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By RENE BECKER
Copyright 1978
The Michigan Daily
-"The University of Michigan at Ann Arbor
is clearly in the forefront of the Centers on
Communist China."
-"At the Harvard/Stanford level?"
-"It's above Stanford."
So began a conversation between employees
of the Central Intelligence Agency (CIA) on
December 3, 1965. The transcript of that
dialogue begins an extensive documentation of-
the CIA's secret ties to the University's Center

is link CIA to

'U' China Center

for Chinese Studies.
AS A RESULT of a freedom of Information
Act (FOIA) request The Daily has received
from .CIA files more than 200 documents con-
cerning the University, including letters to and
from faculty members, inter-office memoran-
dums, and field reports.
Approximately 75 per cent of these documen-
ts directly concern the Center for Chinese
Studies and reveal the CIA's various ties to in-
dividuals from the Center which date back to
the mid-sixties.

In the spring of 1966, the CIA conducted a
series of field trips to China studies centers at
25 universities. The purpose of these trips "was
to assess the facilities, faculty, curriculum,
and faculty research interests in order to
develop some feel for the China study activity
in the country."
THE FIELD TRIP report on Ann Arbor of-
fers nothing but praise for the University's
Center for Chinese Studies.
"As one of the nation's outstanding centers
for Far Eastern studies. . . whether as a source

of qualified graduates or a location for training
agency personnel, Michigan belongs in the top
rank," the report states.
The, CIA deleted all names from the
documents and often deleted whole passages,
sometimes leaving a page with only the
University of Michigan's name left intact. The
CIA claimed all deletions were made under the
provisions of the FOIA, which allows the CIA to
protect the privacy of its employees,
associates and intelligence operations and
methods.
The heavily-censored field report discusses

course offerings at the University, faculty,
Agency image, the prospect ford expansion of
China studies and research. Although most of
the remarks under the research heading were
deleted the Agency did allow that the Chinese
Center here was the only group doing
"significant" Chinese studies in the country.
THE CIA, in several cases, provided resear-
ch aid to University professors. In one well
documented case beginning in October of 1967,
the CIA arranged interviews, provided resear-
a..CIA Passe 7

MEXICO eA tIbt4nBACKSLIDING
TODAY 114 y4rHigh-48d
See Editorial PageW See Today for details

I

Vol. LXXXVIII, No. 156

Ann Arbor, Michigan-Saturday, April 15, 1978

Ten Cents

Ten Pages plus Supplement

Details ofy
Ed*. Dep

ax,
,.'t..

released
by Carter
(AP) - The Carter administration
yesterday revealed its blueprint for
creating a new Department of
Education that would pull together
$17.5 billion in education programs now
scattered throughout the government.
The nucleus of the new agency will be
all 130 education programs now
operated by the Department of Health,
Education and Welfare, including Head
Start.
BUT THE NEW department would
also include 34 priograhns now run by
other agencies, including the
Agriculture Department's school lunch
program and its Washington graduate
school, the Defense Department's over-
seas dependents' schools and the
Bureau of Indian Affairs schools now in
the Interior Department.
It does not include training programs.
See NEW, Page 2

Doily Photo by JOHN KNOX
.D ni d m

The first Ann Arbor Gay Blue Jeans Day did not draw the
attention some had predicted, but it did end on a "very suc-
cessful" note, according to Junior David Wick, one of three
organizers of the event. "I think we made a lot of people

aware of the anti-gay sentiment on this campus," he said.
Wick noted that many people who normally wear jeans
avoided them yesterday.

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Tuition hike
COMingmfall
Fleimingsays
By SUE WARNER
-University President Robben The Committee's version will go to
Fleming said yesterday that students the Senate floor this week and will then
can expect yet another tuition increase move on for deliberation in the State
when the Regents approve the 1978-79 House of Representatives.
budget sometime this summer. The Committee's' recommendations
Fleming would not comment on include an 11.2 per cent hike in ap-
specifics of the expected increase but propriations for the University which
University administrators are curren- would bring state funding up to $135
tly firming up recommendations which million. Overall, the Committee
will be presented to the Regents for recommends $616 million for aid to
discussion this week. higher education over last year's $547.7
"THERE WILL clearly be a need of a million.
tuition hike," said Fleming. "The per- LAST YEAR, the legislature ap-
centage of higher education costs that propriated $109 million for the Univer-
is being paid by the student has gone up sity and the Regents raised tuition an
consistently the past few years." average 8.75 per cent.
But Fleming and Vice President for Kennedy said University financial
Academic Affairs Harold Shapiro, who analysts are currently reviewing the
is responsible for making out the recommended appropriation with stat
budget, both said the size of the tuition officials. He said the University is not
cost hike; depends on the amount of sure how the appropriations will be
money the University will receive in the divided and that state and University
form of state appropriations. The figures "don't jibe."
legislature is expected to pass a final But Kennedy did say that he "would
version of the Higher Education Bill, be surprised if there isn't an (tuition)
which includes the University's ap- increase."
propriations, in early May. FLEMING ADDED that even with a
Lastwee, te Snat Apropiatonstuition hike the University still faces a
Commtteekapproednaddpriation$1 budget deficit. The University's budget
million in aid for public and private for the current year is already $1
colleges over Gov. William Milliken's million in the hole. In addition, ad-
recommendation of $11.5 million. ministrators are already committed for
VICE PRESIDENT. for State expenditure increases amounting to
Relations Richard Kennedy said the over $5 million in areas such as social
Committe's rcommdKendatioy asad hsecurity, health insurance and affir-
Committee's recommendation was a mtv cinporm ntecmn
"significant" increase over the gover- mative action programs in the coming
nor's recommendation. Fleming said fiscal year, which starts July 1.
LL- o,.._-A Fleming said the University's


MO-JO AD)DITION CONSIDERED:
entra in
By RICHARD BERKE
dollars most
The University Housing Office is considering plans Any conso
to consolidate food service for the Hill dorms with a by both the I
central dining hall behind Mosher Jordan. The new SEVERAL
facility would cost some $3.5 million. Power (D-A
Acting University Housing Director Robert Hughes some sort of
said the idea of food service consolidation has come Specificall
up several times in the last decade, but has been built in the s
stympied by student opposition. Now, Hughes said, dorm and b
soaring housing expenses are forcing his office to existing bui
take another serious look at consolidation. rooms overl
IN DECEMBER, Hughes directed a task force of purpose roo
Housing Office officials to examine the feasibility of Construct
consolidation. Hughes also hired Winebrenner & ditional stud
Ebejer Architects, Inc., a Farmington Hills firm, to service wou
conduct a feasibility study. The consolidation would space would
replace existing food services in C,ouzens, Alice seminar r
Lloyd, Mosher-Jordan and Stockwell dormitories. recreation s
In a report released last week, the task force and other us
estimated that a move into one dining area would HUGHES
lead to an annual savings of nearly half a million

0

P TE

Ing jor
tly due to reduced labor costs.
olidation plan would have to be approved
Housing Office and the Regents.
L OF THE Regents, particularly Sarah
knn Arbor), have expressed interest in
consolidation plan.
ly, the Mosher-Jordan addition would be
pace directly west of the long axis of the
etween the two east and west wings of the
ilding. The addition would contain dining
looking Palmer Field as well as multi-
ms.
ion of this option would result in 100 ad-
dent spaces in the other dorms where food
ld be cut. In addition, the firm said extra
d be available in the Hill area dorms for
ooms, dance studios, band rooms,
pace, cookin areas, arts and crafts rooms
es.
SAID HE does not have definite plans for

fill studied

action regarding consolidation, but said he agrees
with the architect that the Mosher-Jordan option is
the most viable.
The architect offered one option for an un-
derground facility behind Mosher-Jordan. It said this
wold avoid the possibility of changing Mo-Jo's ap-
pearance. This solution was rated low by the firm,
however, since the site and foundation would cause
the building to take an uneconomical, skinny shape
and require an increase in scope of the project.
Another option wouild have been to use existing
dining spaces in Alice Lloyd and Mosher-Jordan and
connect them with a kitchen area. The firm's report
cited several disadvantages including the fact that
necessary pedestrian walking space between the two
dorms would be lost and major utility snarls would
result.
Another possibility presented was a combination of
the last two plans, using existing space in Alice Lloyd
See CENTRAL, Page 2

the Senate usually does appropriate
more than the Governor proposes.

See FEE, Page 2


- .-r ,.

Judge approves end
t bulb exchange plan

By DENNIS SABO
Federal District Court Judge John
Feikens approved an antitrust lawsuit
settlement yesterday that will finally
put an end to Detroit Edison's 92-year-
old light bulb exchange program.
In the written opinion, Feikens ruled
in favor of Southfield drug store owner
Lawrence Cantor, but did not make a
decision on the $1.5 million in legal fees
Cantor's four attorneys are seeking.
"I APPROVED the settlement that
Detroit Edison and the plaintiff class
asked me to approve," Feikens said.
'i have not, in approving the set-
tlement, approved the attorney fees."'
A Daily investigation showed that
Cantor was solicited as a client by his
attorneys and paid with a free ski trip
vacation to Aspen, Colorado for lending
his name to the lawsuit. The practice of
solicfting clients and paying them to file
suit is against Michigan's, as well as
other states', code of legal ethics.
Feikens said he was aware of the
charges and plans to discuss them at a
scheduled April 19 court hearing. alone

retailers were deprived of profit-
making because of Edison's bulb ex-
change program. Under the program,
Edison customers can exchange their
burned-out bulbs for new ones at Edison
service outlets.
Although a Michigan State Bar
Grievance Board spokesperson said the
group would not look into the charges
until a complaint is filed, Chicago's At-
torney Disciplinary Commission will.
"WE WILL OBTAIN a copy of Judge
Fleikens opinion and will review the
matter at that time," said Philip
Schickedanz, counsel for the
Disciplinary Commission.
Schickedanz refused to confirm or deny
that the commission was investigating
a lawsuit contesting Chicago's Com-
monwealth Edison's light bulb ex-
change program. Two of Cantor's at-
torneys were involved in that suit and
are seeking more than $2.7 million in at-
torney fees.
"As a matter of public record, we are
aware of the facts and circumstances
arising out of the lawsuit," Schicke-
A-.. nA "Whan. ,,o+hp.. rpis n.n

Saturday
U.N. FORCES took con-
trol of a second small sec-
tor of southern Lebanon
relinquished by Israel
yesterday, digging in for
the difficult task of
keeping the peace. During
the night, the bulk of the
Israeli tanks and tropps
had pulled out ot Taiba
and eight other positions
along the Litani River,
abandoning a 25-square-
mile area.
For happenings, weather
and local briefs, ,
see TODAY, page 3.

Compromise
sought on
canal pact
WASHINGTON (AP)-Senate leaders
will propose a reservation to the second
Panama Canal treay which they hope
will end the threat to approval of the
agreements, congressional sources.
said yesterday.
The reservation, or condition, will
state in firm terms that the United
States has no intention of intervening in
Panama's internal affairs.
AS PRESENTLY drafted, the reser-
vation would say that no actiontaken
by the United States under the treaties
should be interpreted "as intervention
in the internal affairs of Panama and
will not be directed at the territorial in-
tegrity and the political independence
See TREATY, Page 2

Daily Photo by JOHN KNOX
Women's lobbyist speaks
Carol Burris, president and founder of the Washington-based Women's Lobby
talked about her group at a noon Guild House luncheon yesterday. She discussed
tax and welfare reform, . pregnancy disability legislation and other national
issues affecting women. Burris was also keynote speaker at the American Civil
Liberties Union's annual banquet last night.

L

......... .... _a., ...



Students approve Legal Aid fee


BiY N8AKPAR RENT '
According to election results released
yesterday, the ballot question giving
the Michigan Student Assemh1v (MSA)

cast.
Eric Arnson and Nancy Smith, run-
ning as independents, were elected
nresident and viep nresident coenrdin-

the Assembly.
Winners from LSA were: Kate Rubin, People's Ac-
tion Coalition (PAC); Howard Epstein, Student
Am -,..n fn ..ntt ....t-mm nta rinn_ S . ) nua.

SABRE. Natural Resources: Joe Pelava, PAC.
Music:Jeffrey Campbell, SABRE. Nursing! Jeanne
Barr, SABRE. Art: Stacey Small, SABRE. Architec-
te... Richard ,P c SARE. Dental: Timothy