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June 25, 1963 - Image 11

Resource type:
Michigan Daily, 1963-06-25

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omney Weighshight Tax Pans,
resents Them for State Study
NSING-Michigan's tangled
system has long been under
lose scrutiny of Gov. George
ney and his top fiscal aides
are attempting to reform theh
exing financial problems of {::..

Democrats Suspend Districting Fight

t present, with state revenues
r all time records and the pres-
deficit fading out of existence,
tney is considering eight pos-
e plans for tax reform and
senting them to the state in a
es of meetings.
or although the present deficit
r virtually be extinct by June
July 1964, Michigan's budget
ds will rise by $60 million,
troner Glenn S. Allen, Jr. re-
Ifture Needs
he present "nusiance taxes"
mented structure will not be
to provide the future needs
the state. $rcoperty taxes of
,1 county and town govern
Its have been severely limited
he polls. Consequently, school
ems are having a hard time ob-
dng funds as the percentage
Subsidy given by the state has
pped below what it was in 1952.
s for cutting back on state
enses, Romney noted that after
ful investigation into wasteful
enditures of his own office the
r thing that he was able to do
exchange the governor's lim-
ne for a standard model. -
omney's assertion that fiscal
inm lies down one of two roads
i on the local level or tax on
state level-becomes quite
.r when considering his eight
Bible solutions to tax reform for
Eight Plans
omney's eight-alternative pro-
xs are:
' Repeal of the business ac-
ies tax and reduction of the
lchise tax by two mills and an
osition of a six per cent busi-
income tax bringing a net
I of $11.6 million to the state
) A local option plan to allow
mates or cities to initiate an in-
e tax of up to two per cent to
ised for schools and the run-
of local governments. By lim-
g state support in these areas,
, governments and schools will
orced to enact the option plan;
Repeal Taxes
Repeal of the business ac-
ies tax, intangibles tax in ad-
on to reducing the corporate
ichise tax ,and substitute for
nr ,a two per cent fat rate in-
e tax on individuals and cor-
tions thereby increasing the
income of the state by $53.1
I Repeal the business activities
and intangibles tax, reduction'
the beer, liquor and cigaret
is, removal of the' franchise
sales taxes on prescription
gs and replace them with - a
per cent flat rate income tax
individuals plus a four per
tax on corporations bringing
.gain of $61.1 million. Combin-
with this plaan would be the
oon of counties to levy an in-
., tax of not more than two
cent on individuals only;,
Repeal the business activities
and intangibles tax, reduce
corporate franchise tax, beer,
or and cigaret taxes and re-
ral of the sales tax on prescrip-
drugs, food consumed off the
Ises and trade-ins and re-
e them with a three per cent
vidual and a five per cent cor-
te income tax for a net gain
$26.3 million;
Distribute Revenue
Th same as plan five with
exception that the sales tax
ood consumed off the premises
sales tax on trading would
ain. Net expected gain to the
e treasury: $149.3 million. Un-
this alternative provisions
ld be made to distribute a por-
of the taxes to local units on
rmula set up by the legislature;
limination of one per cent
s and use tax repeal of. the
ness activities and intangibles
s and a reduction of the fran-
e and beer tax along with an
osition of a three per cent cor-

",te and individual income tax.
al state units would receive
-third of this income tax which
id bring in an additional $14.6
ion; and
Repeal of the business ac-
tles and intangibles tax, re-
bion of the franchise and beer
s, exemption of drugs from
s,.axes and property. tax relief
elderly citizensalong with a
per cent individual and three
cent corporate income tax
ch would bring in an additional
6 million. A one per cent, local
on personal income tax would
be made available to counties.
eetings have been held in
sing, Detroit, Jackson and
It St. Marie as Romriey tests
various- tax plans on public
ion. Principle sessions have
a with business and labor

TAX REFOItM-Gov. George Romney (left) was told recently
by state Superintendent of Public Instruction Lynn Bartlett that
his fiscal reform plans must include aid for hard-pressed local
Eucator-ls Ask School Aid
FrmLegislative omSession
Michigan schools are in great the state, Gov. George Romney
financial difficulty and the prob-
lem of financing state education met with opposition even to his
should. be one of the first items eight alternative tax reform plans.
on the Legislature's agenda this Want Control
fall, State Superintendent of Pub- Assistant Detroit superintendent
lic Instruction Lynn Bartlett said of schools William Simmons told
recently. Romney "we want to be treated
Bartlett cited. half day sessions the same as cities or counties.
in three grades of the Detroit School boards have no control over
school system this fall and termed .choel finance.
this situation, caused by the April "We too should have the right
millage defeat, "completely intol- to levy an income tax." he added.
erable and inexcusable. " One of the more outspoken
the school school officials was Grand Rapids
Noting the defeat of c School superintendent Benjamin J.
millage proposal in Detroit, Bart- Buikema. "It's high time the
lett also cited similar cutbacks and school boards .had local independ-
difficulties in other areas of the ence-fiscal autonomy," he said.
-nefsa atnmhesid
state. Nnf: Ambifinn

Disgruntled Democrats, angry at
the Republican-sponsored reap-
portionment of the state's con-
gressional districts, have given up
-for the moment-any attempt to
overturn them.
The Republican-dominated Leg-
islature during its short June pre-
adjournment session redrew the
lines of the districts of the state's
Washington delegation, admitted-
ly for their own benefit. Demo-
crats, especially state Democratic
Chairman Zolten Ferency, had
talked of a 1964 referendum on the
districts or a court suit.
Ferency later ruled out a ref-
erendum, but indicated there
might be a constitutional amend-
ment on the subject. State AFL-
CIO President August Scholle, who
filed a new suit against legisla-
tive districts under the new con-
stitution, said that suits against
this districting will have to wait
until his other legal action is com-
Other party leaders, notably
Fifteenth District Rep. John Din-
gell (D-Detroit) said that Demo-
crats should attempt to pick up
the Upper Peninsula District now
in Republican hands and the new
18th rather than bemoan the dis-
New District
The redistricting ,encorporates a
19th district, entitled to Michi-
gan after the 1960 census. This
will eliminate the at-large seat now
held by Rep. Neil Staebler (D-
The new districting also elimi-
nates one of the most glaring in-
equities in the United States. The
.range of districts was reduced to
473,0001306,000 from 690,000-177,-
The new district was placed in
Oakland County. The old 18th Dis-
trict was reduced to southeastern
Oakland County with the rest be-
ing added to Livingston County.
Reduce District
The Upper Peninsula represen-
tation was reduced from 1.75 con-
gressmen to one while the districts
in the northern part of the Lower
Peninsula was juggled to save in-
cumbent seats. This juggling de-
layed approval of the districts.
Detroit's congressional districts
were also altered from a vertical
plan to a more square one. This
led 14th Congressional District,
GOP Chairman Richard Durant, a
long-time Romney foe, to claim
the district was designed against
The new districts will put sev-
eral congressmen outside their
current districts. Dingell, Rep.

W i 11 i a m Broomfield (R-Royal
Oak) and Rep. Frank Knox (R-
Sault St. Marie) have the option
of moving to their former districts
or staying put in the new district.
The 19 new districts are as follows: .
First, north central Detroitn469,000 3 ~ 5ai.
people; Second, Washtenaw, Hillsdale, .
Lenawee and Monroe Counties, 386,000; k
Third, Kalamazoo, Calhoun, St. Joseph .
and Branch Counties, 386,000; Fourth, t { '. .4'a'S.4.
OttawaAllegan,Van Buren and Cass '
Counties, 392,000; Fifth, Kent and Ionia
Counties, 406,000; Sixth, Clinton, Eaton,Fy _
Ingham and Jackson Counties, 431,000.
Seventh, Shiawassee, Genessee and t < , z "}{, '
Lapeer Counties, 470,000 people; Eighth, w ; ..t.k- ..Z
Saginaw, Tusucola Huron, Sanila$c andv°.
St. Clair Counties, 445,000; Ninth, Le- ....z.M...
lanau, Benzie, Grand Traverse, Manis-
tee, Wexford, Mason, Lake, Osceola, .
Ocena, Newaygo, Mecosta, Muskegon
and Montcalm Counties, 377,000. ' .
Tenth, Emmet, Cheboygan, Presque .~
Isle, Charlevoix, Antrim, Otsego, Mont- " o ;*.,.
morency, Alpena, Kalkaska, Crawford, "-
Oscoda, Alconia, Missaukee, Roscom-
mnon, Ogemaw, Iosco, Clare, Gladwin, f u t x ,'yrt'y /,t0' .}k xvao t} 4
Arenac, Isabella, Midland and Bay
Counties, 393,000. Y }. .. xa , , ,.f ...k
Eleventh, Upper Peninsula, 306,000
people; Twelfth, Macomb County, 406,- - , 11' .
000; Thirteenth, central Detroit, 473,000;
Fourteenth, northeast Detroit and the .
Grosse Points, 371,000; Fifteenth, South- . . t. .....
eastern Detroit and eastern Dearborn,
462,000; Sixteenth, west Detroit and NEW DISTRICTS--In its short pre-adjournment session, the
western Wayne County, 453,000; Seven- Legislature passed a reapportionment of Michigan's Congression-
teenth, northwestern Detroit, Livonia,
Redford Township, 405,000; Eighteenth, al districts. A new district was added in southeastern Oakland
southeastern Oakland County, 383,000 County and Upper Peninsula representation was reduced to
and Nineteenth, Livingston and the ndistrict.
rest of Oakland County. one
Scholle Renews Seating Fight
With the certification of the
new constitution, Michigan AFL- ald (R-Grand Ledge), one of the and House provisions, under the
CIO President August Scholle re- three senators who petitioned the revised Constitution both the Sen-
filed his redistricting suit against high court, noted, "It looks as if ate and the House of Representa-
Secretary of State James Hare. they're trying to determine in tives will be controlled in perpe-
Schoole and others represent- Washington what the view on tuity by a minority of the states
ing "disenfranchised" areas claim mootness is here in Michigan." voters, and the majority will be
that under the new document In both the original and new deprived, as heretofore, of the op-
Senate and House districts are di- suit, the state districting methods portunity to enact legislation vi-
vided in such a way as to give were claimed to violate the "equal tal to the needs of a burgeoning
vided in sch wa ase puton iveprotection" and "due process" urban and increasingly industrial-
eight per cent of the population clauses of the Fourteenth Amend- ized. society, to their incalculable
the same representation as the ment. and irreparable damage," the
other 92 per cent.
Under the new constitution, "As consequence of the Senate complaint said.
Senate seats are allocated under
a formula giving 80 per cent weight
to population and 20 per cent to
area. The State Supreme Court is
to fix the 80-20 formula if the bi-
partisan Apportionment Commit-
tee is unable to agree on the dis-
tricting. SUMMER SEMIN
Moot Issue
The United States Supreme
Court had previously sent mem- JULY 2 Speakers: Dr. William M. Cave, Dr. Finley Carpente
oranda to all parties to the suit in "Education and Social Change in Soviet Central Asia
order to discover whether the orig-
inal 1959 redistricting case was JULY 9 Speaker: Dr. Richard L. Cutler
Fo o i ue ictum laid down Topic: "Mental Health Consultation in Schools: A
in Baker vs. Carr, the State Su- JULY 23 Speaker: Dr. W. H. G. Armytage,
preme Court ordered last July 18 Topic: "Science and the Arts in Education"
that the Senate be immediately
redistrictedand that if the action
was not taken the Senate's 34 Time: 12:00 Noon to 1:00 P.M.
members were to seek election on
an at-large basis in the 1962 race. Place: Gymnasium, Room 1525 University Elementary School
On an appeal by three Republi- Sponsored by the SCHOOL OF EDUCATION FACULTY RESEARC
can state senators, Associate Jus-
tice Potter Stewart granted a stay EDUCATION SCHOOL COUNCIL, PHI DELTA KAPPA, PI L
to state court's ruling. Since that
time no further action by the fed-
eral high court has been taken. Bring or Buy a Bag Lunch ($.85) Coffee served by the Educa
'Space Concept'
The new suit that was filed by
Scholle criticized the "space con-
cept" on the grounds that it would
allow the Upper Peninsula to
have three senators "even in the
absence of all human habitation."
Although he refused to give his
own opinion on whether or not the
case was moot, Sen. John Fitzger- a sw- n r OWE wr.r°M-L a

State Role
"The state's portion of public
education has continuously de-
clined. While the state paid 52 per
cent of the school dollar in 1952,
it only pays 39 per cent now,"
Bartlett said.
He asserted that the state's bid
for the 1968 Olympic games be-
comes a ."gross mockery" when
physical education and athletic
programs in the schools must be
curtailed for lack of funds.
In discussing the problem with
school officials from throughout

IN IlA M311oUs
Voicing his objection to the gov-
ernor's tax reform program, Buike-
ma said that none of the eight
programs was ambitious enough.
"I don't even want to talk about
$50 million. To do the job and give
relief from the property tax bur-
den for schools will take more
than that," he claimed.
Romney answered that the pres-
ent tax system is a worse alterna-
tive and that the kind of taxes
that Buikema urged might be "too
big a step" which could cause the
collapse of a "good tax structure."

Hopefuls Eye_,.Gubernatorial Posit ion
r ,

With Gov. George Romney look-
ing toward the national scenes
several 1964 gubernatorial hope-
fuls have popped up in both par-
Several Ann Arborites are men-
tioned in the speculation.
If Romney runs for president or
vice-president next year, three
hopefuls have been mentioned as
probable successors. Ann Arbor's
Sen. Stanley G. Thayer, currently
Senate majority leader, has been
widely named. So have fellow Sen.
William G. Milliken (R-Traverse
City) and Congressman Robert P.
Griffen (R-Traverse City).
Rules Caucus,
Thayer rules the all-important
Republican caucus in the Senate
and was largely responsible for
steering the governor's program in
tact through that body.'His leader-
ship was subdued the veto bloc to
a whisper.
He put together a moderate Re-
publican-Democratic coalition that
passed an income tax last year in
the Senate, only to have the con-
servatives reverse the vote five
days later. Subsequently, retire-
ments and primary defeats reduc-
ed the conservatives representation
and replaced them with moderates.

Milliken, who is Thayer's whip
in the Senate, is also looking for
political advancement.
Labor Act
Griffin is co-author of the con-
troversial Landrum-Griffitn Act
limiting the activities of labor un-
ions and imposing strict financial
controls on them. He is one of the
two well-known Republican mem-
bers of the state's congressional
delegation. His cohort Rep. Gerald
Ford (R-Grand Rapids) is seen as
a possible vice-presidential nomi-
All three have denied aspirations
on Romney's seat as long as the
governor occupies it or intends
to, but none have ruled out am-
bitions if Romney moves to the
national scene.
This reluctance does not effect
Rep. Neil Staebler (D-Ann Arbor),
Michigan's 'congressman-at-large,
who admitted recently that he is
willing to be pushed into a race
for the governorship.
Wide Open
With the Democrats out of
power, the governor's race is wide
open and includes such party per-
sonalities as former Gov. John B.
Swainson, Detroit's Mayor Jerome
Cavanagh, Secretary of State

James M. Hare and Atty. Gen.
Frank Kelley.
However, a number of other par-
ty leaders have indicated a prefer-
ence for Staebler. He was the
Democrats' best winner last fall,
pulling a surprising 118,000 vote
margin over former Rep. Alvin
Although a member of the los-
ing faction in last spring's intra-
party fight, many party leaders
see Staebler-the architect of the
10 years of former Gov. G. Men-
nen Williams success-as a man
who could unify the party and
woo the voters.









in a Summer Festival Concert
Sunday, July 14,,8:30

For those hard-to-find Textbooks
always buy at


The Program of Vienese Music includes selections from Strauss'
"Fledermaus," "Wiener Blut"; Lehar's "Merry Widow"; Von
Suppe "Beautiful Galatea"; Carl Zeller's "Der Vogelhandler"



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