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US House approves $2.6 trillion budget plan
(Agencies)
Updated: 2005-04-29 09:23

The U.S. House of Representatives on Thursday approved a $2.6 trillion budget plan for next year that calls for more tax cuts and new spending reductions.

By a vote of 214-211, the House approved the budget plan for fiscal 2006, which begins on Oct. 1. No Democrats supported the proposal.

The Senate is expected to vote on an identical budget later on Thursday.

The proposal includes a call for $35 billion in savings over five years and up to $106 billion in tax cuts over the same period. The spending cuts include $10 billion in savings to the Medicaid health care program for the poor over the next five years.

"The needed belt-tightening this year will help build momentum for more savings in the future as we slow the overall rate of growth of the federal government," said House Majority Leader Tom DeLay, a Texas Republican.

DeLay added that the Medicaid program "is antiquated and the quality of care is not being brought to the people that need it."

But House Minority Leader Nancy Pelosi, a California Democrat, criticized spending cuts on programs for the poor and said the budget would add to U.S. budget deficit woes.

"This budget we are passing today will pass mountains of debt onto our children and grandchildren, jeopardizing economic security by increasing our debt to China and Japan and other foreign investors," Pelosi said.



 
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