MICHIGAN FISCAL CRISIS:
TROUBLE FOR ROMNEY
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Seventy-Six Years of Editorial Freedom

VOQ~hi~sL.LXXVINo. 3

ANN ARBOR, MICHIGAN, TUESDAY, JUNE 27, 1967

SEVEN CENTS

SIX PA(


- -.- O 4 ., , _ , ;r E n DEPENDS 4N FINAL BUDGET:

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Out-State

Tuition Might Rise

$700 Under State Proposal

MAKING A FORCEFUL POINT during a panel discussion on Viet nam at the opening day of Students for a Democratic Society
convention yesterday is past president Carl Oglesby. At his right is Tom Hayden, '61, an SDS founder; at left is current president of
SDS Nick Egleson.
P "
SDS Conference Openjing Session

By WALLACE IMiVMEN ed in the House until negotiators'
A tuition increase of $600 to can decide how much tax reve-
$700 for out-of-state students nue will be available for the nextj
would be required if the University year.
adopts a plan suggested by the In the meantime, schools, af-
state Senate to make up the dif- fected by the outlook of operation
ference between state appropria- on last year's allocations and the
tioins and University needs for possibility of an 18 per cent "aus-
next year. terity" cut, have taken steps to
University officials said yester- handle any "crisis."
day that although these figures Tuition hikes have been sug-
from a source at the state Budget gested at all the state's schools.
Office were grossly exaggerated, The University's Board of Re-
any tuition increase would prob-
ably hit the out-of-state student
harder than the in-state student.
The Senate plan, sent to the
House with the appropriations
budget last week, calls for out-of
state students to pay 75 per cent
of their educational costs. The
current out-of-state tab is about S C R
40-54 per cent of total cost.
A tuition increase of $600
"might well deplete the enrollment Marathon bargaining over Gov.
by 2,000 and would not be ac- George Romney's state fiscal re-
ceptable," noted James Lesch, as- form was fruitless once again yes-
sistant to the vice president for terday in the House of Represen-
academic affairs. Out-state en- tatives.
rollment has been held steady for Bipartisan negotiations with the
the last few years. Governor will resume again this
Lesch _explained that a tuition morning with neither side much
increase would place the Univer- closer to agreement than they
sity above the financial capabili- were last Wednesday when the
ties of many out-of-state students measure was defeated in a floor
currently enrolled. vote.
Rates Would Vary With less than a week remain-
If a tuition increase is neces- ing until the deadline for any
sary, rates would vary according
to schools and. would be the re-
sult of a great deal of consulta- J
tin n safh si.I~SR Studi
tion between Regent, administi a-
But, he said, a heavy increase
would not be accepted by the fac-
ulty and administration without
a raise in student aid available;
as well.
Student aid funds have not By JENNY STILLER
shown promise of increasing for A comparison of international
the coming year, the Budget Of- data on the reaction of persons
fice reported, to their roles in various organi-
The University would be the zation hierarchies will be carried
school affected most by a deci- out by the. University's Institute.
sion to increase out-of-state tui- of Social Research.
tions disproportionately, because it "Members of the upper echelons
has the largest out-of-state en- of an organization have been
rollment in Michigan. State Board found to be more likely to feel
of Education President Edwin L. greater inner satisfaction, in-
Novack said a large tuition in- volvement and interest in their
crease could adversely affect the jobs and in- their organization
number of qualified applicants to than people at lower levels," ex-
the University next year. plained Arnold S. Tannenbaum,
Officials are worried about im- principal investigator for the proj-
minent budget cuts and tuition ect and program director in the
increases at all 12 state-supported ISR's Survey Research Center.
colleges and universities this year. The project will measure and
But everyone is powerless to move compare reactions in 30 organiza-
until the state Legislature makes tions, 10 each in Israel, Italy and
a decision on the fiscal reform Yugoslavia.
question. Resulting data will then be
The Higher Education Appro- available for comparisons with
priations bill cannot be consider- studies made in the United States.

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A larger budget
promised facult
and a large incre
Lesch has report
At Michigan
President John
the costs of ad
faculty member
cent faculty in
be met from st

gents is on call
propriations bud
plan allocations

an

Talks Resume

1 Reform Falters

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action, however, the parties have
boiled the many standing points
of contention to two.
Democrats want to add a state
sales tax rebate of $3 per person
and to raise the proposed 5 per
cent business tax rate to 5.8 or
6 per cent but Republicans have
refused compromise.
A stumbling block to approval
of the bill has been a Democratic
agreement that they will not vote
for a bill which has not first been
approved by House leaders.

By BETSY TURNER
The annual Students for a Dem-
ocratic Society convention was
underway at the University yester-
day and the emphasis of the250-
300 delegates in attendance was
upon action - rolling up sleeves
and getting down to the hard, un-
rewardrig work of hashing out
programs-rather than the frivol-
ity or facile intellectualism that
characterizes many conventions.
The conference opened Sunday'
with regional meetings, informal
discussions and films.
Yesterday morning. three papers
on present weaknesses in the eco-
nomic and social systems of the.
nation were presented to a gener-
al assembly. The authors also pre-
sented possible courses of action
that radical University groups,
especially SDS, could follow.
Informal Groups+
The afternoon sessions began
with informal discussion groups of
about 20 to 30 people. The groups+
were designed to provide an op-
portunity for general discussion of'
the morning presentations.
The discussions were followed by
a panel on Vietnam in{which Carl
Oglesby and Tom Hayden, both
former SDS national presidents,+

whenever the ap- the Legislature passes fiscal re-
Iget is finalized to form.
and program cuts. He has set up an emergency'
t is necessary for meeting of the MSU trustees for
y salary increases Friday, to set up "ground rules
ease in enrollment, to face up to the problem," ac-
ted. cording to Philip Maye, MSU fi-
State University, nance officer.
Hannah said that Eastern Michigan University's
dition of 180 new administrative board held a meet-
rs nd fie pg mg on the budget problem yester-
s and a five per and set a special meeting for
crease there must Friday, according to vice-president
tudent fees unless for business affairs, Lewis Profit.

and Nick Egleson, the present na-
tional president, spoke on the ori-
gins and direction of the war.
The evening sessions focused
mainly on regional and small
group conferences.
The first paper presented to
the conference by Robert Gott-
lieb, a student at the New School
for Social Research in New York,
was co-authored by Gottlieb, Ger-
ry Tenny and David Gilbert. It
consisted of an analysis of capi-
talism and its main sources of
strength, including institutions
which are necessary for its main-
tenance. Large scale commercial-
ism and technology in all fields
were cited by Gottlieb as two such
institutions.
This paper also presents a new
theory for social change entitled
"Post-Scarcity." The essential
components are decentralization,
abolition of division of labor and,
eventually according to the plan,
elimination of the existing in-
equitable distribution of wealth.
The authors also condemned tech-
nology as "one of the factors in-
fluencing centralization of control
in American sciety."
Gottlieb, in his presentation, cit-
ed four classes which exist in the


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NEWS WIRE

United States: the ruling class,
petty bourgeoise, a working class,
and the poor or underclass. A
coalition of students, the Indus-
trial proletariat - part of the
working class as defined by Gott-
lieb-and the underclass could
serve as a power base for the
radical movement, according to
this paper..
Another group, the technical
worker in industry, was defined
as the "new working class." The
authors of this paper feel that
this new class, if organized, will
have the power to cripple, and
thereby force change in the pres-
ent system.
. Second Paper
The second paper, presented by
Jared Israel, a student at Harvard,
presented a paper entitled: U.S.
Capitalism - Prosperity or Crisis?
The initial question posed by Is-
rael was, "How to radicalize people
who are not oppressed?" Since
people do not see or understand
the total picture of life in our so-
ciety, according to Israel, they be-
come accustomed and satisfied
with their own particular life
styles. Education aimed at devel-
oping total awareness of this con-
dition is needed.
The status of capitalism in this
country is characterized by thef
authors: "No other capitalist
country has done worse since
World War I, except decrepit and
tottering Britain."
The third paper, outlined by
Larry Gordon of Harvard and
written by Paul Potter and Hal
Benenson, deals with the radical
perspectives on the campus. A
large portion of the paper focused
on an analysis of present campus
movements and what has to be
done in local SDS chapters.
Vietnam Debate
After presentations and the
following discussions, attention
was directed to another issue-
Vietnam. Egleson, the initial panel
speaker, gave a critique of the in-
formation he had gathered on his
recent trip to Hanoi. According to
Egleson, the Viet Cong are vic-
torious at the present time and
are confident of eventual total
victory. He added that they expect
the war to last at least 20 years
and also expect considerable esca-
lation.
Hayden the following speaker,
emphasized the need to discuss
strategy rather than analysis since
SDS members, in his opinion, know.
or should know the facts about the
situation already.
Hayden presented three possible
alternatives which were available
to Johnson at present: 1) gradual
escalation continuing at the pres-
ent rate; 2) the implementation ofj
poison gas, nuclear weapons and
land invasions; 3) withdrawal and
retreat on the grounds that the

ADVISES CAUTION:
ACE Sets Guides for
With Non-Prof essionv

Late Word Newas
By The Associated Press'
UNITED NATIONS, N.Y. - King Hussein of Jordan will
meet President Johnson Wednesday, a member of the royal
entourage said last night.
, *
SAIGON - Entrenched North Vietnamese forces unleashed
a series of rocket, mortar and artillery barrages last' night and
this morning against three U.S. forward bases just south of the
demilitarized zone.
First reports listed allied casualties at five killed and 100
wounded, including U.S. Marines and South Vietnamese civilian
irregulars militiamen. Heaviest casualties were inflicted at the
U.S. Army Special Forces camp at Lang Vei in the northwest
corner of South Vietnam, one mile east of the Laotian border and
about five miles south of the demilitarized zone.
MERLIN W. MILLER will replace Edward G. Groesbeck as
registrar of the University on Aug. 1. The announcement was
made Friday by Allan F. Smith, vice president for academic af-
fairs.
Groesbeck will resign July 31 to become vice president for
academic affairs at Hardin-Simmons University at Abilene, Texas.
Miller, now associate registrar, came to the University in 1955
as a research assistant from North Dakota State University, where
he had been director of admissions and records. He was named

tention of troops in any areas such
as Thailand if withdrawal occured
in Vietnam.
He compared American atti-
tudes concerning Europe and As-
ia emphasizing the similaries. Ac-
cording to Olgesby, the U.S. is
interested in controlling cultural
development in other areas of the
world and has demonstrated this
in these two areas in particular.
According to Olgesby, "the his-
torical objectives of this country
are in direct opposition to our ec-
onomic and political interests in
other areas of the world. It is
impossible for us to pursue
both."
Tomorrow, the conference will
hold strategy panels, on such
topics as draft, the University, the
working class, poor, electoral pol-
itics, middle class, and foreign
policy. Discussion groups on strat--
egy will be held in the afternoon.
Credentials and plenary on the
agenda will be considered in the
evening.

cs E ffect
jPrincipal investigators in the.
1 three countries involved include
1 Menachem Rosner of Israel's Gen-
eral Association of Kibbutzim, Mi-
no Vianello of the Institute of
Statistics and Social Research in
Rome,_and Josip Zupanov of the
Economics Institute in Zagreb,
Yugoslavia.
"The importance and univer-
l sality of hierarchy in organiza-
- tions suggest it as a topic for
comparative study," Tannenbaum
said.
"The proposed research, while
, exploratory, is designed to con-
- tribute to our understanding of
how the effects of hierarchy may
differ as a function of formal
systems of control and ideologies.
"It will be interesting to see
if the same gradients occur in
organizations specifically designed
e to eliminate them.
"Both the Israeli kibbutzim and
. Yugoslav factories managed by
- workers' councils were structured
on egalitarian principles," he add-
ed. "The question is, how well are
these theories working?
"The organizations will differ in
their formal structures of con-
trol and, because, of socio-politi-
cal differences between countries,
in the values and expectations of
members."
On one level the study will ex-
amine patterns along the hier-
- archy in the reactions of members,
s and how these reactions vary from
country to country.
d A second level will emphasize
s social - psychological processes
- within organizations, including re-
d lations between persons at adja-
e cent ranks. Some attention will be
h given to the motives, values and
expectations of members and how
h these may have a bearing on
d their reactions to given organiza-
tional conditions.

Although Republicans hold a
56-50 majority in the House, six
Republicans have been unwilling
to support Romney's tax planning.
With the Democrats voting as a
unit, there can be no approval
until the leaders reach a satisfac-
tory compromise.
The gap between the sides has
been narrowing, however, and
Democrats finally said yesterday
that they would lower their mini-
mum request for a business tax to
5.8 per cent. They have contended
that anything less would place
too much tax burden on individ-
uals..
But Republican leaders insisted
yesterday that 10 votes from their
bloc would disappear if the
amount were raised above 51/2 per
cent.
Present Bill
The present bill calls for a 21/2
per cent personal income tax, a
5 per cent business tax, 7 per cent
tax on financial institutions and
a 3 cent per pack increase in thl
cigarette tax.
If House approval of a plan
comes this week, the bill will
go into House-Senate negotiations
to produce a final compromise
plan.
If no vote on the bill comes by
Saturday, action will have to wait
until next year and Romney has
already notifisd state agencies
that large budget cuts wilt bs
initiated next Monday.
In the meantime, action on the
appropriations budget, which pro-
vides money for all state services,
has been shelved.
Exemption Included
A $1,000 per person exemption
was also included after compro-
mise talks with the governor. The
Democrats had called for $1,220
and the Republican plan provided
a $600 exemption.
A negotiating session has been
scheduled among leaders of both
houses for Thursday. But Demo-
cratic leader, William Ryan, (De-
troit) said the talks would be
postponed if a tax plan is not
passed by the House.
In a last-ditch effort to get a
tax reform without the large scale
acceptable to both parties, a group
of Republicans headed by Rep.
Roy Spencer worked with Ryan
to prepare a bare bones tax plan"
wihich would include only income
taxes.
The plan included a 11/2 per cent
personal income tax, a 5.1 per
cent corporate tax and 7 per cent
financial institutions tax, but was
quickly buried in committee.

By JILL CRABTREE '
The American Council on Edu-
cation (ACE) Board of Directors,
meeting in Washington last week,
approved a set of guidelines for use
by colleges and universities in re-
leasing information to non-profes-
sional sources which seek to "rate''
the institution.
The guidelines, proposed by
Council president Logan Wilson
urge educational institutions be-
fore releasing data to such agen-
cies to:
-"request the names and ad-
dresses of responsible individuals
in higher education who are asso-
ciated withe the enterprise and to
whom inquiry can be made con-
cerning it; and
-"request full information on
the research methods and proce-
dures by which it is proposed to
evaluate institutions."
Wilson also asked Alexander W.
Astin, director of the ACE office
of research, to comment at the
meeting on "college rating serv-
ices."
Astan began his statement by
emphasizing that knowledge about
the comparative impact of dif-
ferent institutions of higher edu-
cation is "still in a relatively prim-
itive state."
"Any attempts to rank or other-
wise rate colleges in terms of ef-

"Normally, this involves simply
a matching of students in terms of
academic ability with institutions
in terms of their 'selectivity."
Astin said this approach to col-
lege counselling oversimplifies the
characteristics of both the institu-
tions and the students, and implies
that each college would ideally en-
roll only one type of student.
He said it is important to make
a clear distinction between "rat-
ings" of colleges and objective de-

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RL Raters
scriptive information about the in-
stitution, its environment, -or its
student body.
"Obviously," he said, "More good
information about institutions is
needed in order to enhance insti-
tutional self-understanding and
also to provide students with mor
meaningful information on which
to base their decisions.
The difficulty arises when such
descriptive information is equate
with institutional effectiveness."


LOAF OF BREAD, JUG OF WINE:
Miss the Bloom-In? Life's Like That;
Come See The Daily Blossom Forth

Maybe you made it out to the
Bloom-in. No? Then you probably
got out to the Love-in last Sunday.
No?
Obviously you're having a mis-
spent summer. You probably had
a misspent youth too.
All is not lost however. Your life
can still have some sort of mean-
ing if you join the Michigan Daily.
Meaning, yes; purpose, no.
But then purpose was never very

what you call "hard-core" news.
It takes place in dry looking of-
fices behind closed doors. Natural-
ly The Daily opens these doors and
shows you the minds that are run-
ning the University. It's worth
seeing.
Also worth seeing, and often
worth reporting are occasional sit-
ins, SDS conferences and baseball
games.
Then. again. "Sound of Music"

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