REPLACE YOST FIELD HOUSE See Pag- Y Sixty-Eight Years of Editorial Freedom Dadli S CLOUDY, COOL ..._.. VOL. LXIX, NO. 161 ANN ARBOR, MICHIGAN, THURSDAY, MAY 14, 1959 FIVE CENTS SIX PA1 SIX PA SGC Gives TEP Status As Colony To Approach Council Following Year Trial Tau Epsilon Phi fraternity was given tentative colony status last night by Student Government Council. Approval followed the reading of various letters from the na- tional, University officials and the Interfraternity Council, stating that TEP had met all the require- ments for approval. The trial period will last for one year after which, permanent status will come before the Council. Granting of colony status came after a long discussion on dis- crimination and how it should be considered by SGC. Throughout the discussion, the point was A made that in no way did the Council doubt the non-discrimina- tory practices of TEP. Recommends Study A report submitted by Robert Ashton, '59, past president of the Interhouse Council and John Ger- ber, '59, past president of the Interfraternity Council, recom- mended setting up a rushing study committee. The committee, the proposal read, would give more detailed study to the effects of rushing and pledging incoming freshmen. ' The proposal recommended that the executive council of IFC ap- point a permanent study com- mittee in cooperation with the Dean of Men's office. Asks Set Group This committee would include the Director of Orientation, the Assistant Dean of Men for Fra- ternities, the Senior Director of the Men's Residence Halls, four students and a faculty representa- tive of the counseling office. SGC also officially established an International Coordinating Board to coordinate, evaluate and improve all international activities between University organizations and to serve as a central com- mittee for the annual Interna- tional Week. 1 The Board, which will function under the jurisdiction of the Coun- cil, includes an appointed chair- man and representatives from var- ious organizations. Ike Requests Congress Act On Surpluses WASHINGTON OP)-In an ur- gent special message President Dwight D. Eisenhower yesterday tried to jar Congress into action on housing loans, higher gas taxes, and - most emphatically - the great wheat surplus+ President Eisenhower called for legislation to head off "an impend- r ing disaster in wheat." He de- clared, too, that home and high- way building face damaging inter- ruptions across the country unless Congress moves with dispatch. Congress received the message with little stir, or indication of doing as President Eisenhower asked. ' The Federal Housing Adminis- tration is about to exhaust its iortgage insurance authorization, the President said, and needs a six billion dollar increase to prevent lapse of the program at the height of a thriving homebuilding season. He aimed his sharpest shafts at the inaction of Congress on what he has called corrective wheat legislation. t Members Tap New Vulcans Mighty Vulcan, holding court on his forge, Mt. Aetna, sat em- bittered at man's misuse of his beloved fire. Prometheus came to aid his faithful followers, saying, "Mighty Vulcan, hear these candidates for admission to our sacred order." They being engineers, the only 'form of mankind the God would hear, were forthwith put to the test, and having passed the ordeal and proven their worthiness were admitted. Those tapped into the engineer- ing honorary were: Paul "Aeolus" Becker, '60; William "Morpheus" Beck, '60; David "Kratos" Beste, '60; David "Pluto" Brown, '60; Cash (EDITOR'S NOTE: This is the second of two articles discussing Michigan's financial condition.) By JUDITH DONER , Although Michigan's Democrat. ic governor and R epublican. controlled legislature have beet aware for nearly a year that th state was heading for a financia breakdown, the roots of the pres. ent cash crisis are 12 years deep In 1946, when the state's pock, ets were jingling with funds sup, plied by a pre-war-enacted three per cent sales tax, municipal ant school governments were virtuall, moneyless. Thwarted by legislators in thei separate attempts to gain a por tion of the sales tax to supplemen the dwindling school and cit rI S Has Roots in Pus with the current financial situa- tion. Of the $300 million which the sales tax is expected to bring in this year, the state can retain less than $50 million. Ailthough taxes have soared so that in recent years a total of $160 million has been collected in new taxes, the state has not benefited as it should. Temporary cures, patchwork panaceas, par- tisan politics, pressure groups, in- creases in state spending, ear- marked funds all combined to rob the state of its necessary finances. It now faces an estimated $100 million deficit for the fiscal year which ends June 30. Approved Bonus In 1947, voters so appreciated the work of the defenders of their addtiional money. Although both parties admit that a change in the state's tax structure is, the only long-range solution ' to the financial picture, plan after plan has been introduced only to be defeated by partisan politics. Seizing and selling the bonds in the $50 million Veteran's Trust Fund is regarded as the most ef- fective of the short-range reme- dies to the immediate cash crisis. But, this too is tied up in the po- litical battle. The use tax would add approxi- mately $108 million a year to the state's income through a one-cent increase in the three-cent out of state sales tax. This tax would also be applied to in-state purchases and would virtually be a four cent sales tax. Democrats generally affirm Gov. G. Mennen Williams' plan which includes a graduated personal in- come tax bill with a $125 million a year levy exempting low income groups or a variataion of this. Thus far, House Democrats have refused to approve the use tax. If the voters' preferences f taken into consideration, howev it can be noted that a Mari "NA Opinion Research Company sur- vey yesterday disclosed that six out of 10 persons interviewed in Michigan's Lower Peninsula fa- vored a higher sales tax to any form of income tax. The survey also showed that most of those favoring an income tax thought it should be paid only by persons earning more than $6,000 a year. LOW VOTE--Ballot counters tally up a low number of votes on the referendum held Tuesday and yesterday. Low' Student Ballot Favors U Rose Bowl Participation By KENNETH McELDOWNEY Over two thousand ballots in Student Government Council spon- sored referendum yesterday showed students favored continued Uni- versity participation in the Rose Bowl by four-to-one majority. As an experiment, I consider the referendum a success, Roger funds, the two groups united to country that they approved a sol- force a constitutional amendment dier bonus although there was no called "the sales tax diversion" to tax to finance it. Thus, the Legis- be brought before the voters. lature passed a cigaret tax of Requests Earmarking three cents on a package, which The amendment requested that has since been raised to five cents one-sixth of the sales tax, which and brings in $48 million a year. had been set up as the chief in- The year 1953 saw the Legisla- come of the state government, be { ture affirm a business activities earmarked for schools and muni- tax for the state, which brings in Legislature Paves Way, After Long Discussion, For Payroll Allotment Seasonwein, '61, elections director s Wolverines Win, 24=1 0 Ov er Titans By TOM WITECKI Special to The Daily DETROIT -- Led by the power- ful bats of Jack Mogk and Dave Brown, Michigan's baseball team made a shambles of a highly rated University of Detroit squad here yesterday, whipping the Titans, 24-10. The two. junior lettermen drove in eight runs apiece as the Wol- verines rolled up their highest run total since 1946. The Wolverines trailed, 6-3 heading into the eighth inning, and it looked as if the Titans were on their way to their 13th win against just two losses. Then the fun began! Unleashing a furious extra base attack to combine with five U of D errors, Michigan scored 21 runs in the last two innings, to turn the contest into a slaughter. Catcher Jim Dickey and right- fielder John Halstead started things off in the eighth with con- secutive line singles. This was all for Gary Mettie, the Titans' ace hurler, who had posted a 6-1 sea- son record,including an &-3 deci- sion over Michigan earlier this spring. Mogk, who had homered over the centerfielder's head in his previous trip to the plate, greeted the new pitcher with a triple to left field, scoring Dickey and Hal- stead. Pinch-hitter Bill Roman brought him home with a sacrifice fly to tie the score at 6-6. The Titan infield then crumpled, See M' SLUGGERS, Page 6 aid. He continued, saying that the really concerned with this issue and thus it can't be considered to be a cross-section of student opin- ion. cipalities. It was approved by the voters amidst cries fromefinancial experts who realized the conse- quences which might stem from its passage. Indeed, it is because the state cannot keep all its tax money for itself, that it now is confronted One good sign, Seasonwein said, is the high numbers of graduate Hr students who voted. The precent-e age of graduate students voting is higher than in any other SGC balloting, he added. Reds Beg 1,853 Favor Bowl In a breakdown of the votes, ego 1,853 students voted in favor of continued participation in the Rose owl, while 568 voted against.: GENEVA (A ) - Secretary of On th question of all bowl games, State Christian Herter got the the percentage in favor was even Big Four foreign ministers con- higher, 2,478 to 229.I ference down to business yester- A motion to send the results of 1 fdans the referendum to the faculty senate was made and passed at the Student Government Council meeting last night. Members of the faculty and the Board of Con- trol of Intercollegiate Athletics will make the final bowl decision. Many council members thought that if the results of the poll were sent on with the council com- ments and interpretations that its impact as student opinion would be lost. Back Council Function Others, including Al Haber, '60, took the stand that it is the func- tion of the council to express stu- dent opinion. Jo Hardee, '60, executive vice- president who made the original motion specified that the results be sent along without any SGC comment. After. discussion and amendment a motion to advise the faculty to consider the opinions of the students in making their de- cision was also approved. Seasonwein said later that the vote should be considered as a sum of personal opinions, rather than an opinion on the University's needs. "The referendum, therefore must be evaluated in the light of all these factors in order for the vote to have any sense," he said. dy-. He challenged the Soviet Union to enter serious negotiations for concrete, self - enforcing agree- ments to ease world tensions. The tall American diplomat, chairman in the third day of a parley previously stalled by Rus- sion procedural moves, announced the West will introduce proposals Keep Cool GENEVA (P) - Trumpeter Louis Daniel (Satchmo) Arm- strong blew into town yesterday and offered to relax the East- West Foreign Ministers with his red hot music. "I don't know nothing about politics," he said, "but get them cats to relax, and daddy, they'll just relax the tension in this world." to that end. He promised United States participation in summit talks if the Russians will negotiate here constructively. All four of the ministers pre- sented their opening speeches. Western spokesmen announced after the 2-hour, 45-minute meet- ing in the Palace of Nations that the Western powers will present their package plan tomorrow. This plan, ironed out at a West- ern conference in Paris last month, links a solution of the Berlin crisis to German unification and a Euro- pean security agreement. It is un- derstood to provide for uniting Germany by a series of steps under Big Four auspices-and with the help of an all-German committee -over a period of two or three years. Herter and his Western col- leagues stressed in their opening statements that the West will not be steamrollered by Russian diplo- matic pressure. $64 million in a normal year. The corporation franchise tax was lift- ed in 1951 and 1952 and its ceiling removed, allowing another $50 million to filter into the till. There are also such things as motorists' taxes, but the state can't touch them since they are constitutionally designated for highways. Twice in recent years these taxes were revised, the -three per cent state gasoline tax sky- rocketing up to six cents a gallon. Motorists' taxes amounted to more than $200 million last year. Others Out of Reach Further, at least $150 million a year in employers' taxes for un- employment compensation insur- ance and $60 million in premiums for workman's compensation in- surance are outside the state gov- ernment's grasp. Of course, the g o v e r n m e n t might have cut down its services when it became aware that it was spending more than it was tak- ing in. But it decided against re- voking services which the taxpay- ers had come to expect. Further, the question of which services to cut seemed all but unanswerable. As one government expert put it: "More than half of all state spending is for education ,welfare and mental health. I wonder if the public is ready as an economy. measure, to tell the University of Michigan that its 23,000 student rolls must be reduced to 18,000, to tell Michigan State University it must educate only 16,000 students, not 19,000. 'Is State Ready' "Is the state ready to tell people on welfare rolls their checks must be smaller?" he continued. "Is it ready to say to the Mental Health Department, 'go back where you were years ago. Keep your pa- tients warm. Feed them. But don't spend money to treat or cure them.' " Thus there is little wonder that' the state finds itself unable to meet its present bills and is fran- tically searching for means to bring in the necessary funds. 1 The Legislature is currently con- sidering two methods to bring in3 Driving GroupI Sets Hearing There will be an open hearing1 of the Driving Regulations Com- mittee at 3 p.m. today on the third floor of the Student Activities Bldg., Ron Bassey, '61, announced yesterday. The meeting is being held to allow students to voice complaints they have concerning present driv- i ing regulations, he added. 'Ensians Available -Daily-Allan Winder 'ENSIANS OUT-The 1959 Michiganensian will be distributed beginning today from .10 a.m. to noon and from 1-5 p.m. at the Student Publications Building, 420 Maynard St. Distribution will continue at these times through nexi week. Those who have not ordered their books will be able to purchase them at this time, according to Arvin Philippart, '59, 'Ensian business manager. AFTER HARVARD, COLUMBIA: Niehuss Says Exchange Plan With USSR in Tague' Stage House Drops Senate Tax Increase Bill1 Smeekens' Plan Passes in Senate; Goes to Williams LANSING (A)- The legislature finally paved the way for distribu- tion of state paychecks yesterday, but only after several hours of wrangling. The House also turned down the Senate - approved bill to add a penny to the sales tax, for the second time in six days. This time, barring unusual and unexpected suspension of the leg- islative rules, it's dead for good. It was dinner time when the Smeekens bill for unfreezing cer- tain restricted funds in the state treasury cleared the Senate and was sent on its way to the Gv- ernor's desk for signature. The holdup was over a technical amendment that Gov. Williams said was necessary to make the, bill workable. It was added in the House. On the tax bill, Republican senators, however, have said they were ready to start action on new use (sales) tax measures in their drive to meet the state's revenue needs with a higher sales ta. Gov. Williams and fellow Demo- crats are pushing for a personal and corporate income tax package. Again yesterday, Reps. George W. Sallade (R-Ann Arbor) and Louis C. Cramton (R-Lapeer) sided with Democrats in rejecting the sales tax. Gov. Williams greeted the deci- sion with a smile. "Now I think this clears the way for Republi- cans and Democrats to get to- gether on a tax program," he told a news conference. The Governor later told news- men he didn't know whether the next big bi-weekly payroll due May 21 could be met. Gov. Williams said that the state administrative board prob- ably would vote tomorrow to apply all general fund monies on hand and expected receipts for at least another week to meeting state obligations to local school districts. ISphinx Select Nw Legions Once again the Pharoah has commanded his legions to cross the great desert and invade the land of the barbarians to pick slaves for the. Pharoah's Cout. Once again the East has learned to fear the Pharoah's might. Into the temple, where gathers the Court, came neophyte slaves to the Great Court of Sphinx. Here they learned of many things. Here they learned to dedicate themselves to Michigan and to the Pharoah . .. So came ..J Harold Applebaum, James R. SGC To Present To Clarification Committee' Student Government Council will present a motion this after- noon to -the SGC Committee on Clarification on what it considers the criteria for action of the proposed board of referral. David Kessel, Grad., presented the motion to the Council last night. It states that the only criteria for SGC review compatible with a meaningful student government are the following: a ques- tion of reasonable action, whether the Council has acted reasonablyl in accord with the great weight of the evidence, a case of procedural the evidence; a case of procedural irregularities or a case of juris-L dictional question. ILONG LINES OF The final statement of the mo- tion was that imposition of any other criteria for review of SGC C om a action would, in effect, merely 're-4 place SGC opinion with review board opinion. Review of this sort could only result in the eventual deterioration of student govern- E ment. 7 By THOMAS HAYDEN and NORMA SUE WOLFE An exchange of University and Soviet Union professors is in the "vague, preliminary" stage, a University vice-president reported yesterday, after an announcement that Harvard and Columbia uni- versities may start similar pro- grams next fall. President Harlan Hatcher is exploring various possibilities for the exchange program on his cur- rent tour of the Soviet Union, Marvin L. Niehuss, vice-president and dean of faculties indicated. Plans will remain indefinite un- til President Hatcher returns about May 20, he added. 'U' To Watch Niehuss explained the Univer- sity "may watch and see what Harvard and Columbia are doing." Harvard confirmed plans for a tentative exchange with Lenin- grad State University Tuesday. The arrangement should be in operation by September. Though the ultimate program is hoped to be extensive, he said, only two or three professors will initiate the exchange. The Harvard-Leningrad agree- ment will focus mainly on research work, with teaching activity sub- ordinated. Some professors may lecture, however. Initiate Negotiations Negotiations were initiated when a Harvard delegation visited Len- ingrad earlier this year. A Lenin- grad delegation visited Harvard last month and reached the tenta- tive agreement there. At the same time; Columbia was negotiating for an exchange with Moscow University. The Soviet group is expected to complete ne- gotiations in the United States next week. The Columbia-Moscow exchange may start in February, with more of an emphasis on teaching than was envisaged in the Harvard- Leningrad agreement. A Columbia informant said this would be particularly true if outstanding scholars in physics and oceanog- raphy at Moscow University could be brought to the Columbia cam- pus. t s Might Present Problem IA government official admitted that the exchange of social scien- tists might present a problem. The Marxist views of Soviet social scientists are generally regarded here simply as "Communist propa- ganda," he said. From the Soviet point of view, he added, the teachings of an American economist or historian are regarded as "anti-scientific UNESCO: ger Sees World Universities Historian Henry Steele Com- Creation of international uni- mager envisions international uni- versities should parallel the de- versities, along the line of cline of nationalism, Commager UNESCO, the World Court, or the explained. World Health Organization. Cites Nationalism Asks No 'Redecision' The basis of the motion is that the Council does not want the board in referral to be able to re- decide everything that the Coun- cil decides. "If the only basis for review is reasonability, the Coun- $(k4 t 1 He sees their establishment as part of world moves away from nationalism and a "perhaps re- quired" trend away from "childish things" in universities-including fraternities. sororities and inter- It is highly probable, Commager noted, that in the "future of your generation," nationalism will play on the world scene the role that states have played in recent years in America .and srict insistence pean countries in recent years hadj been used for universities. Commager declared universities are the fittest agencies for the tasks ahead. He said they would be called on to inaugurate pro- grams looking to the mitigation of national rivalries, the solution of international difficulties, and the construction of a new social, eco- nomic, and cultural order that - - ---------