Does the University spend too much on legal fees?
In the Daily's opinion, the exorbitant totals could
have been saved - if the General Counsel's office
was giving sound advice.
Jody Frank previews the Ann Arbor Dance Works
performance this weekend at the Power Center.
The group will perform excerpts from "Mirage."
The Michigan women's soccer team beat Windsor,
6-1, yesterday to raise its record to 7-1 on the
season.
Today
Mixed clouds;
High 72, Low 54
Tomorrow
Partly sunny; High 70, Low 49
I
V
One hundred two years of editorial freedom
*rnz
Vol. Clli, No. 124 Ann Arbor, Michigan -Friday, September 17,, 1993 ©1993 The Michigan Dairy
Clinton:
health arem
Costs wi
increase
WASHINGTON (AP) - Presi-
dent Clinton said yesterday some
people will have to pay more under
his health care plan to ensure cover-
age for all Americans.
As Clinton spoke, he was sur-
rounded by people brought to the
White House to tell hard-luck stories
of health coverage lost or in jeopardy.
"I don't want to pretend that this is
all going tobe easy, but it seems to me
that it's a fair thing to say everyone in
America should make some contri-
bution to his or her own health insur-
ance and all employers should make
some contribution," Clinton said.
Later, he visited a hardware store
to make the same point, but was told
by the owner that "small business
cannotafford this plan."He answered
back that it would have to for its own
good.
Clinton started his day listening to
people buried in debt or fear because
of problems with the nation's health
care system.
He saidhisplan will require work-
ers and employers to share the burden
to eliminate health care horrors:
People going broke to stay healthy,
losing jobs or insurance over illnesses
and staying with bad jobs only be-
cause they include health insurance.
"Even the millions of Americans
who enjoy health care coverage are
afraid it won't be there for them next
month or next year. They want us to
take action to give them the security
that all Americans deserve," Clinton
said.
See HEALTH CARE, Page 2
Ford offers
M-Care in
.
President Clinton talks to, from left, Jerome Strong of Ypsilanti, Mich., Stacey Askew of Flushing, N.Y., and Mable Piley of lola, Kan.,
during a health care forum at the White House yesterday.
Detroit automaker reaches labor
contract; GM working on agreement
UAW
By WILL WADE
FOR THE DAILY
The University-owned health
maintenence organization M-Care
will be included in the recently nego-
tiated contract between Ford Motor
Company and theUnitedAuto Work-
ers (UAW).
If the contract is ratified by UAW
employees, more than 45,000 work-
ers will have the option of selecting
M-Care as their health plan.
After a marathon bargaining ses-
sion, Ford and UAW representatives
worked out the final details of the
contract late Wednesday night. UAW
members are expected to vote on the
deal within two weeks, said Ford
spokesperson Dave Caplan.
"This is a major step forward for
us," said M-Care President Peter Rob-
erts. Besides bringing the program
additional customers, Roberts says
this could be the beginning of a long-
term partnership between M-Care and
the auto industry.
Typically, alrBig Threeautocom-
panies adopt similar contracts. Rob-
erts said if the UAW approves this
contract, M-Care will definitely sub-
mit proposals to GM and Chrysler
next year.
Ford employees choose their
health plan from several programs
approved by the company and the
union. If the current contract is rati-
deal
fled, M-Care will become an option
forthemore than45,000hourly work-
ers in southeast Michigan starting
next year.
M-Care has been available to
Ford's salaried employees for three
years. Roberts indicated that 12 per-
cent of the auto company's white-
collar workers in the region - al-
most 3,5,00 employees and their
dependants - have chosen the Uni-
versity-owned organization as their
health plan. "We've done pretty well
to go from zero to 12 percent in three
years," said Roberts.
The 45,000 workers and their
families may constitute many poten-
tial M-Care customers. While Rob-
erts could not predict the estimated
increase in profits, he said it would
definitely bring more money into the
University.
The M-Care network includes al-
most 1,500 physicians in 21 hospitals
and clinics throughout southeast
Michigan. Roberts said he does not
expect the potential addition of thou-
sands of new members to tax the
network's resources, as the organiza-
tion will have ample time to plan for
the increased membership.
If UAW members ratify the con-
tract, M-Care is scheduled to begin
an initial enrollment period in Janu-
ary 1994 and provide health cover-
age to the auto workers in March.
DETROIT (AP) - Now that Ford
Motor Co. and the United Auto Work-
ers have three more years of labor
peace, the focus turns to fitting the
pattern agreement to larger and more
troubled General Motors Corp.
Details of the UAW-Ford agree-
ment were still leaking out yesterday,
but one highlight - a more generous
pension for retiring workers - could
help GM shed workers as it trims ex-
cess factory space.
Paying for the program is another
matter.
If GM sheds 40,000 U.S. hourly
workers during the next three years, the
pension benefit alone could cost more
than $1 billion a year. That's based on
the new annual per worker retirement
cost of $25,200.
With a current unfunded pension
liability estimated to be as much as $19
billion, GM can scarcely afford to make
more promises.
But if GM can structure a side deal
with the UAW that would lead to early
retirements - as it did earlier this year
- the financial burden could possibly
be shifted to shareholders through a
one-time charge against earnings. Some
money is believed to be left over from
earlier restructuring charges GM took in.
1990 and 1991.
The last package, which enticed
16,500 hourly workers to retire early,
was paid for by diverting $450 million
from a training fund. But with just $150
million remaining, it would be difficult
to tap the same source for a large early
retirement program.
So far, any talk of another early
retirement plan at GM is premature.
GM and UAW subcommittees have
met daily while Ford and the union built
the framework of the industry's pattern
agreement.
"With respect to the Ford-UAW ten-
tative agreement, we are not going to
publicly speculate on how the agree-
ment may apply to GM," said Gerald
See AUTO TALKS, Page 2
Students say Diag policy complicates program planning
By TIMOTHY GREIMEL
Nearly nine months ago the Univer-
sity instated the hotly-contested Diag/
North Campus Commons policy. Yet,
complications in the planning of North
Campus events last spring and this La-
bor Day have spurred renewed student
irritation.
The Policy for Scheduled Use of the
University of Michigan Designated
Outdoor Common Areas restricts the
use of both the Diae and the North
Campus Commons for gatherings, ral-
lies, and festivals.
"Logistically (Springfest) was a
nightmare," said Jennifer Starrman,
president of the University Engineering
Council, which was instrumental in the
organization of the annual North Cam-
pus event.
The event- involving bands, vol-
leyball, and the sale of food-was not
approved by the administration until
April 19, the day before it was sched-
uled.
"It was really discouraging when it
was the day before and we were still
trying to get permission," Starrman
said.
The major conflict between
Snringfest and the Diag/North Campus
Commons policy involved the tradi-
tional selling of bratwurst by the Me-
chanical Engineering Honor Society.
The policy forbids -the selling of con-
cessions in commons areas.
"I see the justification behind some
of the regulations, but I also see flaws in
it when it prevents student traditions or
things students want to do from taking
place," Starrman said.
She also had to get permission from
all of the North Campus deans for bands
to perform. In the past, only the dean of
the Engineering School had to grant his
approval.
More recently, Helen Welford, the
arts and programs coordinator of the
North Campus Commons, said she faced
difficulties organizing a welcome-back
picnic for Labor Day.
Welford hesitated to comment on
specific problems, however she said
pointsofinitial contention includedhav-
ing jazz bands from the School of Music
perform at the event, showing an out-
side movie, and allowing outside ven-
dors to sell food.
"We saw points of conflict with the
policy. ... We just wanted to get the
picnic off," she said.
As a result, the movie was canceled
andUniversityDining Serviceshandled
the food delivery.
The administration did make an ex-
ception to thepolicy, permitting thejazz
bands to play since classes had not yet
started.
Frank Cianciola, the associate dean
of students and overseer of the Diag/
North Campus Commons policy, ac-
knowledged there are problems with
the policy.
"I think there are concerns about the
policy. (Last year) was kind of a shake
out year," Cianciola said. "We've met
with students and the North Campus
Commons people and they are recom-
mending changes. We have a meeting
planned for next week."
Starrman said she does not expect
the Diag/North Campus Commons
policy to be a problem in the future.
"It's just that it's new. We had to try
to figure out what was acceptable and
what wasn't," she said. "They didn't
foresee (some of the problems). It wasn't
something you could anticipate from
the beginning. Certain things can be
written more clearly so that they're easier
to interpret."
Welford said she also sees aneed for
a policy.
See DIAG, Page 2
The Diag Policy
The Policy for Scheduled Use of
the University of Michigan
Designated Outdoor Common
Areas regulates use of the Diag
and the North Campus
Commons. Under the Policy:
A permit must be obtained
one week in advance,
amplifica.tion can only be
used from noon to 1 p.m.,
S no sales or concessions are
permitted,
events cannot take place on
certain holidays, exam days,
moving days, commencement
days, or the week of the Ann
Arbor Art Fair.
- - I
La Raza president
kicks off programs
for heritage month
Perot, Riegle to speak against
NAFTA at state Capitol rally
By JULIE ROBINSON
DAILY STAFF REPORTER
A bright blue and white banner
waves in front of the Union proclaim-
ing Latino/Hispanic Heritage Month
to all who pass.
Kicking off the Sept. 15 to Oct. 15
celebration is Raul Yzaguirre, presi-
dent of The National Council of La
Raza, this country's largest constitu-
ency-based Hispanic organization.
"I believe he is the most prominent
In the upcoming weeks, Hispanic
Heritage month will be celebrated
around the country. University orga-
nizers decided to take the celebration
one step furtherby extending it through
the entire academic year.
The programs will mostly consist
of free educational eyents, dances for
students to show off their hot meren-
gue moves, and aLatin American Film
Festival at the Michigan Theater.
"Its primaryaim and purpose," said
If you go:
WHAT: Hispanic Heritage
Celebration keynote speech by
Raul Yzaguirre
WHERE: Michigan League
Ballroom
WHEN: 7 p.m.
DETAILS: event also includes
dancers; reception to follow
COST: free
Hispanic Heritage Celebration
continues into April 1994.
Upcoming events include:
B 9/19 - "Puerto Rican
Bienvenida," 2 - 4 p.m. at
LANSING, Mich. (AP) - A Ross
Perot backer vowed yesterday that his
followers will "remember in Novem-
ber" and vote next year against law-
makers who support the North Ameri-
can Free Trade Agreement.
Susan Esser, executive director of
United We Stand America in Michigan,
Michigan.
"It's our responsibility to fix what
went wrong" with the nation's economy,
she said at a news conference. "Perhaps
we can get the message to our Congress
people."
NAFFA was negotiated mainly by
the Bush administration, and would wipe
eighth what they are in the United States.
Michigan's Democratic gubernato-
rial candidates came out yesterday
against NAFTA, reflecting the over-
whelming Democratic opposition
among Michigan lawmakers.
"This flawed agreement should be
rejected and a new pact that represents
held the news con-
ference to publicize
a rally planned for'
tomorrow at the
State Capitol to op-
pose NAFIA. The
1 p.m. rally was or-
ganized by U.S.
the best eco-
nomicinterestsof
'It's special interests who stand to make a lot of our country
money ... who want it easier to move plants to Mexico.' should be nego-
- Susan Esser Crind s
executive director of United We Stand America in Michigan D e m o c r a t i c
Party chair.
i
,