European Stars And Stripes (Newspaper) - February 19, 1988, Darmstadt, Hesse                                Paga 28 the stars and stripes Friday. February 19,1938 Reagan submits lean defense budget continued from Page 1 would shrink by 16.2 billion. In addition to the manpower oils the reduced spending would a Cush in the loss of More than 200 combat aircraft and 620 helicopters drilled said. The Navy would also lose 16 frigates and one sub Marine leaving a total of s80 ships a fiscal 1989. That would dash inc service s Long cherished goal of having a 600-Shlp Eccl this year. The Large ate for 600 ships is now fiscal 1992. While each service was expected to share equally in the $32.s billion reduction the final formula would let the army off lightly compared to inc air Force an Navy. The army budget would be Cul by Only 16.9 billion. The air Force would lose s10 billion while the Navy would lose the most si2.3 billion. The e of her $3,3 billion would come Oul of defense agencies. A Pentagon official who asked not to be identified said the army is being protected because of heightened conventional Force concerns in the Wake of the inter mediate Range nuclear forces agreement. Details of proposed Force Structure changes include army the army would lose about 9.000 soldiers by oct. I reducing total strength to 772,600. The lowest total in More than a decade. Additionally about 36,000 civil Ian and selected Reserve personnel would be nil Sav ing More than half a billion dollars. One brigade of the 9th inf div at fort Lewis wash.,would be deactivated and its Mission responsibilities picked up by a unit of the Washington army National guard. The guard s Roland air defense missile unit in new Mexico would be re equipped with the less expensive Chaparral missile. The service also would cancel the planned activation of two Light infantry battalions for the 6th inf div in Alaska. Those cuts would save $4.5 billion. The army would retire a total of 620 oh-58 and us i helicopters for savings of j2,2 billion. Airy the Navy s Active duty Force would not shrink but a planned increase in end strength of 9.000 would be scrapped. The Marine corps would lose Aboul 3,000 personnel. Sixteen frigates built in the Early 1970s and one Poseidon submarine would be Mol Libaud saving $4.4 billion. The ugh naval air Wing at Miramar Nas calif., would be deactivated saving s1.6 billion. Air Force the air Force would lose up to 16,000 Active duty personnel and another 12,000 civilians and selected reserves resulting in $533 million in savings. Funds for the to i St tac fighter Wing would be Culin the Wale of Spain s orders w remove the unit from Torrejon a6 near Madrid Spain. Pentagon spokesman Dan Howard raid at a briefing tuesday hat if an alter native base for the unit can be found in Europe Theair Force would instead deactivate another similarly sized unit based in the United states to absorb that budget  sr-71 spy planes would be deactivated. The budget request docs not specify numbers but the Cut would result in savings of ii12 million. In addition all12 air National guard and air Force Reserve tactical tighter squadrons would be reduced from 24 to in aircraft by fiscal 1991.in the procurement area each service would see in programs terminated Bill again the army would suf Fer less than the other services in terms of lost  army would lose Only s4so million to procure ment cuts compared to More than ii billion for the Navy and $3.2 billion for the air  scheduled for termination include the Aquila remotely pole led reconnaissance plane eh-60 helicopter m-19b howitzer 120mm mortar. Copperhead missile a-6f aircraft the naval Early warning radar Blimp Antl Sal Colite missile o27 aircraft and the Midge Man missile by far the single biggest item marked for termination in the budget the Pentagon estimates Hal 12.1s billion would be saved by cutting the Midge than. Marine from Page t certainly we ant to Rescue  gunmen on wednesday blocked the coastal High Way near Tyre and grabbed Higgins As he returned from a meeting Wilh officials of Justice minister Nabih Barri s Shi he amyl militia. Abdul Majid Salch an amyl political Leader said he and Higgins had Dis cussed efforts to free foreign hostages in Lebanon and other topics at the Tyre meeting. Higgins k serving As chief of an observer group attached to the , peacekeeping Force in Lebanon. Stale department spokesman Charlese Redman said the United Stales would continue supplying sol Diers for the observer group bul declined to say if any new instructions would be sent to inc americans. The caller said William Higgins has joined the hostages. He will Only come Oul after he is tried on grounds that he is one of the directors of the Cia in South Lebanon Higgins is now out of Beirut after he was brought out from the  the caller said a written statement and a photo graph of the captive will be issued soon. Then he Hung  was no Way to authenticate the claim immedi the pro iranian groups islamic jihad islamic jihad for the liberation of Palestine  a Justice and holy warriors have claimed responsibility for kid 13 of the other 24 foreign hostages in lab no one has claimed responsibility for the disappearance of anglican Church envoy Terry Waite. . Helicopters took off at Dawn to join inc search for Higgins but were grounded Early thursday by heavy ram. Troops of the . Interim Force in Leb anon known As uni Fil and the amal militia the dominant Force in the Region searched together through the night.  militia Security men in ears blocked roads along the Litany River from the Mediterranean coast 25 Miles Inland to the slopes of mount Herman. Uniformed militiamen armed with sub machine guns and Rockol proc Llyd grenade launchers patrolled a Levi Milc stretch of the coast from the ass Mich Bridge North of Tyre to the seen of the abduction. Higgins has commanded the 76-Mcmbcr observer group Lebanon since Jan. 8. The group Mode in of officers from 16 countries is attached to the 5,800 Man uni Fil deployed in South Lebanon since 1978 to police the Bonier with  operates in predominantly shiite areas whose population frequently have been caught in Cross fire Between israeli troops on one hand and palestinian guerrillas and iranian backed shiite extremists on the Higgins is the third . Official to be kidnapped in soul Lebanon in two weeks and the second american military officer abducted in  became the 2slti foreigner and ninth american held hostage there. The foreign hostage held longest in Lebanon ii Terry a. Anderson chief Middle East Cor respondent for the associated press. He was abducted March 16,19s5. Campaign from Page t South Dakota primary or Minnesota caucuses next week Simon said wednesday he d quit if he could t come in first in one of those two slates bul he and aides said he was raising enough Money to Stuy the course at Leas through inc 20 super tuesday primary on March 8. Rep. Richard Gephardt who is bidding for a Victory in South Dakota logo with the one he earned in Iowa picked up the endorsement of former nov. Harvey Wollman Gary Hart hew Home to Denver after poor finishes in Iowa and new Hampshire he said his Campaign is not forego and ambition but for a cause. Bush won the new Hampshire primary Afler airing commercials that accused Dole of straddling several Tough issues and the Kansas senator blamed his defeat on what he said were  but Dole campaigning in North Carolina withdrew none of his accusations. I kno this is a rough and Tumble business bul you Don t go out and distort someone s record he said. Budget from Page 1 Chiles said Congress would not agree to sell off As Many government assets As Reagan wants. In thursday s budget message Reagan conceded the new document does not fully reflect my priorities nor presumably i Host of any particular member of  out citing give and take on All sides Reagan told Congress t he goal of deficit reduction through spending reduction must be Paramount the iwo year budget pact struck with Congress Las november in inc Wake of the Stock Market collapse sols limits for both military increases and social pro Gram cuts and restricts new taxes to the 114 billion already passed for 1989 by Congress. The new Reagan budget contends that the econ omy has shown Lew signs of serious damage from last october s Slock Market plunge and that the recent Boom in exports holds out the Promise of continued economic expansion. In fact the new Reagan budget assumes a declining Rale of inflation falling interest Rales and economic growth of 2.4 percent this year and 3,5 percent next year. This projection is More optimistic than forecasts by congressional budget analysis and private forecast ers but closer to their predictions than in previous years. However if growth is even one percentage Point less than Reagan s forecast the deficit would Rise in additional s6.3 billion in 19h9 and s1s billion in 1990, the budget report conceded. Reagan s new budget proposed military spending authority of $199.5 billion in fiscal 1989 and actual outlays for the year of s294 billion up from $291.4 billion in 1988 in budget authority and $285.4 billion in outlays. That increase which does t even keep Pace with last year s 4.4 percent increase in inflation represents inc smallest military spending increase Ever sent to Congress by a Czigan. It i Likely to result in reductions in some of the military forces and weapons programs that have grown substantially since he became presi Dent. Reagan s budget recycles a number of favorite administration proposals for reducing government pro Grams. These include the abolition of the interstate com Merce commission the economic development administration Small business administration direct Loans Urban development action Grants and Public subsidies for at Trak rail passenger service and mass transit systemic in addition Reagan again proposed the Sale of naval Petroleum reserves and some regional Power Maricl ing authorities including the Alaska Power administration. At the same time the president laced his 1989 re quest with a number of items certain to be politically palatable including nearly $2 billion in spending authority to combat the Scourge of aids a 38 per cent increase Over 198 8 Levels in addition Reagan who last year caused con Gressional consternation by proposing Sharp cuts in education spending proposed a Al .5 billion increase in education outlays a Rise of 8 percent Well Over inflation the new budget also earmarked si.6 billion in system and a $430 million increase for the superfund program to clean up hazardous was file. Other new proposals for spending authority in Rea Gan s 1989 budget a request for $437 million More than double last year s budget for Federal prison construction to relieve overcrowding. A 13 percent increase to $3.9 billion for drug Law enforcement and treatment programs. A request for $11.5 billion for space programs including the program to Orbil a manned space station and to improve the performance and reliability of the space shuttle. Spending of $363 million to begin construction of the superconducting super Collider the largest pure science project Ever undertaken stepped up Law enforcement efforts with a Ocus on while Collar crime organized crime and terrorism. Full funding for a $2,5 billion five year program to combat acid ram. Although the budget proposal would come in under the $136 billion deficit ceiling specified by the Gramm Rudman Law part of the savings would be accomplished with the Sale of Federal assets including about s12 billion in Federal Loans