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May 03, 1979 - Image 1

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Publication:
Michigan Daily, 1979-05-03

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Vol. LXXXIX, No. 2-S
n D ail y Thursday, May 3, 1979
Sixteen Pages
Ann Arbor, Michigan FREE ISSUE
'U' awaits state reaction to hospital plan

By JOHN GOYERI
In spite of criticisms of the $254 million plan to
replace University Hospital, University officials
said they will make no changes in the present plan
until they see how state officials react to it at a May
7 meeting.
State Public Health officials will keep in mind
criticisms of the plan when they question University
Hospital planners Monday, according to Thomas
Lindsay, chief.of planning and construction of the
of the Michigan Department of Public Health 'MD-
PH).
BUT LINDSAY refused to say.whether state of-

ficials would push for a cheaper hospital plan or for
a delay in the planning process.
Lindsay, said he expected University Hospital
planners would bring MDPH officials "up abreast
of where they are in view of their experiences with
the (regional health planning agency)."
Health planners at the regional level have already
reviewed and criticized the hospital plans. The
Comprehensive Health Planning Council for
Southeastern Michigan ( CHPC-SEM), which
reviews hospital plans for a seven-county region in-
cluding Washtenaw, last month recommended to

the MDPH that it disapprove the University's plans.
Although CHPC-BEM planners acknowledged the
need for a new University Hospital, they objected to
the size and cost of the proposed project.
THE MEETING Monday between state and local
officials marks the beginning of a state level MDPH
review of the hospital plans. The University cannot
build a new hospital without the approval of the
MDPH, which wuld come in the form of a certificate
okayed by Dr. Maurice Reizen, director of the MD-
PH.
See STATE, Page 2

7 oil firms cited
for overcharging

WASHINGTON (AP) - The gover-
nment yesterday accused-seven major
oil companies of overcharging their
customers nearly $1.7 billion during a
5 -year period and said the money
should be refunded.
- - The Energy Department proposed
- orders to make the oil companies
return the alleged crude oil over-
charges, either to customers or to the
federal treasury.
Paul Bloom, special Energy Depar-
tment counsel for compliance, said no
charges of criminal activity were in-
; ,volved.
NOWIF OVERCHARGES are confirmed,
the Energy Department wants the
AP Photo money refunded directly to customers
The Consumer Power Company's Palisades Nuclear Plant in South Haven has whose claims can be identified; over-
been shut down indefinitely after a report by a Nuclear Regulatory Commission charged money that cannot be refunded
inspector, in which the company confirmed that the emergency core cooling to specific customers may be refunded
system might not be able to withstand an earthquake. See story. page :3.
Review slows Fermi 2's opening

of prices by the companies, or as a last
resort through payments to the federal
treasury.
The companies were accused of
violating federal price controls on
crude oil, mainly by incorrectly
classifying oil into categories that
would allow it to be sold at higher
prices.
lloom said the total of nearly $1.7
billion in overcharges included about
$500 million previously alleged as
possible overcharges. He said the $500
million is now included in the new en-
forcement actions seeking refunds
from the companies.
HE SAID the proposed orders seek
refunds totalling $888,323,889 from
Texaco; $577,959,477 from Gulf Oil;
$101,618,243 from Standard Oil of
California; $42,023,718 from Atlantic
Richfield; $29,063,516 from Marathon
Oil; $24,139,927 from Standard Oil of In-
diana; and $16,969,403 from Standard
oil of Ohio.
A Marathon Oil spokesman commen-
ted that the overcharging allegation
was "completely untrue." Spokesman
Bill Ryder said his company would
"vigorously oppose" any refund order.
A spokeswoman for Gulf, Dorothy
Brown, said her company
"categorically denies it has violated
See GOVERNMENT, Page 2

DETROIT (UPI) - Detroit Edison
Co. said yesterday a safety review
prompted by the Three Mile Island ac-
cident could cause up to a year's delay
in the opening of its Fermi 2 nuclear
power plant near Monroe.
The utility said it also has tem-
porarily suspended detailed design
work on its Greenwood 2 and 3 plants
near Port Huroq, which are to contain
reactors designed by Babcock &
Wilcox, the firm that designed Three
Mile Island.
BOTH ACTIONS are designed to
allow the giant utility to respond to any
safety changes recommended by
federal officials following the Pen-
nsylvania nuclear incident, company
officials said.
Word of the move came in a presen-
tation by William Moose, Edison
chairman, to the New York Society of
Security Analysts.
Fermi 2, located about 50 miles south
of Detroit near the Lake Erie shore,
originally was scheduled to go into
operation in December 1980.
IN THE aftermath of the Three Mile
Island accident, however, Edison of-
ficials ordered: a.review of safety

systems at company nuclear plants un-
der construction and in the planning
stages.
The opening of the Fermi 2 plant,
which is about 85 per cent completed,
now will be delayed into 1981, perhaps
as much as into the latter part of the
year.

"We know now because we've diver-
ted much of our senior engineering
talent , to this study of our safety
systems that there'll be a delay of at
least a month," said Dr. Wayne Jens,
Edison's manager of engineering and
construction.
See EDISON, Page 2

New dean selected for School of Music
By BETH PERSKY in jazz studies, an interdisciplinary
If approved by the Regents at their musicla theater program, a chamber
meeting later this month, Paul Boylan music program, and a degree in arts
will become the next dean of the School administration.
of Music. Boylan would replace current Boylan said that there may be dif-
,dean Allen Britton, who is obligated by ficulties in a "very high-powered
mandatory retirement regulations to faculty of artists and scholars who have
leave his post by July 1. strong positions," but that it will not be
University Vice President for difficult to maintain the high standards
Academic Affairs Harold Shapiro, who of the music school "as long as the -
announced Boylan's recommendation, faculty maintains national visibility
said "the school has made enormous and students are of a very high level."
progrss" under Britton's leadership, He added that he believes the school
consistently ranking in the top four will increase in prestige, and that "with
music school's nationally. a lot of hard work and thought," the h
- Boylan said he plans several changes school could become the best in the
for the school in the next few years, country. "Virtually every one of the 11B o elan
among them a campus-wide program . See HEW, Page 1. . . .new music school dean

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