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Democrats Seek to Double Defense Cuts in Bush Plan

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TIMES STAFF WRITER

Spurning President Bush’s budget priorities, House Democrats on Thursday unveiled an election-year spending blueprint that would nearly double Bush’s planned cuts in defense outlays to pump billions of additional dollars into popular domestic programs.

The Democratic plan calls for a $15-billion reduction in Pentagon funds during the fiscal year beginning Oct. 1 and cumulative cuts of $91 billion over five years to be channeled into deficit reduction and higher outlays for education, transportation and health care.

The proposal was put forward by Rep. Leon E. Panetta (D-Carmel Valley), chairman of the House Budget Committee, and the committee approved it late Thursday. The measure had been placed on a fast track so that the full House can vote on it next week.

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Panetta described Bush’s budget as a “status quo” document and said, “There’s a bolder plan . . . . Let’s go for it.”

In a nod to the anti-Washington feelings being expressed by many voters this year, the Democratic plan also calls for a 5% cut in funds allocated for Congress, the White House and Cabinet agencies.

Since it ignores Bush’s warning that he would veto any legislation that goes beyond his recommendation for a five-year, $50-billion reduction in Pentagon spending, the measure is sure to trigger another partisan battle between congressional Democrats and the White House.

A key Republican, Rep. Bill Gradison of Ohio, said the Democratic call for converting defense savings into home-front expenditures is “pie-in-the-sky talk” that would be blocked by White House veto power.

But Panetta said Bush should have seized the opportunity to make much deeper cuts, arguing that the demise of the Soviet Union means there is no longer any need for a Cold War military budget. “The real threat today comes not from outside the nation but within,” Panetta said at a news conference.

The Democratic budget blueprint would hold defense spending to $273.4 billion next year, a reduction of $15 billion from this year’s Pentagon budget and $7.6 billion less than Bush is seeking. It also would earmark at least $1 billion for helping defense industry workers affected by Pentagon spending cutbacks to find new jobs.

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To use any of those savings for domestic programs, however, Congress would have to change the 1990 Budget Enforcement Act, despite Bush’s opposition and veto threats. Because the intended switch may be blocked, therefore, the Democrats also put forward a backup budget proposing lower outlays for most domestic programs and allocating the entire $15 billion as the budget act provides.

As expected, the Democratic plan rejects Bush’s proposal to spend less on Medicare, child nutrition and veterans’ programs.

The Democratic plan contains a deficit of about $332 billion, well below the $352 billion projected in the President’s plan for the next fiscal year.

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