Vl Te Michigan Daily
Vol. XCI, No. 12-S Ann Arbor, Michigon--Fridoy, Moy 22, 1981 Twenty Poges
Budget clears latest hurdle

From AP and UPi
WASHINGTON-The Senate applied
the final seal yesterday to a 1982 budget
guideline totaling $695.4 billion, but
while the design is tailored skin-tight to
President Reagan's tax and spending
program he's likely to find the real
cloth much harder to cut.
"The president is extremely pleased
that the Congress has acted in record
time" said White House deputy press
secretary Larry Speakes after the
measure cleared its final hurdle by a
vote of 76 to 20 in the Republican-
coritrolled - Senate. Only two
Republicans joined with 18 Democrats
in opposition.
"WE TAKE this as an indication that
. they (Congress) mean business about
getting this country moving again,"
Speakes said.

Senate approves;
Dems gear for battle

The $695.5 billion compromise budget
orders congressional committees to
slash more than $35 billion from vir-
tually every area of government ac-
tivity except defense.
But passage of the compromise
merely means Congress now faces the
job of actually cutting individual
programs to fit the targets set by the
non-binding outline.
HOUSE SPEAKER Thomas O'Neill
Jr. (D-Mass.) has said Democrats "are
not going to roll over and play dead"

when it comes to cuts in specific
programs.
Meanwhile, the ad-
ministration-faced with a growing
congressional revolt-said its con-
troversial plan to save the Social
Security system from bankruptcy by
trimming benefits was negotiable.
Despite the effort at appeasement,
Health and Human Services Secretary
Richard Schweiker got into a shouting
match with several congressmen in
defending the administration's Social


Security plan.
REP. CLAUDE Pepper (D-Fla.), the
80-year-old chairman of the House
Select Committee on Aging and dean of
Congress, admonished Schweiker,
"You have chosen a solution that
violates the sacred word of our
president and our government and our
Congress to the people."
But Schweiker shot back that Pepper,
who has proposed a bill to pay 70 per-
cent of Medicare's cost out of general
revenues, was proposing "a solution
that takes $156 billion out of money we
don't have .. .Let's not kid ourselves.
There's no easy answer . . . or magic
wand."
Pepper rejoined, "You don't admit
you've compounded the mess?"
SCHWEIKER SAID there were 13
elements in Reagan's package "and
they're all negotiable .. . We're cer-
tainly reasonable men."
The Cabinet officer also clashed with
Rep. Don Bonker (D-Wash.) who said
the Senate vote Wednesday was a rejec-
tion of Reagan's approach.
"That's wrong, you're totally
wrong," said Schweiker, adding that he
had spoken to Sen. Bob Dole (R-Kan.),
the resolution's author.
Replied Bonker, "I just know what I
read in the Washington Post this mor-
ning."
"That may be your handicap," said
Schweiker.
"IN THE END, Mr. Secretary," said
Bonker, "that may be your handicap."
Schweiker, chief architect of the
Reagan package, told the committee
that the proposed cuts "are aimed at
resolving the most serious crisis in the
46-year history of the Social Securilty
system."
Under the proposal, an individual
who retires at age 62 instead of 65 would
receive only 55 percent of the full
retirement benefits instead of the
current 80 percent maximum. The plan
would take effect Jan. 1.
Speakes said a move by Democrats to
totally reject the president's proposals
was "a bit disturbing to us here at the
White House. We think Social Security
is far too important a matter to
degenerate into party bickering."

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IO hd Dly Photo by PAUt. NGSTM
Order of the courts nlPoobyAUbtiISM
STUDENTS FLOCKED to the tennis courts near the Central Campus Recreation Building yesterday afternoon to polish
up their serves and backhands beneath yesterday's bright sun.

Regents OK
fund plan for
renovation of
Union

By NANCY BILYEAU
The University Regents approved a plan yesterday
whereby $5.3 million of renovations to the Michigan
Union will be paid through a small increase in student
fees over the next 25 years.
Additional fees of $2.98 per student per term for the
first two years and $5.98 per student per term for the
remainder of the payment period will help finance
the extensive building-wide work slated to begin in
1982.
INCREASED SPACE for the University Cellar
bookstore, a campus information center, four
meeting rooms, and more lounge space are among
the additions planned.
Regent Deane Baker (R-Ann Arbor), arguing that
University Cellar does not deserve preferential
treatment, suggested that other bookstores be con-

sidered for the space now occupied by the University
Cellar.
"Can't we take competitive bids for better ser-
vice?" Baker asked, adding that he was skeptical of
the supposed "arms length" relationship between the
University and University Cellar.
IN THE PUBLIC comments session held later that
afternoon, three University professors protested the
LSA Executive Committee's recent approval of
discontinuance of the Geography department.
Geography department Chairman John Nystuen
stated that the worthiness of geography as a
discipline-and the effectiveness of the University's
department within that discipline-should count as
valid reasons for continuance.
According to Nystuen, the $200,000 administrators
See REGENTS, Page 6