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PHOTOCOPY
PRESERVATION
Budget FY 99
File Budget - FY99
President Clinton, Vice President Gore, and Congressional
Democrats Win on the Budget
October 15, 1998
Saving Social Security First
In his State of the Union address, President Clinton asked a basic question -- "what should we do
with this projected surplus?" -- and gave an historic four-word answer: "Save Social Security First."
With our fiscal house in order, marked by the first budget surplus in a generation, President Clinton
is determined to seize this unique opportunity to strengthen this most important program for
generations to come. Protecting the surplus is a key step towards enacting Social Security reform.
President Clinton defeated repeated efforts to squander the surplus and, at the end of this Congress,
it remains intact.
Invests in Education and Training
In the face of House Republican efforts to slash their education budget by more than $2 billion,
President Clinton and Vice President Gore delivered on their education agenda:
New Education and Training Initiatives In Final Budget Agreement:
More High-Quality Teachers With Smaller Class Sizes. In his State of the Union address,
President Clinton said, "Tonight, I propose the first-ever national effort to reduce class size in
the early grades. My balanced budget will help to hire 100,000 new teachers." Throughout
the year, Republicans failed to consider this important initiative. The final budget provides
$1.2 billion for the first year of the President's new initiative to hire 100,000 new,
well-prepared teachers, to reduce class sizes in the early grades to a national average of 18.
GEAR-UP: College Mentoring Initiative To Help Up to 100,000 Students Prepare for
College. In his State of the Union address, President Clinton urged Congress "to support our
efforts to enlist colleges and universities to reach out to disadvantaged children, starting in
the 6th grade, so that they can get the guidance and hope they need so they can know that
they, too, will be able to go on to college." The President proposed $140 million to get this
effort started, but the House appropriations bill denied funding and the Senate provided only
$75 million. The final budget provides $120 million for this new initiative which was
authorized as part of the higher education legislation enacted on October 7th. GEAR-UP
will expand mentoring efforts by States, and provide new grants to partnerships of middle
schools, institutions of higher education, and community organizations, to provide
intensive early intervention services to help prepare up to 100,000 students at high-
poverty middle schools for college.
Child Literacy Initiative to Help Children Read Well By the End of the Third
Grade. In 1996, President Clinton proposed an America Reads Challenge to help
three million children improve their reading skills. In 1997, he insisted that the new
initiative be included as part of the Balanced Budget Agreement. With this budget,
he has won the $260 million that he proposed to help ensure that all children can
read well and independently by the end of third grade. The budget includes the
legislation creating a program that is consistent with the President's America Reads
proposal. The new program will provide competitive grants to States to (1) improve
teachers' ability to teach reading effectively; (2) promote family literacy programs to
help parents be their child's first teacher; and (3) improve the quality of tutoring
programs by supporting tutor training.
Youth Opportunity Areas To Help Increase Job Opportunities for 50,000 Youth in
High-Poverty Communities. Authorized in the Workforce Investment Act, President
Clinton's Youth Opportunity Grants to direct resources to high-poverty areas, including
Empowerment Zones and Enterprise Communities, to provide comprehensive services
designed to increase employment and school completion rates for disadvantaged youth. The
President's FY99 budget included $250 million for this new innovative program. While the
House Republican budget did not fund this critical initiative, the final agreement includes the
full $250 million request, which will help provide job training and social services to 50,000
youth.
New Learning Anytime, Anywhere Initiative. The President's FY99 budget included a new
initiative to enhance and promote distance learning opportunities -- learning outside the usual
classroom settings, via computers and other technology -- for all adult learners. The final
budget includes $20 million for the Education and Labor Departments to implement this new
initiative to demonstrate new high-quality uses of technology for distance learning in
post-secondary education and training, and to help provide more accurate labor market
information.
Teacher Recruitment and Preparation -- $75 million. On October 7th, President Clinton
signed legislation that had incorporated the President's Teacher Recruitment and Preparation
proposal. While House Republicans did not fund this important initiative, the final budget
provides $75 million, which will help recruit and prepare thousands of teachers to teach in
high-poverty urban and rural communities and will strengthen teacher preparation programs
across the country.
Training New Teachers to Use Technology Effectively. President Clinton's FY99 budget
requested $75 million to train new teachers in how to use technology to improve student
achievement. The House and Senate Republicans denied the request. The final agreement
includes the full $75 million the President requested.
Hispanic Education Action Plan To Attack Unacceptably High Drop-Out Rate.
Because the high-school drop-out rate of Hispanics is unacceptably high, President
Clinton's FY99 budget included the first-ever Hispanic Education Action Plan. As
part of this plan, the President proposed significant increases in Title I funding and a
number of other programs that enhance educational opportunity for Hispanic
Americans. The final budget includes increases of $524 million for these programs;
for example, it provides a $301 million increase for Title I; $600 million for TRIO
college preparation programs, an increase of $70 million over FY 1998, which will
provide support services for over 700,000 students; and $50 million for Bilingual
Education Professional Development -- double the FY 1998 level -- to begin to
provide 20,000 teachers over five years with the training they need to teach Limited
English Proficient students.
Expanded Key Education And Training Investments:
Expanded After-School Programs To Serve A Quarter of A Million Children. In his
State of the Union address, President Clinton asked Congress to "dramatically expand our
support for after-school programs." The President and Vice President proposed $200 million
for after-school programs in their FY99 budget. While the House Republican budget did not
fund $140 million of the President's and Vice President's request, which would have denied
services to about 175,000 children, the final budget includes full funding for the President's
and Vice President's initiative, which will serve a quarter of a million children each year.
Expanded Head Start. President Clinton proposed a $313 million increase for Head Start
to add 30,000 to 36,000 new slots for children, continuing on the path to serving one million
children by 2002. The House Republican budget did not provide the President's increase
and would have denied up to 25,000 children Head Start slots if enacted. The final budget
includes the President's full increase for Head Start, which is funded at $4.660 billion.
Summer Jobs Protected for Half a Million Youth. While House Republicans attempted to
eliminate the successful Summer Jobs program, President Clinton prevailed with his request
for $871 million in funding, which will finance up to 530,000 summer jobs for disadvantaged
youth.
Expanded Educational Technology -- Connecting Our Children to the Future. President
Clinton's and Vice President Gore's budget requested $721 million -- a $137 million increase
-- for educational technology to ensure that every child has access to computers, the Internet,
high-quality educational software, and teachers that can use technology effectively in the
classroom. The House Republican denied the President's and Vice President's request for a
funding increase, cutting funding $43 million below last year. The final agreement includes
$698 million -- a 20-percent increase over the $584 million funding level in FY98, including
the new $75 million initiative for training new teachers and $10 million for new grants to
public-private partnerships in low-income communities to provide residents access to
computer facilities for educational and employment purposes. Education technology has
always been a top priority for the President and Vice President; since 1993, they have created
the Technology Literacy Challenge Fund and increased overall investments in educational
technology by thirty-fold, from $23 million to $698 million this year.
Protected Goals 2000 to Promote High Academic Standards. President Clinton created
Goals 2000 in 1993 to promote high academic standards for all students and proposed a
modest expansion in this year's budget. While the House Republican budget tried to cut the
program in half, the final budget includes $491 million which will help all 50 States continue
raise academic standards and help at least 12,000 schools implement innovative and effective
education reforms.
Improved Child Care Quality. In his State of the Union, the President proposed an historic
child care initiative to make child care better, safer and more affordable for America's
working families. While the budget does not include critical investments in subsidies and
tax credits to help working families pay. for child care, it does include the President's request
of $182 million to improve the quality of child care.
Expanded Work Study To Help Nearly One Million Students Work Their Way
Through College. President Clinton's FY99 budget included a significant expansion of the
Federal Work Study program. The final budget agreement provides $870 million -- a $40
million increase over the FY 1998 level of $830 million -- which will allow nearly one
million students to work their way through college and keeps us on track to the President's
goal of one million students in work study by the year 2000.
Expanded Job Training To Help 666,000 Dislocated Workers. President Clinton's FY99
budget included a significant expansion in the dislocated worker program. While the House
froze job training funds for dislocated workers, the final agreement includes $1.4 billion
which will help some 666,000 dislocated workers get the training and reemployment services
they need to return to work as quickly as possible. This represents an increase of $55 million
-- to help 27,000 dislocated workers -- compared to FY98. Since 1993, dislocated worker
funding has been expanded by 171 percent -- helping to well more than double the number of
workers served.
Expanded Charter Schools to Promote Creation High-Quality Public Schools.
President Clinton's FY99 budget included $100 million for Charter Schools to keep us on
track toward the President's goal of creating 3,000 high-quality public charter schools that
will educate more than half a million students by early in the next century. Charter schools
are public schools started by teachers, parents and communities, that are given flexibility in
decision-making, in exchange for high levels of accountability for results. The final budget
provides $100 million -- the President's 25-percent increase -- for Charter Schools and will
give parents and students more choice, better schools, and greater accountability for results
in public education.
Assistance to Help Over 400,000 More Students in Distressed Communities Learn
Basic Skills. President Clinton proposed a $392 million increase in Title I funding to help
students in high poverty communities receive the extra help they need to master the basics to
reach high academic standards. The House Republican budget proposed a freeze in Title I
funding. The final budget provides a $301 million increase, from $7.375 billion in FY98 to
$7.676 billion in FY99. This funding will support educational services for nearly 11 million
students, over 400,000 more than last year.
Largest Maximum Pell Grant Award Ever. Last year, President Clinton signed into law
the largest one-year increase in Pell Grant scholarships in 20 years. This year, the final
budget provides $7.7 billion for Pell Grants, an increase of $359 million over FY98,
increasing the maximum Pell Grant award from $3,000 to $3,125 -- that's the largest
maximum award ever, 36-percent higher than it was in 1994. This year, approximately 4
million students will receive Pell Grant awards.
Extends Trade Adjustment Assistance (TAA). President Clinton proposed
extending TAA and NAFTA-TAA in his FY99 budget in order to provide training and
income support to workers adversely impacted by trade. The final budget extends
these important programs through June 30, 1999.
Moves Forward On The Environment
In the final budget, President Clinton won important increases to combat water pollution, protect
national parks and other precious lands, restore salmon and other endangered species, and develop
clean energy technologies. At the same time, President Clinton forced Congress to drop
special-interest riders that would have cut roads through wilderness, forced overcutting on our
national forests, crippled wildlife protections, and blocked common-sense actions to address global
warming.
Clean, Safe Water for America. The final budget provides $1.7 billion -- an additional
$230 million or 16-percent increase from last year -- for the President's Clean Water Action
Plan, a five-year initiative to help communities and farmers clean up the almost 40 percent of
America's surveyed waterways still too polluted for fishing and swimming. In addition, the
budget provides states $2.15 billion in financing for clean water construction projects.
Preserving Precious Lands. An additional $325 million for FY99 -- a $55 million increase
from last year -- through the Land and Water Conservation Fund will be used to acquire
dozens of natural and historic sites around the country, including critical winter range for
Yellowstone bison, New Mexico's Baca Ranch and the last remaining private stretches of the
Appalachian Trail.
Protecting Endangered Species. The final budget provides an additional $32 million in
FY99 -- a 23-percent increase from last year -- providing funds for protection and recovery
of endangered and threatened species, as well as enhancements for important habitats.
Leading the Fight Against Global Warming. The final budget provides over $1 billion --
a 26-percent increase from last year -- to support research investments that will reduce
greenhouse gas emissions, oil consumption, and energy costs for consumers and businesses
by promoting increased energy efficiency and clean energy technologies.
Defending Our Environment Against Stealth Attacks. President Clinton forced Congress
to drop special-interest riders that would have rolled back hard-won environmental
protections. Anti-environmental language in the budget bills would have:
-
Forced overcutting of timber on national forests and accelerated logging of Alaskan
rain forest.
Allowed intrusive helicopter landings in Alaska wilderness and the first road ever
carved through a designated wilderness area.
-
Hindered salmon restoration in the Pacific Northwest, and allowed harmful
commercial fishing in wilderness waters of Glacier Bay National Park.
-
Blocked common-sense actions to reduce greenhouse gas emissions, and barred the
Administration from informing the public about the threat of global warming.
-
Placed restrictions on the use of brownfields funds that would have denied
municipalities the funds they need to undertake clean-up at brownfield sites.
Responds to the Farm Crisis at Home
Emergency Farm Assistance. President Clinton vetoed the Agriculture Appropriations bill
on October 8th "because it fails to address adequately the crisis now gripping our Nation's
farm community." The final budget includes a significant increase in total emergency
assistance to farmers and ranchers compared to the bill the President vetoed -- about $6
billion in the final budget versus $4.2 billion in the vetoed bill, that's 40 percent more
assistance than the bill the President vetoed. The final bill increased the amount for crop loss
compensation by $228 million, and increased the amount for economic loss
compensation by $1.4 billion, bringing the amounts for these to $2.6 billion and
about $3 billion, respectively.
And to Financial Turmoil Abroad
Full IMF Funding To Help Address International Financial Crisis. With America's
fiscal house in order, the United States is now the bulwark of economic stability in the world.
Some other nations around the world, however, are experiencing major economic upheaval,
hurting our exports, farmers, and ranchers. A strong International Monetary Fund is a
stabilizing force in the world economy and is a critical piece of President Clinton's strategy
to protect the international financial system -- and therefore the U.S. economy -- against the
risk of new, escalating, or spreading crises. President Clinton fought for and won full
funding of $17.9 billion for the IMF a critical part of his strategy to help address the global
financial crisis and to keep our economy strong. A stronger IMF will give the U.S. and its
allies new flexibility in developing responses to protect the world from the spread of the
financial crisis.
Fully Funds President Clinton's Child Labor Initiative. In his State of the Union
address, the President pledged to send legislation to Congress to fight abusive child labor and
proposed making the United States the world leader in supporting programs to reduce
abusive child labor, with a 10-fold increase in our commitment to the International
Programme for the Elimination of Child Labor (IPEC), from $3 million to $30 million a
year. While the Senate, with the strong leadership of Senator Harkin, fully funded the
President's request, the House failed to do so, providing only $6 million. In the final budget,
Congress agreed to the President's full request of $30 million for IPEC. The budget also
fully funds the President's $9 million request for domestic enforcement and a
migrant youth job-training demonstration.
Moves People from Welfare to Work and Empowers Communities
President Clinton and Vice President Gore are committed to tapping the potential of
America's urban and rural communities. This budget moves forward on their vision to help
revitalize America's communities:
50,000 Welfare-to-Work Housing Vouchers. President Clinton's FY 1999 Budget
included $283 million for 50,000 new vouchers exclusively for people who need
housing assistance to make the transition from welfare to work. The original House
bill included $100 million, while the Senate provided only $40 million. The final
budget includes President Clinton's full request of $283 million for 50,000
welfare-to-work housing vouchers.
Flexible Funding for Empowerment Zones. President Clinton and Vice President Gore
requested mandatory funding for second-round urban and rural Empowerment Zones. The final
budget includes $60 million in this flexible discretionary funding for the next round of
Empowerment Zones and 20 new rural Enterprise Communities.
Extended Welfare-to-Work Tax Credit. This tax credit encourages employers to
hire, invest in training, and retain long-term welfare recipients. The credit is for 35
percent of the first $10,000 in wages in the first year of employment and 50 percent
of the first $10,000 in the second year. President Clinton proposed to extend the
credit in his FY99 budget and the final budget includes an extension through June
30, 1999.
Community Development Financial Institution (CDFI) Expansion. The Administration
requested a major expansion of the CDFI program to continue building a national network of
community development banks. The original House bill froze CDFI funding at $80 million,
while the Senate cut funding to $55 million. The final budget increases CDFI funding from
$80 million in FY98 to $95 million in FY99 -- a 19-percent increase.
Public Housing Reform. This legislation makes the President's landmark housing
reform a reality. This bipartisan bill will allow more economic integration and
deconcentration in our Nation's public housing, encourage and reward work, provide
protections for those most in need, and put the Nation back into the housing business with
the first new housing vouchers in five years.
FHA Loan Limit Increased. President Clinton's FY99 budget included an increase in the
FHA loan limit to expand homeownership opportunities to more Americans. The final
budget includes an increase in the FHA loan limit, raising the limit from $86,317 to
$109,032 in the lowest cost areas and from $170,300 to $197,621 in the highest cost areas.
Extended Work Opportunity Tax Credit. This tax credit encourages employers to
hire individuals who have traditionally had a hard time securing employment.
Targeted groups include disadvantaged youth, including those living in
empowerment zones and enterprise communities, welfare recipients, and qualified
veterans. The maximum credit paid to the employer is as much as 40 percent of an
individual's first $6,000 in wages. The President proposed to extend this credit in
his FY99 budget and the final budget includes an extension through June 30, 1999.
"Play-by-the-Rules" Homeownership Initiative. President Clinton's FY99 budget
included $25 million for the Neighborhood Reinvestment Corporation to start the "
Play-by-the-Rules" homeownership initiative, which would make homeownership more
accessible to 10,000 families who have good rental histories, but are not adequately served in
the housing market. The final budget includes $25 million for this new initiative.
Increased Funding for Homeless Assistance. The President proposed a major expansion
of HUD's continuum of care program, designed to help homeless persons obtain health care,
jobs, and permanent housing. The final budget includes $975 million in funds for the
homeless -- a $152 million, or 18 percent, increase over last year.
HUD Fair Housing. The President proposed a major expansion of HUD's Fair Housing
programs, as part of his "One America" initiative. The final budget expands HUD's Fair
Housing programs from $30 million in FY98 to $40 million in FY99. That 33-percent
increase includes $7.5 million for a new audit-based enforcement initiative proposed by the
Administration.
Regional Opportunity Counseling. The Administration requested funds to help counsel
Section 8 certificate and voucher holders on their full range of housing options. While the
Senate did not include any funding for this initiative, the final budget includes $10 million
for this voluntary effort to expand the housing and employment opportunities available to
low-income families.
Expansion of HUD's Youthbuild Program. The Administration proposed expanding
funds for Youthbuild by more than a quarter. While the original House bill provided $35
million and the Senate provided $40 million, the final budget includes $42.5 million -- an
increase of over 20 percent.
Cleaning Up Brownfields. The Administration proposed $91 million for EPA's brownfield
activities, such as grants for site assessment and community planning. The final budget
includes the President's request of $91 million.
Community Development Block Grant (CDBG) Expansion. President Clinton's FY99
budget included an expansion of CDBG. The final budget increases funding for CDBG from
$4.675 billion in FY98 to $4.750 billion in FY99 -- that's a $75 million expansion this year.
Increased Help For Communities Suffering From Sudden and Severe Economic
Dislocation. President Clinton's FY99 budget included a 10-percent increase in funds for
EDA so that they can better respond to sudden and severe economic dislocation. The final
budget increases funding for EDA from $361 million to $393 million -- that's a 9-percent
expansion this year.
Expansion of NADBank. The Administration proposed providing the North American
Development Bank's (NADBank) Community Adjustment and Investment Program $37
million of paid-in capital, which would allow the Bank to leverage private capital markets to
provide additional financing to trade-affected communities. The final budget includes $10
million of paid-in capital for the NADBank.
$75 Million for Welfare-to-Work Transportation Funds. While the House and Senate
provided $50 million -- the minimum amount "guaranteed" in the transportation bill -- the
final budget includes $75 million for this competitive grant program. These funds will assist
states and localities in developing flexible transportation alternatives, such as van services, to
help former welfare recipients and other low income workers get to work.
Individual Development Accounts. Since 1992, President Clinton has supported the
creation of Individual Development Accounts (IDAs) to empower individuals to save for a
first home, post-secondary education, or to start a new business. Congress recently passed
legislation authorizing IDAs, and the final budget includes $10 million to get this program
off the ground.
Heating and Cooling Assistance for Low-Income Families Protected. More than five
million low-income families receive help to pay for home heating costs through this
program, yet the House Republicans tried to eliminate it. The final budget includes the
President's full request for funding to help low-income families pay for home heating and
cooling assistance.
Advances a Strong Health and Technology Research Agenda
For six years in a row, President Clinton and Vice President Gore have proposed substantial
increases in the Federal government's research and development portfolio to build a healthier, more
prosperous, and productive future. In FY 1999, the President proposed, within the first balanced
budget in a generation, the largest commitment to key civilian research in the history of our country
as part of the "Research Fund for America." Congress agreed to support significant increases in
R&D, including:
Expansion of National Science Foundation. President Clinton proposed a major expansion
of research and development funds for the National Science Foundation (NSF). The final
budget includes a 7-percent increase -- from $3.4 billion in FY98 to $3.7 billion in FY99 --
in the NSF research budget to support science and engineering research across all fields and
disciplines. NSF supports nearly half of the non-medical basic research conducted at
universities.
Expansion of National Institutes of Health for Biomedical Research. President Clinton's
FY99 budget included the largest-ever dollar increase in funds for the National Institutes of
Health (NIH). The final budget includes almost $2 billion expansion of NIH research funding
-- a 14-percent increase. Scientists are on the cusp of important new breakthroughs in
biomedical research, which could revolutionize the way medical experts understand, treat, and
prevent some of our most devastating diseases. This increase will enable scientists to pursue a
wide range of cutting edge research from Alzheimers to AIDS to genetic discoveries.
Research and Experimentation Tax Credit. President Clinton proposed to extend
the research tax credit because it provides incentives for private sector investment in
research and innovation that can help increase America's economic competitiveness
and enhance U.S. productivity. The final budget extends this research tax credit
until June 30, 1999.
Expansion of Energy Department Science Budget. President Clinton's FY99 included an
8 percent increase in the Department of Energy's science budget, including support for the
National Spallation Neutron Source. The final budget fully funds the President's request.
Funds Next Generation Internet. In his State of the Union address, President Clinton said, "
I ask Congress to step up support for building the next generation Internet. And the next
generation Internet will operate at speeds up to a thousand times faster than today." The
final budget includes more than $100 million funding for the Next Generation Internet, a
Federal R&D initiative which will connect more than 100 universities at speeds that are up to
1,000 times faster than today's Internet, and establish the foundation for the networks and
applications (e.g. telemedicine, distance learning) of the 21st century.
Expansion in Advanced Technology Program (ATP). President Clinton's FY99 budget
proposed an expansion of ATP to promote cutting-edge high-technology projects. While the
Senate froze funding at the FY98 level and the House cut funding by $13 million, the final
budget increases ATP funding to $204 million -- an $11 million increase over last year --
which will allow for about $70 million in new awards to develop high-risk technologies that
promise significant commercial payoffs and widespread economic benefits.
Improving the Public Health of America
For six years, President Clinton and Vice President Gore have been working hard to expand our
Nation's health care investments, including research, prevention, and quality care for more
Americans.
New Efforts to Prevent and Treat HIV/AIDS. The Congress has responded to the
President's and Vice President's request to substantially increase efforts to prevent
and treat HIV/AIDS. Congress has provided $1.4 billion for Ryan White Care Act
activities. This funding level includes a 61-percent increase for the AIDS drug
assistance program, which provides funds to States to help uninsured and
underinsured people with life-saving treatments for HIV/AIDS. In addition,
Congress provided about $630 million for HIV prevention activities at the Centers
for Disease Control and Prevention.
Historic $130 Million Effort to Address HIV/AIDS in Minority Community.
Minority communities make up the fastest growing portion of the HIV/AIDS caseload
(44 percent of all new HIV cases). In FY99, there will be an unprecedented $130
million investment, including that will improve prevention efforts in high-risk
communities, and expand access to cutting edge HIV therapies and other treatment
needed for HIV/AIDS.
Critical New Investments to Protect Public Health at the Centers for Disease
Control (CDC). The Congress has responded to President Clinton's request for a
$2.4 billion investment -- a $222 million increase -- in public health at the CDC. This
critical investment will address a host of public health challenges, including fighting
emerging infectious diseases, combating new resistance to anti-biotics, and
improving prevention for some of our nation's leading killers, such as diabetes,
HIV/AIDS, and heart disease.
New Efforts to Improve the Quality of Health Care. Congress has responded to
the President's request for a $25 million investment in new research at the Agency
of Health Care Policy and Research (AHCPR) to research on the quality, costs, and
outcomes of the health care delivery system. Identifying critical health care
problems and educating health plans, medical professionals, patients, and
advocates about solutions can lead to important improvements in the quality of
health care.
Increasing Funding to Provide Health Insurance to Low-Income Children in
Puerto Rico and the Territories. Thousands of uninsured children in both Puerto
Rico and the other territories will now be eligible for meaningful health care
coverage for the first time under the Children's Health Insurance Program (CHIP).
The territories were currently on schedule to receive an inadequate and inequitable
$10.7 million in FY99. Today, the Congress responded to the President's request
and provided the territories with an additional $32 million in FY99 for their new CHIP
programs that will meet the needs of their uninsured children.
Funding the President's Commitment to Eliminate Racial Health Disparities.
Minorities suffer from higher rates for a number of critical diseases. For example, African
Americans under the age of 65 have twice the rate of heart disease as whites, and Native
Americans suffer from diabetes at nearly three times the average rate. The Congress has
taken a critical first step in investing in the President's multi-year proposal to eliminate racial
health disparities in six health areas, including HIV/AIDS, cancer, diabetes, and
immunizations. The Congress has given the Administration authority to fund grants for
communities to develop new strategies to address these disparities and has granted the
President's request for increases in other critical public health programs, such as heart
disease and diabetes prevention at CDC, that have proven effective in attacking these
disparities.
Lead Poisoning Prevention. The President requested a $25 million increase in
funding for HUD's Office of Lead Hazard Control, in order to reduce the threat
posed by childhood lead poisoning and other housing-related environmental health
hazards. While the Senate did not provide any additional funding, the final budget
includes a $20 million increase for lead poisoning prevention.
Other Highlights
Reduces Backlog and Expands Alternative Dispute Resolution at Equal Employment
Opportunity Commission (EEOC). The President's FY99 budget included $279 million --
a $37 million increase over the previous year -- to significantly expand EEOC's alternative
dispute resolution program and reduce the backlog of private sector discrimination
complaints. The final budget fully funds the President's request -- providing the first real
increase for EEOC in several years.
President Clinton's Food Safety Initiative. The final budget provided approximately $79
million in new funds for the President's Food Safety Initiative to help implement a
far-ranging plan to improve surveillance of food borne illnesses, education about proper food
handling, research, and inspection of imported and domestic foods. The new funds are part
of an Administration-wide effort, led by the Department of Agriculture and the Department
of Health and Human Services, to create a seamless, science-based food safety system.
More Police on the Streets. In 1994, President Clinton fought for and won a commitment
to put 100,000 police officers on the street. The final budget includes funds for 17,000
additional Community Oriented Police Services (COPS) Program police officers toward the
President's goal of 100,000 cops on the beat by 2000.
Increasing Law Enforcement in Indian Country. The final bill includes $20
million in FY99 for more police officers and public safety initiatives in the
approximately 56 million acres of Indian lands serving more than 1.4 million
residents.
Brings Financial Stability to Tennessee Valley Authority (TVA). The final
budget includes $50 million that will allow TVA to better provide for the citizens of
the seven states -- Alabama, Georgia, Kentucky, Mississippi, North Carolina,
Tennessee, and Virginia -- that it serves. The agreement will let TVA refinance part
of its debt to compensate for the loss of Federal funds for its non-power programs.
The final budget also prevents TVA from losing the Land Between the Lakes
Recreation Area.
PRESIDENT CLINTON, VICE PRESIDENT GORE, AND CONGRESSIONAL
DEMOCRATS WIN ON THE BUDGET, BUT CONGRESS STILL NEEDS TO DO MORE
WORK TO ADDRESS AMERICA'S PRIORITIES
November 18, 1999
TABLE OF CONTENTS
I.
Overview of Key Victories and Remaining Issues
II.
A Victory for America's Students (table)
III.
Progress On America's Priorities
-Protecting Fiscal Discipline and Paying Down the Debt
-A Victory for America's Students
-Fighting Crime, Drugs, and Guns
-Investing in a Cleaner Environment
-Maintaining America's Global Leadership
-Empowering Families and Communities
-Progress on the New Markets Initiative
-Addressing Health Care
-Responding to the Farm Crisis
-A Strong Research and Development Agenda
-Other Highlights
IV.
Despite All the Progress in this Year's Budget, There is Still More Work That Needs to Be
Done
OVERVIEW: PRESIDENT CLINTON, VICE PRESIDENT GORE, AND CONGRESSIONAL
DEMOCRATS WIN ON THE BUDGET, BUT CONGRESS STILL NEEDS TO DO MORE
WORK TO ADDRESS AMERICA'S PRIORITIES
November 18, 1999
PROTECTING FISCAL DISCIPLINE AND PAYING DOWN THE DEBT. The budget agreement represents a
victory for President Clinton's stand for fiscal discipline. Between 1981 and 1992, the debt
quadrupled. In 1992 the deficit was $290 billion and projected to rise to over $400 billion in 1999. As
a result of the tough and sometimes unpopular choices made by President Clinton in 1993 and 1997,
we have seen seven consecutive years of fiscal improvement for the first time in America's history,
bringing last year's budget to a unified surplus of $123 billion - the largest ever. Throughout the year,
the Republicans have been proposing fiscally irresponsible tax cuts that would have jeopardized this
record of fiscal discipline. In September, the President vetoed a Republican tax cut that would likely
have drained hundreds of billions of dollars of the Social Security surplus from debt reduction. As a
result of the President's stand, America will stay on course to pay off the debt held by the public by
2015 - for the first time since Andrew Jackson was President.
A VICTORY FOR AMERICA'S STUDENTS. After vetoing a Congressional budget that denied funding to
priority education and training investments, President Clinton and Vice President Gore delivered on
their ambitious education agenda.
More High-Quality Teachers With Smaller Class Sizes: Following on a new initiative by the
President last year, the budget agreement includes $1.3 billion for a bipartisan plan to help reduce
class size in the early grades by hiring 100,000 quality teachers over the next six years.
Double Funding for After School: $453 million for after school, providing support to 675,000
students - 375,000 more than last year.
GEAR UP: A 67 percent increase to $200 million for the President's GEAR UP initiative, which
helps 482,000 students aspire to and prepare for college - the second year of this new initiative.
Accountability for the Lowest Performing Schools: $134 million in Title I funds to help turn
around the worst-performing schools and hold them accountable for results.
Expanded Head Start: A $607 million increase for Head Start to serve an additional 44,000
children. Total funding is $5.3 billion - 90 percent higher than 1993.
Hispanic Education Agenda: $436 million in increases for a number of education programs that
help to improve the educational achievement and high dropout rates of Latino students.
Largest Pell Grant Maximum Award Ever: Increased to $3,300 - a 43 percent increase since
1993.
FIGHTING CRIME, DRUGS, AND GUNS. To keep crime coming down to record lows, President Clinton
fought for important investments in the budget to build on the Administration's successful community
policing initiative, including funds to put more police on the street and critical resources to strengthen
law enforcement efforts to keep communities safe.
More Police for Our Streets: The budget contains full funding for the first installment toward the
President's goal to hire up to 50,000 more police officers for our Nation's streets by 2005. The
initiative builds on the President's successful COPS program that has already funded 100,000
police officers to help keep America's streets safe.
-2-
INVESTING IN A CLEANER ENVIRONMENT. President Clinton and Vice President Gore won significant
gains for the environment in the fiscal year 2000 budget, including new resources to combat water
pollution, protect wildlife, address global warming, and preserve precious lands across the country. At
the same time, the President and Vice President forced Congress to drop or substantially modify
dozens of anti-environmental riders that would have rolled back hard-won environmental safeguards
and benefited special interests at the expense of our public lands.
Preserving Our Lands Legacy: The President and Vice President won $651 million for Lands
Legacy, a 42 percent increase for this historic initiative that strengthens federal efforts to preserve
natural treasures and provides communities with new resources to protect local green spaces.
MAINTAINING AMERICA'S GLOBAL LEADERSHIP. The Republican Congressional budget would have
turned its back on America's leading role in the world by not providing funds for peace in the Middle
East, leadership at the United Nations, economic development in the poorest countries, and efforts to
halt the spread of nuclear weapons. The President fought for and secured victories to strengthen
America's leading role in the world - by meeting our commitment to the Middle East peace process,
paying our dues and arrears to the United Nations, making a critical investment in debt relief for
impoverished countries, funding efforts to safeguard nuclear weapons and expertise from the former
Soviet Union, and help raise labor standards around the world.
EMPOWERING FAMILIES AND COMMUNITIES. President Clinton and Vice President Gore are
committed to tapping the potential of America's urban and rural communities. This budget moves
forward on their vision to help revitalize America's communities and empower families.
Funding 60,000 New Housing Vouchers for America's Hard-Pressed Working Families.
Additional Funding for Empowerment Zones: The budget provides $55 million in funding for
Urban Empowerment Zones and $15 million for Rural Enterprise Zones and Enterprise
Communities.
Continuing To Build a Network Of Community Development Banks Across the Nation: The
final budget includes $95 million for the Community Development Financial Institutions (CDFI)
Fund.
PROGRESS ON THE NEW MARKETS INITIATIVE: In his State of the Union, President Clinton proposed
to bring more private investment to all areas of the United States. The President and Congressional
Leaders have agreed to work together to enact bipartisan legislation to help spur economic
development in urban and rural communities that have not shared fully in the benefits of the nation's
strong economy. The New Markets initiative enjoys bipartisan support.
Funding America's Private Investment Companies (APICs): Provides $20 million of funding
for APICs (subject to authorization), a key element of the President's New Markets Initiative, that
would leverage $800 million of new investment in underserved areas.
New Markets Venture Capital Program: Provides, subject to authorization, $16.5 million in
funding for New Market Venture Capital Firms (NMVCs) and BusinessLINC to bring equity
capital and technical assistance to small businesses in low- and moderate-income neighborhoods.
ADDRESSING HEALTH CARE. The President won a $34.5 billion investment in health programs, 11.7
percent above the FY 1999 enacted level, to strengthen the public health infrastructure, provide critical
-3-
prevention and treatment services to individuals with mental illness, and advance biomedical research
with a historic investment of $2.3 billion.
Passing the landmark Work Incentives Improvement Act for people with disabilities: Since
1998, the President has advocated for the passage of the bipartisan Jeffords-Kennedy-Roth-
Moynihan Work Incentives Improvement Act. Currently, people with disabilities often become
ineligible for Medicaid or Medicare if they work, forcing a choice between health care and
employment. This legislation allows people with disabilities to maintain their Medicare or
Medicaid coverage when they go to work. It also includes a $250 million demonstration, which the
President insisted on fully funding, that allows people with disabilities who are still working and
are not yet sufficiently disabled to qualify for Medicaid to buy into the program. Finally, the bill
reforms the training system for people with disabilities.
RESPONDING TO THE FARM CRISIS: The Agriculture Appropriations bill included $8.6 billion in
emergency funds to assist our Nation's farmers and ranchers who are suffering through the second year
in a row of low commodity prices and, for many, crop and livestock losses from severe drought and
flooding. The final budget includes over $550 million more to fulfil the unmet needs identified by the
President, including significant funds targeted to hurricane-affected areas, increased crop loss
payments for all producers, and over $2.5 billion in additional farm loans to help producers secure
financing for next year's crop. The President and Vice President remain concerned that Congress did
not address the underlying issues that exist in the wake of Freedom to Farm legislation and that more
needs to be done.
A STRONG RESEARCH AND DEVELOPMENT AGENDA: The final budget included an unprecedented
commitment to key civilian research. The final budget increases the President's "21st Century
Research Fund" for civilian research programs by more than $3 billion. It also includes a five year
extension of the Research and Experimentation tax credit.
National Science Foundation: A 6.6 percent increase in support for science and engineering
research and education.
National Institutes of Health: Provides $2.3 billion, a 15 percent increase over FY 1999 funding
levels, to build on the President's commitment to biomedical research.
Information Technology: The final budget includes more than $80 million in funding for the
Next Generation Internet and $235 million for the Administration's "Information Technology for
the 21st Century" initiative.
MUCH WORK STILL LEFT To Do In the waning days of the session, the President and Congressional
Democrats prevailed in making critical investments to advance the President's comprehensive
education agenda, put more police on the streets, protect the environment, and strengthen America's
leading role in the world. But much work still remains to be done.
Passing Common Sense Gun Legislation: Congress must pass a bipartisan juvenile crime bill
that includes strong gun measures to: close the gun show loophole; require child safety locks for
handguns; ban the importation of large capacity ammunition clips; and bar violent juveniles from
owning guns for life.
Passing a Strong, Enforceable, Patients' Bill of Rights: During the past two years, the President
has exercised his executive authority to extend critical patient protections to over 85 million
-4-
Americans. But ultimately, the only way to ensure that all Americans in all plans have basic
consumer protections is to enact a strong, enforceable Patients' Bill of Rights.
Strengthening Social Security: The Republicans have proposed so-called "lockbox" legislation
that would not add a single day to the life of Social Security; the President has asked them to join
him in using the benefits of fiscal discipline to extend the life of Social Security from 2034 to
2050.
Modernizing and Strengthening Medicare: Although members of both parties joined the
President and Vice President in the effort to adjust Medicare health care provider payments,
Congress failed to address the growing challenges that Medicare faces. These challenges include
modernizing it with a long overdue, optional prescription drug and giving Medicare the adequate
resources and tools to be as efficient as possible.
Reducing Youth Smoking: President Clinton and Vice President Gore have made passage of
comprehensive tobacco legislation to reduce youth smoking a top priority in order to stop kids
from smoking before they start, through a significant price increase, measures to prevent tobacco
companies from marketing to children, and critical public health prevention and education
programs.
Expanding Federal Hate Crimes Laws: The President and Vice President have called for a bill
that would make it easier to prosecute crimes based on race, color, religion and national origin; and
that would also include crimes based on sexual orientation, gender and disability.
Funding the EEOC: Despite EEOC's success in beginning to reduce its backlog of private-sector
cases in the last year, Congress failed to provide the funding which would allow EEOC to meet its
goal of reducing the backlog of cases to 28,000 by the end of 2000. In addition, despite the fact
that women still earn only approximately 75 percent of what men earn, Congress has failed to fund
the EEOC's Equal Pay Initiative to improve compliance with equal pay laws.
Providing for Long-term Care Assistance for Those With Chronic Illnesses and Their
Families: Despite proposals by the President and bipartisan support from many members of
Congress, the Congress has failed to respond and lost an opportunity to provide critical assistance
for this population.
Providing Health Options for Older Americans: Although the number of uninsured Americans
aged 55 to 65 is growing faster than any other age group, Congress refused to act on the President's
proposals to expand health options for older Americans
Encouraging Small Businesses to Offer Health Insurance: The President has urged Congress to
provide new health insurance options for vulnerable Americans employed by small businesses.
Continuing to Help People Move From Welfare to Work: Although the Congress enacted
eligibility changes similar to those proposed by the President to allow states, tribes and
communities to more effectively serve low-income fathers and hard-to-employ welfare recipients,
Congress failed to provide any new funding.
Raising the Minimum Wage: The Congress has failed to pass a clean, straightforward bill to
increase the minimum wage by $1 over two years - a step that would simply restore it to the 1982
inflation-adjusted level. Instead, the Senate attached the minimum wage increase to fiscally
irresponsible tax giveaways for special interests.
Expanding Trade and Providing Opportunity for Africa and the Caribbean Basin: Congress
should complete work on the Africa Growth and Opportunity Act. This legislation would be an
important milestone in America's effort to build a new economic relationship with Sub-Saharan
Africa and deepen ties with our Caribbean and Central American neighbors.
Supporting Southeast Europe's Economic Development and Integration: Congress should pass
the Southeast Europe Trade Preference Act submitted by the President, which would authorize
expansion of duty-free treatment to a broad range of imports from the region for five years as part
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of an effort to strengthen stability and prevent further conflict in the Balkans by facilitating long-
term economic growth.
Promoting Peacekeeping: While the budget goes a long way in meeting the anticipated
requirements for funding UN peacekeeping operations around the world, the Congress did not fund
the full requests. To promote peace and encourage burden-sharing, Congress should fully fund UN
peacekeeping efforts.
School Construction: The President's school construction proposal would provide funding to help
states and school districts build and modernize 6,000 schools nationwide. Congress should pass
the President's plan and invest in our nation's schoolchildren.
Enacting Comprehensive Campaign Finance Reform: This year, the Congress failed once
again to adopt real, meaningful reform of our campaign finance system. The President will
continue to fight for comprehensive campaign finance reform and believes that the Senate should
act to restore the public's faith in our political process.
Child Care Initiative. The Republicans refused to support the President's historic child care
initiative to make child care better, safer, and more affordable for America's working families.
Farm Assistance. The President and Vice President were pleased to get $8.6 billion in emergency
assistance to farmers and ranchers, but they believe that Congress still needs to address the
underlying issues that exist in the wake of Freedom to Farm legislation.
Providing Fairness to Immigrant Families. Congress has failed to take action to provide fairness
to immigrant families.
Continuing to Empower Communities: The $70 million funding for EZs and ECs represents less
than half of the amounts authorized. The President and Vice President are committed to seeking
full funding for the remaining eight years of this program.
-6-
A VICTORY FOR AMERICA'S STUDENTS
November 18, 1999
HOUSE GOP
FINAL BUDGET
DIFFERENCE
BUDGET*
AGREEMENT
Class Size
$0**
$1.3 billion
+$1.3 billion
Reduction
After-School
$300 million
$453 million
+$153 million
Programs
GEAR UP
$0
$200 million
+$200 million
Title I Grants to
$7.732 billion
$7.941 billion
+$209 million
LEAs
Accountability
$0
$134 million***
+$134 million
Set-aside/Title I
Head Start
$4.760 billion
$5.267 billion
+$507 million
Education
$500 million
$769 million
+$269 million
Technology
Teacher Quality
$75 million
$98 million
+$23 million
Enhancement
Safe and Drug
$566 million
$606 million
+$40 million
Free Schools
Charter Schools
$130 million
$145 million
+$15 million
Reading
$200 million
$260 million
+$60 million
Excellence
Adult Education
$378 million
$470 million
+$92 million
Work Study
$ 880 million
$934 million
+$64 million
Learning Anytime
$0
$24 million
+$24 million
Anywhere
Hispanic Educ.
$43 million
$436 million
+$393 million
Action Plan ****
*Based on the Labor/Health and Human Services and Education bill passed by the House Appropriations Committee on
September 23, 1999. This bill provided $33.321 billion for all education programs, compared to $35.701 billion in the final
budget agreement.
**House bill eliminated the class size program by absorbing it in a block grant that dedicated no funding specifically for
class size reduction.
***The Title I set-aside for accountability is also included in the Title I grants to LEAs.
****These figures represent increase over FY 1999. HEAP figures also include increase to Title I.
-7-
PROGRESS ON AMERICA'S PRIORITIES
November 18, 1999
PROTECTING FISCAL DISCIPLINE AND PAYING DOWN THE DEBT
The budget agreement represents a victory for President Clinton's stand for fiscal discipline. As a
result of the President's commitments, America will stay on course to pay off the debt held by the
public by 2015 - for the first time since Andrew Jackson was President.
Debt Quadrupled Between 1981 and 1992: Between 1981 and 1992, the debt held by the public
quadrupled. The budget deficit grew to $290 billion in 1992 - and was projected to grow to more
than $400 billion by 1999.
President's Tough Choices Led to Largest Surplus Ever: As a result of the tough and
sometimes unpopular choices made by President Clinton in 1993 and 1997, we have seen seven
consecutive years of fiscal improvement for the first time in America's history, bringing last year's
budget to a unified surplus of $123 billion - the largest ever.
The President Stopped Republican Attempts to Reverse this Fiscal Discipline: Throughout the
year, the Republican Congress took steps that would have threatened our fiscal discipline. These
were stopped by the President, who vetoed the Republican's fiscally irresponsible and exploding
tax cut.
In January, Republicans Proposed a Tax Cut that Would Have Spent the Social
Security Surplus: H.R. 3 and S. 3 called for an across-the-board 10 percent reduction in
income tax rates. According to Joint Committee on Taxation Estimates, this proposal
would have cost $58 billion in 2000 - using tens of billions of dollars from the Social
Security surplus this year. In the first five years, this tax cut would have cost $360 billion -
much more than could be paid for out of the non-Social Security surplus, then projected at
$165 billion by the Congressional Budget Office (CBO).
In August, Republicans Passed a Tax Cut that Would Likely Have Spent the Social
Security Surplus: In August, the Republican Congress passed a $792 billion tax cut that,
if continued, would have used virtually all of CBO's projected surplus over the next 10
years. It would have used growing amounts of the Social Security surplus every year after
2004. This tax cut was based on a budget plan that would have required nearly 50 percent
cuts in all domestic discretionary spending, assuming defense were funded at the level
requested by the President. If cuts of this magnitude were not made, the likely consequence
of the Republican tax cut would have been to divert hundreds of billions of dollars of the
Social Security surplus from promised debt reduction.
A VICTORY FOR AMERICA'S STUDENTS
After vetoing a Congressional budget that denied funding to priority education and training
investments, President Clinton and Vice President Gore delivered on their ambitious education agenda.
More High-Quality Teachers With Smaller Class Sizes: President Clinton's budget included the
second installment of his plan to help reduce class size in the early grades by hiring 100,000 quality
-8-
teachers. The President vetoed a Congressional budget that reneged on last year's bipartisan
agreement, did not guarantee funding for 29,000 teachers hired last year, and would have allowed
Class Size dollars to be used for virtually any activity - including vouchers - rather than hiring
qualified teachers. The final budget enhances last year's teacher quality and flexibility provisions
and provides $1.3 billion for Class Size Reduction, enough to stay on track to hire 100,000 teachers
over the next 6 years.
More than Twice as Much Federal Support for After School: In his State of the Union address,
the President called for a large investment in after school and summer school programs to give
children the extra help they need to meet high standards. The final budget more than doubles the
federal investment in these programs to $453 million, to provide educational support to nearly
675,000 students - 375,000 more students than last year.
Early Intervention To Help Disadvantaged Students Prepare for College: House Republicans
proposed to terminate the President's GEAR UP college preparation initiative for low-income
students, a new initiative begun in 1998. The final budget increases funding for GEAR UP from
$120 million in 1999 to $200 million to support State projects and partnerships of colleges, high-
poverty schools, and community organizations, to help 482,000 students aspire to and prepare for
college starting in the 7th grade.
Accountability for the Lowest Performing Schools: In his State of the Union address, President
Clinton insisted that "all states and school districts must turn around their worst-performing
schools - or shut them down," and his Budget included funds to help states and school districts turn
around their own failing schools. The final bill provides $134 million in Title I funds to help turn
around the worst-performing schools and hold them accountable for results. In addition, the bill
provides $7,807 million for the base program, Title I Grants to LEAs, which is an increase of $75
million over last year, in order to continue efforts to help disadvantaged students catch up with
their peers.
More Education Technology for Students: The final budget triples funding for Community
Technology Centers to reach at least 120 low-income communities, provides $75 million to train
new teachers in the use of technology, and provides $425 million to states and school districts to
purchase computer hardware and educational software. Investment in educational technology has
increased to $769 million, up from $698 million in 1999.
Making Schools Safe, Disciplined, and Drug-Free: The budget agreement provides $606 million
for school-based drug and violence prevention programs, including the President's $50 million
request for the Coordinator Initiative, that would provide coordinators to plan, implement, and
evaluate successful prevention programs in middle schools across the Nation. Additional resources
are also provided for an expansion of the interagency Safe Schools / Healthy Students initiative,
with HHS and DoJ.
Expanded Head Start: President Clinton and Vice President Gore proposed a $607 million
increase for Head Start to serve an additional 44,000 young children - and stay on track toward
serving one million children by 2002. The House Republican budget did not provide the
President's increase and would have denied over 40,000 children Head Start slots if enacted. The
final budget includes the President's full increase for Head Start, which is funded at $5.3 billion -
or 90 percent above the 1993 level.
-9-
Increasing Public School Choice Through Charter Schools: The budget agreement provides
$145 million for Public Charter Schools, an increase of $45 million over the FY 1999 enacted
level. This will strengthen and expand public school choice by providing startup funding to as
many as 2,400 charter schools next year, about 650 more schools than this year. The President has
pledged to help start 3,000 charter schools across the country by early in the next century. When
President Clinton and Vice President Gore were first elected in 1992, there was only one charter
school operating in the country. This year, more than 1,700 charter schools are operating, serving a
diverse student body in more than 30 states. This remarkable growth is in large part due to the
President's leadership and support for these innovative high quality schools.
Hispanic Education Agenda: President Clinton's budget included an ambitious agenda to address
the disproportionately low educational achievement and high dropout rates of Latino students. The
final budget includes $436 million in increases for a number of education programs that help to
improve the educational outcomes of Latinos and limited English proficient students, including
Title I Grants to LEAs, Adult Education, Bilingual Education, and TRIO.
English Language/Civies Education Initiative: The increase to Adult Education targets $25.5
million for the President's ESL/Civics Initiative, which would provide instruction in both English
literacy and critical life skills necessary for effective citizenship and civic participation.
Largest Maximum Pell Grant Award Ever: The final budget provides $7.7 billion for Pell
Grants, increasing the maximum Pell Grant award from $3,125 to $3,300. The maximum award
has increased 43 percent since President Clinton and Vice President Gore took office in 1993.
Support for One Million Students To Work Their Way Through College: The President's
budget requested $934 million for Federal Work-Study to fulfill his commitment to expand work-
study to one million students in FY 2000. House Republicans initially provided only $880 million.
The final budget provides the President's request and will give one million students the opportunity
to earn money for college through part-time work.
Training for Dislocated Workers: The final budget provides a $190 million increase for a total
of $1.6 billion to provide much needed training for dislocated workers. This is more than triple the
funding in 1993, allowing the program to serve more than 3 times as many dislocated workers.
This increase is a step toward meeting the 5-year goal of the Universal Reemployment Initiative to
provide training to every dislocated worker who wants and needs training.
Providing for School Construction: The final budget extends Qualified Zone Academy Bonds
(QZABs) through 2001. QZABs provide no-interest loans to school districts in needy areas to fund
certain expenditures on rehabilitation and repairs, educational equipment, curriculum development,
and teacher training. QZABs have been used to purchase computers and develop technology-based
curricula, renovate and repair a charter school, purchase computer software and hardware to
develop literacy programs, and even to establish the first public secondary military academy in the
nation.
Tax Relief to Encourage Worker Training: The final budget extends the tax relief provided by
Section 127 through 2001, which allows employers to provide educational assistance for courses at
degree-granting institutions as a tax-free fringe benefit. By encouraging worker education, it helps
employers expand the skills of their work force and expands the opportunities of workers to adapt
to new technologies.
-10-
FIGHTING CRIME, DRUGS, AND GUNS
To keep crime coming down to record lows, President Clinton and Vice President Gore fought for
important investments in the budget to build on the Administration's successful community policing
initiative, including funds to put more police on the street and critical resources to strengthen law
enforcement efforts to keep communities safe.
More Police on the Streets: In 1994, President Clinton and Vice President Gore won a
commitment to put 100,000 police officers on the street. In his State of the Union Address, the
President proposed a 21ˢᵗ Century crime plan to hire up to 50,000 more police officers by 2005.
The final budget contains full funding for the first installment toward meeting this goal.
Law Enforcement Technology: The final budget provides $230 million to provide law
enforcement with the latest crime-fighting and crime-solving technology.
Community Prosecutors: Provides $10 for the Administration's initiative to extend the success
of community policing to local prosecutors.
Strengthened Gun Enforcement: An increase of $12.6 million for more ATF agents to bolster
federal law enforcement efforts against gun crime.
Youth and Guns: Over $50 million for the President's Youth Crime Gun Interdiction Initiative, to
expand the initiative from 27 to 38 cities, trace more guns used in crimes, and add more ATF
agents to crack down on illegal gun traffickers who supply guns to juveniles and criminals.
Youth Anti-Drug Media Campaign: $185 million to continue the successful campaign to reach
our youth with the message that drugs are wrong, dangerous and deadly.
INVESTING IN A CLEANER ENVIRONMENT
President Clinton and Vice President Gore won significant gains for the environment in the fiscal year
2000 budget, including new resources to combat water pollution, protect wildlife, address global
warming, and preserve precious lands across the country. At the same time, the President and Vice
President forced Congress to drop or substantially modify dozens of anti-environmental riders that
would have rolled back hard-won environmental safeguards and benefited special interests at the
expense of our public lands.
Preserving Our Lands Legacy: The President and Vice President won $651 million for Lands
Legacy, an historic initiative that strengthens federal efforts to preserve natural treasures and
provides communities with new resources to protect local green spaces. Lands Legacy funding, a
42 percent increase over last year, includes:
$444 million for federal agencies to acquire and protect dozens of natural and historic sites
around the country and off our coasts, including:
The full $101 million needed to purchase New Mexico's majestic Baca Ranch, home to
one of North America's largest wild elk herds;
$78 million to acquire lands critical to the Administration's Everglades restoration
strategy;
-11-
$36 million to manage and protect marine sanctuaries and coral reefs;
$15 million in matching funds to protect wilderness and other lands in the California
Desert.
$206 million for states and local governments to help communities preserve their farms,
urban parks, coastal areas, and working forests.
Ensuring Clean Water and Healthy Communities: The final budget secures $1.8 billion for the
President's Clean Water Action Plan, a 9 percent increase includes increased funds to reduce
polluted runoff from large livestock operations. In addition, the Environmental Protection Agency
budget provides $2.17 billion to help communities build or upgrade drinking water and sewage
treatment plants, and $1.4 billion to continue progress toward cleaning up 900 Superfund sites by
2002.
Leading the Fight Against Global Warming: The budget provides $1.1 billion for research and
development of clean energy through the Climate Change Technology Initiative, including a 7
percent increase for energy efficiency investments to reduce pollution, create jobs, and save
consumers money.
Saving Pacific Salmon: The Administration secured $83 million to initiate two major new efforts
to restore salmon in the Pacific Northwest: $58 million for states and tribes through the
Administration's Pacific Coastal Salmon Recovery Fund; and $25 million to implement an historic
salmon treaty with Canada.
Fighting Congestion and Dirty Air: The budget provides $8.2 billion, a 10 percent increase, for
programs that reduce air pollution while increasing transportation choices. This includes increases
of $407 million for public transit, and $278 million to help communities reduce congestion while
improving air quality.
Encouraging Energy Efficiency: Extend through 2001 the tax credits for wind and biomass
energy production. These tax credits encourage no- (wind) and low- (biomass) emission energy
production. The biomass tax credit encourages farmers to grow certain materials that can be
burned to produce energy. Producing energy from wind and biomass preserves scarce energy
resources and reduces our reliance on imported oil.
Cleaning Up Brownfields: The budget extends the tax provision that allows businesses to fully
deduct the cost of cleaning up polluted "brownfields" in targeted areas through 2001. This
provision encourages the redevelopment of blighted properties, which improves the environment
and makes communities more livable.
Defending Our Environment Against Stealth Attacks: In addition to securing these major new
environmental investments, President Clinton and Vice President Gore stood as the last line of
defense against congressional efforts to attach anti-environmental riders to budget bills. These
riders would have given special deals to special interests by: allowing overcutting of our national
forests and jeopardizing the President's plan to protect more than 40 million acres of roadless
areas; allowing mining companies to dump more toxic waste on public lands and delaying critical
mining reforms; letting major oil companies continue paying below-market royalties on oil
developed on federal lands; crippling critical protections for wetlands and wildlife; and attempting
to block common-sense actions to reduce greenhouse gas pollution.
-12-
MAINTAINING AMERICA'S GLOBAL LEADERSHIP
The Republican Congressional budget would have turned its back on America's leading role in the
world by not providing for peace in the Middle East, leadership at the United Nations, economic
development in the poorest countries, and efforts to halt the spread of nuclear weapons. The President
fought for and secured victories to strengthen America's leading role in the world - by meeting our
commitment to the Middle East peace process, paying our dues and arrears to the United Nations,
making a critical investment in debt relief for impoverished countries, funding efforts to safeguard
nuclear weapons and expertise from the former Soviet Union, and help raise labor standards around the
world.
Promoting Peace in the Middle East: The Congress fully funded the President's $1.8 billion
request arising from the Wye River Agreement, which is essential to promoting peace in the
Middle East. As Israelis and Palestinians move ahead on an ambitious agenda to rapidly conclude
a peace accord, this funding sends an important message of U.S. commitment to building a lasting
peace.
Maintaining Leadership at the United Nations: In an agreement reached between the President
and Congress, the United States will now be able to avoid losing its vote, encourage needed
reforms at the UN, and repay $926 million owed to the UN. This will help meet our obligations to
the UN in order to protect our national security interests and preserve American influence within
the organization and around the world. The bill passed by the Congress and vetoed by the
President would have caused the United States to lose its vote in the General Assembly.
Debt Relief for Poor Countries: The bill provides $110 million to fund reduction of debts owed
to the U.S. government by the poorest developing countries. This amount represents an increase of
$90 million above the Foreign Operations conference agreement funding level for this purpose
($20 million). We now have sufficient resources to finance U.S. participation over the next year in
the bilateral debt aspect of the Cologne Debt Initiative. The agreement also includes authorization
for U.S. support to use a portion of International Monetary Fund (IMF) gold reserves for debt
relief, and additional authorization would permit the use of the full amount of gold earnings.
Together, the funding and authorizations will help to begin to provide debt relief for the world's
poorest nations, and allow them to focus on providing basic needs for their own citizens instead of
paying interest to international creditors. Unfortunately, the agreement omits appropriations for the
U.S. contribution to the Heavily Indebted Poor Country (HIPC) Trust Fund, which will be
necessary to fully finance the participation of some multilateral development institutions in this
historic initiative. We will work with Congress next year to secure this crucial funding as well as
authorization to use the remaining portion of IMF gold earnings.
Promoting International Development: The bill provides $1.1 billion for the U.S. contribution
to multilateral development banks including the World Bank and regional development banks.
This amount represents an increase from the $895 million included in the Foreign Operations
conference agreement; however, it remains lower than the Administration's original request of $1.4
billion. The bill also provides $1.8 billion for development assistance and child survival funding,
over 96 percent of the President's request. This amount includes full funding of the President's
expanded global HIV/AIDS assistance initiative.
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Reducing the Nuclear Weapons Threat and Building Democracy in Russia and the Newly
Independent States: The final bills provide $1.5 billion across the government to fund critical
efforts in the Newly Independent States (NIS) to reduce the threat of nuclear weapons, to promote
democracy, private enterprise, and free speech, and to generally assist in the transition these
countries are undertaking. The bulk of these funds will go to the President's Expanded Threat
Reduction Initiative (ETRI) for programs to increase nuclear security in the former Soviet Union,
dismantle strategic weapons, and strengthen efforts to block transfers of sensitive technology and
expertise. The budget will also allow us to help remove Russian troops from Georgia and
Moldova, and to expand civilian research projects with former Soviet weapons scientists.
Raising International Labor Standards and Protecting Workers: The FY 2000 Budget
includes $70 million for working with developing economies through the International Labor
Organization (ILO), an increase of $30 million over FY 1999. These funds include $20 million to
finance the creation of a new arm of the ILO to provide technical assistance to help countries
implement core labor standards. The agreement also provides $10 million to fund bilateral
technical assistance by the US Department of Labor to developing economies seeking to establish
social safety net programs and design, implement and enforce labor market policies. In addition,
Congress provided the State Department with sufficient funds to allow it to go forward with the
President's initiative to support innovative efforts to eliminate sweatshops.
More Funding for President Clinton's Child Labor Initiative: Last year, the President
proposed a 10-fold increase in funding for the ILO's International Program for the Elimination of
Child Labor (IPEC) - from $3 million to $30 million - and Congress agreed. This year, the
Congress once again fully funded the President's $30 million request. In addition, Congress
provided additional funds sought by the President to support enhanced customs enforcement of the
ban on importation of goods made with forced or indentured child labor. Congress also provided
sufficient funds to the United States Agency for International Development (USAID) to allow it to
go forward with the President's new "School Works!" program, which will help developing
countries provide educational alternatives to abusive child labor. Finally, to help us lead by
example, the budget includes enhanced resources for domestic labor standards enforcement that
should help improve compliance with U.S. child labor laws.
Improving Military Pay and Readiness: The final bill fully funded the President's "trilogy" pay
initiative which includes a significant pay raise, pay table reform, and a change in military
retirement. The bill additionally funds fully all of our critical readiness programs (unit training,
depot maintenance, recruiting, and spare purchases).
Modernizing the Air Force: The final bill restores most of the funding for the F-22, allowing the
program to continue.
Continuing Chemical Demilitarization: The final bill approves the higher funding level passed
by the Senate (the House proposed cuts of $392 million), helping to meet our treaty deadlines
under the Chemical Weapons Convention for destruction of chemical weapons.
EMPOWERING FAMILIES AND COMMUNITIES
President Clinton and Vice President Gore are committed to tapping the potential of America's urban
and rural communities. This budget moves forward on their vision to help revitalize America's
communities and empower families.
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Funding 60,000 New Housing Vouchers for America's Hard-Pressed Working Families: The
budget includes $347 million for 60,000 new housing vouchers for low-income families, building
on last year's level of 50,000. The House and Senate-passed bills had included zero funding for
this initiative. These vouchers will subsidize the rents of America's hard-pressed working families,
enabling them to move closer to economic opportunities.
Additional Funding for Empowerment Zones: The budget provides $70 million in funding for
Rural and Urban Empowerment Zones. The President's budget requested $165 million - $150
million for urban EZs and $15 million for rural EZs/ECs. The House and Senate bills included no
funding. All of the Urban and Rural EZs (20 Zones) and rural enterprise communities (20 ECs)
that were designated by the Vice President in January 1999 as Round II zones will receive funding.
Protecting Rent Subsidies for Low-Income Families: The final budget includes $10.8 billion for
the renewal of all Section 8 contracts, an increase of $1.2 billion from FY 1999. This will ensure
continuation of HUD rental subsidies for low-income tenants in privately-owned housing.
Housing Assistance for Elderly and Disabled: The final budget includes expansion of funding
for affordable housing for the elderly and disabled by $911 million, $57 million above FY 1999,
enabling about 30,000 people to have affordable housing. Also included were core elements of a
Housing Security Plan for older Americans that recognizes the dramatic increase in our elderly
population and the changing housing needs that accompany this demographic shift.
Increased Funding for Homeless Assistance: The President and Vice President proposed a
major expansion of HUD's continuum of care program, designed to help homeless persons obtain
temporary and permanent housing. The final budget includes $1.02 billion in funds for the
homeless assistance grants - a $45 million, or 5 percent, increase over last year.
Extending the Work Opportunity Tax Credit: This tax credit encourages employers to hire
individuals who have traditionally had a hard time securing employment. Targeted groups include
disadvantaged youth, including those living in empowerment zones and enterprise communities,
welfare recipients, and qualified veterans. The maximum credit paid to the employer is as much as
40 percent of an individual's first $6,000 in wages. The President proposed to extend this credit in
his FY 2000 budget and the final budget includes an extension through 2001.
Extending the Welfare-to-Work Tax Credit: This tax credit encourages employers to hire and
retain certain long-term assistance recipients. The maximum credit to an employer is as much as
50 percent of wages, with a maximum credit of $8,500 per qualified employee over 2 years. The
President proposed to extend this credit in his FY 2000 budget and the final budget includes an
extension through 2001.
Access to Jobs Transportation Funds: The final budget includes $75 million to assist states and
localities in developing flexible transportation alternatives, such as van services, to help former
welfare recipients and other low income workers get to work.
Individual Development Accounts: Since 1992, President Clinton and Vice President Gore have
supported the creation of Individual Development Accounts (IDAs) to empower individuals to save
for a first home, post-secondary education, or to start a new business. Last year, Congress passed
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legislation authorizing IDAs, and the final budget includes $10 million for a second round of
demonstration grants.
Continuing To Build a Network Of Community Development Banks Across the Nation: The
final budget includes $95 million for the Community Development Financial Institutions (CDFI)
Fund that will expand the capacity of the network of community development financial institutions
across the country, spurring the flow of capital to distressed neighborhoods and low-income
residents. The President's budget requested $125 million for the CDFI Fund - the House
appropriated $70 million and the Senate appropriated $80 million. The added resources bring
funding up to FY 1999 enacted levels.
More Home Delivered Meals: President Clinton's budget included an additional $35 million for
home-delivered meals, a 31 percent increase over last year's funding level. Hundreds of thousands
of seniors with disabilities depend on nutritious home-delivered meals to help them remain in their
homes. The final bill includes this increase to support the delivery of 146 million meals in FY
2000.
HUD Fair Housing. The final budget includes $44 million for efforts to fight housing
discrimination, a $4 million increase from last year's enacted level, as part of President Clinton and
Vice President Gore's "One America" initiative. This amount includes $6 million to continue the
audit-based fair housing enforcement initiative started last year.
Maintaining Community Service. The VA/HUD bill includes $438.5 million for AmeriCorps,
funding that will support nearly 50,000 AmeriCorps members in community service projects across
the country.
PROGRESS ON THE NEW MARKETS INITIATIVE
In his State of the Union, President Clinton proposed to bring more private investment to all areas of
the United States. The President and Congressional Leaders have agreed to work together to enact
bipartisan legislation to help spur economic development in urban and rural communities that have not
shared fully in the benefits of the nation's strong economy. The New Markets initiative enjoys
bipartisan support.
Funding America's Private Investment Companies (APICs): Provides $20 million of funding
for APICs (subject to authorization), key elements of the President's New Markets Initiative to
leverage $800 million of new investment in underserved areas.
New Markets Venture Capital Program: $16.5 million in funding, subject to authorization, has
been provided for the New Markets program at the Small Business Administration (SBA). This
includes $6 million in funding for the New Markets Venture Capital program, which provides
capital to untapped rural and urban new market areas; $1.5 million for BusinessLINC, which
encourages large businesses to mentor small business owners; and $9 million for technical
assistance to enhance the borrower's probability of success. This program exploits investment
opportunities that are not presently being met by private lenders.
Authorization of the PRIME Program: Congress passed new legislation that included
authorization of the PRIME Act, which will provide micro-enterprise technical assistance through
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competitive grants to micro-enterprise development organizations that focus on low-income
entrepreneurs.
ADDRESSING HEALTH CARE
The President won a $34.5 billion investment in health programs, 11.7 percent above the FY 1999
enacted level, to strengthen the public health infrastructure, provide critical prevention and treatment
services to individuals with mental illness, and advance biomedical research with a historic investment
of $2.3 billion.
Passing the Landmark Work Incentives Improvement Act for People with Disabilities: Since
1998, the President has advocated for the passage of the bipartisan Jeffords-Kennedy-Roth-
Moynihan Work Incentives Improvement Act. Currently, people with disabilities often become
ineligible for Medicaid or Medicare if they work, forcing a choice between health care and
employment. This legislation allows people with disabilities to maintain their Medicare or
Medicaid coverage when they go to work. It also includes a $250 million demonstration, which the
President insisted on fully funding, that allows people with disabilities who are still working and
are not sufficiently disabled to qualify for Medicaid to buy into the program. Finally, the bill
reforms the training system for people with disabilities.
Increasing Access to Health Care for the Uninsured: Fully funds the President's request of $25
million, making a down payment on the President's $1 billion investment in developing integrated
systems of care for the uninsured. It also provides an additional $15 million to identify the best way
to deliver health care services to this population.
Supporting Graduate Medical Education at Children's Hospitals: Fully funds the President's
request of $40 million to support graduate medical education at freestanding children's hospitals,
which play an essential role in the education of the nation's pediatricians.
Caring for the Nation's Elderly. Includes a $43.5 million increase for the new Nursing Home
Initiative, only $1 million below the President's request, for more rigorous inspections of nursing
facilities and improved federal oversight and enforcement of nursing home quality.
Improving States' Capacity to Deliver Health Care Services to the Mentally III: Provides an
additional $67 million above the FY 1999 funding level, for the Mental Health Block Grant, a 23
percent increase over FY 1999 and the largest increase ever.
Preparing For and Preventing Bioterrorist Attacks: Fully funds the President's request of $52
million to stockpile vaccines, antibiotics, and other medical supplies to deploy in the event of a
chemical or biological terrorist attack.
Reducing Racial Disparities in Health Status: Provides an additional $20 million, a 200 percent
increase over the FY 1999 funding level for health education, prevention, and treatment services to
address health disparities among minority populations.
Expanding AIDS Care, Prevention, and Research: The Administration and Congress continue
their strong partnership to address the AIDS epidemic with substantial increases in funding.
Included in the bill are a $73 million increase in funding for HIV prevention activities to help stop
the spread of this disease; an increase of $183 million in the Ryan White CARE Act, which helps
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provide primary care and support for those living with HIV/AIDS; and an estimated $300 million
in additional funds for AIDS-related research at the NIH. Congress and the Administration also
worked closely together to add $80 million in funding to the Minority AIDS Initiative, which
utilizes existing programs to reach African-Americans, Latinos, and other racial and ethnic
minorities that are disproportionately impacted by HIV/AIDS. Consistent with the President's
request, an additional $100 million to fight AIDS internationally was funded. Finally, the
Administration helped protect local authority over HIV prevention activities, successfully
removing language from the District of Columbia appropriations bill that would have tied the
hands of community health agencies in their ability to use needle exchange programs as part of
their overall HIV prevention strategy.
Preventing Childhood Diseases: Provides an additional $62 million, a 4 percent increase over FY
1999 funding levels to provide childhood immunizations nationwide and fully funds the President's
request to eradicate polio worldwide.
Providing Critical Organ Transplants to Those Most In Need: Permits the development of a
more equitable allocation system for the over 63,000 Americans awaiting organ transplants, saving
hundreds of lives a year.
First Time Funding For the Ricky Ray Hemophilia Relief Fund Act: Provides $75 million for
one-time payments of $100,000 to hemophiliacs who were infected with HIV by blood solids
during the 1980s.
Controlling the Spread of Infectious Disease: Provides $29 million to the Center for Disease
Control (CDC), a 21 percent increase over the FY 1999 funding level, for programs dedicated to
emerging infectious diseases and improving disease surveillance systems.
RESPONDING TO THE FARM CRISIS
The Agriculture Appropriations bill included $8.6 billion in emergency funds to assist our Nation's
farmers and ranchers who are suffering through the second year in a row of low commodity prices and,
for many, crop and livestock losses from severe drought and flooding. The bill doubled annual
payments to farmers of major grain crops to about $11 billion. The emergency funds include $400
million to help subsidize the cost of crop insurance premiums and $325 million for livestock and dairy
assistance. In addition, the Administration secured an additional $2.5 billion in farm loans in final
negotiations, as well as $186 million more for, nationwide crop losses - bringing total crop loss funds
to nearly $1.4 billion, as well as $130 million to clear farm fields and streams of debris left by
flooding. The President and Vice President remain concerned that Congress did not address the
underlying issues that exist in the wake of Freedom to Farm legislation and that more needs to be done.
A STRONG RESEARCH AND DEVELOPMENT AGENDA
For six years in a row, President Clinton and Vice President Gore have proposed substantial increases
in the Federal government's research and development portfolio to build a healthier, more prosperous,
and productive future. The final budget increases the President's "21st Century Research Fund" for
civilian research programs by more than $3 billion.
National Science Foundation: A 6.6 percent increase in support for science and engineering
research and education, including $126 million for the Administration's "Information Technology
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for the 21st century" initiative. The NSF supports nearly half of the non-medical basic research
conducted at universities.
National Institutes of Health: Provides $2.3 billion, a 15 percent increase over FY 1999 funding
levels, to build on the President's commitment to biomedical research as a foundation for
combating disease and advancing medical technologies.
Information Technology: The final budget includes more than $80 million in funding for the
Next Generation Internet, which is connecting more than 100 universities at speeds that are up to
1,000 times faster than today's Internet. It also includes $235 million for the Administration's
"Information Technology for the 21ˢᵗ Century" initiative, which will strengthen America's
leadership in the high-tech industries of the future, and accelerate the pace of discovery in all
science and engineering disciplines. Currently, IT industries account for 1/3 of U.S. economic
growth.
Defense Research: Department of Defense (DOD) support for basic and applied research is up
almost 8 percent. DOD is a leading supporter of basic research in computer sciences, mathematics,
oceanography, and most engineering disciplines.
Increases in Science at Department of Energy: Science Programs increased $117 million. DOE,
the principal supporter of the Federal investment in the physical sciences, has supported research
that has resulted in over 60 Nobel prizes. DOE's scientific user facilities are used by more than
15,000 scientists to conduct frontier scientific research, and provide the next generation of
scientists and engineers.
Advanced Technology Program: President Clinton's FY 2000 budget continues to fund ATP's
research and development into cutting-edge high-technologies. While the House proposed
eliminating the program, the final budget will allow ATP funding for an additional $51 million in
new awards. ATP supports the development of high-risk technologies that promise significant
commercial payoffs and widespread economic benefits.
NASA - Investing in Our Future: The budget includes $13.65 billion for NASA, an additional
$100 million. The funding levels passed by the House would have cut the NASA budget by almost
$1 billion. These investments offer the potential of new scientific breakthroughs through an
aggressive robotic series of exploration missions into the solar system, as well as enhancing our
ability to monitor important changes in the earth's climate system, and strengthening aviation
safety for the travelling public.
Extending the Research and Experimentation Tax Credit: President Clinton proposed to
extend the research tax credit because it provides incentives for private sector investment in
research and innovation that can help increase America's economic competitiveness and enhance
U.S. productivity. The final budget extends this research tax credit through 2004. This long-term
extension will encourage companies to undertake new multi-year research activities, secure in the
knowledge that the 20 percent tax credit will continue to be available.
OTHER HIGHLIGHTS
Nutrition for Women, Infants, and Children (WIC): The final budget provides over $4 billion
for nutrition assistance to 7.4 million women, infants, and children through the WIC program, an
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increase of $108 million over FY 1999. The additional funds will allow the program to provide a
monthly package of nourishing supplemental foods, nutrition education, and health care referrals to
7.4 million low-income women, infants, and children who are at nutritional risk - a 25 percent
increase in participation since 1993.
Boosting Funding for Natural Disasters Such as Hurricane Floyd: The budget provides $2.8
billion for the Federal Emergency Management Agency's (FEMA) disaster relief fund to assist
victims with repairs and recovery from natural disasters. This includes $215 million to address
unmet housing needs resulting from Hurricane Floyd that could not otherwise be met by Federal
disaster assistance programs.
Expanding Civil Rights Enforcement: Funding for the Civil Rights Division of Justice was
expanded from $69 million in FY 1999 to $82 million in FY 2000 - a 19 percent increase.
Funding for HUD fair housing programs was increased by $4 million - a 10 percent increase.
Largest Increase In Family Planning Services Since 1993: The President won a nearly $25
million increase for Title X family planning, the largest increase since 1993, bringing the program
to almost $240 million for FY 99. These grants fund family planning clinics providing
reproductive health services and clinical care to over 5 million low-income women.
President's Food Safety Initiative: The bill provides an increase of $59 million for the
President's Food Safety Initiative, which will fund enhanced domestic and imported food safety
inspections; increased outbreak response and traceback work; and expanded research, risk
assessment and education activities. In addition, this increase will fund enhanced Federal-State
inspection partnerships, bioscience research, and Risk Assessment modeling and data collection to
include the pre-harvest phase for all foods.
The Final Bill Strengthens Enforcement of Labor Protections. The final bill provides key
funding increases for worker protection programs including Occupational Safety and Health
Administration (OSHA) oversight of employee pension and health plans, enforcement of wage and
hour laws, and the National Labor Relations Board (NLRB). The final total of $1.3 billion is $105
million (9 percent) above the FY 1999 enacted level. As a result of these increases, OSHA will
conduct approximately 3,000 more compliance inspections thereby increasing the safety and health
of our Nation's workers, particularly those in high-hazard industries. In addition, the Department
of Labor also will be able to implement new health care laws effectively and encourage equal pay
practices that will benefit our workers.
Ensuring That American Families Continue to Benefit From Tax Credits: The budget ensures
that Americans take full advantage of their personal credits-including the child credit, the child
and dependent care tax credit, and the Hope scholarship and Lifetime Learning credits-without
restriction by the alternative minimum tax. The final budget extends these rules for the alternative
minimum tax through 2001.
Encouraging First-Time Homeowners in the District of Columbia: Extend through 2001 the
$5,000 tax credit for low- and moderate-income first-time homebuyers who purchase homes in the
District of Columbia. This tax credit encourages homeownership and strengthens neighborhoods
in the Capital City.
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DESPITE ALL THE PROGRESS IN THIS YEAR'S BUDGET, THERE IS STILL MORE
WORK THAT NEEDS TO BE DONE
November 18, 1999
In the waning days of the session, the President and Congressional Democrats prevailed in making
critical investments to advance the President's comprehensive education agenda, put more police on
the streets, protect the environment, and strengthen America's leading role in the world. Much work
remains for the future.
Passing Common Sense Gun Legislation: While the Administration's successful strategy of
keeping guns out of the hands of fugitives, felons, and children has contributed to record declines
in crime, recent tragic shootings reinforce the need to protect American families from gun violence.
For months, Congress has failed to enact common-sense gun legislation. Congress must pass a
bipartisan juvenile crime bill that includes strong gun measures to: close the gun show loophole;
require child safety locks for handguns; ban the importation of large capacity ammunition clips;
and bar violent juveniles from owning guns for life.
Passing a Strong, Enforceable, Patients' Bill of Rights: For over two years, the American
people have been waiting for Congress to pass a strong, enforceable Patients Bill of Rights. During
that time, the President has exercised his executive authority to extend critical patient protections to
over 85 million Americans. The House passed such legislation earlier this year, but the Republican
leadership is preventing an open debate on it in conference. The President continues to urge the
Congress to recommit to passing this legislation and prevent another year from passing without
action on this important issue.
Strengthening Social Security: The President has put forth a specific proposal to use the benefits
of fiscal discipline and debt reduction to strengthen Social Security, extending its solvency from
2034 to 2050. This would be a down payment on truly saving Social Security. The Republican so-
called "lockbox" legislation would not add a single day to the life of Social Security.
Modernizing and Strengthening Medicare: Although members of both parties joined the
President in the effort to adjust Medicare health care provider payments, Congress failed to address
the growing challenges that Medicare faces. With the number of beneficiaries expected to double
over the next 30 years, Medicare needs adequate resources and the tools to be as efficient as
possible. A long-overdue prescription drug benefit option is also essential for seniors and people
with disabilities.
Reducing Youth Smoking: President Clinton and Vice President Gore have made passage of
comprehensive tobacco legislation to reduce youth smoking a top priority in order to stop kids
from smoking before they start through a significant price increase, measures to prevent tobacco
companies from marketing to children, and critical public health prevention and education
programs. Congressional Republicans have acted as politicians instead of parents, and killed this
year's effort to increase the excise tax on cigarettes by 55 cents a pack. Public health experts agree
that the single most effective way to cut youth smoking is to raise the price of cigarettes.
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Expanding Federal Hate Crimes Laws: At a time when our leaders should be doing all they can
to bring Americans together, the Congress has refused to enact legislation to punish hate crimes.
The President has called for a bill that would make it easier to prosecute crimes based on race,
color, religion and national origin; and that would also include crimes based on sexual orientation,
gender and disability. Congress should take a strong stand against intolerance and hatred by
enacting such legislation without further delay.
Funding the EEOC: Despite EEOC's success in beginning to reduce its backlog of private-sector
cases in the last year, Congress failed to provide the funding which would allow EEOC to meet its
goal of reducing the backlog of cases to 28,000 by the end of 2000. In addition, despite the fact
that women still earn only approximately 75 percent of what men earn, Congress has failed to fund
the EEOC's Equal Pay Initiative to improve compliance with equal pay laws.
Providing for Long-term Care Assistance for the Those Chronic Illnesses and Their
Families: At the beginning of this year, the President proposed a new, $6 billion initiative to
address complex long-term care needs, including an unprecedented $1,000 tax credit that
compensates Americans with long-term care needs of all ages or the family caregivers who support
them for their formal or informal costs. The initiative also supports a new National Family
Caregivers Support Program that provides a range of critical services such as respite, home care
services, and information and referral. Many members of Congress, on a bipartisan basis,
introduced similar proposals, but despite this, the Congress failed to respond and lost an
opportunity to provide critical assistance for this population.
Providing Health Options for Older Americans: In the FY 1999 and FY 2000 budgets, the
President proposed an initiative to expand health options available for older Americans by:
enabling Americans aged 62 to 65 to buy into Medicare by paying a full premium; providing
vulnerable displaced workers ages 55 and older access to Medicare by offering those who have
involuntarily lost their jobs and their health care coverage a similar Medicare buy-in option; and
providing Americans ages 55 and older whose companies reneged on their commitment to provide
retiree health benefits a new health option, by extending "COBRA" continuation coverage until age
65. Despite the fact that the number of uninsured Americans aged 55 to 65 is growing faster than
any other age group, Congress refused to act on this proposal.
Encouraging Small Businesses to Offer Health Insurance: In the FY 2000 budget, the President
proposed an initiative to encourage small businesses to offer health insurance to their employees
through: a new tax credit for small businesses who offer coverage by joining coalitions;
encouraging private foundations to support coalitions by allowing their contributions towards these
organizations to be tax exempt; offering technical assistance to small business coalitions from the
Office of Personnel Management. The President urges Congress to provide new health insurance
options for these vulnerable Americans.
Continuing to Help People Move From Welfare to Work: In January, the President proposed to
invest an additional $1 billion in the Welfare-to-Work program and to reauthorize the program with
several changes including helping more low-income fathers work and support their children. The
Congress enacted eligibility changes similar to those proposed by the Administration to allow
States, tribes and communities to more effectively serve low-income fathers and hard-to-employ
welfare recipients, but failed to provide any new funding.
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Raising the Minimum Wage: The Congress has failed to pass a clean, straightforward bill to
increase the minimum wage by $1 over two years - a step that would simply restore it to the 1982
inflation-adjusted level. Instead, the Senate attached the minimum wage increase to fiscally
irresponsible tax giveaways for special interests. More than 11 million workers would benefit from
a $1 increase in the minimum wage. A full-time, year-round worker at the minimum wage would
get a $2,000 raise - enough for a typical family of four to buy groceries for 7 months or pay rent
for 5 months.
Expanding Trade and Providing Opportunity for Africa and the Caribbean Basin: Congress
should complete work on the Africa Growth and Opportunity Act and the Caribbean Basin
legislation -- crucial to strengthening our economic ties with Sub-Saharan Africa and our
Caribbean and Central American neighbors. This legislation would help increase trade, enhance
opportunity, and boost growth in America and nations in Africa, the Caribbean, and Central
America. The President called for the rapid passage of the Africa legislation in the State of the
Union address and has pressed the case for these bills several times since. The House passed this
legislation overwhelming earlier this summer, but the legislation is now awaiting Conference
action.
Supporting Southeast Europe's Economic Development and Integration: Congress should pass
the Southeast Europe Trade Preference Act submitted by the President, which would authorize
expansion of duty-free treatment to a broad range of imports from the region for five years. This
initiative is an important part of the Stability Pact launched by the President and other leaders last
July, and is designed to strengthen stability and prevent further conflict in the Balkans by
facilitating long-term economic growth.
Promoting Peacekeeping: While the budget goes a long way in meeting the anticipated
requirements for funding UN peacekeeping operations around the world, the Congress did not fund
the full requests. The shortage threatens to undermine fragile peace processes around the world or
to incur additional UN arrears. To promote peace and encourage burden-sharing, Congress should
fully fund UN peacekeeping efforts.
School Construction: Despite record student enrollment and a massive maintenance backlog in
our nation's schools, Congressional Republicans again failed to enact school construction
legislation. The President's school construction proposal would provide funding to help states and
school districts build and modernize 6,000 schools nationwide. We can not hold students to high
academic standards if we do not provide them with adequate facilities within which to learn.
Congress should pass the President's plan and invest in our nation's schoolchildren.
Enacting Comprehensive Campaign Finance Reform: This year, the Congress failed once
again to adopt real, meaningful reform of our campaign finance system. Although the House
passed a bipartisan reform plan, a minority of the Senate blocked further action and left unchecked
the influence of moneyed special interests. The President will continue to fight for comprehensive
campaign finance reform and believes that the Senate should act to restore the public's faith in our
political process.
Child Care Initiative. In his State of the Union, the President proposed an historic child care
initiative to make child care better, safer, and more affordable for America's working families.
The President's proposal included $7.5 billion over 5 years for child care subsidies for low-income
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working families, and tax credits to help millions of working families pay for child care. The
Republican Majority has refused to support these critical investments.
Farm Assistance. The President and Vice President were pleased to get $8.6 billion in emergency
assistance to farmers and ranchers, but they believe that Congress did not address the underlying
issues that exist in the wake of Freedom to Farm legislation. For example, most of the assistance
is not targeted to farmers who need it most, but is available to farmers, both large and small,
whether they have suffered particular difficulty this year or not.
Providing Fairness to Immigrant Families. Congress has failed to take action to provide fairness
to immigrant families by: restoring important disability, health, and nutrition benefits to additional
categories of legal immigrants; restructuring the Immigration and Naturalization Service (INS);
approving the Administration's proposal to support the process of democratization and stabilization
now underway in Central America and Haiti and ensure equitable treatment for migrants from
these countries; or changing the registry date to permit long-term migrants to adjust their status.
Continuing to Empower Communities: Urban and Rural Empowerment Zones were funded at
$70 million in 2000, $55 million for Urban Zones and $15 million for Rural Zones and Enterprise
Communities. Empowerment Zones continue to be a priority for the President and Vice President
and they are committed to supporting and obtaining funding for the Empowerment Zones'
remaining eight years. Without the full 10 years of funding, the Round II Empowerment Zones
and Enterprise Communities, designated in January 1999 by the Vice President, will have difficulty
implementing their community and economic development strategies to revitalize their
communities.
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