House passes, sends Bush $39B spending cuts
Narrowly passed bill will cut health care spending on programs for the poor and elderly.
February 1, 2006: 7:17 PM EST
WASHINGTON (Reuters) - Republicans in the House of Representatives narrowly won passage on Wednesday of a controversial bill to trim about $39 billion from domestic spending over five years, capping a year-long push to cut health care for the poor and elderly and other programs. By a partisan vote of 216-214, the House approved the bill, sending it to President George W. Bush for signing into law. The bill, approved in the Senate in December only after Vice President Dick Cheney cast a rare tie-breaking vote, was approved by the House late last year. But a small change made by the Senate forced another House vote.
The spending cuts are a high priority of conservative Republicans who want to continue cutting taxes amid huge budget deficits, which could top $400 billion this year.
"Today we can begin the process of controlling out-of-control government spending," said Rep. Jeb Hensarling of Texas, a conservative Republican.
Referring to $70 billion in proposed Republican tax cuts, Rep. Steny Hoyer, a Maryland Democrat, said, "You don't have to be much beyond sixth grade to know that's going to add to your deficits" when offset by only $39 billion in spending cuts. The Senate on Wednesday began debating a $70 billion tax-cut measure that would extend alternative minimum tax relief through 2006, ensuring that millions of middle-class families will not end up paying the tax that originally was intended for the very wealthy.
"These programs need our reform," said House Budget Committee Chairman Jim Nussle, an Iowa Republican, who said the spending cuts would force improvements.
http://money.cnn.com/2006/02/01/news/economy/domestic_spending_cuts.reut/index.htm?cnn=yes