Quick Budget Agreement Unlikely (3/19/97)
Blue Dog Democrats Want To Fix The CPI (2/26/97)
Economic Assumptions Behind The Budget
Domenici: Budget Talks Still Possible
WASHINGTON (AllPolitics, March 17) -- Though last week he said budget talks were "finished," Senate Budget Committee chairman Pete Domenici (R-N.M.) says he is willing to continue negotiations with the White House.
Appearing on CNN's "Late Edition" with White House Budget Director Franklin Raines, Domenici's comments appeared to be a softening of the harsh view taken by congressional Republicans in recent weeks toward President Bill Clinton's budget.
"I'm hearing some things today stated publicly by Director Raines that leads me to think maybe we ought to get back and see if we can't start working together," Domenici said.
Hopes for bipartisanship had been fading last week after Republican pessimism toward the president's budget, released in early February, turned hostile. Clinton's blueprint slows the growth of Medicare by $100 billion, but Republicans say unless more is saved from Medicare and other entitlement programs, $190 billion will have to be chopped from discretionary programs like education and environment.
"If he does not [add savings]," Domenici said, "maybe that effort [new talks] falls apart." None of the president's "wish list" would be included, Domenici added.
Raines said negotiations are possible. "We're happy to hear there are some alternatives to the president's budget being suggested," Raines said. "We're happy to sit down with the senator and others on [Capitol] Hill to try and bridge the difference."
Another point of contention is whether to consider adjusting the Consumer Price Index (CPI), which some economists say overstates the rate of inflation, adding billions of dollars in entitlement spending. Domenici said the president must take the lead on the politically charged issue, since "there's just no chance Congress is going to do it."
Republicans have suggested that a commission be formed to study the idea. Earlier on NBC's "Meet The Press," Raines said the administration is committed to an accurate CPI, but that appointing a commission would be "very polarizing."
While congressional Republicans' initial strategy was to work with the president's budget, it seems increasingly likely they will submit a budget of their own. "In fact, I will recommend one," Domenici said, "in the event we cannot get entitlements savings from the president."