September 28, 1995

The Congressional Budget Office said today that Senate Republican proposals to overhaul Medicare would achieve their goal of saving $270 billion in seven years not so much through innovative health policies as through the time-tested techniques of curbing payments to doctors and hospitals and raising costs to beneficiaries. The budget office said the Republicans would save $49.7 billion through greater use of health maintenance organizations and other forms of managed care. But it said the proposals would achieve most of the savings -- $42.6 billion -- through new limits on Federal payments to H.M.O.'s for elderly people already enrolled or expected to enroll under current law, not through additional enrollment in such private health plans.

C.I.A. to Discipline Officials Over Guatemala Breaking with the past, the Central Intelligence Agency will dismiss, demote or discipline up to a dozen officers for shielding suspect agents and stifling reports of human-rights abuses in Guatemala, Government officials said. Page A3. Vulnerable Plan for Bosnia The gulf between the content of an American peace plan for Bosnia and the situation on the ground is large enough to suggest that the process is increasingly vulnerable. Page A12. Turner Still Leads the Band Ted Turner says he is content to play second fiddle at Time Warner. No wonder. Executives say he has a $100 million, five-year deal. Page D1.

S.E.C. Seeks to Assure Investors of Benefits The S.E.C., 20 years after Congress mandated competition in securities markets, is seeking to make it work for investors' benefit. The commission would require that stock markets give investors a reasonable chance of getting better prices than they often have. One aim is to make sure that orders can be seen by other investors who might want to take the other side. With today's fragmented markets that does not always happen. Floyd Norris: Market Place. [ Page D8. ] Time Warner to Shed Rap Label Time Warner will sell its 50 percent stake in Interscope Records, the Los Angeles label whose violent and sexually degrading gangsta rap lyrics have stirred political controversy. But executives said the company expected to recoup its $100 million investment. [ D20. ] Court to Hear Copyright Case Accepting a case with important implications for the software industry, the Supreme Court agreed to decide whether Lotus Development had a valid copyright for the commands used in its Lotus 1-2-3 spreadsheet program. [ D4. ] Japan May Form Loan Agency The Japanese Government moved toward establishing an institution similar to the Resolution Trust Corporation to dispose of bad debts held by mortgage companies. [ D6. ] Daiwa's Delay and the Regulators By waiting nearly two months to tell regulators about a $1.1 billion loss from unauthorized trading, Daiwa Bank apparently violated Federal and New York State regulations, banking lawyers say. [ D6. ] Durable Goods Orders Rise 4.9% Durable goods orders jumped 4.9 percent in August, the largest increase in a year, as some auto plants resumed production after a shutdown to retool for 1996 models. [ D4. ] Pact Keeps the Government Open Leaders from the Republican-controlled Congress agreed with the White House on a plan to keep the Government from shutting down for lack of money next week. [ A1. ] End Seen for AT&T Requirement The Federal Communications Commission plans to free AT&T from the last vestiges of price regulation, officials said. [ D21 ] Heavy Lobbying by Drug Makers Several drug companies are lobbying Congress, trying to head off a budget amendment that would reverse a change in the new world trade agreement extending prescription drug patents. [ B12. ] I.B.M. Consolidates OS/2 Work I.B.M. will relocate 1,100 software developers and other personnel from Boca Raton, Fla., to Austin, Tex., consolidating OS/2 development in a single location. [ D2. ] Du Pont Names a New Chief Du Pont said John A. Krol would become its chief executive, replacing Edgar S. Woolard Jr., who will remain as chairman. [ D4. ] American Express President Quits Jeffrey E. Stiefler, president of American Express, abruptly resigned. Analysts said his star had been waning. [ D4. ] Magazine Enters Crowded Field The New York edition of Time Out magazine, the London listings guide, has entered a crowded field, but the investors behind its $10 million introduction are budgeting about $1 million for a series of advertisements intended to mimic New York attitudes. Stuart Elliott: Advertising. [ D7. ] Safety Standards for Rear Latches The National Highway Traffic Safety Administration issued safety standards for rear-door latches on passenger vans. [ A20. ] The E.P.A. approved standards for a "clean car" that could give 49 states cleaner emissions than Federal rules require. [ A16. ] Savings Account for Health Care House and Senate committees are working on legislation to allow retirees to trade their standard Medicare policies for low-cost, high-deductible private medical insurance and a medical savings account. [ B10. ]

In the golden dew of municipal memory, the Central Park Children's Zoo remains a toddler's paradise, a place where goats, ducklings, a talking crow and other child-sized beasts roamed amid fairy-tale sculptures. "It was like magic," Anne Millard, who brought her three now-grown children there, said. "The roosters cock-a-doodle-dooed, the goats ate your hat off, and the rabbits you could touch."

The New Jersey State Commission on Cancer Research and the State Department of Health plan to establish a statewide cancer registry network that will be made available free to all hospitals in the state, health officials announced yesterday. A $52,000 grant from the Fannie E. Rippel Foundation will pay for computer software and training for hospital workers using the system and researchers collecting the data, the officials said.