Super Bowl Highlights Feature Terry Bradshaw Page 11 Cloudy, Windy Highs Near 40 □•tail* on pago 2 Budget Highlightsl iEupittufl Hrralb WASHINGTON (UPI) _ I Vol. XCVIII, No. 94 — Manchester, Conn., Monday, January 22, 1979 A Family NEWSpaper Since 1881 » 20(t Single Copy • 15« Home Delivered Highlights of President Carter’s I proposed $531.6 billion budget for I n, non-inflation increase in the I ^ overall budget that the nation I V —^ needs more firepower in Europe WASHINGTON (UPI) - like looking at the package of bacon [ and more new weapons to main- I P resid en t C arter today sent The Budget Dollar in the supermarket,” Roth said. tain equality with the Soviets. I C o n g re s s a $531.6 b illio n “You don’t see the fat until you open federal budget for 1980, calling Fiscal Year 1960 Estimate the package.” 2 I No immediate cuts for in- I it “lean and austere” to fight The budget is only a set of proposals. Congress will write the ‘5® P*3" I inflation and proposing defense eludes a proposed $2.5 billion I • r r o Where H comes from . Where it goes- definitive federal budget — first a proposal for real wage insurance, I increases, many domestic target version in May, then a final part of Carter's anti-inflation I cuts, and the lowest deficit in oth e r one in September. All legislation I package. Under it, groups of I six years, Bof rowing enacted for the fiscal year is sup­ employees whose pay raises are I The budget will help shape political 5* posed to fit within this budget, within the Carter anti-inflation I debate leading to the next presiden- although in practice that does not 2 guidelines generally would be I tial election: It covers the fiscal year Corporation always happen. I eligible for a tax credit if inflation I that starts next Oct. 1 and ends Sept, Income Carter based his entire budget on a series of relatively optimistic exceeds 7 percent.. I 30,1980, a month before election day. Taxes Social Security Carter kept a promise he made last economic assumptions — for exam­ I - 13« ple, that unemployment would linger Would specifically reduce a propose a deficit under $30 I at about 6.2 percent and inflation very few benefits, including I ^■8“'’® he came up with would fall from 9 percent during 1978 limiting the number of work years was $29 billion—half the amount just I to 6 percent by the end of 1980. that may be disregarded in com- I before he took office, puting benefits and do away with , he projected that if everything He is likely to get an argument on I that from some more pessimistic the death benefits that have gone I ? taxes are not cut, tp families of Social Security I hy 1982 the budget could have a $32 members of Congress, 'niis dispute O ther will have huge consequences for the recipients. No Social Security tax I ~ ^he government s budget. A 1 percent difference in the rollback now, but he said it may black ink in a decade, I Federal unemployment estimate translates be considered in 1981. Carter proposed a 3 percent “real” I Operations into a $16 billion difference in the . I increase in defense spending — that 12 , j I is, above what would be caused by in- « deficit because it means less money In addition to reducing some I nation - saying it was needed to in taxes and more in jobless compen­ Social Security benefits, the I bolster NATO and maintain the sation and welfare. budget would cut youth employ- I strategic nuclear balance, Some reductions by which Carter supply, agricultural price supports, ment, Programs for the poor in made if we are to overcome in­ arrived at his lowered deficit will de­ ment programs and set a stricter I In drafting the budget, he then had national forests, rail transportation, eligibility standard for welfare I to take into account automatic and general would increase slightly flation,” he said, adding that he had pend on Congress enacting legisla­ aid to school districts affected by faster than inflation. made “every effort to spread that tion, which may or may not happen. recipients. Millions of children I unavoidable increases such as federal installations, higher educa­ would have to pay more for school I benefit payments for retirement, dis- One thing Americans will not find burden fairly and objectively.” For example, he is counting on $9.8 tion, and military and civilian pay. in the budget is a general tax cut. "I have sought,” Carter said, “to billion in federal savings by 1982 lunches. Welfare payments to I ability and health care, which rise Federal civilian employment families with dependent children I because of inflation and because of Treasury Secretary Michael reconcile the need for extraordinary from legislation to contain hospital would be reduced by 35,700, and Blumenthal told reporters: “Until would go down $240 million. I in c re a se s in the num ber of restrictions on government spending costs. federal civilian pay would be held to we succeed in bringing inflation un­ E nergy I beneficiaries. with the need to maintain a strong He listed a $200 million saving in 5.5 percent. der control it would be very risky to defense, to implement a national , Would spend $9.6 billion a 4 per- .T® allow for these increases, and 1980 from legislation to limit federal I Carter said he budgeted entertain a general tax cut.” energy policy, to assist people in aid to school districts affected by the cent reduction from this year, I heep the deficit down. Carter “adequate’’ funds for the poor, “The spending restraint in this need and to continue important Solar energy is the only planned Proposed to hold spending below in­ presence of federal facilities. I listing $4.5 billion more in such budget means that in some areas the public.services and investments.” increase, climbing from $639 flationary levels for programs in­ Congress has killed every effort in I programs as food stamps, Medicaid, government will simply not be able Sen. William Roth, R-Del., took million to $804 million. eluding jobs, supplementary fiscal the past to cut such impact aid. I subsidized housing, education of dis­ to do as much as it has in the past," issue with the president’s Carter hopes to save $240 million in H ealth states and municipalities. I advantaged children and “ bloc Carter said. characterization of the budget: “To 1980 by reducing fraud, waste and Some big cuts, including $18 I P“»lic works, energy grants" for community develop­ “Inevitably, real sacrifices mut be describe Carter’s budget as lean is abuse in welfare programs. million less for researchers at the I -m v ^ •— National Institutes of Health. The I |m/l -a n # Health Resources Adminstration, I I W B 1 J | which assists states, localities I Sewer and universities in training nurses I ^ and other health professionals, I a -m a « -k a would lose $79 million. But in -I B B C t- E , creased funding is proposed in I Break family care and primary I • medicine training programs I IWB OT Cuiiimunilies I Ironic Proposed $7.3 billion in com- I ipriicat piva ftTr>r\ tt c munity and regional development I .. funds, a $1.7 billion cut from last I Israeli By GREG I’EARSON year, largely due to phasing out of I P«-og>;ess” llcrulil Kcpurlcr anti-recession and disaster I bargaining aimed at MANCHESTER - The timing of a assistance programs. I ^ ^^prom ise on a “when- „ . I to-wage-war clause in the Egyptian- sewer break that occurred Saturday n o u s in g I Israeli draft peace treaty. on Hollister Street had an ironic Seeks $5.3 billion for housing I Eliahu Ben-Elissar, the head of the twist to it. assistance for poor and moderate I Israeli delegation, reported the The Eighth Utilities District has income families, an increase of I negotiations were moving at a brisk hired a private contractor to help $900 million. I pace, saying, “There is no critical repair the 14-foot deep line, and work R eso u rces stage in the talks — it's a cruising still is being done today to fix the I problem. Proposes $11.5 billion in 1980 for I The irony is that the sewer line is preserving natural resources and I "® ®1®® 1*'®''® l’^'* been “slight the main line that services the improving the environment. The I P'^®8''®®® *n fhe talks. Charles Apartments, whose owner Environmental Protection Agen-1 The talks adjourned because the sued both the Town of Manchester cy budget would grow to $4.7 I ambassador said he had to consult and the Eighth District Thursday billion from the present $4.) I with Washington. The negotiations because of an ongoing tax-collection bjllion. I were expected to resume by mid- problem. Coiisiiiiiers I evening and Israeli spokesman Dan Sewer breaks normally come at Outlays for consumer safety ac-I continue surprising and inopportune times. tivities would grow to $644 million I ‘ ®®®®3y. Plenty of Excess Water But. the timing of this break could in 1980 from $637 million at pre- I The American Middle East envoy not have been more coincidental sent. I has beep directing his negotiation ef- As at many other locations in town, there serious problems, Oscar Paschke, project since the two incidents undoubtedly l*urk forts to Article 6 of the draft treaty — was plenty of excess water this morning at director, said.