Economic plan unsettles Dems

Benjamin Grove

Wednesday, Jan. 29, 2003 | 9:43 a.m.

WASHINGTON -- Nevada lawmakers generally supported President Bush's foreign policy goals but were divided along party lines on his economic proposals.

Bush in his State of the Union address Tuesday outlined a solid case for war in Iraq, Nevada Republicans in Congress said.

"He did what he wanted to do. He set up going to the U.N. and laying it all out," Sen. John Ensign, R-Nev., said.

Sen. Harry Reid, D-Nev., impressed with President Bush's commitment to fighting AIDS in Africa, also gave Bush high marks for his focus on Iraq.

Still, Reid again called on Bush to make a clearer case for war. Reid said it was "incumbent" on Secretary of State Colin Powell to produce fresh evidence that Iraq is producing weapons. Powell is expected to do that when he speaks to the United Nations Feb. 5.

Nevada's two Democrats had lukewarm response to Sen. Edward Kennedy, D-Mass., who proposed Tuesday night that Congress pass a second resolution on Iraq. Lawmakers in October authorized use of force.

"I haven't seen exactly what he wants, we'll take a look at it," Reid said. Rep. Shelley Berkley, D-Nev., joined the state's GOP lawmakers saying there was no need for a second resolution.

"The case is stronger today" than in October, Ensign said.

Berkley said Bush made a "first step" in outlining his case for war. The U.N. Security Council is not likely to be convinced with the evidence made public so far, Berkley said.

"When I meet with the people in Southern Nevada, they want a compelling reason before they send young men and women into harm's way," Berkley said. "Let's get the cards on the table."

Nevada's five members of Congress, in attendance in the House chambers for Bush's address, praised Bush's serious tone as he confronts the battered economy and Iraq. The lawmakers differed sharply on Bush's economic plan. The state's Republicans support Bush's $674 billion proposal, which is mostly tax cuts.

Freshman Rep. Jon Porter, R-Nev., attending his first State of the Union address, said he was impressed with Bush's "decisive" and "compassionate" economic proposals.

But Bush's speech contained an obvious omission -- the swelling budget deficit, Democrats said.

"He said the economy is recovering -- what does he base that on?" Reid asked. "He squandered the surplus. The $6 trillion surplus is gone. His plan does nothing to create jobs."

Reid and Berkley back Democratic proposals to give more money directly to cash-strapped states and to give smaller tax relief to lower and middle income Americans.

"I am in favor of an economic plan that is going to get people back to work," Berkley said, saying she was "deeply disappointed" with Bush's proposal.

Berkley said Bush has not proposed money to pay for his education reform proposals. Berkley is upset Bush's budget has not included money for after-school, summer-school and mentoring programs, for instance.

"He talks about no child being left behind, but he must not be talking about the children I represent in Clark County," Berkley said.

Ensign said he expects Bush to get much of what he wants this year given that the GOP controls both the House and Senate, including a prescription drug benefit for seniors covered by Medicare. Congress is likely to pass most of Bush's tax cuts, Ensign said, although he predicted Bush's desire to eliminate taxes on stock dividends offered to shareholders "won't look exactly like" Bush envisions it.

Ensign said he was pleased to see Bush call for a liability cap on medical malpractice lawsuits. The legislation suddenly has a good chance now that doctors are walking off the job all over America in protest of high insurance rates, Ensign said.

Reid doesn't like the proposal.

"Let states deal with it -- that's what Nevada did," Reid said. "That's not a national issue."

Gov. Kenny Guinn said he thinks the United States will be going to war but it will be different than the Gulf War. The enemy this time may hit this nation with terrorist attacks and that could hurt the travel industry including the Nevada casinos.

He said he can't make a decision about Nevada's budget before any conflict starts.

"We may know in March and the session (of the Legislature) is still in," Guinn said. "I may have to present something different (in the budget). We may be in a survival mode."

He said Bush's drug prescription drug plan could help Nevada "immensely" because it would take up some of the slack. "Health care and prescription drugs are driving the budget for us."

The Nevada lawmakers had high praise for Bush's ambitious -- and expensive -- proposals to spend $15 battling AIDS in Africa and the Caribbean and to spend $1.2 billion on research in this nation to develop environmentally friendly hydrogen-powered engines.