The Michigan Daly

Ann Arbor, Michigan-Saturday, August 1, 1981

Ten Cents

Sixteen Pages


Congress
finalizes

spending cuts
From APandUPI But the Senate relented once it
WASHINGTON-Congress gave final became clear the House would pass the
approval yesterday to a massive reduc- budget cuts. The Senate then sent the
tion in government: spending, sending tax bill to a House-Senate conference.
President Reagan $35.2 billion in Republicans called the budget bill
revisions that carry out the initial half "historic." But Sen. Edward Kennedy
of his dramatic economic plan. (D-Mass.) said it will prove "a cruel
The action came less than six months hoax that produces suffering and har-
after Reagan first proposed to roll back dship for most Americans and windfalls
the domestic programs of the last 50 for a privileged few."
years.FIA THE SENATE voted 80-14 to pass the
THE FINAL votes by both the House budget, only about three hours after the
and Senate sent the landmark measure House acted.
to President Reagan for his signature. The House approved the budget
The package calls for slashes of $44 "reconciliation" bill by voice vote, but
billion in 1983, and $51.4 billion in.1984, only after voting 404-20 for a separate
for a total reduction of $130.5 billion bill that would restore the $122-a-month
over three years. See CONGRESS, Page 6
The House passed the legislation on a

Protecting the EPA
University law Prof. Joseph Sax, an environmental law expert, has voiced
concern the Reagan administration may undermine the Environmental
Protection Agency. See story, Page 3.

voice vote. Hours later, the Senate
followed by agreeing 80-14 to the
language worked out by a House-Senate
conference.
THE VOTE cleared the way for ap-
proval next week of the massive tax cut
package already given tentative ap-
proval by the House and Senate. The
Senate had been holding that thr,ee-
year, 25-percent tax cut hostage until
the House agreed to the spending cuts.

Among the cutbacks to be implemen-
ted in accordance with President
Reagan's budget are several in the area
of financial aid to college students. A
University financial aid officer was asked
what the changes would be. See story,
Page 6.

Budget woes
trigger more
cooperation
among state
universities

By BETH ROSENBERG and KEVIN TOTTIS
Daily staff writers
Daily News Ana'" sis
As Michigan's public colleges and universities
grapple with declining state subsidies, most will have
to carry out severe cutbacks and discontinue some
programs.
But because these institutions are part of a state
system of higher education that is autonomous and
decentralized, there's little guarantee that cuts won't
be made in the same academic programs at each in.
stitution, thus crippling the state-wide university
system.
DURING THE 1970s, Gov. William Milliken and
other state officials attempted unsuccessfully to
establish a much-needed central governing body for
Michigan's system of higher education to coordinate
education across the state. University officials op-
posed the plan because they feared bureaucracy and
increased politics in resource allocations.
As these same officials face state cutbacks now,
they are becoming increasingly responsive to the
concept of some sort of state control body.
"I think I'm hearing more receptiveness to this
idea (as a result of cutbacks) but we still don't have
active support," said Doug Smith, higher education

consultant to Milliken.
PRESIDENTS AND academic vice presidents of
state colleges and universities do meet to discuss
program planning in their respective universities,
but, for representatives of one university to suggest
changes for another campus.
"I don't think that (discussing programming) has
been all that successful," Smith said. "It's like the
fox watching the hen coop. You have one school
challenging another. It's not the best process."
Another problem with interaction between state
educational institutions, Smith said, is that represen-
tatives of smaller colleges, such as Saginaw Valley
State College, may feel- victimized by larger in-
stitutions which have greater clout with the
legislature.
PROF. MARVIN Peterson, director of the Univer-
sity's Center for the Study of Higher Education, said
that if state universities don't make plans to deal
together with the current crisis, the legislature and
governor will have to become more involved.
"Ultimately the rational decision is to make a
choice that certain institutions and departments
aren't needed and then close them," he said. "If
nobody will close these places, then they'll starve and
See BUDGET, Page 10

Baseball strike finally over

See story,
Page 16