4 Page 2-Thursday, January 27, 1983-The Michigan Daily GOP opposes '84 budget plans WASHINGTON (AP) - President Reagan's call for further cuts in the multibillion-dollar food stamp program hit a wall of resistance yesterday on Capitol Hill, with one of the Senate's most powerful Republicans leading the countercharge. "I don't think we can do much more in the food stamp area though he (Reagan) cites it frequently' said Sen. Robert Dole (R-Kan.), chairman of the Finance Committee and the Agriculture nutrition subcommittee. "ENOUGH IS enough," added Rep. Leon Panetta (D-Calif.), chairman of the House Agriculture nutrition subcommittee. "I am not going to act on severe reductions in this program." In a sneak preview of Reagan's 1984 budget yester- day, congressional critics called for much deeper cuts in military spending. Democrats, sounding a longstanding complaint about Reganomics, said it was insensitive to America's needy to call for selective freeze of social programs while keeping the Pentagon's checkbook hip-pocket warm. "I can't see that there is fairness," said Senate Democratic Leader Robert Byrd. HOUSE SPEAKER, Thomas O'Neil said the military budget "must withstand the same scrutiny for waste and mismanagement that all other programs must undergo." He said Reagan "has been fond of 'viewing with alarm' waste in the food stamp program and others that help the needy. "Surely he can find enough waste and poorly targeted spending in the military budget to effect more savings," the speaker said. In his State of the Union address Tuesday, Reagan cited food stamps as one of the "automatic spending programs" that must be reined in, and said he would propose a plan that would end what he was $1.1 billion in benefit overpayments last year. "FOR EVERYBODY'S sake, we must put an end to such waste and corruption," he said. The food stamp program, a tavorite target of Reagan since he took office, has in each of the last six years undergone legislative changes that slashed billions of dollars in benefits, most of it during the last two years. Dole, Panetta and several other House members say it's time to find budget savings elsewhere. Even before Reagan's speech, Dole told civil rights leaders that there should be no new cuts in food stamps this year, and Panetta announced plans to ask Congress to go on record against any budget reductions for federal nutrition programsin 1984. "AGAIN, IT'S a lot of people out of work, and a lot of people need food stamps," Dole said after the speech. "I don't quarrel with Reagan's general con- cern about entitlement programs, but I think for food stamps we've done quite a bit in that area." The 21-member Congressional Black Caucus at- tacked Reagan's plan yesterday, charging that the president still wants "the poor, the working people, the elderly, the children to bear the brunt of economic recovery." The Ark may have to close its doors (Continued from Page 1) before it could be declared a historic sight," he said, adding that the last few months have not seen good relations between the church and The Ark. THE CHURCH governing session decided to sell the building in Nov. 1982, but that decision was cancelled. Tyson said after November, communication between the church and The Ark "has not been good." "They (the church) don't show good intentions," he said. "They had some plan to eliminate ownership of the building and failed to tell us." £ Tyson said the church is acting "in a manner unbecoming a church." David Siglin, manager and resident of The Ark, said "The Ark will continue, with or without the (Hill St.) building." "THE ARK IS at its healthiest point," 'he said -"we're very grateful to the First Presbyterian for the use of the building. If they want to sell the building, however, we would continue as The Ark in a new location. I don't gee The Ark leaving Ann Arbor, it's- too healthy." Siglin said he did not know exactly where The Ark would move, but added that it would hve to "change drastically," if it was relocated. He said The Ark would have to change from a non-profit organization to a profit-making one. "That would certainly change the way we operate," he said. GIES SAID THE Ark needs "an angel to put up the money to keep it going. "The Ark can't generate a surplus," he said, "It mainly survives because it stays there (on Hill St.) rent-free." Siglin, however, said "Tom Gies has no knowledge about The Ark at all. He only knows what he hears in committee meetings, and that is next to nothing." Dannemiller had similar feelings about Gies. "Tom Gies is speaking from a point of ignorance about The Ark," she said. "He has no notion of what's going on - he hasn't been there in 10 years. It's 'om Gies' power group within the church that's doing it (pushing ifor the sale) ." IF THE ARK does lose its home, the church has assured The Ark's management that they will have time to find another location. "Obviously it would behoove us to start looking for another place," Siglin said, "but I think it would be a major crime to tear down this building. "As a church member, I am dead-set against them tearing it down. It's a beautiful buildng and it shouldn't be torn down for the money. They should in- vest money and keep it, even it it's not the home of The Ark." IN BRIEF Compiled from Associated Press and United Press International reports Reagan: Abolish corporate tax BOSTON - President Reagan suggested yesterday that the corporate in- come tax be abolished because he said it is unfair to American business and "there isn't really a justification for it." Reagan made the surprise proposal during a meeting with Massachusetts businessmen at the end of a day-long visit to Boston in which he also toured a job-training center and computer assembly plant, sipped a beer in a working-class Irish bar, and told a black audience that Martin Luther King Jr.'s birthday deserved national recognition. After listening to corporate executives recall the economic progress that Massachusetts has made and responding from a prepared text, Reagan said: "I realize that there will be a great stirring and I'll probably kick myself for having said this, but when are we all going to have the courage to point out that in our tax structure the corporate tax is very hard to justify its existence?" Reagan suggested that corporate profits simply be distributed to stockholders in the form of dividends and let those stockholders pay in- dividual income tax on the income. Economic upturn predicted; high jobless rate to continue WASHINGTON - Treasury Secretary Donald Regan said yesterday that unemployment will average 10.7 percent this year and remain in double digits for several months into 1984, but he still insisted the nation has "turned the corner" toward economic recovery. Regan also told Congress' Joint Economic Committee that interest rates must come down further for a lasting recovery to take place. The Reagan administration's economic forecast, scheduled to be released next week, calls for a relatively weak recovery beginning later this year, but with high unemployment hanging on. Inflation is expected to inch up from last year's 3.9 percent rise in con- sumer prices, and interest rates are expected todecline slowly under the forecast. Regan said the official forecast is for joblessness averaging 10.7 percent this year and 9.9 percent next year - meaning it would be above 10 percent for at least several months in 1984. He said the forecast did not predict 11 percent joblessness for any three-month period. Women activists blast Reagan WASHINGTON - Women's rights leaders said yesterday that President Reagan has yet to make substantive proposals to battle sex bias and "he would have been better off not saying anything than throwing "a few crumbs our way" in his State of the Union address. "It is another indication that the president does not begin to comprehend the range and seriousness of problems that face women." said Judy Gold- smith, president of the National Organization for Women. In his speech Tuesday night, Reagan reiterated his support for the elimination of sex discrimination, although his position stopped short of en- dorsing the proposed Equal Rights Amendment. Earlier this month, the Reagan administration surprised women's groups by supporting a lawsuit before the U.S. Supreme Court that would eliminate discrimination against women in pension payments. Police call cyanide scare hoax NEW ORLEANS - Police said six arrests and a promise of stiff prison terms yesterday slowed . the rash of anonymous cyanide threats that deprived 250,000 residents of drinking water during the past six days. No threats have been made since the arrests of five juveniles and a 20- year-old, all admitted pranksters. Police, state health officials and city officials also questioned continuing to shut down municipal water systems because of a few words over the telephone. "We do believe the arrests have had some chilling effect on the proliferation of calls, as they have slowed to almost nothing," said state police Lt. Ronnie Jones. "We believe that all the calls were pranks." Jones said his agency, working with the FBI in investigating the bizarre ordeal which began last Thursday, now advises cities to weigh heavily any temptation to shut down water systems after receiving a threat. Child's origins must be clear before adoption, judge says LANSING - An Ingham County probate judge said yesterday he cannot release for adoption the child born to surrogate mother Judy Stiver without trying to clear up the mystery surrounding his origins. Judge Donald Owens will preside today at a hearing on the unwanted in- fant, known at this-point only as "Baby Doe." The child was born Jan. 10 at Lansing General Hospital, .suffering from microcephaly - a smaller than normal head size which sometimes indicates retardation. Alexander Malahoff of Queens, N.Y., who paid Stiver $10,000 to bear his child, ordered that medical treatment for a strep infection be discontinued. Stiver, however, consented to continuation of medical care. Now, Dearborn attorney Noel Keane, who helped arrange the surrogate contract, contends blood tests prove the baby is not Malahoff's. The New York man has refused to pay off on the contract. Vol. XCIII, No. 96 Thursday, January 27, 1983 mmmmmmmmm Biking away AP Photo In Vandenburg, Calif., Tom Jones clears out "of the launch area on his bike Tuesday morning before the launch of the rocket. The satellite and telescope will search the heavens for previously unseen stars and other objects. Blanchard eases up on proposed '83 budget cuts FLORIDA ESCAPE WINTER BREAK-Feb. 18-27 $110 ONLY $1 Round Trip Transportation Connections to all major Florida cities Complete Tour Includes: Roundtrip transportation via deluxe Michigan Trailways Motor Coach. SEVEN Nights accommodations in beautiful Vero Beach. Price Per Person: $257 Quad; $292 Triple; $348 Double For Further Information & Tickets: U of M Student Union Ticket Office Michigan Trailways-Ann Arbor Agent 995-8899 Reservations deadline Feb. 4, 1983 (Continued from Page 1) fering," suggesting that social services may be cut the least. To help alleviate the" state's high youth unemployment, Blanchard said he hopes to "address the critical need to find work for our state's young people." Again, Blanchard gave no specifics. The tax hike is also larger than the Fiscal Crisis Committee had recom- mended - its recommendation had been for an increase of 1.4 percent. Blanchard said he would not allow "bookkeeping gimmicks" used by the Milliken administration to help work things out. "The road to fiscal hell is paved with good intentions," he said. Blanchard, who has been in office just over three weeks, said he would make the specifics of his budget cuts known soon. Correction Zeta Phi Beta sorority sponsored "The Man" male beauty contest Saturday night. The Daily incorrectly reported the sorority's name in Tuesday's Today column. , o U) The Michigan Daily is edited and managed by students at The University of Michigan. Published daily Tuesday through Sunday mornings during the University year at 420 Maynard Street, Ann Arbor, Michigan, 48109. Sub- scription rates: $13 September through April (2 semesters); $14 by mail out- side Ann Arbor. Summer session published Tuesday through Saturday mor- nings. Subscription dates: $7.50 in Ann Arbor; $8 by mail outside Ann Arbor. Second class postage paid at Ann Arbor, Michigan. POSTMASTER: Send address changes to THE MICHIGAN DAILY, 420 Maynard Street, Ann Ar- bor, MI. 48109. The Michigan Daily is a member of the Associated Press and subscribes to United Press International, Pacific News Service, Los Angeles Times Syn- dicate and Field Enterprises Newspaper Syndicate. News room (313) 764-0552, 76-DAILY. Sports desk, 763-0375; Circulation, 764-0558; Classified Advertising, 764-0554: Billing, 764-0550. Mike Bradley, Joe Chapelle. Louro Clark. Don Coven. Editor in-chief . .. DAVID MEYER Richard Demok, Jim Davis. Jim Dworman, Tom Ehr, Managing Editor PAMELA KRAMER Joe Ewing, Paul Helgren, Steve Hunter. Chuck Jaffe, News Editor ANDREW CHAPMAN Robin Kopilnick. Doug Levy. Tim Makinen. Mike Student Affairs Editor ANN MARIE EAZIO McGraw, Larry Mishkin. Lisa Noferi, Rob Pollard, Dan University Editor MARK GINDIN Price, Jeff Quicksilver. Paul Resnick. Wendy Rocho. Opinion Page Editors JULIE HINDS Lenny Rosenb um, Scott Solowich. John Toyer. Judy CHARLES THOMSON Walton. Karl Wheatley, Chuck Whitman, Rich Wiener, Arts Magazine Editor RICHARD CAMPBELL BUSINESS MANAGER ............ JOSEPH G. BRODA Associate Arts Magazine Editor B.BW JBEN TICHO RAER. ......K H E C R Sports Editor . .... BOB wOJNOWSKI DSASMANAGER..............ATHRYN SHENR Associate Sports Editors BARB BARKER DSPLAY MAN ER..............ANNSACHAR LARRY FREED OPERATIONS/ NATIONAL JOHN KERR MANAGER.......................LINDSAY BRAY RON POLLACK FINANCE MANAGER .............. 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