GOP LETS UP ON CUTS

House Republicans are dropping plans for deep cuts in day care spending because they would be too harsh on child-care providers, Rep. Clay Shaw (R-Fla.) announced today. Shaw said he is now backing a proposal to increase child care spending by $800 million over five years. The funding is wrapped in a GOP bill that would decrease welfare spending by $65 billion by the year 2000. Shaw, who drafted much of the bill, predicted that if welfare reform succeeds in making poor families more self-sufficient, "child care facilities are going to be stretched to the breaking point." The House will debate the bill next week. TIME Congressional correspondent Karen Tumulty says Shaw's retreat is evidence that Democratic attacks on the Republican reform agenda "are starting to draw blood."