The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1995, Landmark Communications, Inc.

DATE: Monday, January 30, 1995               TAG: 9501300159
SECTION: FRONT                    PAGE: A1   EDITION: FINAL 
SOURCE: ASSOCIATED PRESS 
DATELINE: WASHINGTON                         LENGTH: Medium:   85 lines

WELFARE STRAINS GOVERNORS' BIPARTISAN TRADITION

Republicans flexed their new muscle in the National Governors' Association on Sunday, scuttling a Democratic-leaning welfare reform proposal in favor of a block-grant approach that closely tracks the House GOP plan.

As they held their annual winter meeting in Washington, governors of both parties marveled that their perennial demand for fewer mandates from the federal government was finally being heard. And they showed broad general support for the pledge of the new Republican Congress to dramatically shift power back to the states.

But when the talk turned to specifics, the bipartisan tradition of these National Governors' Association meetings showed signs of fraying.

Democrats, for example, suggested Republicans were pushing welfare reform proposals that would shift so much power to the states that there would not be federal standards guaranteeing a safety net for poor children.

``I believe there is a national interest in making sure that children don't starve,'' said Vermont Gov. Howard Dean, the NGA chairman.

While offering their support for a balanced budget amendment to the Constitution, several Democratic governors said they wanted the GOP Congress to outline its planned budget cuts before they would submit it to their state legislatures for ratification.

``I'd like for somebody to tell me what they plan to cut so I have some idea of the effect on the people of Arkansas,'' said Democratic Gov. Jim Guy Tucker.

GOP governors have been playing a major role in helping the new Republican Congress shape its agenda. That has alienated many Democratic governors, who complain the Republicans often leave the impression their views represent all governors.

``The Republicans have forgotten this is a bipartisan organization,'' Vermont's Dean complained.

That tension spilled into the open several times over the weekend.

After participating in a bipartisan welfare summit with President Clinton on Saturday, several GOP governors angered their Democratic colleagues by suggesting the president was only a bit player in the debate.

The new political order was on display again Sunday as a welfare policy statement proposed by Dean was scuttled because of Republican opposition, a surprise to Dean because he believed he had Wisconsin Gov. Tommy Thompson and other GOP governors on board.

Dean's proposal suggested Congress give states this choice: They could receive Aid to Families with Dependent Children as a block grant and set eligibility requirements at the state level, or continue the current individual entitlement to AFDC. Many Democrats prefer the individual entitlement because it forces the federal government to pay the bill.

But Republicans refused to endorse that either-or approach.

Instead, they want to build a new NGA policy based on a proposal by Michigan GOP Gov. John Engler that would eliminate the individual entitlement to welfare. In its place, states would get a block grant and make virtually all of the decisions about welfare eligibility, work requirements and time limits on benefits. States no longer would need federal waivers for welfare experiments.

In the rush to balance the federal budget, however, Democratic Gov. Roy Romer of Colorado warned that such block grants might become ``sitting ducks for radical cuts,'' leaving states short of the money necessary to help the needy.

To answer those concerns, Republicans suggested calling on Congress to guarantee at least level funding for the block grants for five years.

They also suggested a portion of the overall block grant money, perhaps 5 percent, be set aside and distributed to states experiencing economic downturns.

The language of these provisions was a major subject of the welfare negotiations, and it was unclear if the Republicans could win over enough Democrats to get the three-fourths approval for a new NGA policy. MEMO: WHAT DEMOCRATS WANTED

States could either receive federal Aid to Families with Dependent

Children as a block grant and set their own eligibility requirements, or

they could continue the current system, in which AFDC payments go

directly to individuals.

WHAT REPUBLICANS WANTED

The individual entitlement would be eliminated. Instead, states would

get a block grant and make virtually all of the decisions about welfare

eligibility. by CNB