National
THE BATTALION Page
FRIDAY, NOVEMBER 13, 1981
Reagan refuses comment so far
Some say Stockman in hot water
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United Press International
WASHINGTON — Budget di
rector David Stockman Thursday
won a vote of continued confi
dence from Republican congres-
' sional leaders, but President
Reagan called him to the White
House for a meeting about his re
ported lack of faith in administra
tion policy.
GOP leaders emerged from a
morning session with Reagan
praising Stockman and insisting
that he remains an effective
I; spokesman for the administration,
despite critical comments about
[' its economic program.
But at least two Republican
senators have suggested that
; Stockman may no longer belong in
the administration because of con
troversial remarks attributed to
him in the December issue of the
Atlantic Monthly.
In the article, “The Education
of David Stockman,” based on in
terviews over a period of months,
the budget director describes
Reagan’s fiscal policies as poorly
planned and hastily enacted.
Stockman — architect of the tax
and budget cuts Reagan regards as
crucial to economic recovery —
described the president’s tax cut
in the article as a “Trojan Horse”
to enact policies favoring the
affluent.
The “supply-side” economics
embraced by the administration is
simply a new name for the “trick
le-down” philosophy of stimulat
ing the economy by giving tax
breaks to upper-income groups,
he said.
At the dedication of a new ABC
News bureau the president was
asked what he planned to do about
Stockman and replied, “When I
leave here today, I’m going to
have a meeting with him.” Press
ed further, Reagan declared, “Tm
not going to say anything more.”
Deputy press secretary Larry
Speakes said the question of
Reagan’s confidence in his budget
director “just hasn’t come up.
There’s just no need to answer the
question.”
Stockman has remained silent.
But as he was leaving his home for
the office Thursday morning, he
was asked by reporters whether
he had offered his resignation.
“No,” he replied tersely without
stopping.
Asked whether he had discus
sed the furor with Reagan, he said
only, “Yes.”
Reagan was expected to assess
the possible damage to his prog
ram from Stockman’s comments
during a previously scheduled
strategy meeting Thursday with
Republican congressional leaders.
Stockman issued a statement
saying he believed he was speak
ing “off the record” when he gave
the interviews. He charged that
the article “creates an impression
that is wrong and grossly mislead
ing,” and reaffirmed his support of
Reagan’s plan.
A pre-publication copy of the
article by William Greider, an
assistant managing editor of The
Washington Post, caught the
White House by surprise,
Speakes said.
He said the White House was
not aware that Stockman had been
giving interviews to Greider since
before he became head of the
Office of Management and
Budget.
Asked if Stockman could con
tinue to be an effective spokesman
for administration’s policies,
Speakes replied, “I would think
so.”
But he refused further com
ment on the substance of the
article.
According to the article. Stock-
man agreed to meet with Greider
on a regular basis shortly before he
became OMB director.
Under their agreement, Greid
er wrote, Stockman would “relate,
off the record, his private account
of the great political struggle
ahead. The particulars of these
conversations were not to be re
ported until later, after the sea
son’s battles were over.”
Reached by telephone Wednes
day, Greider said he and Stock-
man discussed the timing of the
article in late July, in August and
again at their last talk in Septem
ber when “he agreed now is the
time to write the article.”
Greider said he let Stockman
know the piece was being pre
pared.
“All I want to say is that I hon
ored the ground rules and I take
my ethics as a reporter seriously,”
Greider said. “I haven’t violated
any ethical considerations. My
reputation will have to stand up on
that. ”
Stockman, according to OMB
spokesman Edwin Dale, “feels
angry” at Greider.
Schweiker screams:
return health money!
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United Press International
WASHINGTON — Health and
Human Services Secretary
Richard Schweiker says his de
partment’s budget has been
slashed so much that the govern
ment may lose the services of 200
doctors it put through medical
school.
The HHS secretary made his
grim prognosis in a letter to
budget director David Stockman
that was made public Wednesday.
In the letter, Schweiker out
lined his 1983 budget requests
and cuts in benefit programs, and
urged partial restoration of 1982
cutbacks throughout the Public
Health Service.
Among Schweiker’s requests
are $9 million in salaries for 200
National Health Service Corps
doctors who attended medical
school on government scholar
ships in this fiscal year. Last year’s
scholarships approached $63 mil
lion.
Schweiker said unless the
money is found, the doctors will
be released from their obligation
to work in the corps in areas that
are short of doctors. The areas
range from city ghettos to sparsely
populated rural areas.
“We should not permit the gov
ernment’s prior investment in
these individuals to be lost,”
Schweiker said.
Under the program, doctors are
required to work a year for the
government for each year they re
ceived a federal scholarship. They
can work for federal, state or local
clinics in a doctor-short area.
Schweiker, asking for $219 mil
lion in additional Public Health
Service funds for the current fiscal
year, also warned that President
Reagan’s recently ordered 12 per
cent across-the-board cut will hit
the Food and Drug Administra
tion particularly hard.
Unless $32 million of the $40
million to be cut from the FDA is
restored, 929 employees will be
fired, leaving the FDA barely able
to do its job, he warned.
“This would severely restrict
their ability to ensure safety in
food and drugs,” Schweiker
wrote. His supplemental request
would save 675 agency jobs.
Schweiker’s 1983 budget asks
for return of funds cut from al
cohol and drug programs and the
National Institutes of Health,
“because we believe permanent
reductions of this magnitude in
these areas would be detrimental
to the health and safety of the
American public.”
the secretary also asked an
additional $68 million for Head
Start to prevent gradual deteriora
tion of the pre-school program.
The extra money would come out
of other social programs, most of
which would not be increased next
year, he said.
Schweiker also seeks $28 mil
lion in 1982 to process Cuban and
Haitian refugees, saying the prog
ram will run out in late January.
Schweiker wants to cut depart
ment employment 3,785 in the
current fiscal year and 5,073 in
fiscal 1983, for a total 1983 staff of
144,039.
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