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." 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