Breakfast with Dick Darman, March 27, 1990

Transcription (Scripto)

Download Full Text Only (DOCX)

Extent (Dublin Core)

20 pages

File Name (Dublin Core)

lead_398_014_all

Title (Dublin Core)

Breakfast with Dick Darman, March 27, 1990

Date (Dublin Core)

1990-03-27

Date Created (Dublin Core)

1990-03-27

Congress (Dublin Core)

101st (1989-1991)

Policy Area (Curation)

Economics and Public Finance

Creator (Dublin Core)

Dole, Robert J., 1923-2021

Record Type (Dublin Core)

attendance lists

Names (Dublin Core)

See all items with this value Darman, Richard Gordon, 1943-2008

Rights (Dublin Core)

http://rightsstatements.org/vocab/CNE/1.0/

Language (Dublin Core)

eng

Collection Finding Aid (Dublin Core)

https://dolearchivecollections.ku.edu/index.php?p=collections/findingaid&id=26&q=

Physical Location (Dublin Core)

Collection 007, Box 398, Folder 14

Institution (Dublin Core)

Robert J. Dole Institute of Politics, University of Kansas, Lawrence, KS

Archival Collection (Dublin Core)

Robert J. Dole Republican Leadership Collection, 1985-1996

Full Text (Extract Text)

MEMORANDUM
March 26, 1990
TO: Senator Dole
FROM: Kathy Ormiston
SUBJECT: Breakfast with Richard Darman Tuesday, March 27, 8:30 - S-230

Senators Attending:
Dole
Simpson
Chafee
Domenici (will be late)
Hatfield
Armstrong
Boschwitz (crossed out; "sick" handwritten)
Durenberger (can only stay (1/2) hour)
Gramm
Grassley (handwritten: "late")
Lott
Rudman
Symms

Budget Updates:
The Senate Budget Committee has again postponed marking up a budget resolution. Senator Mitchell is too busy on Clean Air to help Senator Sasser put together a plan. May begin mark-up next week or, more likely, may wait until after the recess.

I have heard that the general attitude of Budget Committee Republicans is that it is Senator Sasser's responsibility to put together a budget. If he can't do it, let him squirm. Remember the deadline set by the Budget Act for reporting out a budget resolution is April 1.

Representative Panetta is shopping around the following plan with House Democrats: $14 billion from defense, $14 billion from taxes, $2 billion in user fees, $6-7 billion from entitlement cuts, and $1 billion from interest saved -- for a total of $37 billion. The House will likely move a budget after the Easter Recess.

Bill Hoagland wants Republican Senators to be aware that Darman is now saying that because of changes in the economic forecast, the goal for deficit reduction should be $50 billion and not $37 billion.

Supplemental Update:
Since nothing is really happening with the budget, the focus is on the supplemental, which is expected to move in the House later this week. According to Bill Hoagland, there is $300 million included for domestic purposes (including $100 million for "Southern Projects" -- disaster aid for Alabama floods and other Whitten projects), $95 million for unemployment administration, $400 million in credit guarantees for Israeli housing, and language on El Salvador.

In addition, there will be a move to modify the Panama supplemental to shift $100 million to Jamaica and Haiti. The House is also close to coming to an agreement on defense offsets.

Attachments:
Bill Hoagland has put together some summary charts that you might find helpful.

1. OMB Estimate of Bush Budget Deficit
2. CBO Estimate of Bush Budget Deficit
3. Comparison of President's Budget with Rostenkowski Plan
4. Major Initiatives in Administration's 1991 Budget
5. Major Terminations in Administration's 1991 Budget
6. $37 Billion Sequester in 1991
7 One-Year Outlays Freeze
8. One-Year Programmatic Freeze

OMB Estimate of Bush Budget Deficit
($ Billions)

1991
1992
1993
1994
1995
OMB Baseline
100
73
39
13
+13
OMB Estimate of Bush Budget
63
25
+6
+11
+9
Gramm-Rudman Target
64
28
0
0
0
Total Deficit Reduction
37
48
45
24
23
Data provided by the Senate Budget Committee, Republican Staff, March 14, 1990

CBO Estimate of Bush Budget Deficit
($ Billions)

1991
1992
1993
1994
1995
CBO Baseline
161
124
143
121
110
CBO Re-estimate of Bush Budget
130
84
79
47
11
Gramm-Rudman Target
64
28
0
0
0
Total Deficit Reduction
31
41
54
74
99
Data provided by the Senate Budget Committee, Republican Staff, March 14, 1990

Comparison of President's Budget with Rostenkowski Plan
(Deficit reduction in $ billions)

President
1991
President
1991-95
Rostenkowski
1991
Rostenkowski
1991-1995
CBO BASELINE DEFICIT
161.5
649.8
161.5
649.8
DEFICIT REDUCTION COMPONENTS:

Defense
-3.2
-88.9
-10.0
-150.0
International
+0.9
+0.7
-0.3
-2.8
Domestic Discretionary 1/
-1.3
-13.5
-2.7
-23.7
Entitlements:

Medicare
-5.2
-48.0
-2.4
-19.4
Agriculture
-1.5
-21.7
--
--
COLAs
-1.4
-15.7
-9.0
-58.7
Other
-4.4
-25.3
--
--
Subtotal
-12.5
-110.7
-11.4
-78.1
User fees and other receipts 2/
-3.4
-20.7
--
--
Asset sales 3/
-0.3
-7.9
--
--
Total spending
-20.2
-241.0
-24.4
-254.5
Revenues
-9.4
-16.8
-29.0
-195.2
Debt Service
-1.1
-40.0
-1.6
-61.9
TOTAL DEFICIT REDUCTION
-30.6
-297.8
-55.0
-511.6
PLAN DEFICIT
130.9
352.0
106.4
138.1
NOTE: Based on Congressional Budget Office estimates/ Sums may not add to totals because of rounding.
1/ Excludes user fee proposals requiring substantive legislation. The CBO re-estimate of the president's Budget classified such fees in the discretionary category. All user fees are shown under the "User fees and other receipts" line on this table.
2/ CBO left out of their analysis Medicare user fees totaling $200 million in 1991, $1.1 billion over 1991-95. These are not included in table.
3/ Includes CBO estimates of the following asset sales: Helium fund, power marketing administration, college housing loans, and unspecified.
Data provided by the Senate Budget Committee, Republican Staff, March 14, 1990.

Major Initiatives in Administration's 1991 Budget
($ billions)

1991

1991-1995
Program
BA
O
BA
O
Aviation programs
0.8
0.1
6.2
4.6
UN Arrearages
0.8
0.8
1.7
1.6
Shuttle Operations
0.8
0.6
5.1
4.7
Space Station
0.6
0.3
4.0
3.7
America the Beautiful
0.6
0.4
3.2
2.8
Headstart
0.4
0.3
1.6
1.5
Aid for East Central Europe
0.3
0.2
1.6
1.5
Space Science
0.3
0.2
3.1
2.6
Moscow Embassy
0.3
*
0.3
0.3
FBI/DEA/OCDE
0.3
0.2
0.9
0.8
IRS Enforcement
0.3
0.2
2.4
2.2
Judiciary
0.3
0.2
1.7
1.6
School Improvement
0.3
*
0.7
0.6
HOPE
0.4
*
4.7
2.2
Legislative Branch
0.2
0.2
0.7
0.7
Energy Supply R&D
0.2
0.1
0.8
1.1
National Science Foundation
0.2
0.1
3.1
2.5
EPA
0.2
0.1
0.5
0.4
Veterans Medical Care
0.2
0.2
0.8
0.8
Rural Housing Voucher
0.2
*
1.5
0.5
Human Exploration Initiative
0.2
0.1
3.9
3.0
Child Care Tax Credit
0.2
0.2
8.5
8.5
DOJ Legal Activities
0.2
0.2
0.8
0.7
Veterans Construction
0.2
*
0.9
0.4
Drug Grants for Housing
0.2
0.1
0.7
0.7
Coast Guard
0.2
0.2
0.8
0.9
SSC
0.1
0.1
1.2
1.1
Earth Observation System
0.1
0.1
4.9
3.8
Minority Health
0.1
0.1
0.6
0.5
Space Transportation
0.2
0.1
1.0
0.9
Medicaid/Medicare Managed Care
*
0.2
0.1
1.5
State Unemployment
--
0.2
--
1.5
Other Initiatives
0.5
0.1
1.4
4.3
TOTAL INITIATIVES
9.9
5.9
69.3
64.4
*represents less than $50 million
Source: CBO's Analysis of the President's Budgetary Proposals for 1991
Prepared by SBC Minority Staff, 3/20/90

Major Terminations in Administration's 1991 Budget
($ billions)

1991

1991-1995
Program
BA
O
BA
O
Lump Sum Retirement
*
1.3
6.7
8.5
REA Direct Loan
1.1
0.1
4.4
2.9
AMTRAK
0.6
0.6
3.4
3.4
Federal Corp Insurance
0.4
0.4
2.3
3.4
Mass Transit Operating Assistance to Cities
0.5
0.4
2.9
2.7
EPA Construction Grants
0.4
*
6.0
1.7
Highway Demonstration Projects
0.2
0.1
1.3
1.6
President's Disaster Fund
0.2
0.1
1.3
1.0
Energy Conservation Grant
0.2
0.1
1.2
0.9
EDA
0.2
*
1.1
0.6
Interstate Transfer Grants
0.2
*
0.9
0.3
Trade Adjustment Assistance
0.1
0.1
0.7
0.7
Impact Aid Part B
0.1
0.1
0.8
0.8
Sec. 312 Rehab Loan Fund
0.1
*
0.1
0.3
Certain Justice Grants
0.1
*
0.4
0.3
Washington Metro Grants
0.1
*
0.4
0.1
Other Terminations
0.1
*
0.6
0.6
Total Terminations
4.6
3.1
34.5
29.8
*represents less than $50 million
Source: CBO's Analysis of the President's Budgetary Proposals for 1991
Prepared by SBC Minority Staff, 3/20/90

$37 Billion Sequester in 1991
(Outlays, $ Billions)

1991
1992
1993
1994
1995
Defense
19
25
30
32
33
Nondefense discretionary
14
22
26
27
29
Entitlements and other mandatories
4
1
--
--
--
Debt service
1
5
9
14
19
Total savings from sequester
37
54
65
73
82
NOTE: Percentage reductions: Defense - 9.4%, Nondefense - 13.1%. SOURCE: Congressional Budget Office
Data provided by the Senate Budget Committee, Republican Staff, March 14, 1990

ONE-YEAR OUTLAY FREEZE
(Outlays, $ Billions)

1991
1992
1993
1994
1995
Defense
10
14
16
18
19
Nondefense Discretionary:
13
21
25
28
32
Entitlements and other mandatories and net interest
46
51
62
72
84
Total savings from one-year freeze:
69
86
103
118
135
SOURCE: Congressional Budget Office
Data provided by the Senate Budget Committee, Republican Staff, March 14, 1990

ONE-YEAR FREEZE
(Outlays, $ Billions)

1991
1992
1993
1994
1995
Defense
Pay and program freeze
6
9
11
12
12
Nondefense discretionary:
Pay and program freeze
4
7
8
8
9
Entitlements:
COLA a/ and medicare reimbursement rate freeze
11
16
17
17
17
Debt service:
1
3
6
9
12
Total savings from one-year freeze:
22
34
40
46
50
a/ Non-means-tested programs only
SOURCE: Congressional Budget Office
Data provided by the Senate Budget Committee, Republican Staff, March 14, 1990

Questions for Darman
1) We've heard rumors that you have been negotiating a higher defense number with House Democrats. Is this true?
2) You've testified that because of reestimates in the economic forecast, Congress should be prepared to find up to $50 billion in budget cuts. The end of January you sent up recommendations for $37 billion in budget cuts, are you planning on making suggestions for another $13 billion?
3) There seems to be disagreement between CBO and OMB on the on- or off-budget treatment of approximately $30 billion in RTC working capital. Is there any way we can get this resolved early on in the year, so we avoid last minute game playing on this issue?
Bob:
4 ) How do you justify "phasing in integrity" in the treatment of the Social Security Trust Fund.
Sheila:
5) Have you or Treasury officials had any conversations with Rostenkowski on revenues or any other aspect of his plan?
6 ) CBO has scored no savings from your IRS management reform proposal. Be honest with us, this is a gimmick, isn't it?
7) Now that we've entered into a discussion of removing the Social Security Trust Fund from the budget, how do we justify keeping the other trust funds on budget? I've received a lot of mail on this subject recently.
Dave Spears:
8) How serious is OMB about a means testing provision in the Farm Bill?

DICK DARMAN BREAKFAST
TUESDAY, MARCH 27, 1990
8:30 - S-230
Dole (check mark)
Simpson (check mark)
Domenici (still checking) (check mark; "still checking" crossed out; handwritten: late)
Armstrong (check mark)
Boschwitz (crossed out)
Chafee (check mark)
Durenberger (check mark) (handwritten: leave at 9:00)
Gramm (check mark)
Grassley (check mark) (handwritten: - late)
Hatfield (check mark)
Lott (check mark)
Rudman (check mark)
Symms (check mark)

Bill Hoagland, Budget Committee (check mark)
Kathy Ormiston (check mark)

Handwritten at top of page: Russell
YEAS
NAYS
Armstrong
Bond
Boschwitz
Burns
Chafee
Coats
Cochran
Cohen
D'Amato
Danforth
Dole
Domenici
Durenberger (illegible handwritten note by name)
Garn
Gorton
Gramm (handwritten note: + Slayton)
Grassley
Hatch
Hatfield
Heinz
Helms
Humphrey
Jeffords
Kassebaum
Kasten
Lott (handwritten note: Hayley Helbren)
Lugar
Mack
McCain
McClure
McConnell
Murkowski
Nickles
Packwood
Pressler
Roth
Rudman
Simpson
Specter
Stevens
Symms
Thurmond
Wallop
Warner
Wilson
(Printed by the Secretary for the Minority)
GPO: 1990 25-776 (m)
Handwritten at bottom of page: "Page: Maria Rogahn"

Handwritten at top of page: "Dirksen + Hart"
YEAS
NAYS
Armstrong (handwritten note: N. Waage)
Bond
Boschwitz (handwritten note: illegible)
Burns
Chafee (handwritten note: D. Evans)
Coats
Cochran
Cohen
D'Amato
Danforth
Dole
Domenici
Durenberger (handwritten note: illegible)
Garn
Gorton
Gramm
Grassley (handwritten note: D. Latha)
Hatch
Hatfield (handwritten note: J. Brown)
Heinz
Helms
Humphrey
Jeffords
Kassebaum
Kasten
Lott
Lugar
Mack
McCain
McClure
McConnell
Murkowski
Nickles
Packwood
Pressler
Roth
Rudman (handwritten note: J. Reynolds)
Simpson
Specter
Stevens (handwritten note: S. Palmer)
Symms (handwritten note: L. Perkins)
Thurmond
Wallop
Warner
Wilson
(Printed by the Secretary for the Minority)
GPO: 1990 25-776 (m)
Handwritten at bottom of page: "Page: Maria Rogahn"

DICK DARMAN BREAKFAST
TUESDAY, MARCH 27, 1990
8:30 - S-230
Senators that have accepted:
Dole
Simpson
Domenici (still checking)
Hatfield
Armstrong
Boschwitz
Gramm
Grassley
Lott
Rudman
Symms
Stevens

Bill Hoagland, Budget Committee
Kathy Ormiston

Handwritten names:
Add Chafee
Dick Darman

Senators that declined:
Cochran
Packwood
Gorton
Kasten

Do you want to invite any of the following:?
Bond
Chafee (check mark) (handwritten: OK, Holly, wcb)
Coats
Durenberger (check mark)
Garn
Hatch (check mark) (handwritten: conflict, NO)
Lugar (check mark) (handwritten: Bailey to call back)
Mack
McCain
Specter
Wilson

BOB DOLE
KANSAS
United States Senate
OFFICE OF THE REPUBLICAN LEADER
WASHINGTON, DC 20510-7020
(entire page handwritten)
Darman - breakfast
Republican Senators
Simpson
Cochran
Hatfield
Packwood
Armstrong
Bond - ? Danf.
Boschwitz
Domenici
Gorton
Gramm
Grassley
Heinz - ?
Kasten
Lott
Nickles?
Roth?
Rudman
Symms - ?
Bill Hoagland - staff
March 27[th] 8:30 am

DICK DARMAN BREAKFAST
TUESDAY, MARCH 27, 1990
8:30 - S-230
Senators that have accepted:
Dole
Simpson
Domenici (still checking)
Armstrong
Boschwitz
Chafee
Durenberger
Gramm
Grassley
Hatfield
Lott
Rudman
Symms

Bill Hoagland, Budget Committee
Kathy Ormiston

Senators that declined:
Cochran
Packwood
Gorton
Kasten

Do you want to invite any of the following:?
Bond
Coats
Durenberger will call back
Garn
Lugar will call back
Mack
McCain
Specter
Wilson

DICK DARMAN BREAKFAST
TUESDAY, MARCH 27, 1990
8:30 - S-230
Senators that have accepted:
Dole
Simpson
Domenici (still checking) (handwritten: late)
Hatfield
Armstrong
Boschwitz
Gramm
Grassley
Lott
Rudman
Symms
Stevens

Bill Hoagland, Budget Committee
Kathy Ormiston

Handwritten notes:
Add Chafee
Add Durenberger 8:30 to 9:00

Senators that declined:
Cochran
Packwood
Gorton
Kasten

Do you want to invite any of the following:?
Bond
Chafee (check mark) (handwritten: OK, Holly, wcb)
Coats
Durenberger (check mark) (handwritten: will call back 8:30 to 9:00)
Garn
Hatch (check mark) (handwritten: conflict NO)
Lugar (check mark) (handwritten: Sally, conflict)
Mack
McCain
Specter
Wilson

March 1, 1990
TO: SENATOR DOLE
FROM: JOYCE
RE: Dick Darman Breakfast

We have scheduled breakfast with Dick Darman for Tuesday, March 27 at 8:30.

Do you want to invite the following:
Dole - (handwritten)
Domenici (handwritten: not sure)
Simpson (handwritten: OK)
Cochran (handwritten: NO - conflict - speech)
Hatfield (handwritten: w.c.b. YES)
Packwood (handwritten: wcb - NO - out of town)
Armstrong (handwritten: OK)
Boschwitz (handwritten: YES)
Gorton (handwritten: wcb crossed out; NO)
Gramm (handwritten: YES)
Grassley (handwritten: YES)
Kasten (handwritten: wcb crossed out; NO)
Lott (handwritten: YES)
Rudman (handwritten: YES)
Symms (handwritten: wcb crossed out; YES - tent.)

Bill Hoagland, Budget Committee (handwritten: OK)
Kathy Ormiston (handwritten: OK)

Handwritten notes:
Line drawn from Symms' name to:
McClure - NO
Stevens - OK tent.
Lott (crossed out)

Handwritten names at bottom of page:
Bond
Chafee
Coats
Durenberger
Garn
Hatch
Kassebaum
Lugar
Mack
McCain
Specter
Wilson

DICK DARMAN BREAKFAST
TUESDAY, MARCH 27, 1990
8:30 - S-230

Dole (check mark)
Simpson (check mark)
Domenici (still checking) (check mark) (handwritten: (1/2) late)
Armstrong (check mark)
Boschwitz (crossed out) (handwritten: sick)
Chafee (check mark)
Durenberger (check mark) (handwritten: leave at 9:00)
Gramm
Grassley
Hatfield (check mark)
Lott (check mark)
Rudman (check mark)
Symms (check mark)

Bill Hoagland, Budget Committee
Kathy Ormiston

Drawn sketch of table at bottom of page:
Top long side of table: Darman, Armstrong, Chafee, Boschwitz (crossed out), Rudman, Lott
Left head of table: Dole
Bottom long side of table: Simpson, Domenici, Hatfield, Symms, Grassley (crossed out), Gramm late ("late" crossed out), Durenberger, Duren (crossed out), Gramm (crossed out)
Right head of table: Kathy, Hoagland

Breakfast with Dick Darman, March 27, 1990

Item