THE MICHIGAN DAILY
Subcommittee Ends Sessions
On Adjusting Election Laws
'4
ROMNEY'S FISCAL REFORM:
Thayer, Milliken Predict Statewide Income Tax
V
By RAY HOLTON P
A five-man legislative subcom-
ittee meeting at Cadillac today
ill go into its final session of a
hree-day conference intended to
wrap up the job of scheduling
elections under Michigan's new
constitution.
The committee spent yesterday's
session examining the recommen-
dations submitted by its research
aide, Prof. William J. Pierce of the
Law School. Committee chairman
Rep. Russell H. Strange (R-Clare)
lauded Prof. Pierce by explaining
that he has "taken the whole state
election code and pinpointed areas
concerning constitutional imple-
mentation.
"We plan to complete a major
portion of the task in this con-
ference, but it is a :question of
waiting for answers from the at-
torney general's office," Strange
dded.
No Word Yet
"We have submitted several in-
uiries concerning interpretation
f the constitution and have not
-7-
!Board Voates
Salary Raise
At Four UnitS
By The Associated Press
In one of its final policy deci-
sions, the State Board of Educa-
tion has voted salary increases,
effective 1964, for the faculty and
staff of Michigan's four small
state-operated universities.
The four universities-Western,
Eastern, Central and Northern
Michigan-will have their control
switched from the jurisdiction of
the state board to separate eight-
man governing boards.
This switch, as prescribed in the
new constitution, will either go in-
to effect on Jan. 1 when the new
constitution takes effect or will be
held up a year so that the boards
may assume more gradual control.
The salary increases, affecting
2200 employes, will average about
5-10 per cent and cost almost $1
million. The Joint increases are
only the first of a series of efforts
among the four schools to work to-
gether to solve mutual problems.
"We may work together on some
problems, as we have in the past,
and even continue to deal together
with state agencies as under the
present setup," Western University
President James W. Miller said.
He noted that the areas and.
amount of cooperation would de-
pend on questions of efficiency
and desires of the individual gov-
erning boards.
yet received any word from Attor-
ney General Frank J. Kelley," he
said.
"However, I am not being criti-
cal of the attorney general's office.
I realize the answers to these
questions require a lot of digging
around in old court files," Strange
explained.
The questions the committee has
submitted include two areas of
controversy-the "holdover" of
county officers until the 1966 elec-
tions and the definition of munici-
pal judges as state or local officers.
Needs To Know
The committee must know the
answers to these questions before
it can complete its business,
Strange asserted.
The new constitution provides
that county officers will serve four-
year terms and that the governor
will run for a two-year term in
1964 and for four-year terms
thereafter.
The committee is trying to co-
ordinate the elections by running
the county officers on the same
ticket as the governor.
Jp to 1966?
The committee's question to the
attorney general is whether or not
it has the power to extend the
present terms of county officers to
1966.
The committee is also asking the
attorney general to define munici-
pal judges as either state or local
officers. "We must know this in
order to schedule the elections,"
Strange said.
"If municipal judges are local
officers, then elections will take
place when local charters provide.
However, if they are state offi-
cers, their election will take place
in November," he added.
Pierce's Idea
Strange noted that Prof. Pierce
believes the judges are state offi-
cers.
"It is unfortunate that we will
have to meet again, because we
had hopes of wrapping everything
up this week," Strange went on.
He said the work, has gone
smoothly so far and that the com-
mittee hopeskto meet within the
next two weeks.
All-Star Cast -
The elections subcommittee in-
cludes Senators William Leppien
(R-Saginaw), Charles Youngblood
(D-Detroit), Thomas Schweigert
(R-Petoskey) and Representatives
E. D. O'Brien (D-Detroit) and
Strange.
Strange said O'Brien could not
make the Cadillac session. He also
added that everything the commit-
tee has approved has been by un-
animous decision.
"There has been no dissention
among our committee members
nor among the other subcommit-
tees appointed to implement the
new constitution," Strange re-
marked.
Still Two More
The elections subcommittee is3
just one of three committees ap-
pointed for the task of constitu-
tional implementation. The other
committees are concerned with the
study of judicial legislation and
local and executive government.
(Continued from Page 1)
Thayer explained that in his
opinion, Romney's latest plan
would provide no relief at the
state level.
"Local option would neither re-
form nor solve our fiscal problems.
It would relieve pressure by devel-
oping local income sources, but
the major problem still remains,,
that of relieving the plight of the
school systems," he noted.
LYNN BARTLETT
... top priority
Bartlett Cites
Priority Need-
Of Education,
By The Associated Press
Superintendent of Public In-
struction Lynn Bartlett called the
need for increased financial aid to
Michigan schools a "top priority
issue" in the special legislative ses-
sion this fall.
Writing in his annual report on
Michigan's public schools, Bartlett
noted that while the state increas-
ed its school revenues $34 million
last year overthe previous year,
this increase "did not represent an
equitable share of the additional
revenue needed."
Bartlett urged the legislators to
make more and better educational
use of non-property taxes and fed-
eral funds. He stated that such
revenue sources were "essential if
the education needs of many com-
munities are to be met."
Since state support proportion-
ally has been decreasing in the
past 10 years, local districts have
had to take up the slack, he com-
mented.
Statewide in Scope
"Certain problems, such as the
finances of the University, cannot
be faced merely with local option
programs and at a local level, for
they are statewide in scope," he
added.
Many surburban residents in the
Detroit area have been busy cir-
culating petitions against any city
income taxes not initiated by a
vote of the people, which move
Thayer saw as one of the problems
which would have to be faced as
long as local option taxes were
considered..'
Milliken warned that "these pe-
titions cannot be taken lightly.
The real test is whether the gov-
ernor will advance a sound fiscal
program; if he does, these other
problems will automatically solve,
themselves."
Praises Economy
Thayer praised Romney's plan
to economize within several areas
of the current budget, such as
eliminating state liquor stores and
saving money on janitorial 'serv-
ices. He also cited as a good idea
the proposal to cut down on the
amount of money given toward
highway construction and channel
part of it into the state police
fund.
On the subject of mental health,
however, Thayer was less enthus-
iastic about economizing. "I am
opposed to any plan for saving
money in this area other than for
reasons of greater efficiency," he
said, adding that any initial sav-
ings'in hospitals and services at the
local level would probably be erad-
icated by the growing need for
more and more funds devoted to
mental health.
Although there would necessar-
ily be much economizing within
the present tax structure to fit in
with the plan of including an in-
come tax, Milliken doubted that
any cuts would be made in such
vital areas as education and men-
tal, health, saying that Romney is
acutely aware of the needs within
these areas and is opposed to a
'meat-ax approach' to reduction of
expenditures."
Inequities
Milliken explained that the basis
for this "educated guess" was the
fact that a number of areas exist
in the present tax structure which
are inequitable as they now stand.
those areas choosing the local
option. Thus these bodies would be
compelled to adopt the plan.
'Only Vehicles'
Thayer noted that these plans
were "only vehicles and don't
really mean anything." He added
that there was opportunity for in-
finite variation on the basic tax
reform plans and that these ideas
should not be considered the final
word.
Thayer said further that Demo-
cratic support for the final plan
would not be unlikely, but added
that the Democrats will be sure to
set some price on their support.
Such a price might take the form
of the abolition of Detroit's city
income tax, more money for wages
and salaries at colleges and uni-
versities, or abolition of current
sales and nuisance taxes. In short,
there could easily be Democratic
support for a "reasonable pro-
gram," Thayer said.
Rep. Joseph J. Kowalski (D-
Detroit) House minority leader,
declared that in general the Demo-
crats will support "anything which
resembles true fiscal reform."
Kowalski explained that this
means that the program should
not include "attempts to raid the
highway fund or to. take funds
away from the area of education."
Repeal BAT
Kowalski added that there
should be either drastic alteration
or total repeal of the current busi-
ness activities tax. "Romney's
plan should include a corporate
income tax as well, not a franchise
tax, which is bad for large busi-
STANLEY G. THAYER
... income tax hopes
He cited the business activities tax
as one such inequity, adding that
in his opinion this tax would be
repealed, along with a reduction
(rather than a repeal) of the fran-
chise tax.
Milliken also predicted that
existing taxes on prescription
drugs and on food consumed off
the premises would be removed.
Until recently, Romney's plans
centered around eight separate
proposals, sev n of which featur-
ed a statewide income tax on in-
dividuals, corporations, or both.
The eighth, based on the idea that
local governments should initiate
their own taxes, also included
state limitations on state aid in
mil
nesses with small turnovers," hei
noted.
"In short, we will not support
any plan proposed by special in-
terest groups at the expense of
others and presented under the
guise of fiscal reform," Kowalski
said.
Milliken saw a definite connec-
tion between tax reduction pro-
posals now being considered by
Congress and Romney's tax re-
forms. "If such a tax cut does
occur, and I think there is a very
real possibility that it will, Michi-
gan will get a substantial share of
the savings. This will increa
purchasing power, which -
turn generate activity with
state. Our tax reform progra
surely take all of this int
sideration."
Back In Town
Romney is expected to b
in Lansing today, althougl
doubtful that he will relea
further definitive statemen
cerning his tax reform plan
Sept. 11 and the conimeni
of the special session of the
lature which he will call t
them.
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