Panel drops housing aid as Reagan vetoes bill

Lawmakers dropped a $3 billion plan to aid the housing industry by subsidizing mortgage rates from the $6 billion supplemental appropriations bill President Reagan vetoed Thursday, Monitor staff writer Karla Vallance reports.

House members failed to override the speedy Reagan veto, which the President said he opposed because of the housing aid. He said it would just deepen the federal deficit, make inflation worse, and help only one industry. At this writing, the House was deciding whether to delete other measures from the bill which Mr. Reagan also opposed, before resubmitting it. Even the new, slimmer version of the bill was $1.3 billion over what he wanted.