Senate Approves A $1.6 Trillion Budget Plan

WASHINGTON (AllPolitics, June 13) -- The Senate signed off today on a $1.62 trillion spending plan for fiscal 1997 that has the mark of a true compromise: Liberal Democrats are mad about it, but so are conservative Republicans. The vote was 53-46.

The new budget -- a blueprint to guide specific, future spending measures -- is a Congressional road map to what legislators hope will be a balanced budget by the year 2002. It achieves that goal by slowing spending on Medicare, Medicaid and other programs.

A non-binding measure, this budget doesn't need President Bill Clinton's signature, and though it's gentler than earlier GOP budget plans, it still departs significantly from the Clinton Administration's own approach to the Washington tradition of deficit spending.

The compromise was approved by a narrow 216-211 vote in the House late Wednesday, with 16 GOP freshmen voting no because the plan would allow $4 billion in additional spending that the Senate wants, but the House does not.

"This (the razor-thin House vote) was an important message to the U.S. Senate...that spending really matters in this House," House Budget Committee chair John Kasich (R-Ohio) told the Associated Press.

Other features of the compromise include a $500 per child tax credit touted by the Republicans and some increases in defense spending.

Democrats still say the plan is harsher than it needs to be, solely to finance tax cuts.

"Extremism really isn't necessary to balance the budget," Rep. John Olver (D-Mass.) told AP.

Senate Approves A $1.6 Trillion Budget Plan

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