The Michigan Daily-Friday, March 21, 1980-Page 3
CAR TER PLAN RES TR UC TURES STUDENT LOANS
Federal aid cuts may hurt U

M URREY KiRl EG ER
for
SYMPOSIUM AND CRITICAL THEORY
"Literary Criticism A Primary
or Secondary art?"#
Rackham Amphitheatre
Monday, March 24-4:00
open to the public

By JAY McCORMICK
The Carter administration could,
*verely hurt University faculty
research and student financial aid,
programs in the effort to balance the
Federal budget, according to University
officials.
For instance, student loans will be
more expensive and more difficult to
obtain, partly because of the new
federal budget cuts, and partly because
'f Carter's decision to change the very
nature of the student assistance
. rograms.
* JAMES ZIMMERMAN, Associate
Director of Financial Aid, said Carter's
hew loan programs will "grossly in-
- crease the cost of education for studen-
ts. It will double the interest on
educational loans, and interest will be'
paid on the Guaranteed Student Loan
,(GdL) while the student is still in
school."
GSLs are currently interest-free for
students while they are enrolled in

school.;
Carter decided to change the loan
programs in February before reaching
his decision this week to balance the
federal budget. The most immediate ef-
fects of the new proposed cuts would be
to freeze the amount of money in the
Basic Educational Opportunity Grant
(BEOG) program, and Work Study
Funds would remain at their 1979-80
level. This hurts the work study
program not only because it can no
longer keep pace with inflation, but also
because the freeze of funds does not
provide for increases in the minimum
wage.
"Middle income students will be har-
dest hit," Zimmerman said.
UNIVERSITY faculty involved in
research say they are not sure what
budget cuts will affect them. One thing
is for sure, however: There is much at
stake for University researchers. In
1979, the federal government paid for70
per cent of local research.

James Randolph of the Division of
Research Development and Ad-
ministration (DRDA) said he thinks the
general support to the University would
not decrease. "Student services might
be cut, but I wouldn't want to say. I
don't know where the cuts are to be
made."
DRDA Senior Project Representative
John Cochran said NASA is concerned
about the cuts: NASA provided $5.7
million out of the $70 million the gover-
nment provided overall in the 1978-79
school year.
Cochran also said the 1980 fiscal year
budget would probably not be changed.
Effects of Carter's proposed budget
cuts most likely would be first felt in
1981.
DNA RESEARCHER David Jackson
also said there is not enough infor-
mation available yet to project the
changes that will have -to be made in
research. "I read that the number of
new competitive grants will be cut from

5,000 to 3,500," he said. "A lot of ex-
cellent research will not be done."
Jackson said he feels that something
has to be done about inflation. "I'm of
two minds about the proposed cuts," he
said. "The country has to do something
about .inflation. Everybody likes to
think the area he's in is important.
Each area of research is going to suf-
fer. You have to start somewhere."
However, Jackson also said he con-
siders the reductions of research funds
to be a bad idea. "These cuts are a form
of mortgaging the future. It looks like
an easy wayto alleviate the problem,
but it's a particularly bad place to
make a cut.
"I'm not an economist," he added,
"but I've heard that many of the cuts
are largely symbolic." Jackson said he
expected his own field of research,
DNA, would not suffer as severe a cut in
funds, because research in that field
has been quite successful and is
"clearly important."

YOU'RE WELCOME
IN OUR SHAC
The Student Health
Advisory Committee (SHAC)

.ME'

Regents say no ceiling on tuition increases

is seeking new members.
SHAC's goal-improving the communication link
between Health Service and students. We talk
directly to the Health Service administration about
vital health issues.
If you're interested in making a difference in
your Health Service, call SHAC:
663-2439 (Marty Garber)
662-8944 (Nina Blumenthal)


(Continued from Page 1)
for almost 60 per cent of its general
fund money.4 Tuition currently provides
about 30 per cent of the general fund
revenue.
REGENT GERALD Dunn (D-
ansing) was the only Regent to favor a
uition ceiling, 'saying he opposed
passing a 14 per cent tuition hike onto
students. Regent Robert Nederlander
(D-Birmingham) was absent for the
vote.
Each one per cent increase in tuition
will produce about $720,000 in revenue
should the University maintain stable
enrollment. A 14 per cent hike would
bring more than $10,000,000 in ad-
ditional funds to the University.
..A 9.5 per cent increase would mean
,early tuition of $1,327 for first- and
second-year Michigan residents, and
$1,494 for juniors and seniors. They now
pay $1,212 and $1,364, respectively.
THE MINIMUM percentage is based
on the assumption that the final state
appropriation will be the same as the

governor s 9.5-" per cent recommen-
dation for an appropriations increase,
according to Sussman. That figure is
likely to change, according to state and
University officials.
Non-resident undergraduates,
graduate and professional students can
probably expect similar increases. New
tuition rates will be finalized when the
University has definite information on
the size of next year's state ap-
propriations - probably in July.
The minimum increase for resident
undergraduates was approved yester-
day because the state Department of
Education must have the information
by April 4 to compute student awards in
state competitive scholarships for 1980-
81.
"GOING ABOVE a 14 per cent in-
crease is just too much to pass onto
students," Dunn said. "I'm aware of
the problems of the state, but we may
have to pull up our bootstraps."
"We have reached the point with
double digit inflation that we can't.

always do things the way we've done in
the past," he said. "There may be
layoffs and cutbacks."
Regents Thomas Roach (D-Saline)
and David Laro (R-Flint) disagreed
with Dunn. Roach said he believed
students would rather pay a little more
than risk reducing the quality of the
University.
LARO SAID the money students pay
in tuition benefits them directly. "We
have to say 'We're going to need you to
help educate you this year,' " he said.
And just as an indication of the rough
times ahead, University President
Harold Shapiro said he estimated the
state would fall $100 million short of its
revenue projections this year and $200
million short for fiscal year 1981. He
said there would be deep cuts, probably
meaning layoffs and reduction in ad-
ministrative services.
In a memo to state department heads
dated last Friday Gov. William
Milliken said aid to higher education
would be one of the first areas cut "to
assure all areas of the state budget

share this difficult load equally."
Several state budget officials said
earlier in the week that Milliken is
revising his budget, and higher
education cuts could be as much as $35
million. Shapiro said he received
similar information from state of-
ficials. The University receives almost
one-fourth of all state higher education
funds.
Earlier this week, an official in the
state's Department of Management
and Budget said the state expected in-
stitutions of higher education to tighten
their belts just as the state and federal
government is doing.
One of the primary reasons for the
state's dismal fiscal situation is the
cutback of, federal funds. Last week
President Carter asked Congress, as
part of federal efforts to bring inflation
under control, to either reduce or
eliminate federal unrestricted revenue
sharing payments to states. Michigan
stands to.lose more than $100 million
annually under this directive.

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Discusion to reopen on

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Stegeman land option deal

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FILMS

School of Public Health-Noontime Film Fest, HMOs: Prescription for
Change, HMOs: A Closer Look, HMOs: A Worker's View, 12:10 p.m., School
of Public Health Aud. II.
Marketing Club/MSA-Film of the 1979 CLIO Awards for advertising,
12:30 p.m., Hale Aud.
Alternative Action-Treasure of Sierra Madre, 7, 9:15 p.m, Modern,
Languages Building Aud. 4.
Ann Arbor Film Co-op-It Came From Outer Space, 7,10:15 p.m., Invasion
of the Bee Girls, 8:30 p.m., MLB Aud. 3.
Cinema Guild-That Obscure Object of Desire, 7, 9:05 p.m., Old Arch.
Aud. (torch Hall).
ACinema Two-Advice and Consent, 7, 9:30 p.m., Angell Hall Aud. A.
Germanic Languages and Literature-The Golem, 7 p.m., MLB Lec. Rm.
*1.
Mediatrics-Wizards, 7, 8:45 p.m., Natural Sciences Aud.
Gargoyle Films-The Sting, 7:07, 9:39 p.m., 100 Hutchins Hall.
SPEAKERS
4 Guild House-John Forsythe, "Cuba Today," noon, 802 Monroe.
Urban and Regional Planning Program-Robert Beauregard, "Radical
Planning: Theory and Practice," 1 p.m.,. 2216-19 Art and Architecture
Building.
Center for Afroamerican and African Studies-Pres. Harold Shapiro,
"Prospects for Continued Recruitment and Retention of Blacks and Other
Minorities at the University of Michigan in the 1980s," 2 p'm., Schorling Aud.
College of Nuclear Engineering-Sow Hsin-Chen, "Experimental Test of
the Boltzmann Equation," 3:45 p.m., 15 Cooley Building.
Center for Western European Studies-Anna Davin, "The Construction of
the Working Class Family in Late 19th Century Britain," 4 p.m., 126 E. Quad.
Museum of Zoology-George Lauder, "Functional Morphology and
Evolution of the Geeding Mechanism in Primitive Ray-finned Fishes," 4
p.m., MLB Lec. Rm. 2.
Kelsey Museum-Richard Ellis, "The Textiles and Weaving of the Ancient
Near East,"8 p.m., Angell Hall Aud. D.
Dharma Study Group-David McCarthy, "Training the Mind: Meditation
and the Path of Gentleness," 8:15 p.m., Michigan League Rm. M.
Hillel-Bezalal Porten, "The Proclamation of Cyrys: The First Zionist
Movement," 9 p.m., 1429 Hill.
PERFORMANCES
Yeats Festival-"Rules of the Game," 5:30 p.m., University Club Terrace
Rm.
Yeats Festival-"Of Women, of Men," (play by James Stephens), 8 p.m.,
Arena Theater, Frieze Bldg.
Canterbury Loft-"The Anita Bryant Follies,".8 p.m., 332 S. State.
Pioneer Theater Guild-Student productions, "Barefoot in the Park,"
"Vanities," "Awake and Sing,"8 p.m., Pioneer High School.
School of Music-University of Michigan Symphony Band, 8 p.m., Hill
Aud.
Ark-Utah Phillips, 9 p.m., 1421 Hill.
MISCELLANEOUS

(Continued from Page I)
she should abstain from voting.
University student and former MSA
member Joseph Pelava "scolded" the
Regents for ''"proceeding this far
without student opinion."
Richard Bouma, representative from
'Campus Chapel and also a University
student said the proposed high-rise
would have several "directly negative
effects" on the Campus Chapel, which
is located next door to the site of the
proposed building. He said the high-rise
would make the chapel "difficult to see
and find," and said that Chapel mem-
bers would no longer be able to use the
parking lot behind the Church Street
structure. Bouma added the building

would have a' "negative aesthetic effect
on the whole area.
Also at the public comments session
yesterday, several students addressed
the Regents about minority concerns at
the University including recruitment,
retention, improving supportive ser-
vices and increasing the black faculty
on campus.
In other action, the Regents approved
the housing director's recommendation
of 6.7 per cent increase in the family
housing rates.'
The R egents also approved a rate
differential between students and
faculty-staff tenants. Rents for faculty
and staff will be 10 per cent higher than
rents for student tenants next fall.

Don't be left out in
the cold

FALL Of

. Consider Co-mops
STUDENT COOPERATIVE HOUSING
ON NORTH AND CENTRAL CAMPUS
PENINGS Inter-Cooperative Council
APPLY NOW 4002 MICHIGAN UNION, BOX 66 PH. 662-4414

I

,dP-

Michigan Student Assembly
is now accepting applications for the
Central Student Judiciary (C.S.J.)
Interested students should apply by
March 27, 1980-5:00 p.m.
3909 Michigan Union

r h a
'Ponderosa is having a fabulous fish f ry.
For just $2.99, you can enjoy all the fish fillets
and salad you can eat. Dinner also includes
baked potato or french fries and warm roll
,ith Ihi ttr Catch this nutstanrdinq value


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