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Darman Says Administration Might Reopen Talks on Budget Agreement

October 7, 1991

WASHINGTON (AP) _ The Bush administration might be willing to reopen negotiations on the comprehensive budget agreement made with Congress last year, says White House Budget Director Richard Darman.

But Darman said President Bush should consider such a move only ″under certain circumstances.″

In an interview on NBC News’ ″Meet the Press″ on Sunday, Darman outlined three conditions under which the agreement could be changed: The new talks must focus on deficit reduction, entitlement programs and capital gains taxes.

″People who are talking about reopening it right now are talking about it in order to spend more money,″ Darman said. ″That isn’t our problem.″

Darman acknowledged that radical changes in the Soviet Union alone would likely force some adjustment in the defense budget.

Some Democratic members of Congress have argued that any ″peace dividend″ from a reduced defense budget be used on social spending and tax cuts for the middle class.

Many also argued that the budget deal should be reopened during debates to extend jobless benefits.

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