The House of Representative yesterday approved an amended 1977 budget which provides about $800 million more in economic stimulus than the package asked for by President Carter.
The House budget resolution, which was approved on a 239-to-169 vote, adds about $1.5 billion to President Carter's spending proposals, but cuts $700 million from his tax package to reflect action taken last week by the tax-writing Ways and Means Committee.
The Senate passed its version of a new 1977 budget Tuesday. After the two houses iron out their differences and pass a so-called third concurrent budget resolution, Congress can get on to formally approving higher spending and tax changes designed to boost economic growth and lower unemployment.
When Carter first proposed his economic program last month, he asked for tax rebated and tax cuts totaling $13.8 billion and spend of $1.7 billion. Since then, Carter has revised upward his spending plans to nearly $2.2 billion - most of it to reflect an increase in aid to localities hard hit by either severe winter or drought.
The House voted to spend $3.7 billion on programs such as revenue sharing and public service employment which are designed to create jobs.
The Senate has voted a revised budget which made room for the full $13.8 billion tax relief requested by President Carter (the House makes room for $3.1 billion) and which would spend about $3.4 billion on job creation programs, $1.2 billion more than Carter and $1.5 billion more than the House.
Members of the House and Senate Budget Committees will meet Monday to iron out the differences between the two budget resolutions. Some of those differences are technical - reflecting estimating differences - while other are slight differences in policy. For the most part, however, the budgets envisioned by the House and Senate are similar.
Rep. Robert N. Giaimo (D-Conn.), chairman of the House Budget Committee, said the administration has indicated it will support a stimulus proposal similar to the one approved by the House.
Neither the House oor the Senate Budget resolutions formally proposed tax changes or spending programs, but instead set overall spending ceilings and revenue floors within which Congress must operate. The Budget committees however, make their specific spending and revenue recommendations with programs in mind.
After the House vote, Giaimo told reporters that he would "hardly" be receptive to a plan in the Senate budget resolution and not in the House resolution which would give assistance to families who face having their fuel supplies cut off because of the severe winter and high prices. But a Giaimo aide said that the fuel assistance plan could be covered with funds approved for countercyclical revenue sharing. Senate Budget Committee chairman Edmund S. Muskie (D-Me.) is a major supporter of emergency fuel assistance.
The House yesterday defeated a move by Republicans to substitute a $19 billion reduction in personal income taxs for the majority spending and taxing plan. That plan combines a controversial, one-shot $50 tax rebate to most individuals, similar payouts to Social Security recipients, some business tax cuts and a variety of spending programs designed to create new jobs. The house defeated the plan proposed by Rep. John Rousselot (R-Cal.), 258-to-148. Rousselout said the tax cut, like one put into effect in 1964, would create more jobs and more revenues in the long run than the Democratic plan.
The House Budget passed yesterday calls for revenues totaling $348.8 billion, outlays of $418.9 billion and a deficit of $70.1 billion in fiscal 1977. The Senate plan calls for spending of $415 billion, revenues of $346.8 billion, which results in a deficit of $68.2 billion.