U.S. Senator Daniel K. Akaka (D-Hawaii) applauded the balanced budget President Clinton submitted to Congress today for its investments in education, health care, child care, Social Security, Medicare and the environment. The President's $1.8 trillion budget proposes investments to sustain and broaden prosperity and continue the longest economic expansion in American history, provides tax breaks for working families, strengthens Social Security and Medicare for future generations, and pays down the national debt with the goal of eliminating the debt by 2013.
"President Clinton's budget is a fiscally sound, ambitious blueprint for key investments in education, health care, research and development, and environmental protection," Akaka observed. "These are areas critical to our long-term economic prosperity and a secure future for our children. Budget increases for Head Start and full funding for class size and teacher training initiatives and after-school learning would bring in at least $10 million more in needed education dollars to Hawaii.
"The creation of a voluntary prescription drug benefit, quality long-term care insurance coverage and preservation of Medicare solvency to 2025 are essential to the quality of life and care for older Americans. Three out of four older Americans lack affordable private prescription drug coverage. Spiraling drug costs and long-term care expenses threaten the retirement security of million of seniors. A voluntary prescription drug benefit and expanded long-term care coverage are key priorities for Senate Democrats; the President's budget shows that we can realize these initiatives as part of a balanced budget that is fiscally sound.
"The President's budget proposal also underscores the Administration's interest in one of the federal government's most valuable assets: its employees. As the Ranking Democrat on the Federal Services Subcommittee, I am delighted that under the plan, federal employees' health insurance premiums would be considered pre-tax income. Hawaii's federal workers, on average, will save $434 per year on their federal income taxes through this tax benefit available to large private sector companies. In addition, the President calls for a rollback of federal retirement contributions that helped the government balance the budget. The repeal of the higher retirement contributions by federal employees would save on average $262 per year in retirement contributions by restoring the rates to pre-1999 levels."
