(Bloomberg News) A U.S. government entitlement program is headed for insolvency in four years, and it's not the one members of Congress are talking about most.
The Social Security disability program's trust fund is projected to run out of cash far sooner than the better-known Social Security retirement plan or Medicare. That will trigger a 21 percent cut in benefits to 11 million Americans -- disabled people, their spouses and children -- many of whom rely on the program to stay out of poverty.
"It's really striking how rapidly this is growing, how big it's become and how D.C. is just afraid of it," said Mark Duggan, a University of Pennsylvania economist and adviser to the Social Security Administration.
Part of the reason for the burgeoning costs is that the 77 million baby boomers projected to swamp federal retirement plans will reach the disability program first. That's because almost all boomers are at least 50 years old, the age at which someone is most likely to become disabled.
The growing costs are also a result of the economy, because when people can't find work and run through their jobless benefits, many turn to disability for assistance.
"They're desperate," said Ken Nibali, a retired associate commissioner of the program. "Some who are marginal and struggling to have a low-paying job now literally have no options." So, he said, "they figure, 'I do have trouble working and I'm going to apply and see if I'm eligible.'"
Senator Tom Coburn, an Oklahoma Republican, said he has tried to interest fellow lawmakers in the issue, so far without much luck.
'Going Bankrupt'
"Nobody wants to touch things where they can be criticized," Coburn said, adding, "the fund is going bankrupt" and "then what are we going to do?"
Applications to the disability program have risen more than 30 percent since 2007 -- the last recession started in December of that year -- and the number of Americans receiving disability benefits is up 23 percent.