WASHINGTON - The Bush administration on Monday proposed a 2005 budget for the Environmental Protection Agency which is down more than 7 percent from levels Congress enacted in 2004, but includes more money to clean up toxic waste sites while slashing funds for clean water projects by about $500 million.

This budget not only shortchanges our environment, it challenges our nation's role as a global environmental leader. Congress will not let this stand.

Sen. Jim Jeffords of Vermont

President Bush's proposed $2.4 trillion election-year budget includes $7.76 billion for EPA, the agency charged with keeping the nation's air, water and land pollution-free. Proposed funding is down from the $8.4 billion that Congress allocated for EPA in the current budget year.

EPA Administrator Mike Leavitt, who is nearing the 90-day mark after taking the reins of the agency from Christine Whitman, said the budget allocates "substantially more money" than prior years.

"With the President's budget, we can increase the velocity of environmental protection," Leavitt told reporters.

Leavitt pointed to a $133 million boost from EPA's 2004 request of $7.63 billion to remove toxic sludge from the Great Lakes and make school buses burn cleaner fuel.

However, some lawmakers and environmental groups criticized the budget as hindering U.S. environmental initiatives.

"This budget not only shortchanges our environment, it challenges our nation's role as a global environmental leader," said independent Sen. Jim Jeffords of Vermont.

"Congress will not let this stand," said Jeffords, the ranking member of the Senate Environment and Public Works Committee, which has oversight over some EPA programs.

In a statement, Jeffords pointed out that the budget cuts $492 million, or 37 percent, from a revolving fund which states use to upgrade sewage and septic systems and storm-water run-off projects.

The administration would hold steady a separate $850 million state fund for clean drinking water.

Funding for Superfund -- an industry program to clean up toxic waste sites -- would increase by about 10 percent to $1.38 billion. EPA will complete clean-ups at about 40 sites this year, and begin work at up to 12 new U.S. sites in 2005, according to budget documents.

However, Jeffords said the numbers were down from levels seen during the second term of the Clinton administration, when the EPA cleaned up an average of 87 sites per year.

The National Environmental Trust (NET), an environmental group, said that Superfund should not gain at the expense of clean water programs.

"Clean water or toxic waste -- as if Congress is going to choose one over the other in an election year. At best, expect the status quo," said NET President Philip Clapp.

Copyright 2004 Reuters Ltd

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