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President Clinton's annual economic report, submitted today to Congress, makes plain to legislators that he is ready to work with them on health care and welfare reforms as long as they take the first steps. The Administration proposed capping health care costs and guaranteeing universal health coverage, but was short of specifics on how those goals could be achieved. Congress last year rejected Clinton's health reform proposal. TIME congressional correspondent Karen Tumulty does not expect any health care legislation to clear Congress in 1995 because "there's no appetite for it" after last year's divisive battle over that issue.