Key House leaders pledge to avert shutdown

House appropriations leaders assured panel members Thursday they will work to avoid a government shutdown, as Republicans and the Clinton administration headed for a showdown over using the budget surplus for spending and tax cuts.

Although some Republicans have speculated that Democrats might force the federal government into a shutdown to push for more spending, House Appropriations ranking member David Obey, D-Wis., told committee members, "As far as this side of the aisle, that is not in the cards."

Obey noted that Republicans have discussed the possibility of passing a short-term continuing resolution to keep the federal government funded while last-minute appropriations deals are cut. He said that if Congress passes a clean CR, President Clinton will sign it.

House Appropriations Committee Chairman Bob Livingston, R-La., assured the committee that Republicans will support a clean CR if a short-term funding extension is needed. Discussing a possible shutdown, Livingston said, "Those prospects are extremely dim."

In Appropriations Committee action, the panel defeated, 30-22, a Democratic amendment calling for the full $18 billion for the International Monetary Fund. It also defeated a proposal to add IMF reforms passed by the Banking Committee and labor and environmental reforms.

House Foreign Operations Appropriations Subcommittee Chairman Sonny Callahan, R-Ala., said it might be "a little premature" to approve the full IMF funding.

But Democrats said supporters have been waiting for more than a year for the funding. Obey said IMF opponents are playing a "high-risk game," adding, "The IMF is an imperfect instrument, but it's the only instrument we have."

The panel also approved an amendment that prohibits federal funding to international groups that perform abortions, but allows a presidential waiver for groups to use their own funds.

The plan also prohibits funding for groups that lobby on abortion. Traditionally, those provisions have been debated on the floor, but have not been in the committee bill.

Meanwhile, the administration and congressional Republicans are headed for a major fight over use of the surplus.

The administration and Senate Appropriations Committee Chairman Ted Stevens, R-Alaska, have said that certain spending should be classified as emergency spending and be outside the discretionary spending caps, meaning the money would come from any budget surplus.

However, House Republicans have said that while they might be willing to use the surplus for a tax cut, they would oppose efforts to use it in appropriations bills.

"I am disappointed that the House leadership has called for breaking our budget discipline by squandering the surplus prior to saving Social Security first," White House Chief of Staff Erskine Bowles said in a letter this week to House Speaker Newt Gingrich, R-Ga.

Bowles said Congress should not waive budget rules to pay for the tax cuts with the surplus.

Bowles added, however, that budget rules and past Congresses have allowed emergency spending to occur above the discretionary spending caps. He specifically mentioned aid to farmers, embassy safety, the solution to the Year 2000 computer problem and funds for Bosnia as emergency areas.

Another administration official echoed those comments Thursday, after Republicans again discussed using the surplus for tax cuts.

"This is not the time to throw budget discipline to the wind," the administration official said, adding that emergency spending traditionally has been used for "unforeseen, one-time events."

In other budget news, Rep. Jim Nussle, R-Iowa, said Thursday he expects the budget process reform task force he chairs to have recommendations completed next week. Those recommendations will be submitted to the Budget Committee before they are announced, he said.