SUPPORT FOR LUMP SUM FADES

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP89-00066R000800020003-2
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 4
• Document Creation Date: December 27, 2016
• Document Release Date: December 12, 2012
• Sequence Number: 3
• Publication Date: May 11, 1987
• Content Type: OPEN SOURCE

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Declassified and Approved For Release 2012/12/12 : CIA-RDP89-00066R000800020003-2
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May 11, 1987
$1.25
Support for Lump Sum' Fades
$700 Million Pricetag, 'Lack of Sponsors Dim Prospects for Benefit
By Sean Ford
A last-ditch effort to salvage
Senate funding for the new
lump-sum annuity benefit ap-
peared headed for a showdown
vote May 1.
Lawmakers were winding up
a week of debate over a budget
resolution for fiscal 1988.
At presstime, Sen. Paul Si-
mon, D-Ill., planned to offer an
amendment to provide $700
million next year to fund the
benefit, which the Senate Bud-
get Committee had jettisoned
from the .budget version it
shipped to the floor.
Controller Group
Backs Burnett on
Curtailing Flights
By Susan Kellam
Many overworked air traffic control-
lers, now voting for a new union, wel-
comed the recent statement urging a re-
duction of commercial flights this
summer by National Transportation
Safety Board chief James Burnett.
"Cutting back flights now would be a
clear indication from the administra-
tion that it is committed to air safety
first," said John Thornton, national co-
ordinator of the National Air Traffic
Controllers Association.
\ ,The NTSB is right on top of this situ-
'lption, and NATCA agrees with the chair-
man's recommendation. Our association '
has testified on numerous occasions
that flights should be reduced until the
ATC [air traffic control] system is
rebuilt."
The workers in the Federal Aviation
Administration towers and air control
centers are on the front lines as the
number of scheduled flights this sum-
Declassified and Approved For Release 2012/12/12 : CIA-RDP89-00066R000800020003-2
But the"'" amendment's over civil service issues.
chances of passage were con- Another obstacle was the
sidered dim, sources said, in ?'amendment's reliance on in-
part because supporters creased taxes next year to make
"couldn't even get members-of up the $700 million shortfall it
the GovernmentatAfl'airs`Ctfni- would create.
mittee to give us support;or. co- "That alone could probably
sponsor it," one said. Govern-
mental Affairs has jurisdiction See Budget, Page 16
 Declassified and Approved For Release 2012/12/12 : CIA-RDP89-00066R000800020003-2
Page 16
Budget
From Page 1
kill it - they just don't want to
vote for a tax increase," one
source warned.
Also, it was not a certain that
Simon would offer the amend-
ment, a source said. .
If the amendment does not
make it into the Senate's first
concurrent budget resolution, it
will be up to a House-Senate
conference committee to de-
cide the fiscal 1988 fate of lump
sum.
If passed, however, the
amendment could go a long way
toward preserving the benefit
next year. The House approved
a budget plan April 16 that
would provide full funding
The Senate was expected to
vote on the full budget the week
of May 4.
Besides the lump-sum differ-
ences, the following civil ser-
vice issues also would go to con-
ference if the Senate adopts the
budget in current form:
? Within-grade pay raises.
The Senate budget would delay
payment of within-grade hikes
for one year, saving an $200 mil-
lion in fiscal 1988. The House
budget contains no such
provision.
? Travel. The House would
cut agency travel accounts by 12
percent next year, while the
Senate budget calls for a 15 per-
cent reduction.
? The Federal Supply Ser-
vice. The Senate would slash
the FSS budget by $176 million
next year. The House plan pro-
vides for full funding
Both houses would pay full
Lumped
Sen. Paul Simon and other
lawmakers are in favor of sal.
vaggiingg the lump-sum annuity
retiree cost-of-living adjust-
ments next year. In addition,
both would reject a White
House request to lower govern-
ment contributions to the Fed-
eral Employees Health Benefits
Program.
Simon, whose state an aide
described as "not a major resid-
ing place" for federal employ-
ees, said the issue of fairness
had prompted him to offer his
amendment.
"Our retired government
workers were just hurt by the
elimination of the three-year
recovery rule in last year's tax
bill," he said in exhorting col-
leagues to get away from what
he called the "kicking-people-
when-they-are-down syn-
drome."
"Federal retirees deserve
fair treatment. My amendment
FEDERAL TIMES.
will ensure them of that," he
added. ti
Without the Simon amend-
ment or others boosting civil
service spending, the Govern-
mental Affairs Committee will
get a "reconciliation order" in-
structing it to go back and slice
$2 billion from civil service
funding before the the Senate
votes a second concurrent bud-
get resolution. -
Both houses are required to,
but rarely do, report second
concurrent resolutions by June
15.
One idea under consider-
ation is to have agencies absorb
the cost of the 2 percent general
schedule raise in the Senate's
budget, a source said. That is
what the House did in approv-
ing a 3 percent raise for next
year.
Such a move would cut the
reconciliation order by about
half, the source said. As of April
30, the Senate's budget would
have agencies pay for 50 per-
cent of the raise. -
No other amendments affect-
ing civil service pay and bene-
fits were expected as of
presstime.
President Reagan proposed
eliminating lump sum when he
submitted his fiscal 1988 budget
proposal in January, just six
months after his administration
agreed to the benefit as a "reve-
nue neutral" compromise for
the three-year rule.
But since then, attention has
turned to what Senate Budget
Committee Chairman Lawton
Chiles, D-Fla., earlier termed
the "enormous" early-year costs
of the option, which allows fed-
eral employees to withdraw re-
tirement contributions in a sin-
gle payment upon retiring
Rep. James Oberstar, D-Minn., addresses
lens at an organizational meeting In Virgii
Controllers
From Page 1
balloting that night. The union
must receive a majority vote to
become certified.
The controllers forfeited
their union five years ago when
the Professional Air Traffic
Controllers Organization staged
an illegal strike and was decer-
tified. More than 11,000 control-
lers lost their jobs when they
walked out.
? While all early indications
are favorable to winning the
election, NATCA organizers are
holding hundreds of meetings
across the country, from Los An-
geles to Kansas City to Lees-
burg, Va.
"I'm here for the same reason
you're here - to get FAA's at-
tention," Rep. James Oberstar,
D-Minn., told a group of 40 con-
trollers from the air traffic con-
trolcent
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er
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eesburg, and Na-
stepped down from his job Aug Though the law killing the tional Airport and Andrews
2,1986. rule was not passed until Sep- AFB, Md., near Washington,
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Approved For Release 2012/12/12 : CIA-RDP89-00066R000800020003-2
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Declassified and Approved For Release 2012/12/12 : CIA-RDP89-00066R000800020003-2
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