54
The Michigan Daily-Tuesday, March 3, 1981-Page 7
Reagan lashes out
at interest groups,
explains city aid cuts
From AP and UPI
WASHINGTON - President Reagan
assailed yesterday the special interest
groups which stand in the way of his
economic recovery program and
pleaded with urban leaders to realize
that "the only power needed to restore
America's strength is will power."
In his first formal speech since he ad-
vanced his budget and tax-cutting plan
to Congress on Feb. 18, Reagan com-
plained to the National League of Cities
that a "political gauntlet of interest
groups" threatens to dismantle it.
While some have raised legitimate
concerns, he said, "I'm finding it in-
creasingly difficult not to call some of
them selfish interest groups."
THE PRESIDENT acknowledged
that cities would suffer their share of
cuts. But he declared that "We are all
in the same boat, and we have to get the
engines started before the boat goes
over the falls."
Reagan assured the urban leaders
that he would preserve the "function"
of the Urban Development Action
Grants Program, which formed the
centerpiece of Jimmy Carter's urban
policy and quickly became a favorite of
the nation's mayors.
The program will be combined with
the Community Development Grant
program, which receives federal funds
for a broader base of community
projects, if Reagan's plans pass
Congress.
FEDERAL FUNDS for the combined
programs will be "at a slightly smaller
amount than before," Reagan said, ad-
ding that the reduction "will be largely
covered by the elimination of ad-
ministrative overhead."
The "slightly smaller amount" is $4.2
billion, a cut of $584 million from the
Carter administration budget.
And while the recovery plan calls for
reducing federal subsidies to cities,
Reagan said, he had tried to "cushion
the budget blows" by making block
grants to local governments, "thus
reducing wasteful federal ad-
ministrative overhead and giving local
governments more flexibility and con-
trol."
THE PRESIDENT drew polite ap-
plause from the audience of several
thousand representatives of cities and
towns, expecially when he attacked the
"federal Goliath - unleashed and un-
controlled."
Reaganinoted there has been some
congressional opposition to his call for a
three-year, 30-percent tax cut.
"Nevertheless," he said, "the real
threat to recovery comes from those
who will oppose only a small part of the
program while supporting the overall
effort. Needless to say, the small por-
tion these parochial groups oppose.
always deals with cuts that affect them
directly. Those cuts they oppose. They
favor cutting everybody else's subsidy
as an important step in ending inflation
and getting the country moving again."
Reagan repeatedly referred to the
dangers of inaction.
"We must realize that the economic
crisis confronting America is not the
result of a natural disaster or a
catastrophe beyond our control," he
said. "Inflation, unemployment - all of
it - was basically caused by decisions
that we as a people made."
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TOPIC:
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SPEAKER: Dr. Guillermina Jasso
Sponsored by: Sociology Department
Graduate Women's Network
Pistol-packin'pre-teen AP Photo
Nine-year-old bank robbery suspect, known only as "Robert," and his attor-
ney Mel Sachs (left), arrive for a hearing at Family Court in Manhatten
yesterday. Sachs claims his 4-foot, 5-inch, 98-pound client was only play ac-
ting when he held up New York Bank for Savings on February 26 with a toy
gun.
aZis charged in
.bomb conspiracy
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(Continued from Page 1)
GREENSBORO, N.C. (AP) - Six
American Nazis and supporters were
arrested yesterday on charges of con-
spiring to stage a series of terrorist at-
tacks in the event that a group of Ku
Klux Klansmen and Nazis was found
guilty of murdering five leftist demon-
strators.
A federal indictment charged the six
.With conspiring to blow up a lar-ge
petroleum storage facility, a chemical
1feitilizer plant, a shopping mall and
part of downtown Greensboro with
dynamite and a napalm-type material.
AMONG THE TARGETS of the
oalleged conspiracy was the Guilford
'County Courthouse and a large gasoline
,,tank farm on Interstate 48 west of
Greensboro, said a courthouse source
who asked not to be identified.
The indictment, returned yesterday
byza federal grand jury in Asheville,
accused the six of planning to put the
napalm-type gelatin explosives in 55-
gallon barrels "in crowded areas of the
city and remotely . .. detonate them at
4 p.m. so as to maximize the destruc-
tive effect."
Baker may
seek Senate
seat in '82
Regent Deane Baker (R-Ann Arbor)
announced he is considering a bid for
the U.S. Senate next year.
Baker, who ran unsuccessfully for
Senate in 1976, said yesterday he was
encouraged by his strong showing in
last November's Regental election.
Aside from the Presidential race,
Baker was the top vote-getter in the
state.
Two other Republicans have already,
announced their interest in the seat now
held by Sen. Don Riegle (D-Michigan).
Baker will not formally announce his
candidacy until a study of his
popularity within the party and around
the state has been completed.
4 V
Those charged with one count of con-
spiracy were Frank Lee Braswell, 49, of
Penland and his wife, Patsy, 32; and
four Winston-Salem men, Raeford
Melano Caudle, 38, Joseph Gorrell
Pierce, 28, Roger Allen Pierce, 25, and
James Christopher Talbert, 30.
THE BRASWELLS were being taken
to Asheville for an appearance before a
federal magistrate, and the others were
to be brought to Greensboro to appear
before a magistrate, a spokesman for
the U.S. attorney's office said in Ash-
ville.
The arrests stemmed from an in-
vestigation by agents of the Bureau of
Alcohol, Tobacco and Firearms, the in-
dictment said.
The grand jury charged that the at-
tacks, which never were carried out,
were planned "in response to and in
retaliation for an anticipated guilty
verdict in the Greensboro murder
trial" of six Klansmen and Nazis.
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