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Seventy-Five Years of Editorial Freedom
VOL. LXXVI, No. 114 ANN ARBOR, MICHIGAN, THURSDAY, FEBRUARY 10, 1966 SEVEN CENTS

EIGHT PAGES

Program Budgeting: Future

Application

for

'U'?

By RICHARD CHARIN
In a bulletin issued late last year
to the heads of executive depart-
ments, the President of the United
States directed the introduction of
an integrated program budgeting
system into the executive branch
of the government.
This is the culmination of a
process which began almost 15
years ago, and which, if success-
ful, could be one of the most im-
portant advances in economic
planning ever made. Its influence
will be felt at all levels of gov-
ernment, and all levels of public
planning, from the Department of
Defense to the University.
The average citizen and the
majority of national and state
legislators are usually confused
and frustrated by the appearance
of a government budget presented
by the traditional object of ex-

penditure method. This method
provides a list of expenditures for
such categories as equipment, per-
sonnel, or supplies with no ex-
planation of what these expen-
ditures are meant to do or produce
for the public.
Considered by many to be one
of the most important advances in
public administration, the develop-
ment of program budgeting hope-
fully will avoid the confusion and
lack of objective inherent in an
object of expenditure budget.
A program budget is not a mere
itemization of objects, but is a
translation of the aims and ob-
jectives of an organization into the
costs necessary to achieve these
ends.
The importance of this change
has two aspects. It forces the ad-
ministrative or executive branch
of an organization to weigh its
objectives, and to assign priorities

to the different programs neces-
sary to achieve these objectives.
Secondly, while traditional bud-
geting doesn't allow for the plan-
ning of objectives even for a com-
plete fiscal year, a program budget
permits planning for long periods
into the future.
This method of budgeting has
already proven to be a success in
the Department of Defense, but
while University experts agree that
its importance will be felt at the
university planning level, they em-
phasize that a method used by
government and big business may
not be applicable to a university
or similar institution.
At a recent conference of the
American Council on Education,
representatives from colleges and
universities met with administra-
tors from the federal government

and from the Rand Corporation,
the developers of program budget-
ing.
James E. Lesch, assistant to the
vice-president for academic af-
fairs, personally concluded from
these meetings that "higher edu-
cation has a lot to learn from
previous users of program budgets,
and I believe that the general
agreement at this university
among the administration, is that
we should move towards the utili-
zation of at least some of the
more promising aspects of this
system."
The University has begun at
least the initial stages of this
movement.
The first step was a backward
look at previous budgets of the
University. This was done to dis-
cover where the University has
spent its money in the past, and
with the help of this knowledge,

to discover the best parameters to
be used in future budgeting. These
parameters could be schools or
colleges, academic disciplines, or
the functional categories set up by
the state of Michigan for budget-
ing purposes.
This backward look, according
to officials, must then be com-
bined with a forward look-the.
determination of the aims and
goals of the University, and a'
priority listing of the relative im-
portance of these aims.
From these backward and for-
ward looks comes a projection
into the future, taking into con-
sideration the desired growth of
the student body, the economic
and demographic development of
the state, the desires of the fac-
ulty, the resources available to the
University, and numerous other
variables.
This would seem to be the -only

logical way to run a large cor-
poration, but administrators say
it has not been done in the past
simply because it could not be
done, and it is possible that it
cannot be done at present.
Such a system will be very
costly, since it demands a large
staff of fiscal analysts, the de-
velopment of complex accounting
procedures and highly expensive
data processing equipment.
The University will install the
necessary data processing equip-
ment next year, but there are
other problems which must be
surmounted before program budg-
eting becomes useful to the Uni-
versity or any educational in-
stitution.
Some sort of standardized terms
must be developed so that the
budgets of educational institu-
tions can be made understandable
to all ,and the Legislature must

have a responsive attitude to such
" a change inbudget presentation.
The Institute of Public Admin-
istration has just completed a
Financial Analysis Project for the'
U.S. Office of Education which
was designed to produce program
categories for colleges and univer-
sities throughout the U.S. This
would permit all educational in-
stitutions to report their revenues
and expenditures in the same
terms. Thus the estimated cost per
student at the University would
have the exact same meaning as
the cost per student at Harvard.
Program budgeting cannot re-
duce expenditures at the nation-
al, city or university level. It can
allow a public institution to plan
intelligently for the future, and,
by its clarity, it can inform the
member of the organization or his
representative of the nature and
quality of public services.




What's New
At 764-1817
Hotline
Voting on the proposed Inter Quadrangle-Assembly merger
by house councils has been almost completed in preparation for
the final ratification meeting today. Presently, the reported vote
totals for the men's houses are 19 votes for the merger, 3 votes
against, with one abstention, Greene House of East Quad. Earlier
this year, they declared themselves no longer a part of IQC, and
thus not a part of the merger.
Student Government Council will decide tonight on changes
in the regular membership rules to allow the creation of a Pan-
hellenic committee. A vote will also be taken on the revisions
concerning discrimination in the Panhellenic constitution.
* * * *
Herbert Aptheker, director of the American Institute of
Marxist Study in New York, will speak this evening at Rackham
Aud. at 7:30. The speech will be followed by a debate with Prof.
Anatol Rappaport of the psychology dept. and Lew Jones on
"Negotiation vs. Withdrawal in Viet Nam."
* * * *
The University has received several research grants from the
government and private foundations. The U.S. Department of
Health, Education and Welfare awarded a $8,949grant to the
department of pharmacology for research to be directed by Prof.
Theodore M. Brody, M.D. They also granted $26,519 to the Uni-
versity for research on "Isozymes in Toxicology" which will be
directed by Associate Prof. Herbert H. Cornish of the School of
Public Health.
The department of ophthalmology at the Medical Center re-
ceived a grant of $5000 from Research to Prevent Blindness, Inc.,
to provide flexibility in the eye research program.
The National Science Foundation awarded the University a
$49,000 grant for a two-year research project on wave forces on
submerged structures under the direction of Ernest F. Brater,
professor of hydraulic engineering.
s * * *
Profs. Daniel Katz and R. L. Kahn of the psychology dept.
have published a new book, "The Social Psychology and Organiza-
tion," an analysis of the problems of large-scale organizations in
terms of effective change, leadership and the communications
processes.
Long Distance
Nine Pennsylvania State University students were taken
into custody yesterday in narcotics raids which police said re-
sulted in confiscation of almost a pound of marijuana.
The nine students were arraigned before a State College justice
of the peace and released on $100 apiece. The police reported
that in addition to the marijuana, narcotics paraphernalia was
also confiscated.
* * * *
Some 350 students at the University of North Carolina met
Tuesday night to form a Committee for Free Inquiry. The com-
mittee was formed in response to refusal of the executive com-
mittee of the university's board of trustees to grant permission
for an on-campus speech by American Communist Herbert
Aptheker.
The group decided that they will not invite Aptheker to speak
off-campus and that they will not take any legal action before
the full board of trustees meets Feb. 28. The action of the execu-
tive committee did not formally ban an appearance by Aptheker,
but informed sources are certain that the full board will uphold
the prohibition. Meanwhile, the group is inviting North Carolina
Gov. Moore and the executive committee to appear and defend
their action before the students.1
MEETING TONIGHT:.
FPA Will Elect Sen

Regulations
Evaluated at
MSU Board
'Maximum Freedomt
. .. Necessary Order'
Become Guidelines
By GAIL JORGENSEN
"Maximum freedom and neces-
sary order" will be the working
definition of academic freedom in
Michigan State University's eval-
uation of regulations, according
to the first report of the Faculty
Committee for Student Affairs,
made to the Academic Council
Tuesday.
This working definition will "al-
low the committee to get down
to the investigation," according
to Andrew Mollison, staff writer
for the Michigan State News.
Academic Freedom
Mollison felt that academic free-
dom will become more clearly de-
fined once the investigation has
begun.
The report stated that evalua-
tion of rules will be two-fold.
First, existing rules must be de-
termined, Mollison explained. He
pointed out that MSU has no
handbook outlining rules aside
from the one published by the
Associated Women Students which
deals only with women's dormitor-
ies.
"Many of the so-called rules
are merely norms,' 'Mollison said.
The hearings will determine what
rules the students recognize, and
why they recognize them, he con-
tinued.
Evaluation of Rules
The second stage of the inves-
tigation will be the actual evalu-
ation of rules. Hearings will be-
gin next week.
Prof. Frederick Williams of the
CSA, who made the report, stress-
ed in it that both he and the
MSU student governing body,
which is conducting a parallel in-
vestigation, welcome letters and
testimonies from all interested
persons. To date, neither group
has received any letters from stu-
dents, although the faculty has
contributed over a dozen.
Active Role
However, Mollison believed that
students will take an active part.
in the investigation once hearings
have begun. He noted a similar
situation at MSU last year when
the student government was in-'
vestigated: "Students will go to
hearings."
"The Committee for Student
Rights, a new-left group is justl
now beginning to formulate theirl

-Daily-Robert Rubenstein
COUNSELING SEMINAR MIEETS IN UNION
Students yesterday attended the Student Counseling Seminar in the Union Ballroom. Sponsored by the Literary College Steering
Committee, the seminar was given by upperclassmen majoring in each department of the literary college who offered aid concerning
course sequences, interesting professors, and other pertinent information. The meeting was arranged to give pre-classification stu-
dents the clance to learn from experienced students the good and bad points about departmental courses.

SEMINARS ON SATURDAY:

Support for
SGC View
Increases
Student Involvement
In Choice of Next
'U' President Seen
By JOHN MEREDITH
Student Government Council's
attempt to promote student par-
ticipation in the selection of the
next University president is quiet-
ly continuing.
Last night, Graduate Student
Council passed a motion support-
ing the idea of student involve-
ment, and tonight .SGC President
Gary Cunningham, '66, will sum-
marize a recent discussion with
University President Harlan
Hatcher during which President
Hatcher "was receptive to the
idea of student participation in
the selection process."
Cutler Meeting
In addition, Cunningham plans
to accompany SGC member Ed-
ward Robinson, '67, to a meeting
with Vice-President for Student
Affairs Richard Cutler, scheduled
for this afternoon. Robinson said
last night that he and Alexander
Goodwin, '66, already have dis-
cussed the question of student
participation with Regent Eugene
B. Power; however, Robinson pre-
fered not to disclose the nature of
this talk.
The issue of student involvement
in the selection process was
brought up by SGC last Thursday
when council passed a motion
that students participate in the
selection process "from evaluation
of the University's needs and In-
terviewing of potential candidates
to a final recommendation of
candidates."
The motion, sponsored by Rob-
inson, Goodwin and Robert Bod-
kin, '66, went on to propose that
the Regents form a 12-16 man
committee to be composed of an
equal number of faculty, students,
Regents, and alumni; according to
this plan, the. Regents, with Cut-
ler's advice, would select the com-
mittee's student members from a
list compiled by SGC.
general Support
To date, no one has come out in
favor of the specifics of the SGC
plan, but the motion has gained
considerable support of a general
nature.
G SC President John DeLamar-
ter laid that his orgaiization will
await development of several spe-
cific, alternative proposals before
defining its position more pre-
cisely. Last night's GSC motion,
passed by a "substantial margin,"
was limited to approving the idea
of student participation in the
selection process, although DeLa-
marter said the council prefers
t h a t student involvement be
through "a formally recognized
commmittee."
President Hatcher's comments
to Cunningham, too, were general
but favorable.
"President Hatcher did not com-
mit himself to any specific plan,"
Cunningham said. "He suggested
that the plan for student involve-
ment be submitted as a formal
written proposal including a ra-
tionale and encourage students to
work closely with faculty in work-
ing out the plan."
Both Cutler and his assistant,
John Feldkamp, have also re-
sponded favorably to the idea be-

SGC, UAC Academic Conference
Studies, Educational Opportunity

By DICK WINGFIELD
A student-faculty academic con-
ference will be sponsored by Stu-
dent Government Council and the
University Activities Center on
Saturday in the Henderson Room
of the League. Beginning at 9:30
a.m., the conference is designed to
"lay a framework for cooperatively
improving educational opportuni-
ties at the University," according
to Robert Bodkin, '67E, who pre-
sented the motion to SGC.

Eight seminars will be held in
the morning, with one student and
one faculty" member chairing a
seminar on each topic. In the
early afternoon, the faculty and
student chairmen will consolidate
their groups and discuss their re-
spective questions jointly. Finally,
the conference will meet as a
whole, review summaries of prev-
ious discussions and debate the
issues collectively.
Regents and Students
Attending the conference will be

vation seminars will be chaired by
Prof. Thomas Mayer of the soci-
ology department and Edward
Robinson, '67.
The Ways to Reduce Academic
Pressure' group will be lead by
Prof. James Robertson, dean of
the literary college and Bodkin.
The Evaluation and Alteration
of Credit and Grading Systems
seminar will be headed by Prof.

Inis Claude :Jr. of the political
science department and Robert
Golden, '68.
The Academic Credit for Stu-
dents Involved in Major Campus
Activities seminar will be chaired
by Prof. John Manning, adminis-
trative assistant to the dean of the
literary college in charge of junior-j
senior counseling and Nancy Frei-
tag, Grad.

The motion, passed by SGC in \College deans, University vice-pres-
November, prvides for four dis- dents, regents, faculty members,
cussion topics: (1) Course Revi- committee chairmen from student-
sion and Innovation by Students, facultye ommittees, and student
(92) Wv fn ReducP eAcdemic ih~ai d f f illa r ila dnt

Berkeley Trial Verdict
Anticipated This Week

ves"Mlioade." Ways U iuo tcuei eaas of conege councils ana
views," Mollison added. Pressure, (3) Academic Credit for steering committees, Bodkin said.
Each of the four subcommittees Students Involved in Major Cam- Each of these persons have been
least one ope hearing and pri- pus Activities, and (4) Evaluation, sent materials on the topics that
vate ones will also be held for and Alteration of Credit and Grad- will be discussed at the conference.
those persons who would prefer it. ing Systems. Bodkin said the conference "will
- not be as important to solve spe-
cific problems outlined in the con-
ference programas it will'be to
set up a working basis for handl-
e " ing problems jointly in the cam-
[iorIFC Exwx uties, pus community when they arise.
ior IFC Executives
t jjjAs well, a more sustained effort
can be made to solve the obvious
its ritual and complied with the new Sigma Pi chapter is now in and persistent academic difficul-
ruling last fall. progress under this program. ties when this working relation-
N Administration's Challen es The candidates in tonight's ship is achieved."

By J. RUSSELL GAINES
The verdict in yesterday's trial
of three University of California
students who violated rules on the
Berkeley campus will probably be
reached sometime this week by
the advisory hearing official, ac-
cording to sources at the Daily
Californian.
The students, Betina Aptheker,
grad, Susan Stein, grad, and Har-
old Jacobs, grad, were charged
with three violations: holding two
rallies during the same week for
the same organization (the Viet
Nam Day Committee); using their
own voice amplification equip-
ment instead of that of the uni-
versity; and, a statewide rule, dis-
obeying the specific campus rules
under which they are judged.

versity as a whole stipulate that
there shall be no rule which lim-
its the free speech of any student.
They pointed out as well that such
rules would be contrary to the
First Amendment.
The students had a choice of
hearing, They could either have
had a closed hearing with an ad-
visory faculty board or an open
hearing with a single advisory
hearing official.;
The decision of the advisory
hearing official, who heard the
eight hour case, will go to the
chancellor who will either accept
or reject the decision.
If, however, the chancellor
chooses a course of action more
harsh than that outlined by the
advisory official, he will have to
state his reasons.

By LAURENCE MEDOW
Election of new Interfraternity
Council senior officers to replace
the retiring Hoppe administration
will be the main order of business
at tonight's Fraternity Presidents

primarily to programs initiated
last summer in conjunction withI
orientation. All freshman males
saw a short slide program about
fraternity life. The effectiveness
of the slide program carried over
to this semester's rush for which

l

ew g'U~itaia 5iuie~U
The new administration chosen
tonight will face similar problems
in interesting men in joining fra-
ternities and eliminating discrim-

election cite unity and further
work in expansion as goals for the
system as well as programs for
increased rush and greater affilia-

Bodkin noted that some aca-
demic deficiencies of the Univer-
sity are parochial in scope and
that the discussions will be guided