Ninety-nine years of editoria freedom
Vol. I C, No. 93 Ann Arbor, Michigan - Thursday, February 9, 1989 Copyright 1989, The Michigan Daily

144 die
.in jet
crash
LISBON, Portugal (AP) - A
U.S. charter jet carrying Italian
vacationers to the Caribbean crashed
into a mountain in the Azores while
trying to land in fog yesterday. All
144 people on board were believed to
be killed.
The Boeing 707, with a seven-
member American crew, was ap-
proaching Santa Maria airport for
refueling on the Atlantic island chain
when it hit 1,794-foot Pico Alto and
burst into flames, said Afonso Pi-
mentel, a reporter in the Azores for
Portugal's LUSA news agency.
"The plane was very low, every-
thing seemed perfectly normal; then
it turned and flew straight into the
mountain," said witness Manuel
Vairos Figueredo.
"There was a tremendous explo-
sion. The plane burst into flames
and trees around it caught fire. No-
body could possibly have survived,"
Vairos Figueredo said.
LUSA reported more than 50
bodies had been recovered by night-
fall. Heavy fog and difficult access to
the crash site hampered rescue work-
ers.
Witnesses said jetliner's wreckage
still burned on Pico Alto five hours
after the crash.
The pilot radioed Santa Maria
Airport control tower three minutes
before the crash but did not report
anything wrong, LUSA quoted an
unidentified civil aviation official as
saying.
The agency said the control tower
then tried repeatedly to contact the
plane without success.
Earlier unconfirmed reports said
the pilot had requested a runway be
cleared for an emergency landing.
The jet belonged to the U.S. air-
line Independent Air Corp., based in
Smyrna, Tenn., which said it was
bound from Bergamo, Italy, to the
Dominican Republic and then to
Jamaica. It had been chartered by the
Dominican firm Dominair by a con-
sortium of six Italian travel agen-
cies.

Law

dean

bans FBI
recruiting
BY SCOTT LAHDE
The Federal Bureau of Investigation chose not to
recruit at the University last fall because of student
protest.
Now, the FBI doesn't have a choice.
The Law School has banned FBI recruiting for a
year based on a federal district court ruling which de-
termined the Bureau discriminates against Hispanics.
Law School Dean Lee Bollinger decided several
weeks ago to bar FBI recruiting because he, along with
other administrators and faculty, said the FBI violated
the school's anti-discrimination policy.
The policy prohibits any organization that discrim-
inates on the basis of race in their hiring from using
the law school's placement office.
"The faculty vote took real courage," said Kristen
VandenBerg, a National Lawyer's Guild member. "The
dean felt he had a real obligation to retain the integrity
of the Law School."
Several groups were instrumental in raising the is-
sue to Bollinger and faculty members, including the
Black Law Students Alliance, the Hispanic Law Stu-
dents Association, and the Lesbian and Gay Law Stu-
dents, VandenBerg said.
"They are to be credited for bringing to our atten-
tion the cases that were brought against the FBI,"
Bollinger said. See FBI, Page 2

Ashes to ashes ALEXANDRA BREZ/Daily
Adele Morrone, an Ann Arbor resident, leaves St. Thomas the Apostle Church after Ash Wednesday
services.

Bush expected
WASHINGTON (AP) - President Bush budget officials bri
will propose more than $250 million in edu- Congress on the pa
cation spending above former President Rea- According t
gan's budget and will call for a tax break for administration of
adoptions, sources in the administration and Bush's package inc
Congress said yesterday. - A request '
The sources, who insisted upon more than the $2
anonymity, said the $1.16 trillion spending sought in educati
plan Bush will outline in a nationally tele- increase would go
vised speech to Congress at 9 p.m. today will program. Bush's p
project a deficit of roughly $98 billion. tional Merit Scho
That is within the $100 billion require- back sharply, howe
ment of a federal deficit-reduction law for the - A tax break
fiscal year that begins Oct.1 but some $5.5 some of the costo
billion higher than Reagan had proposed. phasis on hard-to-a
Higher levels in the Bush budget for campaign, Bush r
education, child care, the environment, and adoption, not abor
the homeless account for some gap, the tax deduction to 1
sources said. was eliminated in
On the eve of Bush's budget address, more The size of the pro
glimpses of the president's $1.16 trillion learned.
spending outline surfaced as administration - An-increasec

to increase social spending

efed influential members of
ckage.
o congressional and
ficials, key elements of
lude:
for $250 to $300 million
21.2 billion Reagan had
on spending. Much of the
to expand the Head Start
lan for a $500 million Na-
ol program will be scaled
ever.
to help families recover
of adoptions, with an em-
adopt children. During his
epeatedly said he was "for
tion." A modest previous
help offset adoption costs
a 1986 tax-code overhaul.
posed tax bill could not be
of about $350 million over

the $1.4 billion Reagan had sought to clean
up deteriorating nuclear weapons plants,
along with a proposal to restart the idled Sa-
vannah River plant in South Carolina.
- The establishment of tax-free "urban
enterprise zones" in inner cities.
-A freeze in military spending at the
level of inflation for fiscal 1990, with a 1
percent increase over inflation in 1991 and a 2
percent increase in 1993. Reagan had pro-
posed a two percent increase, after inflation,
for fiscal 1990.
The restoration of $1.7 billion Reagan had
sought to cut from the Medicaid!program of
medical assistance to the poor, but acceptance
of Reagan's proposal for $5 billion reduction
in Medicare assistance for the disabled and el-
derly. Reagan had said his proposals would
not cut benefits, but would force state and
providers to become more efficient.
- A reduction in the capital-gains tax to a
maximum of 15 percent for assets held more

than two years, excluding works of art. Cur-
rently, capital gains are taxed at the same rate
as other income,
- A $1,000 child care credit for low-in-
come families for each child up to age four.
Current tax-law provisions on child-care ex-
penses would be unchanged.
- Furthermore, Bush is proposing to res-
cue the savings and loan industry with a 30-
year, $200 billion financing plan.
To carry out this plan, Bush will propose
the biggest government bailout ever, which
will achieve an immediate $200 million sav-
ings in the 1990 budget ,he submits to
Congress today.
Bush would spend only $1.9 billion in tax
dollars on the problem in 1990, compared
with the $2.1 billion proposed by the outgo-
ing Reagan administration. Reagan called for
outlays of $18.5 billion in fiscal years 1990
through 1993, $3.1 billion more than Bush
would spend in his first four budgets.



'U' prof. offers
tax alternatives

Senate delays
Tower decision

BY NOAH FINKEL
Democrats are often called mem-
bers of the party of "tax and spend,"
while the Republicans are known for
their fiscal conservatism.
But the labels appear reversed in
Ann Arbor politics this year.
A bipartisan majority of the Ann
Arbor City Council, spearheaded by
Republican Mayor Gerald Jernigan,
,voted Monday to send a proposal for
a partial rollback of the Headlee
Amendment to the voters in the
city's April 3 general election.
But Democratic mayoral candidate
Ray Clevenger is campaigning
against the Headlee rollback and the
increase in property taxes that would
accompany it.
The Headlee Amendment stipu-
lates that property taxes cannot grow
faster than the inflation rate without
a special city-wide vote.
If approved, the city stands to
gain $600,000 more than if the city
assesses property taxes within the
Headlee restraints. Proponents of the
rollback argue that this is the key to
solving the city's $1.6 million bud-
get deficit.
Clevenger, however, has come
out against the Headlee rollback in
words reminiscent of George Bush in
his 1988 presidential campaign: "No
new property taxes."
Clevenger, armed with a budget
analysis prepared by University
Economics Prof. Emeritus Dan
Fusfeld, told the city council Mon-
day night it could cut its deficit by
raising- revenue from nther nurces-

late sixties," Fusfeld said. The city
could raise up to $600,000 by rais-
ing these fees, he said.
Fusfeld said parking ticket
amnesty is another program the city
can implement to cut its deficit. A
one-month parking amnesty would
offer a 50 percent discount on Ann
Arbor's $2 million in outstanding
parking tickets.
City Administrator Del Borgsdorf
estimates up to $570,000 could be
collected in a one-month amnesty
period.
"Its a way to give people a bit of
a break and help the city out," ex-
plained Councilmember Larry
Hunter (D-First Ward), a sponsor of
a parking amnesty resolution which
will be presented to the council.
Fusfeld also recommends the col-
lection of unpaid property taxes,
which could r:.ise $300,000 for the
city, and the selling of city land.
"The city owns $500,000 worth
of land; much of it is not being
used," Fusfeld said.
In addition, Clevenger has said
the city can cut its expenditures by
improving efficiency and streamlin-
ing the bureaucracy.
But most Republican and Demo-
cratic city councilmembers disagree
with Clevenger's prescription for
deficit-cutting, and instead endorse
the Headlee rollback.
"The city of Ann Arbor does not
have the same number of employees
it had in 1975," said Councilmember
Kathy Edgren (D-Fifth Ward). "If the
voters knew how thin the staffing is

WASHINGTON (AP) - Senators
said yesterday a first vote on John
Tower's nomination as defense
secretary will be delayed nearly two
weeks while the FBI reviews allega-
tions about his finances and drink-
ing. President Bush stood by Tower
and denounced "rumors and frenzied
speculation."
"There are new allegations of a fi-
nancial nature which are now being
checked in the Tower nomination,"
said Sen. Sam Nunn (D-Ga.) the
Armed Services Committee chair.
He said he could not vote to confirm
Tower until the latest charges were
checked.
Sen. John McCain (R-Ariz.) said
new allegations linked Tower to the
Pentagon procurement investigation,
which has involved payments by de-
fense contractors for classified in-
formation regarding lucrative mili-
tary contracts.
"It has to do with this procure-
ment scandal, the 'Ill Wind' thing,"
said McCain, using the Justice De-
partment name for the investigation.
Tower has denied trading secrets
for cash. But Nunn and other sena-
tors have voiced concern on whether
Tower could avoid conflicts of inter-
est in view of the more than $1
million he received as a consultant
for major defense contractors after
ending a 24 year career in the Senate
four years ago.
Meanwhile. White House counsel

had expressed irritation that the
White House had briefed committee
Republicans and not him.
The administration was pushing
for a vote this week, but dropped
that after Nunn and Warner met with
Bush Tuesday night.
On the allegations that Tower has
a drinking problem, Bush stood be-
hind Tower saying, "Have I seen
anything, or has anything in the FBI
report made me want to change my
mind as one who would be concerned
about insobriety or about failure to
be ready for duty 24 hours a day?
The answer is no, I have not."
Bush said he was not criticizing
the investigation process but was
upset that unsubstantiated rumors
were being circulated and were hurt-
ing Tower.

LIZL '' t " I lJU
Eunice Royster, the new assistant dean of LSA, hopes to
get students excited about attending their classes.

Roys
LSA
BY FRAN OBEI
Eunice Royste
demic services an
Comprehensive
has recently been
tant to the vice]
ri :mi f r e

ter

named as

assistant dean
ID Royster has attended the meetings in
r, director of aca- the past and is allowed input. She
id programs of the supports the proposal for a manda-
Studies Program, tory class on racism.
promoted to assis- Royster believes the criticism of
president for aca- the mandatory class is an interesting
A -. - #_ . . -, - - . .. . .

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