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Senate Cuts Medicare but Not Own Pay

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Associated Press

The Republican-controlled Senate, after voting overwhelmingly today to slash $17.5 billion from Medicare and Medicaid over the next three years, declined on a tie vote to take a $7,510-a-year pay cut to help trim the federal deficit.

“I think we ought to think about this over the weekend,” Sen. Jesse Helms (R-N.C.) said after his bid to cut congressional pay by 10% fell short. “Here we are asking everybody to accept cuts . . . and we come to the question of our own compensation, and we come up with a 49-49 tie.”

Helms’ move was supported by 16 Democrats and 33 Republicans, while 30 Democrats and 19 Republicans opposed it. California Sens. Pete Wilson and Alan Cranston both voted for the cut.

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Denounced by Rockefeller

The move to cut congressional pay to $67,590 from $75,100 was a surprise, and was denounced afterward by Sen. John D. (Jay) Rockefeller IV (D-W.Va.) as “frivolous.” Rockefeller, a multimillionaire, voted to sustain the current salary.

The vote to preserve congressional salaries over, the Senate ended its budget debate for the week in time to allow several senators to catch early afternoon flights to Louisville, Ky., site of the weekend running of the Kentucky Derby.

Many Democrats supported the motion to cut Medicare and Medicaid because the proposal called for less of a cut than an original Republican budget, backed by President Reagan. They also said they would seek to restore additional funding next week.

Medicare Frozen Year

By a vote of 93 to 6, the Senate accepted a recommendation that would freeze Medicare payments to most hospitals and doctors for one year, and gradually increase premiums for beneficiaries over the next five years. Under Medicaid, which provides health care for the poor, states would be expected to make up for a reduced federal contribution.

In addition, the Senate rejected a move by Sen. Phil Gramm (R-Tex.) to abolish the Legal Services Corp. and use the money to beef up soil conservation programs. The vote was 71 to 27.

The rapid-fire series of votes on domestic programs came as Reagan criticized the Senate’s decision on Thursday to trim the Administration’s military buildup by $17.7 billion over three years.

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Cuts ‘Irresponsible’

“It’s an irresponsible act,” said the President, talking to reporters in West Germany, where he is attending an economic summit meeting. “We’ve already made reductions we could make in military spending without reducing our ability to maintain the security we must have.”

The Medicare and Medicaid vote marked the apparent beginning of a new phase in efforts by Senate Majority Leader Bob Dole of Kansas to protect the three-year package of budget cuts that was shredded earlier in the week with the defense vote and a successful move to cancel proposed curtailment in Social Security cost-of-living increases.

The initial GOP budget called for $20.1 billion in domestic cuts, but in private negotiations with dissident Republicans, Dole and Administration budget director David A. Stockman agreed to restore $2.6 billion.

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