President Bush Prepares To Do Budget Bill Battle With Congress
Thursday, August 02, 2007PAUL KANGAS: President Bush today criticized Democrats for preparing to leave town for their summer break without finishing work on important spending bills. Democrats fired back saying that the Republican record on the budget leaves much to be desired. As Darren Gersh reports, it's all part of the early positioning for a looming veto showdown.
DARREN GERSH, NIGHTLY BUSINESS REPORT CORRESPONDENT: In a $2.8 trillion budget, the difference in spending proposed by the White House and Democrats comes down to $22 billion for next year. That may not sound like much, but over five years, the president says that ramps up to $205 billion.
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: That's a lot of money, even for career politicians in Washington.
GERSH: Critics point out the administration may have a hard time sustaining spending vetoes given its own record. Over the last six years, total Federal spending rose 23 percent after inflation. Even after subtracting spending on defense and homeland security, spending still rose 21 percent under Republicans. It is the fastest rate of increase in 50 years and twice the level under the Clinton administration. Democrats like Kent Conrad say the president's record is even worse when measured in red ink.
SEN. KENT CONRAD, CHAIRMAN, BUDGET COMMITTEE: It took 42 presidents 224 years to run up a trillion dollars of U.S. debt held by foreigners. This president has more than doubled that amount is just six years.
GERSH: But Democrats do want to increase spending, citing pressing needs on everything from support for veterans to food safety. Still, budget analyst Stanley Collender gives Democrats credit for putting in place new budget rules and for the most part, sticking to them.
STAN COLLENDER, MANAGING DIRECTOR, QORVIS COMMUNICATIONS: This was a no-win situation. They decided, it looks like the Democrats have come down, let's increase the spending, let's try to pay for it, and let's let Republicans criticize us, because it's going to happen anyway.
GERSH: The White House has threatened to veto a $50 billion expansion of state health insurance programs for children, calling the bill a step towards government-run health insurance. Both sides now seem to be welcoming a veto battle, setting up what budget watchdog Maya Macguineas believes will be an ugly showdown this fall.
MAYA MACGUINEAS, PRESIDENT, COMMITTEE FOR A RESPONSIBLE FEDERAL BUDGET: The White House is going to look like they are being perhaps somewhat hypocritical when they spent so much money and now they are not letting Democrats do that. But Democrats really do risk the label of tax and spend that they've been trying so hard to shed. At this point, we don't have any party that is clearly the fiscally responsible party.
GERSH: President Bush has issued the fewest vetoes of any president since Abraham Lincoln, a record he is almost sure to lose in the next year and a half. Darren Gersh, NIGHTLY BUSINESS REPORT, Washington.
