European Stars and Stripes (Newspaper) - October 29, 1990, Darmstadt, Hesse                                Page 6 a a a the stars and stripes monday october 29,1990few will escape the budget s bite Washington not the Defi Cit reduction Bill passed saturday by Congress will touch almost everyone in the United states from Young children to frail elderly people As Well As banners Bankers College students and War veterans. The Bill has been promoted As a Way to help save nearly $300 billion Over five years but it is also a grand statement of social policy and political priorities. The measure which includes higher taxes and spending cuts is notable for its relative generosity to poor children who will Benefit from $18 billion in new tax credits for Low income families Over the next five years and from an expansion in health insurance coverage for such families under medicaid. Elderly people also fared much better Tan they might proposals _ _ Between congressional leaders and Bush than they might have ejected based on that emerged from negotiations administration officials just four weeks ago. Cutbacks in medicare the Federal health insurance program for the elderly and disabled would save a total of $42.5 billion Over five years under the final Compromise. This is much less than the $60 billion envisioned in the budget agreement that was negotiated at the Andrews fab Summit in Maryland. The Bill would provide a tax credit to help Small businesses pay for elevators or other structural changes needed to comply with a new Law that bans discrimination against people with disabilities. It also permits states to cover Home care for Low income elderly disabled people under medicaid on the Assumption that such care will Cost less than nursing Home care. At the same time Congress is imposing a new a luxury tax on expensive cars air planes yachts and furs. In addition after 10 years of lobbying by the Reagan and Bush administrations Congress agreed to impose a fee on owners of recreational boats on the theory that they Benefit from coast guard services and thus should Bear some of the costs. Michael g. Sciulla vice president of the boat owners association of the United states who has fought such fees for a decade said saturday a Congress was hungry for revenues of any kind without regard for the merits of the Issue. This fee will hit As Many As 3 million americans who own modest size boats 16 to 20 feet in length and that certainly is no  Here is a summary of changes that would be made under the legislation. In congressional parlance savings represent reductions from the amounts theoretically needed to continue Federal programs at current Levels. Outlays for a particular program often increase even though lawmakers say they have saved Money by trimming benefits or charging higher  farm programs Long resistant to the budget cutters Scalpel will be trimmed sharply. The government will pay lower crop subsidies to growers of wheat feed Grams Cotton and Rice and it will charge a a service feel to Dairy Farmers for the Dairy Price support program. The government will also charge Small fees when making payments to support the Price of commodities such As sugar peanuts tobacco and Honey. Two Federal lending agencies the Farmers Home administration and the Rural electrification administration will reduce their direct Loans and increase the use of loan guarantees. Such guarantees Are less expensive to the government because the Treasury pays out Money Only when borrowers default. The savings total $1.6 billion in the current fiscal year and $14.9 billion Over five  across the political spectrum from conservative republicans to Liberal democrats Congress has adamantly opposed White House efforts to Cut veterans benefits. But fiscal realities caught up with Congress this year and lawmakers began to snip away at the network of programs that Benefit veterans Young and old. The Bill eliminates the presumption that veterans who served in wartime Are totally disabled and therefore eligible for veterans pensions at the age of 65. The government will increase fees for Home mortgages made or insured by the department of veterans affairs will charge a $2 fee on prescription drugs for certain outpatients at a hospitals and will try to collect payment from private insurers for the Cost of health care unrelated to a veterans military service. Overall changes in veterans programs save $621 million this year and $3.7 billion Over five  care the government has earmarked $732 million this year and slightly larger amounts in later years for Grants to the states to help pay for child care. The formula for distributing the Money takes account of the number of children under the age of 5 and the number receiving assistance through the school lunch program. Potentially More significant is Congress decision to expand the existing Federal tax credit for Low income working families with children. The maximum credit will be increased and families with More children can get larger credits. Expansion of this tax break will Cost the government $12 billion Over five years. In addition Congress decided to establish a new tax credit for the costs of premiums on private health insurance that covers children in Low income families. Preliminary estimates suggested that this provision could Cost $5 billion to the government Over five years but few lawmakers knew the details because they were not worked out until late Friday  lawmakers found they could reduce the budget deficit while shoring up the Federal fund that insures Bank deposits. The condition of the fund has been a growing concern. Federal regulators will be Able to increase premiums paid for de Ijo sit insurance by Banks and savings and Oan associations. Premiums for commercial Banks now 12 cents for each $100 of deposits will Rise to 19.5 cents in january 1991 and to 23 cents in january 1992. This change is expected to save $1.1 billion this year and $9 billion Over five  the government will charge higher premiums for mortgage insurance offered by the Federal housing administration. It would also increase the maximum amount eligible for such insurance to $124,875 so the government would insure More Loans and collect More premiums. It is estimated that these and other changes in the Agency will save $609 million this year and $3.6 billion Over five years. The Federal emergency management Agency could also increase premiums charged for flood insurance to bring in an additional $224 million Over five  the government will no longer guarantee Loans to students attending certain colleges or Trade schools with High default rates a in excess of 35 percent in 1991 or 1992 and 30 percent in later years. Historically Black colleges will be exempted until july 1994. The restriction could affect 1,000 of the 7,000 schools in which students receive guaranteed Loans. Most would be Trade schools which teach Auto repair truck driving and other such skills. There will be a 30-Day delay in disbursement of guaranteed Loans to those entering colleges and Trade schools next year. In the past substantial numbers of new students would get Loans drop out of school and default. Savings Are not expected in the current fiscal year but will total $1.7 billion Over five  the maximum civil penalty that could be imposed by the occupational safety and health administration for a wilful violation of Federal Law will be increased to $70,000, from $10,000. The maximum penalties have not been increased since Osha was created 20 years ago. The maximum that can be imposed by the Federal mine safety and health administration will Rise to $50,000, from $10,000. The Flat Premium paid by private employers for Federal insurance of pension benefits will Rise to $19 from $16 for each participant in a pension plan. The increases in penalties and premiums Are expected to generate $232 million this year and $1.8 billion Over five years. Tugboats free dredge in . Island residents face shortages Hatteras . A tugboats freed a dredge saturday that knocked out the Only Road link to the Mainland for thousands of people on North Carolinas outer Banks. Residents and tourists on Hatteras Island faced a 30-hour wait for ferries their Only transportation to the Mainland since the dredge broke free of moorings in a Gale Friday and hit Herbert Bonner Bridge. The  Island dredge took out a 369-foot Section of the Bridge and snapped Power lines that ran underneath the Span leaving about 8,000 people on Hatteras and Ocra Coke islands without electricity and Telephone service. Generators flown in by helicopter were used to restore Power to some people while Utility Crews worked on putting up temporary lines expected by sunday. The temporary lines could not be put up until the dredge was pulled from Sand. It took three tugboats about two hours to remove the dredge. There was a six hour wait to get on a ferry from Hatteras to Ocracoke where the wait for a ferry was 24 hours for the final leg to the Mainland. Residents were warned to conserve water and fuel. Cop seeking intruder kills resident Kansas City to. Apr a police officer who entered an apartment in search of a prowler fatally shot the Man who lived there As he walked from his bedroom. Terry Barnes 26, who was unarmed was shot once in the head saturday police said. The name of the officer a two year member of the Force was not disclosed. He was placed on paid leave pending the results of a department investigation. Police chief Steven Bishop said the shooting was a tragedy but defended the 32-Vear-old officer and another officer who entered the unlocked apartment. A this is a tragic Chain of events that is regrettable for or. Barnes family and for this officer a Bishop said. A the officers were reacting appropriately to a number of circumstances which together led them to that apart  the officers were responding to a prowler report about 3 30 . At an apartment Complex police said. At the first apartment they visited two men reported hearing someone in their living room and seeing a Man run out the door which had been kicked in a police statement said. While the officers investigated two other people contacted them and reported seeing someone running through another apartment building in the same Block. The officers went to that building entered Barnes apartment announced themselves As police officers and began looking for the prowler the statement said. The officer who shot Barnes pulled the trigger after he opened a bedroom door and saw Barnes coming toward him police said. Stateside upcoming baby Boom linked to Iowa ice storm Des Moines Iowa apr Central Iowa hospitals Are bracing for a late fall baby Boom believed linked to a March ice storm that left Many Homes without heat or electricity for Days. Des Moines hospitals that offer childbirth classes report Sharp increases of enrolment among families expecting babies in late november or Early december. Health professionals speculate most of those babies were conceived in Early March after a storm that toppled Power lines and left Many Homes without electricity for As Long As three  copy of declaration to go on display in . Exeter . Apr a 214-year-old copy of the declaration of Independence will be put on display. The society of the Cincinnati which owns the 18th-Century House where the document was discovered several years ago has agreed to let the state display the mint condition copy 100 Days a year. The document was one of an estimated 600 printed in Philadelphia 214 years ago. Only 23 Are Nown to have survived. Charles Clarke a descendant of the Man who told Exeter residents of the nations Independence on july 16, 1776, read the document during a news conference where officials announced the agreement