Thursday, February 17, 19 t
THE MICHIGAN DAILY
ThrdyIeray1,19LTEMCIA AL
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ADVISORY REFERENDUM:
City income tax proposal to be decided
by Ann Arbor citizens in vote Monday
DAILY OFFICIAL
BULLETIN
THURSDAY. FEBRUARY 17 !
Day Calendar
(Continued from Page 1)
object to is the new tax to be
levied on commuters. HRP mem-)
bers predict this tax will hurt
lower income employes of the Uni-
versity who live outside the city
because they can not afford Ann1
Arbor's high prices.
But economics Prof. Daniel Fus-
feld offers a different perspective
on the commuter issue.
"What few people realize," Fus-
feld states, "is that this tax will
hit a large number of wealthy
professors and deans who live out-
side the city., and up until now
have paid no taxes to the city."
It is unclear what effect the tax
wil lhave on students. The matter
may have to be decided in the
courts since there is, as of now,}
no accepted definition of what con-
stituates a resident.
Republicans agree that the city
is facing financial difficulties, but
they don't see the income tax as
the answer to the problem.
Councilman J a m e s Stephenson
(R-4th Ward), a leading opponent'
of the mayor on this question raises
several objections to the income
tax proposal.
Stephenson, like most of his Re-
publican colleagues on Council,
feels the city could increase its
efficiency by making cuts in cer-
tain areas, although he doesn't
specify the individual departments.,
Ile is also critical of the pack-;
age's timing, citing pending court:
action on broad taxation issues.
There are suits before the courts
harpa a.nd, in emyra l nther tatesa
Physics Seminar: J. Stern, Orsay
the pronerty tax as school system measure. a 6-5 vote as Republican Robert Prance, "Light Cone Property of Cur-
funding, because of inherent inequi- In 1969, Ann Arbor voters nar- Weaver (R-Second Ward) voted rent Commutators," 2038 Randall Lab,
ities between poor and affluent rowly defeated a referendum re- with the Democrats. ,egat. Public session: Regents'
communities. questing institution of an income If the advisory referendum pass- Rm., 1st fl., Admin. Bldg., 1:30 pm.
If the property tax is abandoned, tax, but approved a second ques- es Council will probably vote to mputing Ctr Short Course: "Use
Stephenson argues, the state might Lion requiring a reduction in the sthe tax. But tax opponents anetm Tapes in MTS. 110 Phys-
adop thetai.But ax oponetslen-Astronomy Bldg., 3 pm.
turn to a higher income tax on a property tax if an income tax were can put the question back on the WCBN-FM Dedication Ceremony.
state-wide level, which, if added to ever established. ballot as a binding referendum in Aud. A, Angell Hall, 3:30 pm.
the mayor's proposals, he feels Despite the voters' decision, the June by collecting 2,600 petition Mathematics Lecture: J. Cowan. U.
would create an unbalanced situ- Harris administration decided that signatures. And, if it passes at 3201Anl H athematical Biology
ation between property an'd income an income tax was indeed neces- that time, the money may be Lngtish Dept. - Extension Service:
taxes for Ann Arbor residents. sary to cure the city's fiscal ills, available just before the new fiscal (Continued on Page 10)
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iso on ne sua i evei s a iegis-
lative proposal which would put ;
the ceiling for city income taxes
at two per cent, rather than the,
current one per cent figure. The{
measure has already passed the (
House, and awaits Senate action.
If both the state bill and the
proposed city bill were enacted,
city council would be empowered
to raise the city income tax from
an as1 £uguscit arris appotImed
a citizen's committee to study the
question.
year oegais Ull duly 1.
I
This whole sdena
on a large number
Harris named a large number this point Mayor H
of Republicans to the 22 member tical of his possibilil
committee, apparently hoping that "Most people," c
its expected pro-income tax recom- ris, "will not vote
mendation would gain Republican taxes, unless they
support for the package. what services will
This plan backfired, however, afraid we may have
ario is based
of ifs and at
arris is skep-
ty for victory.
omments Mar-
for increased
actually see
be cut. I'm
to live through
and lay offs
ady to approve,
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one to two per cent without a when the committee reported to:
referendum. 'Council last November that it 1
Opponents of the tax further say could not reach agreement on the
that it could cost as much as tax question, and hence made no!
$130,000 to handle just the collec- recommendation.
tion operation and this, they say, A Harris motion asking for the
would negate much of the tax's tax was then defeated by a vote
effect. along party lines with the Repub-
Whatever the voters decide on lican majority on the council pre-
this question next Monday, it will vailing. A compromise move ask-'
mark only one step in a long series ing for an advisory referendum onI
of battles over the controversial the question was then approved by
WATCH REPAIRING- ----
ONE WEEK SERVICE
year of cutbacks
before people are re
new tax packages."
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