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This spring's budget battle concerns Jewish activists
worried about communal interests.
More importantly, the projections
JAMES D. BESSER
of
a
budget surplus, possibly before
Washington Correspondent
the end of the calendar year, are all
based on the optimistic notion that
resident Clinton is getting
the economy will continue its robust
set to unveil his budget for
growth, despite economic turmoil in
the fiscal year that begins on
the rest of the world that's spreading
Oct. 1, and as usual, the
like
an insidious new virus.
Republican-led Congress will digest
American
financial institutions will
his numbers and spit out something
inevitably
be
affected by the plunges
significantly different, with a lot of
in
Korea,
Hong
Kong, Thailand,
old-fashioned horse trading along the
Japan and Indonesia, but nobody
way.
knows how much. The impact may be
But this year's budget battles will be
modest or it may be an economic shot
anything but routine because of one
in the solar plexus, but one thing is
mind-bending fact: For the first time
for certain: it would be naive to .
in decades, there is at least the possi-
believe we are somehow
bility of a balanced bud-
insulated.
11
get. By next year the bud-
So what looks now
get could produce a small
like a possible budget
surplus without the kinds
surplus could quickly
of wholesale program cuts
§
turn
into a burgeoning
that began in 1995, after
deficit.
That problem,
the Republicans wrested
Jewish
activists
generally
control of Capitol Hill
agree,
would
almost
cer-
from the Democrats.
tainly
be
multiplied
by
But if anybody expects
aggressive
new
tax
cuts.
that the feds will be
Although no group has
rolling in dough come
taken official positions
October, they should
on
the issue, some lead-
think again.
ing
Jewish activists are
A variety of factors,
privately
warning
including plummeting
against
cuts
based on
economies in Asia, roller-
projections
of
a continu-
coaster financial markets
ing
boom.
York
Stock
Exchange
studies
the
listings.
here and Republican
A trader on the New
But resisting big cuts
demands for big tax cuts
will
be extraordinarily
could turn the annual bud-
difficult
with
congressional
elections
"That's going to be a big priority
get fight into the political equivalent
in
the
offing.
for
Jewish
groups,"
said
Richard
of a riot.
The stakes for Jewish groups in
Foltin, political director for the Amer-
What's in it for the Jews? Funding
this
debate are enormous because of
ican
Jewish
Committee.
"But
there
for a host of programs serving the
the
continuing
reliance of Jewish
will
definitely
be
resistance
on
Capitol
poor, the sick and the elderly, and the
social and health service providers on
Hill."
financial well-being of Jewish philan-
government money to supplement
That, in fact, is the problem. While
thropies that increasingly work in
money raised by Jewish philan-
partnership with federal and state gov- Clinton wants to spend at least some
thropies.
of the added revenues that may put a
ernments, that's what.
'A few years ago, we hoped we
balanced
budget
within
reach,
Repub-
And in case anybody is still inter-
could
become less dependent on gov-
licans
want
to
use
it
to
provide
more
ested, foreign aid for Israel also could
ernment
entitlements," said an official
tax
cuts,
which
they
say
will
stimulate
face severe new problems if this
with
a
major
Jewish group here. "But
the
economy,
or
to
pay
down
the
spring's budget wars turn ugly.
with our elderly population expanding
national debt.
President Clinton's budget proposal
and with continuing strains on Jewish
Each battle to restore or expand
won't be finalized until early February,
giving, that's simply not happening. In
benefits will be the political equivalent
but there are tantalizing hints of what
of trench warfare — long and unpleas- today's world, we can't go it alone
it may contain.
without partnership with government
ant, with lots of potential for nasty
The president, with the deficit
programs." [11
surprises.
monster held at bay at least for now,
P
will propose modest expansions of
social, health and educational services
and try to restore some of the pro-
grams downsized by congressional
budget cutters — cuts that Clinton
signed, it should be noted.
In a series of public events last
week, Clinton outlined plans to
expand access to Medicare and child
care, both priority items for many
Jewish leaders.
There are strong indications the
White House will press for a restora-
tion of food stamps for legal immi-
grants, although the details have not
been announced.
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