The debate divided starkly along partisan lines, with Republicans crediting the tax cuts, first enacted in 2003, with a surging economy, millions of new jobs and surging tax revenues. Democrats countered that the deficit-financed tax cuts are tilted in favor of wealthy investors and that the economic benefits are not as great as advertised.

"Our tax relief sparked this economic growth," said House Speaker Dennis Hastert, R-Ill. "And by extending key provisions of that tax relief, today's legislation adds just another spark to the already booming economy."

Added Treasury Secretary John Snow: "It sends a terrific message to the markets that we're going to continue to have low rates on capital."

Critics, including most Democrats, attacked the tax rate reductions on dividends and capital gains as being skewed in favor of the rich. They noted that it was the second half of a GOP budget package that began with $39 billion in benefit cuts over five years, many of which came from programs for the poor such as Medicaid.

Democrats also cited a joint study by the Urban Institute and the Brookings Institution that shows taxpayers with incomes greater than $1 million per year winning tax cuts of $42,000 under the bill while families with incomes of $50,000 a year would average a $46 tax cut.

"The Republican Party ... is sending all the millionaires on an all- expenses-paid vacation _ for $41,000 a year," said Rep. Jim McDermott, D-Wash. "The rest of America is being forced to choose between filling the gas tank or stocking the refrigerator."

Added Richard Neal, D-Mass: "You cut taxes for Wall Street at the expense of Main Street."

Just 15 Democrats joined all but two Republicans in voting for the bill.

Passage of the bill is the first step of a two-track strategy for advancing the GOP's election-year tax cut agenda.

The first, $70 billion tax bill focused on investor tax breaks and alternative minimum tax relief and it can advance under special rules blocking Senate Democrats from filibustering it to death. Another bill that contains $30 billion in tax breaks backed by both Republicans and Democrats, will advance later.

Those widely supported tax breaks include preserving tax deductions for state and local sales taxes, a tuition tax deduction, a tax break for teachers who buy their own school supplies and a research and development tax credit for businesses.

Under the bill passed Wednesday, wealthier people would be allowed to transfer retirement savings into Roth IRAs. This would provide a shorter-term revenue boost, and therefore helped lawmakers fit more measures into the bill. That's because money moved from traditional IRAs into Roth accounts is taxed immediately, instead of later, when taxpayers withdraw their invested money.

Opponents say the Roth plan would help the Treasury now but shortchange the government in future years because money saved in a Roth IRA grows tax free.

The bill also would extend for two years provisions sought by small businesses to let them write off up to $100,000 in investments in equipment.

"What we do today protects jobs, protects the incomes of our people, strengthens America's economy and protects our future," said Rep. Nancy Johnson, R-Conn.

"Those gringos have everything -- so why does their gas cost so much?" asked Tinoco between chuckles as he navigated a midday traffic jam. "Don't they have oil reserves?"

Chavez, a self-proclaimed socialist and critic of President Bush, has even begun subsidizing fuel for poor U.S. neighborhoods as U.S. consumers brace for average summer gas prices of $2.71 a gallon -- 34 cents higher than last summer.

In Venezuela, the world's No. 5 oil exporter, drivers fill their tanks for less than the price of a cheap breakfast, and love to point out that gasoline costs less than mineral water.

The nation's gasoline is now the world's cheapest, according to an International Monetary Fund report released in April that shows Venezuelan gas prices as about a third of those in oil-producing giant Saudi Arabia.

Shiny SUVs and rusty 1970s-era sedans share the streets of Venezuelan cities as drivers shrug off fuel costs.

Low-priced fuel is considered a birthright in Venezuela, which sells 1.2 million barrels per day of oil to the United States -- the world's biggest gas guzzler.

"Gasoline should stay cheap the way it is, that's why we have oil in Venezuela," said Maria Rosa Pinero, 55, a housewife, filling up a Volkswagen Gol at a gas station in eastern Caracas.

Chavez has extended Venezuela's fuel subsidy to poor Americans through a well-publicized jab at the U.S. government that offers 40 percent discounts on heating oil distributed by Venezuelan-owned refiner Citgo.

Flush with cash from high oil revenues, Chavez has also shored up regional alliances by providing low-priced fuel to Central American and Caribbean nations he says have been snubbed by the United States.

'HOOD ROBIN' SUBSIDY

Venezuela's gas subsidy is the subject of endless grumbling by economists who say it promotes consumer waste and costs the state billions of dollars in lost revenue.

Critics say the subsidy largely benefits middle and upper-class vehicle owners at the expense of government income that could be spent on the poor.

"They call it the 'Hood Robin' subsidy," said Jose Luis Cordeiro, a petroleum engineer who writes about energy issues. "Instead of stealing from the rich to give to the poor, it's the opposite."

He estimates Venezuela would have taken in at least an additional $8 billion last year -- almost 8 percent of the nation's GDP -- if Venezuelans had paid market rates for fuel.

The subsidy also encourages rampant fuel smuggling to neighboring Colombia and leads to huge lines of Brazilian drivers waiting to fill up along the southern border.

But past efforts to raise gas prices have not gone well. Authorities in 1989 raised fuel prices at the height of a recession, leading to three days of rioting during which at least 300 people were killed. Human rights groups say troops may have killed several thousand people.

The event marked a turning point in Venezuelan history, and served as inspiration for Chavez -- at the time a young army officer -- to lead a coup attempt three years later. The coup failed but helped propel Chavez into the presidency in 1998.

Chavez has maintained popularity by channeling oil revenues toward social programs for the poor, and has often criticized U.S. dependence on cheap gasoline. Washington says he is using his oil wealth to threaten regional democracy.

At Venezuelan gas stations, however, there are few complaints about low-cost fuel or fuel efficiency.

"People buy a car because it's comfortable or because it's big," said Isidro Rodriguez, 30, an accountant, as he filled up a new 4-wheel-drive Ford in southern Caracas. "It's not for the price of fuel, because that's never been a problem."

He said his decision was merely to "exercise our ownership of our national resources."

However, Morales said he welcomed foreign companies to cooperate with Bolivia in exploring oil and gas resources, but the companies couldn't have the ownership.

"What we are looking for are partners not bosses that exploit our oil resources. We are not chasing out anyone. But they cannot have ownership," he said.

Last week, Morales announced the nationalization of Bolivia's gas industry, grabbing world-wide attention, especially from Europe and Brazil, which have companies involved in oil and gas fields in the country.

As of May 1, Bolivia took control of the country's oil and gas fields and gave foreign energy companies operating in the country 180 days to agree to new contracts with the government.

Morales also told the briefing that oil companies including Brazil's Petroleo Brasileiro SA and Spain's Repsol YPF SA wouldn't be compensated.

"There is no reason to indemnify them," he said.

According to Morales, 70% of the contracts signed by foreign petroleum companies had not yet been ratified by the Bolivian parliament, so they were "unconstitutional" and "illegal."

As some European companies, Spanish ones in particular, are affected by Morales's nationalization drive, energy is widely expected to be a hot issue at the three-day EU-Latin summit.

The newspaper reported in its online edition Tuesday that the ringtone started with a siren, followed by a male voice saying in a Southern drawl, "This is la Migra," a slang term for the Border Patrol.

"Por favor, put the oranges down and step away from the cell phone. I repeat-o, put the oranges down and step away from the telephone-o. I'm deporting you back home-o," the voice continued.

Hispanic activists called the product racist.

"It's horribly offensive and a disgusting thing," Brent Wilkes, national executive director of the League of United Latin American Citizens, told the newspaper.

Cingular removed the $2.49 ringtone, among thousands available for downloading from its Web site, Tuesday afternoon, said company spokesman Mark Siegel.

"Needless to say, we deeply regret and apologize for it ever being there in the first place. The ringtone is blatantly offensive," he said.

The ringtone became available between late February or early March and was downloaded eight times, Siegel said. It was developed by Barrio Mobile, Siegel said. Barrio Mobile is a brand owned by Lagardere Active North American, the U.S. division of a French media company.

Cingular officials were reviewing the process used to screen ringtones, which are developed by several other companies, he said.

The kids who were in the classroom when the incident happened last week say their art teacher made racial comments during class for no apparent reason.

"And then she said that she doesn't know what we're doing here, that we were born only to clean floors and bathrooms and that she wants everybody to go back to their country," said student Jeanette Reyes.

On Wednesday night, officials announced that the teacher has been fired during a meeting with parents.

Many parents demanded the teacher's dismissal and were anxiously waiting for swift action.

"No one, no one, no one in this world needs ... has the right to make such a statement about any race, any race. So, I think the situation was solved," said parent Maria Torres-Glaister.

The president of the school board says the decision took a few days because they needed to do a thorough investigation.

On the advice of their lawyers, the board decided Wednesday their only option was termination.

"This is really an unfortunate situation. It's unfortunate for the staff, it's unfortunate for the students, the morale of the school. It's very unfortunate for the teacher involved," said Sonia Sanchez with ASPIRA of Illinois.

Some students didn't come to school for the last few days in protest of the incident.