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Show NATION & WORLD M 'i hi THE DAILY HERALD (www.Hark TheHerald.com) i shaves 2B Saoiiafie GLOBAL BRIEFING Gas prices may surge JIM ABRAMS Drivers WASHINGTON (AP) amid fact' a new round of surging prices at the gas pump this summer, the government says, citing tight Supplies through the year's heaviest driving season. Last year, pi ice-- ; reached $2 a gallon. The faicrgy Department's forecast also ant icipates continued high natural gas prices that are likely to liti'l steeper electricity costs across much of the country. Many power plants run on natural gas. The government's seasonal forecast piedicted a high probability that motorists this summer will pay on average more for gasoline than the $l..r3 cents a gallon they paid last, summer. Israel snatches activists Associated Press Writer In a stingWASHINGTON ing setback for the young Bush the administration, Senate approved a budget Friday that sharply reduces the president's tax cut. $1.6 trillion, in favor of a The vote was blueprint that leaves room for a tax cut of roughly $1.2 trillion. The Senate acted after the administration and Senate GOP leadership gave up on efforts to find the votes needed to preserve the full tax cut that the president made the heart of his economic program. President Bush said the smaller package still represents "meaningful, real tax relief" and 10-ye- ar 65-3- 5 he is pleased with the vote. "The fact that both houses of Congress have committed to finding significant relief is good for the American people and good for the economy," Bush said at an awards presentation in the WTiite House's East Room. "I applaud today's action and congratulate the Republicans and Democrats who helped make it happen." GOP officials said they would attempt to increase the tax cut in negotiations with the House, which has already approved a budget along the. lines that Bush sought. "I would emphasize, this is one step among many," Vice President Dick Cheney told reporters moments after the vote. He made no mention of the $1.6 trillion cut pairceiniG tai he had tried to salvage in days of negotiations, but said the Senate's action would lead to "a significant reduction in taxes for the American people as well as the approval of important spending programs going forward." The vote highlighted the difficulty of maneuvering controversial legislation through the Senate without attempting a bipartisan compromise. Democrats said Bush's tax cut would shortchange Medicare, health care and other programs, and argued the cuts themselves were too generous to the wealthy. Asked if the vote were a setback for the president, Sen. nodded Charles Grassley, affirmatively, adding, "It's one of Senate." the realities of a 50-5- 0 50-5- 0 J KKUSALEM (AP) Israeli special forces entered a Palestinian area in the West Bank night and seized two local militia leaders, Palestinian officials said. The two were arrested in the neighborhood of Um Sharayat, on the outskirts of Ramallah, which lies inside the region labeled "Area A," in interim peace deals, meaning it is under exclusive Palestinian control. "We condemn this gross violation of Palestinian sovereignty," said Col. Kubhi Arafat, a Palestinian official responsible for coordination with the Israeli army. NASA By JOHN LEICESTER Associated Press Writer tries again CAPE CANAVERAL, Fla. (AP) - NASA will try to snap its losing streak and send another spacecraft to Mars on Saturday after two humiliating failures. "We're hoping there's no pattern," said Arizona State University geologist Phil Christensen, crossing his fingers. Ed Weiler, head of NASA's space science office, said "there's no question" the $297 million mission has to succeed. But he added: "I don't know what more we could do to make a successful Mars mission." The Mars Odyssey is scheduled fin' liftoff aboard a Delta rockets Saturday and expected to reach Mars in late October and slip into in bit around the Red Planet. For 2 2 years, it will study minerals in the recks and measure chemical elements like hydrogen in a quest . 1 for water. Hillary: if,- - won't run NEW YORK (AP) Sen. Hillary Rodham Clinton, who was 'viewed as a potential presidential candidate even before she secured her Senate seat, is facing a new Hnind of speculation over her national ambitions. The New York Post reported Friday that the former first lady had u mi one of its reporters she has u led out running for the White House not just in 2004, but in 2008 and beyond. The statement, came when the former first lady was pressed to clarify a comment she had made hursday in Washington, referring 'i the presidency as "not some-hing I'm going to be doing." Clinton was later asked by the I'ost: "So, Senator Clinton, are you niling out a run for president not just in 2004, but in 2008 ana i ; l 1 r f i r - K Vf - i w The pilot of a ChiBEIJING nese fighter jet had no chance against the U.S. spy plane that veered suddenly into its path, ramming it and sending the smaller aircraft spiraling out of control over the South China Sea, his partner said on state television Friday. The account by pilot Zhao Yu mirrored Beijing's stance that the U.S. plane was to blame for the collision between the U.S. and the Chinese FNavy EP-38. China insists the United States apologize fully to resolve ,he tensions something Washington has" refused saying the U.S. crew did nothing wrong. Shaking his fist in anger, Zhao, who piloted one of two fighters shadowing the Navy plane, condemned the U.S. crew for Sunday's collision. His fellow pilot Wang Wei is missing and presumed dead, and the 24 Americans are now held on Chinese soil where they made an emergency landing. "Wang Wei's airplane had no way to evade it. It suddenly collided with him," Zhao said in the interview shown on the national evening news. "The outer propeller on the left wing hit the tail fin of Wang Wei's aircraft. Bam! It was smashed into bits, like little pieces." U.S. diplomats who met with the crew Friday for only the sec-- , ond visit since the collision said the 21 men and three women were in good spirits and A photograph of the Americans was sent to their families by for reassurance as Washington negotiates their release, diplomats said. -. E NG HAN GUANThe Associated Press Guarded: Chinese military form a line outside the U.S. Embassy in Beijing to keep an eye on journalists Friday. Bush: 'We're making progress' on how the Navy spy plane and a Chinese jet fighter collided Sunday over the South China Sea. By BARRY SCHWEID AP Diplomatic Writer I Weeks ago, Bush won the support of one Democrat, Sen. Zell Miller of Georgia, for the full tax cut. But GOP Sen. Lincoln Chafee of Rhode Island sided with the Democrats, and a second Republican, Sen. James Jeffords of Vermont, said he wanted more than $150 billion for education support for the disadvantaged before he would agree to back a tax cut of $1.6 trillion. Fitful negotiations involving Cheney, Budget Director Mitchell Daniels and other senior administration officials failed to yield an agreement. After a brief stab at trying to fashion a compromise with one or two Democrats, the White House and Republican leaders decided to go ahead with the vote. Lost pilot's comrade says U.S. plane caused crash Friday On tufe WASHINGTON President Bush and Chinese President Jiang Zemin are reviewing drafts of a letter to reach a "common understanding" that could lead to the release of 24 American crew members of a U.S. spy plane, a senior senator said Friday. Bush said "we're making progress" in negotiations. The remarks president's reflected growing but cautious optimism in the Bush administration as U.S. and Chinese diplomats engaged in a flurry of activity aimed at a potential resolution. chairman John Warner, of the Senate Armed Services. Committee, said after a CIA and Pentagon briefing that the two sides were drafting a letter "that will contain exchanges of views" R-V- The letter, Warner said, was moving from the ambassador and foreign minister level and "is being reviewed both by our president and the president of China, so it will reflect a common under- standing." He said there would be no U.S. apology in the letter. "I believe the ambassador and others expressed regret for loss of life.. That will be embraced in the letter," Warner said. The letter also will establish a framework for resolving the dispute. The likeliest arrangement is to have the two sides make their cases about the collision of the U.S. plane and a Chinese fighter jet at a special meeting of a joint maritime commission set up three years ago to enhance safety on the seas, a senior U.S. official told The Associated Press. In this way, the United States and China could air their positions on the operation of the surveillance plane. China says the plane violated Chinese airspace and sovereignty. The United States denies the allegations. Earlier, Secretary of State Colin Powell said the United States and China are exchanging "rather precise ideas" for the release of the 21 men and three women. The crew met Friday with an American general on Hainan Island in the South China Sea, the second such meeting since the collision and the first since negotiations intensified Thursday. "They're housed in officers' quarters and they're being treated well," Bush said. "We know this is a difficult time for their families and I thank them for their patriotism and their patience." well-treate- d. beyond?" "Yes," she the Post. replied, according to School bus crashes A bus carrying high school band mem- hers flippetl onto its side on Interstate 9o on Friday, seriously injurST. MARYS, Ga. (AP) ing seven people. The hand from Massey Hill Classical High School in Fayet-tevillN.C., was heading petition in Orlando, Fla. to a World vaccination drive launched in Mozambique By MIKE COHEN Associated Press Writer e, com- The bus was the only vehicle involved in the crash, which happened on a dry road about 6:30 a.m. about half a mile north of the Florida line. The traveling group included a second bus, plus teachers and parents in four or five cars, said Detective Chuck Byerly of the Camden County Sheriff's Depart- ment. BOANE, Mozambique Three-month-ol- d Esperanca Matusse let out a sharp cry Friday as she became the first baby to be vaccinated in an international drive to immunize millions of impoverished children. The initiative, largely funded by the Bill and Melinda Gates Foundation, aims to prevent deadly but preventable Hostage released MANILA, Philippines (AP) back tears and sick with malaria, the last hostage held by communist rebels was released Friday, clearing the way for peace talks seeking to end 30 years of insii! s;ency. Three weeks before negotiations an: scheduled to start, the New People's Army handed over army Maj. Noel Buan to the government after holding him nearly two years. "This will hopefully hasten a lasting peace in our country," gov- ernment spokesman Renato na said. f Coro- diseases that kill 3 million people around the world every year. Foundation ir William Gates Sr. the Microsoft and UNICEF father head Carol Bellamy watched as a nurse jabbed a needle into Esperanca's tiny thigh to vaccinate her against diphtheria, tetanus, whooping cough and hepatitis B. "I am so happy my baby will be healthy," Jus- tine Muguambe said as she cradled her daughter in the clean but dilapidated clinic in Boane, about 30 miles south of the capital, Maputo. "I call what is happening here at this clinic magical," Gates said. An estimated 2 million children die annually because they were not vaccinated against common diseases. Hepatitis B, a highly infectious liver disease, I ills about 1 million adults who were not properly immunized as children. The immunization drive launched in 1999 with a $750 million donation from the foundation plans to support vaccination programs in 74 of the world's poorest countries. Programs in 25 countries, costing $350 million, have already been approved. The Global Fund for Children's Vaccines has already collected $1 billion for the initiative and hopes to raise another $1 billion over the next five " ' " ' ,., Hin in j OBED ZIIAVAThe Associated Press It's for the best: William Gates Sr., of Bill Gates' foundation, and his wife, Belinda, smile at E!speranca Matusse, second right, after Matusse was administered a vaccine against diphtheria, tetanus, whooping cough and hepatitis B on Friday in Boane, Mozambique. years, said Jacques Martin, the fund's president. The international program is being administered by the Global Alliance for Vaccines and Immunization, a coalition of governments, U.N. agencies, charities, drug and . other companies health institutions. will Mozambique receive 1.3 million doses of vaccines, worth about $1.5 million, and a to $462,000 donation strengthen its immuniza- tion program and to buy disposable syringes. The country has one of the world's highest rates of child mortality; nearly 15 percent of its children die before their first birthday. |