Decembers, 1995
Nation
The Battalion
Clinton presents balanced-budget plan
□ The president's offer
affects Social Security
but not education or
environment spending.
WASHINGTON (AP) — Un
der Republican pressure, Presi
dent Clinton reluctantly present
ed a seven-year balanced-budget
plan Thursday that would
shrink Social Security raises and
offer Republicans less than they
want in tax cuts or savings from
Medicare and Medicaid.
Clinton’s revised offer would
save $141 billion more than the
budget he unveiled in June, with
most of the new reductions in wel
fare, housing and transportation.
Republicans quickly criticized
Clinton’s plan, saying it was
based on overly optimistic eco
nomic assumptions and would
not balance the budget. “If they
want to keep bringing things to
the table that don’t have much
meaning, that’s OK, we’ll just
keep going to the table,” said
House Budget Committee Chair
man John Kasich, R-Ohio.
It was Clinton’s third budget
this year and marked another
round of White House conces
sions in an increasingly bitter
fight with the Republican Con
gress. The administration called
Toforestry student met at bonfire who should teach.
INTRODUCTION BY CANDLELIGHT
Individual features, through thousands, shown in the
flickering of light.
Words spoken in the energy of the night producing a
kind act, drew her closer.
Standing there, as the light danced and darted about
her, my eyes failed.
Revealing only parts, pieces, and glimpses of her beauty
that the shadows of the night veiled.
She played with children, revealing ever so more
about herself.
Her eyes and hair, I noticed as both were exposed
from the darkness, by the light
Actions revealed qualities; kindness, compassion,
vitality, and class.
Yet abruptly, with a kind word, she left, leaving me no
opportunity.
I sit here, writing this, pondering the question I
should’ve asked that night,
Dinner? 776-8147!
Jared, Southern Gentleman
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ON THIS FEATURE
it a starting p 0 i n t to break an
impasse in buti^t negotiations.
“There dany\j e tt er b e SO me
movement on the part of the Re
publican congressional negotia
tors now,” said Presidential
spokesman Mike McC urr y, “if
there’s not, this willi^ a ver y
short negotiation, I suspeet.”
White House chief of gt a ff
Leon Panetta presented din-
ton’s latest offer to GOP budget
negotiators on Capitol Hi\\
“There is not a lot of negotiating
room here,” Panetta said. |
The president coupled his plan
with a request for a temporary
spending bill to keep the govern
ment running until Jan. 26. The
existing spending measure ex
pires Dec. 15, threatening anoth
er federal shutdown if no budget
deal is concluded by then.
Nearly half of the administra
tion’s savings — $64 billion —
would come from programs that
Clinton does not consider top
priorities, such as transporta
tion, housing and interior. The
administration did not spell out
the impact of those cuts,
amounting to a 20 percent re
duction over seven years in
many programs after taking in
flation into account.
Clinton said he would squeeze
$46 billion from welfare spend
ing, $8 billion more than he pro
posed in June. There would be
no further cuts in education and
environment spending, which
Clinton considers crucial.
Another large chunk of the
savings, $32 billion, would come
from reducing the Consumer
Price Index by 0.2 percent on
grounds it overstates inflation.
The adjustment would mean
lower cost-of-
living in
creases in
benefit pro
grams such as
Social Securi
ty. If it were
in effect in
1996, the
change would
mean about
$1 a month
'-'intoti less for each
SlaSL recipient.
Republicans have proposed a
similar adjustment, lessening
the political hazard for Clinton,
p. . e s Plan to r take cover in
b -y ^ le bureau of Labor
Statistics that the change is eco
nomically warranted.
The revision also v/ould mean
increased taxes for many Ameri
cans — they would wind up in
higher tax brackets since more
income would be taxable.
Clinton offered his plan one
day after vetoing the Republi
cans balanced-budget plan, com
plaining it was too extreme.
In his latest plan, Clinton did
not take any more money from
Medicare or Medicaid, which the
Republicans have targeted for
$433 billion in savings. Clinton’s
plan would keep the spending
reductions on those programs at
$98.billion for Medicare and $54
billion for Medicaid.
The Republican plan vetoed
by Clinton contained $245 bil
lion in tax cuts. The president
argued it was targeted for the
wealthy at the expense of the
middle class. His own version —
the same as it was in June —
amounts to $98 billion.
A major point of contention
between Clinton and the Repub
licans concerns how to estimate
future economic growth, unem
ployment and health-care costs.
The White House wants to use
forecasts by the Office of Man
agement and Budget, which are
far rosier than the GOP-pre-
ferred calculations by the Con
gressional Budget Office.
While the difference sounds
arcane, it can mean the differ
ence of tens of billions of dollars.
Republicans said Clinton’s
plan would fall short of a bal
anced budget. The White House
said it would negotiate an “en
forcement mechanism” — stand
by spending cuts or revenue in
creases — in case the plan does
not succeed.
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