The Michigan Daily-Sunday, September 13, 1981-Page 5
Reagan cuts defense 13 billion
WASHINGTON (AP)- President Reagan decided
yesterday to cut -$13 billion from the defense budgets
for the next three years. He said his action will
'assure an increasingly strong defense" as well as
the nation's economic health.
Reagan's decision will mean that anticipated Pen-
tagon spending in fiscal 1982 through 1984 will be
THE PRESIDENT'S decision, made in light of
predictions of a burgeoning federal deficit next year,
was disclosed by his chief spokesman, David Gergen,
several hours after it was conveyed to Defense
Secretary Caspar Weinberger and Budget Director
"After signing this directive at Camp David
yesterday, the president re-emphasized that his
decision reflects his continuing commitment to two
major goals of his administration: a strong economy
and a strong national defense," Gergen said, reading
a prepared statement.
"These changes in the defense budget are, of cour-
se, the first reductions on plans previously announced
by the president to identify savings in overall spen-
ding that will help to bring the federal budget into
balance in 1984 and in the process achieve economic
recovery," Gergen said.
GERGEN MADE public Reagan's memorandum
to Weinberger and Stockman, in which he said fiscal
1982 defense spending would be $181.8 billion; fiscal
1983 would be $214.9 billion, and fiscal 1984, $242.6
billion. These figures represent reductions of $2
billion during the first year, $5 billion in the second,
and $6 billion in the third.
"I appreciate the spirit in which you have reached
this agreement, and firmly believe that we have
struck the balance necessary to assure both an in-
creasingly strong defense and the economic health on
which defense and wellbeing depend," Reagan wrote
to the two aides who had differed sharply on the size
of defense budget reductions.
The president, fortified by briefing books prepared
by Stockman, spent Saturday at Camp David.
DEPUTY WHITE House press secretary Larry
Speakes said Reagan was finished hearing argumen-
ts about the shape of the 1982 budget, as well as
targets for spending in 1983 and 1984.
With Reagan at Camp David, the presidential
retreat in the Catoctin Mountains of Maryland, were
James Baker III, the White House chief of staff, and
Michael Deaver, the deputy chief of staff.
Reagan is faced with several dilemmas as the time
of year approaches when presidents usually become
directly involved in budget preparations.
ALTHOUGH THE proposed budget for fiscal 1982,
which begins Oct. 1, was submitted to Congress in
stages last winter and spring, new economic
forecasts have indicated that without more spending
cuts, the deficit will be well above the $42.5 billion
predicted by the administration. The Congressional
Budget Office has estimated that the deficit will be
In addition, the worsening economic outlook could
threaten Reagan's chances of fulfilling his promise to
achieve a balanced federal budget in fiscal 1984,
while increasing defense spending by seven percent a
year beyond inflation.
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City vacancies up, rents drop
(Continued from Page 1)
Figures for this year aren't available
yet, but "this is the second fall in a row
that the vacancy rate has increased,"
-Williams said .r
What's behind the change in the
housing market? Williams said the Off-
Campus Housing Office will be studying
the factors that appear to be involved.
"IBut' it's an educated guess at this
point," Williams said.
-ENROLLMENT figures won't be
av ilable until later this month, but
.Ji ams said projections indicate that
iate enrollment may be down,
an increase in undergraduate
enrollment. The total may not be sub-
stantially different from last year,
One reason behind the vacancy rate
jump may be that more students are
willing to share rooms in order to lower
their rent. "More students are in-
terestedcin finding the most economical op-
tion," Williams said, "there's a lot of
students looking for places to share."
Dale Cohen, acting coordinator of the
Ann Arbor Tenants' Union, agrees.
"Not only has the cost of education
gone up, but the cost of housing has
gone up too. So, what people are doing
is doubling up on rent-there's more
density," Cohen said.
"STUDENTS CAN'T afford single'
apartments anymore," Williams said,
"Whole houses have been going quickly
Another possible factor the housing
office will investigate is whether more
students are living at home and com-
muting to campus. However, Williams
said the number of student commutors
dropped last year.
Specials on rental rates in apartment
buildings within commuting distance of
campus may be drawing a larger
proportion of students, Williams added.
EARLIER THIS summer, all dor-
mitory space was taken and many
freshpersons were on a wait list.
However, cancellations in past weeks
have left some dorm space open, in-
formation director Williams said.
The housing office contacted students
and found that "the major cause is
based on financial reasons. A number
of students decided not to come to
school for that reason," Williams said.
Unlike past years, incoming students
did not have to sleep in lounges and
other temporary space to wait for a
dorm room this fall, Williams said.
"We're assigning students as they
come in," he said.
ANN ARBOR landlords did not take
the vacancy rate trend seriously last
year, Jo Williams said, but "now lan-
dlords are seeing it as something real
and are figuring out how- to respond
to it," she said.
A few landlords raised rents only
moderately this year, and many are
paying more attention to fixing up their
rental units, Williams said.
While some landlords now are
slashing rents, they have not been of-
fering eight-month leases at normal
rates, waiving or reducing security
deposits, or offering single-liability
leases-leases in which each renter is
responsible for a part of the rent and
not for the whole, Williams said.
MANY OF THE deals now being of-
fered are not advertised,. she added.
"If they're advertised, chances are
they are for more expensive units,"
Many landlords contacted said they had
none or only a few vacancies left.
Housing officials said students looking
for a place to live should check the
notice board in the Student Activities
Building lobby, the desk in the Housing
Information Office, newspaper
classifieds, and the management com-
960 Program steps OR 100 memories
Magnetic card read/write capability
Michigan Union ....Open 7days/wk
DURHAM, N.C. (AP) - Faculty
representatives urged Duke Univer-
sity 's trustees Friday not to;'pgrov
nicpus museif "that' would
"Oster glorification" o'',former
President Richard Nixon.
The Duke Academic Council
unanimously approved a resolution that
".ategorically rejects creation of any
'museum or memorial designed to
toster florification of the former
)resident" as part of a Nixon library on
or adjacent to the Duke campus.'
' THE RESOLUTION did not mention
'the proposal to house Nixon's presiden-
fii papers on the university campus..
The board of trustees voted 9-2 last
'eek to override faculty opposition and
continue negotiations with Nixon on the
Ijrary. If those negotiations are suc-
cessful, the board members committed
fhi school to providing land for the
'lbi-ary and museum.
The resolution did not completely
iie out a museum. Some faculty
members said the resolution made
rppain that the faculty strongly favored a
igw-key operation that would not
resemble museums built as memorials
to other presidents.
OTHERS HOWEVER, said any
nuseum at all would glorify Nixon, who
"esigned his office in 1973 during the
1c'Faculty members said the resolution
Jndicated they were more concerned
with the possibility of a Nixon
memorial than with. the issue of a
*The scholarly, aspect becomes most
questionable;" said Donald Fluke, a
.chemistry professor. "It seems to me
that this whole question is particularly
within the faculty's realm, because at
the center of it all is whether the library
IM11 benefit the academic community.
We must be heard if we are convinced
that any portion of the complex would
not be primarily scholarly in tone."
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NEXT WEEK (September 22):
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