page three ?dr Mfr1l4IU 1& I4y VARIABLE yigh-en Low-45 Cloudy, maybe rain Thursday, May 6, 1971 ANN ARBOR, MICHIGAN News Phone: 764-0552 City faces budgetary hard times By MARK DILLEN Nearly two weeks ago, a group of angry mothers disturbed the customary quiet of recent city budget planning ses- sions. Was it true, they demanded, that the city's year-old children's day care center was to receive no city support next year? They had learned that Ann Arbor's current $30,000 contribution to the center was omitted from the pro- posed $13 million city budget for fiscal 1971-72. Though the mothers were quickly as- sured that proposed cuts in new com- munity programs weren't final and could probably be reversed, the incident was symptomatic of the city's budgetary ills. Like most other communities in the nation, Ann Arbor's revenue has failed to keep pace with the spiralling cost of government. Largely because most of the city's operating revenue comes from proper- ty taxes - which don't increase at in- flation's rate - city revenue lagged be- hind the, increasing demands on the budget. Officials estimate a 12.5 per cent increase in expenditures is neces- sary for the city just to keep current programs adequately funded, but the budget City Council will approve next Monday will increase spending only 1.5 per cent. It appears that the city government is unwilling to raise property taxes at a time when inflationary pressure makes such increases necessary to maintain a stable level of public services. As a result, the inflation of recent years is taking its toll among Ann Ar- bor's programs. Primarily because of the current Democratic control of the may- or's office, and partially due to their popularity, most community-oriented programs like the day care center will manage to survive - but just barely. Summer employment programs for youth and the controversial grievance office are also likely to be retained - though also with precarious funding. To finance these and other programs, the following measures are likely to go into effect: -A freeze on existing city govern- ment positions. Temporary employes See BUDGET, Page 12 Larcom Lit. school Asst. Dean resigns By SARA FITZGERALD Assistant LSA Dean James Shaw has said he will soon resign from that position. While neither Shaw Aor act- ing LSA Dean Alfred Sussman would comment on the resigna- tion, one reliable source said he 4 felt Shaw's resignation reflect- ed "some dissatisfaction w i t h his job." Shaw, who also serves as co- chairman of the LSA Adminis- trative Board, was involved in the recent dispute over the board's controversial eight-term policy which did not allow stu- dents to register in the fall if they had already completed eight fall and winter terms. Following pressure from fac- ulty and students, the LSA Ex- ecutive Committee rescinded the rule last month. Shaw also served as co-chair- man of the student-faculty Committee on Governance which recently formulated plans for increased student input to policy-making A reliable source indicated that some changes in the ad- ministration of the literary col- lege would come with Shaw's resignation. The source sug- gested that Shaw's successor would be an administrator and not a faculty member like Shaw. I Fellin selected to head School of Social Work A business setback California's Republican Gov. Ronald Reagan holds indicating the number two as he explains to repo personal business setbacks which he said excused hin any state income tax in 1970. Associated Press up his hand rters Tuesday a from paying $1 MILLION DROP: Report shows volume o'U' research down By ROSE SUE BERSTEIN The value of federal and private contracts held by University researchers has fallen by about $1 million in the past year, marking the first such decline in 20 years, ac- cording to Vice President for Research A. Geoffrey Norman. Norman revealed at a Senate Assembly meeting April 19 that University research funds will total about $62 mil- lion for the fiscal year ending June 30. In explaining this year's de- cline, Norman cited tight federal budgeting as a major cause. Last fall, he said, several agencies which sponsor research on the environment, health and trans- portation w e r e reorganized, leading to delays in appropria- tions. In addition, Norman said congressional delays in research allocations held up contracts. For the past three fiscal years, Norman had reported a levelling-off in the value of University research con trats. In his previous annual reports, he explained that despite the absence of an actual cut in funds, because of inflation the levelling-off- amounted in fact to a "shrinkage" in University research funds. For the future, Norman pre- dicted that "the outlook is brighter," pointing to President Nixon's recent requests in Con- gress of $56 million for Na- tional S c i e n c e Foundation -Associated Press (NSF) study and $100 million Egypfor cancer research by the Na- n tional Institutes of Health. . ud Riad, left, talks with Secretary Norman said that currently ived in Cairo Tuesday. Rogers is there was a "disastrous" eut in federal grants for graduate stu- the Mideast conflict. (See News dents, and he foresaw no early change in this situation. By JUANITA ANDERSON Assistant social work school Dean Phillip Fellin has been appointed the new dean of the school. Fellin will take office July.1, succeeding Acting Dean Robert Vintner. Fellin explained in a interview Tuesday that one of his first priorities will be to try to increase student and faculty participation in the school's governance. "In every area students want increased involvement," said Fellin, "I think they should have it. "The message I'm getting from students is that they are concerned about minor- ity group content in the Tp school and with working in U.S. bureau the community," he added. President Robben Fleming an- nounced F n'appointmenten to April 27. The Regents authorized Fleming to negotiate with Fellin * * ut at their April meeting. a rv u if r In making the appointment Fleming said, "Dr. Fellin has made many contributions to the WASHINGTON (R) - The University since he first joined Department of Transportation the faculty in 1965. He is known yesterday urged the elimination for developing innovative new of special air fares for families ways to solve problems, and for and for young people. stimulating creativity in others. The department told the Civil The method by which a new Aeronautics Board such fares social work dean was to be se- are unjustly discriminatory and lected was the subject of con- should be replaced by experi- siderable debate within the so- mental short-term fares t h a t cial work school. Social Work are truly promotional in nature. Students Union had proposed The youth reservation, fam- that at least half the search ily and certain "Discover Amer- committee's members be stu- ica" excursion fares are a bur- dents, but the final compromise den to passengers paying reg- agreement resulted in a search ular fares, according to depart- committee composed of five pro- ment spokesmen. They said ulty chairman. Fellin said he such passengers pay as much fessors, four students and a fac- for their tickets as they ever did does not feel the search commit- but get inferior service because tee dispute will hamper his ef- planes are more crowded. fectiveness. In a brief in the Aeronautics r C 4 Board's passenger fare investi- gation, the department said the airlines should be permitted tG offer reduced fares for flights operated in off-peak hours, in- stead of family fares and youth fares, to help cut costs by dis- tributing traffic flow more ev- enly. Small groups of up to four persons also might be offered small fare discounts, the depart- ment suggested. because it is Thus a fare might be cut as much as $4 if ticketing is for two persons, $8 for three per- sons, or $12 for a four-person group, according to the depart- ment. Since the savings do not in- crease proportionately beyond four persons, no discounts for larger groups should be allowed until more evidence on the eco- nomics is available, the depart- ment said. Rogers i Egyptian Foreign Minister Ahmou of State William Rogers, who arr in Egypt to explore solutions to Briefs, Page 20.