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Budget Negotiations Intensify as Deadline Looms

Strategic Insights

— 1 min read

President Clinton engaged in phone conversations with top Republican leaders House Speaker Newt Gingrich and Senate Majority Leader Bob Dole on Sunday, aiming to secure a budget agreement ahead of the looming deadline. The discussions, described as "serious" by House Majority Leader Richard Armey, suggest a potential breakthrough in negotiations, with Armey expressing optimism about reaching a budget deal within the next three days. However, House Minority Leader Richard Gephardt was less optimistic, stating that a quick agreement seemed unlikely and that another temporary budget might be necessary to keep the government running.

Key Takeaways:

  • President Clinton spoke to House Speaker Newt Gingrich and Senate Majority Leader Bob Dole via telephone on Sunday, discussing the importance of further talks in the next three days.
  • House Majority Leader Richard Armey expressed optimism about reaching a budget deal, stating that the president had assured him of his commitment to working with the GOP to reach a compromise.
  • Armey also mentioned that Clinton understands the updated Congressional Budget Office economic projections will narrow the differences between the GOP and the administration, allowing for a more centrist result.
  • House Minority Leader Richard Gephardt was less optimistic, stating that a quick agreement seemed unlikely and that another temporary budget might be needed to keep the government running.
  • Clinton's representatives and GOP budget committee chairmen Rep. John Kasich and Sen. Pete Domenici are scheduled to meet Monday for another session of budget negotiations.
  • Vice President Al Gore suggested that the president would likely veto a budget bill without the support of the majority of Democrats in both Houses of Congress.
  • Republicans do not have enough votes to override a Clinton veto, while Democrats can sustain a veto but not pass legislation without Democratic support.

Statistics:

  • More than a quarter million civilian government employees will be furloughed unless Congress passes a budget measure to keep the money coming on Friday.
  • Government operations receded to partial shutdown level on Nov. 14, following a day of negotiations between Clinton and GOP congressional leaders.
  • Funding for the Transportation Department, the Treasury Department, and its Internal Revenue Service, as well as the Agriculture Department, has already been approved.
  • Annual funding has also been approved for the Departments of the Treasury, Transportation, and Agriculture.

Sources:

  • White House press release
  • Lauren Sims, Gingrich spokeswoman
  • Richard Armey, CNN 'Late Edition'
  • Richard Gephardt, CNN 'Late Edition'
  • James Ballard, Gingrich's office
  • CBS 'Face the Nation'
  • NBC 'Meet the Press'

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