical terms.  Therefore, blindness--as
with age--can be determined with reasonable certainty.  In this
respect, blindness is unlike any other disability subject to
evaluation under the Social Security Act.  All other disabilities
are determined on the basis of an individual's "inability to
engage in substantial gainful activity," which is a complex and
fairly subjective determination in many cases.  

     Although blindness is precisely defined, monthly benefits
are not paid to all persons who are blind but only to those whose
earnings (if any) are below the annually adjusted limit. 
Personal wealth not resulting from current work activity does not
count as earnings and has no effect on eligibility.  Only work is
penalized.  It was the recognition of this fact that led to the
greater exemption of earnings now allowed for seniors, and the
situation for blind people is precisely the same.  

ACTION REQUESTED:  Congress should restore work incentive equity
by reenacting the identical earnings exemption threshold for
blind and senior citizen beneficiaries under title II of the
Social Security Act.  Legislation to achieve this objective has
been offered in bills submitted in both the House and the Senate. 
The House bill is H.R. 612, sponsored by Representative Barbara
Kennelly.  The companion bill in the Senate is S. 375, sponsored
by Senators McCain and Dodd.  Although neither bill was
considered beyond introduction in the last session of Congress,
an impressive list of cosponsors indicates that substantial,
bipartisan support exists in both the House and the Senate.  

     The National Federation of the Blind strongly supports this
legislation.  By creating a lower earnings limit for the blind,
the action in the 104th Congress has resulted in a harsh work
disincentive policy which is widely regarded as an inequity
created in the rush to pass the 1996 debt ceiling bill.  

NEED TO REMOVE WORK DISINCENTIVES:  Mandating the adjustments in
the earnings limit for blind people in the manner now allowed for
age 65 retirees will provide more than 100,000 blind
beneficiaries with a powerful work incentive.  Most blind people
could then not lose financially by working.  Moreover, the
mandated earnings limit changes would be cost-beneficial, since
among those of working age most blind people are already
beneficiaries.  At present their earnings must not exceed a
strict limit of $1,050 per month.  When earnings exceed this
exempt amount, the entire sum paid to a primary beneficiary and
dependents is abruptly withdrawn after a trial work period.

     When a blind person finds work, there is absolutely no
assurance that earnings will replace the amount of lost
disability benefits after taxes and work expenses are paid. 
Usually they do not.  Therefore, few beneficiaries can actually
afford to attempt substantial work.  Those who do will often
sacrifice income and will certainly sacrifice the security they
have from the automatic receipt of a monthly check.  

     This group of beneficiaries--people of working age who are
blind--must not be forgotten now that the earnings exemption has
been raised for seniors.  Just as with hundreds of thousands of
seniors, the positive response of blind people to the higher
earnings exemptions will bring additional revenues into the
Social Security trust funds.  The chance to work, earn, and pay
taxes is a constructive and valid goal for senior citizens and
blind Americans alike.  


For further information contact
James Gashel
Director of Governmental Affairs
NATIONAL FEDERATION OF THE BLIND
1800 Johnson Street
Baltimore, Maryland  21230
(410) 659-9314

                           FACT SHEET

             REAUTHORIZING VOCATIONAL REHABILITATION
                      AND RELATED PROGRAMS:

                         A CALL FOR ACTION

BACKGROUND:  Under title I of the Rehabilitation Act of 1973,
states receive federal funds to provide comprehensive vocational
rehabilitation services to eligible persons with disabilities,
including persons who are blind.  The program pays part or all of
the cost for individually planned services leading to employment. 
The amount appropriated for fiscal year 1998 is approximately
$2.25 billion.

ACTION REQUESTED:  Congress should expedite consideration and
final passage of pending legislation to reauthorize the
vocational rehabilitation program.  Last reauthorized in 1992,
the vocational rehabilitation program is currently operating
under an automatic one-year renewal provision, effective through
September 30, 1998.  Meanwhile, a bill to extend the program for
three years has been passed by the House of Representatives.  A
Senate bill on reauthorization, proposing a seven-year extension
is also under consideration after extensive negotiations to
develop the bill last fall.  This program has been conducted
under shared federal and state responsibilities for 78 years.  

     Legislation to combine vocational rehabilitation with
several adult education, training, and employment service
programs was considered but rejected during the 104th Congress. 
As a result, provisions passed by the House as part of the latest
consolidation bill call for maintaining vocational rehabilitation
as a completely distinct service, which is also proposed in the
Senate bill.  Therefore, the separate status of vocational
rehabilitation has been settled, although the legislation to
continue the program still awaits final action.  

REAUTHORIZATION APPROACH:  At a technical level, the pending
bills call for extensive revisions in title I of the
Rehabilitation Act.  However, the overall direction, structure,
and funding arrangements now in effect would be maintained under
either the Senate or the House bill.  In general, it is also fair
to say that both bills contain several new provisions which are
designed to lead to a more consumer-responsive approach to
service delivery.

     As one example of this, both bills include independent
preparation of training and employment programs as the right of
each consumer.  Under existing law these programs must be
prepared by rehabilitation counselors.  The programs must include
the plans for service, specification of training required, and
identification of the resources necessary to achieve the
individual's chosen goal.  Also, both bills contain expanded
sections on consumer choice, building on language first included
in amendments made during the last reauthorization of
rehabilitation programs in 1992.

     In fact, the provisions now being considered for final
passage should result in moving the vocational rehabilitation
program toward a more consumer-focused orientation.  Under the
Senate bill, for instance, any blind or disabled person who has
already met the qualifying standards to receive cash assistance
from the Social Security Disability Insurance or Supplemental
Security Income programs would automatically be found eligible
for training and employment services from vocational
rehabilitation.  If this provision is accepted by the House and
included in the final bill, blind people in particular will
witness the removal of bureaucratic barriers to eligibility
decisions and prompt service.  

     For the person who is blind, the difficulty in finding
suitable employment is only one of many consequences.  The most
profound initial problem, in fact, is the need for specific help
to deal with adjustment to blindness.  Failure to provide
services which respond to the blind person's fears, lack of
confidence, and lack of relevant skills will almost certainly
result in lifelong dependence.  

     There is no program other than vocational rehabilitation
which has the responsibility of helping to meet these needs.  
This conclusion represents the shared experience of blind persons
and speaks to the need for maintaining a system of specialized,
blindness-related services with federal support and leadership. 
Therefore, the pending measures to reauthorize the vocational
rehabilitation program must move forward to final consideration
and passage before the present session of Congress adjourns. 

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