The Times Herald from Port Huron, Michigan • Page 1

nn 20' ai a First Edition Two newt sections, 24 pages Thursday, February 1 976 PORT HURON, MICHIGAN A Gannett Newspaper Inci, Yoowkb ffiyA Ofher recommendations Milliken's budget; tightest- in 10 years- Education Department by $1.8 million to $29.7 million. Junior and community colleges by 9.1 million to $98.2 million. Public Health Department by $3.1 million to $43.8 million. Mental Health Department by $7.87 million to $270.3 million. State Police by $5.38 million to $66.7 million.

Agriculture Department by $1 million to $13.1 million, Labor Department by 710,500 to $12.4 million. Licensing and Regulations Department by $484,000 to $5.6 million. Commerce Department by $192,000 to $44.9 million. Gov. Milliken's budget recommendations for other state agencies include the following: Judiciary by $1.2 million to $21.5 million.

Attorney general's office by $388,700 to $6.62 million. State Department by $2.75 million to $5.37 million. Treasury Department by $436,150 to $26.3 million. Department of Management and Budget by $2 million to $23.3 million. Civil Service Department by $26,000 to $4 million.

Civil Rights Department by $508,000 to $5.8 million. receive a $1,886 million boost for a total of $89.29 million only a 2 per cent jump, Wayne State University would receive a $1.35 million increase for a $71.3 million total, also only a 2 per cent over current spending. Milliken recommended a $15.9 million general fund reduction for state school aid. However, combined with an anticipated restricted revenue increase, Milliken said gross school aid funding will be up $62.3 million to about $1,421 billion. Milliken proposed extending the two-tier yield equalizing formula to guarantee a local district yield of $43.90 per pupil per mill on the first 20 mills levied and $39.60 on the millage levied between 20 and 28 mills.

closed by extending the current fiscal year from its June 30 expiration date to Sept. 30, and borrowing from the Veterans Trust Fund and the Motor Vehicle Accident Claims Fund. However, Rep. Dominic Jacobetti, D-Negaunee, House Appropriations Committee chairman, challenged Milliken's figures. Quoting Wes Bledling, House Fiscal Agency chief, Jacobetti said the state actually faces a $500 million deficit.

"The governor will have to come up with a revenue program to meet the deficit in the state," said Jacobetti. He said there has been a decline in business revenues without replacement money or new taxes. Under Milliken's proposal, the University of Michigan Ann Arbor which gets the largest portion of the state higher education money pie, is slated for a $1,479 million increase for a total of $108.1 million. That is a 1.4 per cent boost. U-M's Flint campus would get $5.8 million, up $591,648, and Its Dearborn campus would get $6.5 million, up only $255,600.

Michigan State University at East Lansing, which has the most students, would loss, Milliken's $3,275 billion spending program is a scant $100,000 over projected revenues for the 1976-1977 fiscal year. The state spends that amount in about 16 minutes. Milliken's recommendation for the Department of Social Services is $158 million above anticipated current spending the largest single dollar jump and an amount which exceeds the entire $129 million increase in Milliken's total adjusted general fund budget. If It were not for increased welfare, Milliken's overall budget would be reduced from current spending. Continued high unemployment and recent state takeover of county general assistance payments are the main reason given for the.

giant welfare jump from $1,025 billion to $1.18 billion. It does not mean welfare recipients will be able to buy more goods. The state general fund budget which the legislature spends as it chooses is augmented by about $3.6 billion in federal and restricted money, over which the legislature has no power. A $300 million deficit facing the state was partially erased, Milliken said, by approval of his order last year to cut state spending by about $123.7 million. The remaining gap, he said, can be LANSING (AP) Gov.

William MUM-ken today unveiled the tightest state general fund budget in more than a decade a 4.2 per cent increase to (3.159 billion. The dime-thin increase in current spending falls far below the projected inflation rate of 6 per cent to 7 per cent and will mean trimming programs or holding the line in a host of areas. "The development of a program and fiscal plan for this period has been more difficult than any other in my term of office," Milliken said in a message to the legislature. Colleges and universities were granted only an overall 1.5 per cent increase, which almost guarantees complaints from school administrators and widespread tuition increases. Milliken proposes "tuition aid" of about $5 million in the form of grants, scholarships and loans to needy students.

Milliken proposed returning $116 million additional to local governments as reimbursement for personal property tax money on inventories they lost when his single business tax became law. The money will go to local schools and community colleges, Milliken said. Counting the returned inventory tax in II rH Jkl Quake death foil reaches 2,000, may go higher Snow to end tonight Snow is expected to end tonight, the low is to oe in the low teens, Friday is to oe mostly cloudy with the high in me low zus. wore on Page 2A. World Doctor slowdown ends Southern California physicians pro testing malpractice insurance rate in creases have ended their 35-day slow down and said they would be back at worn today.

More on Page 7A. UAW accuses Chrysler The United Warkers Union has charged that Chrysler Corporation's agreement to buy engines from Volks wagen could mean the loss of thou sands of jobs for U.S. auto workers More on Page 8A. Domestic car sales up Sales of American-made autos rose 27 per cent last month over January 1975. Meanwhile, sales of foreign built makes fell 21 per cent in their poorest performance since 1969.

More on page 7A. 'Copter loaded for kill A helicopter crew is awaiting weather clearance before hpoinnino an assault on a huge roost of black- oiras in itemucKy. some million of me uuus are imesung me area, threatening the health of oersnns liv. ing there. The 'copter will spread a cnemicai aeiergeni wnicn win cause the birds to die of exDosure.

More on Page 7A. State likes new tax Michigan's single business tax is drawing interest in Europe, making state finance officials happy and bringing loud complaints from small businessmen. More on Page 5B. Gun law has no teeth Michigan State Attorney General Frank Kelly was In Port Huron Wednesday and told members of Ihe Optimist Club that the gun control law recently passed by the Michigan Legislature lacks teeth because there is no room to house prisoners if the law is enforced. More on Page 3A.

Local Kelley slams utilities Frank Kelley, Michigan State At torney General, says use of the fuel adjustment clause by Michigan utilities should be repealed. He states some utilities are unconcerned about the consumer cost of their products because the clause gives them no incentive to reduce costs. More on Page 3A. Planners back program The Community Service Council's human resources program received support from SL Clair County Metro politan Planning commissioners Wednesday. More on Page 3A.

Ice jams reported Heavy ice formations have formed recently on the Great Lakes due to the sub-zero temperatures. Problems are feared here in St. Clair River as well as other waterways in the state. More on Page 3A. Tax funds disputed Clay Township Treasurer Mark H.

Getman said he will withhold 12.700 in St. Clair County property taxes until a dispute with the county over that amount can be settled. He said St. Clair County owes Algonac School District and Clay Township $18,000. More on Page 3A.

Sports of not lumping Things were really lumping In De Iroit. It's a shame that the University of Detroit's basketball team wasn't More on page 4 B. It's up to owners Will baseball's owners, with two strikes against them, come out swinging? Or will they will give up their turn at bat so the real game can begin? More on page IB. Index Bridge KB Local Business 5B.7B Markets 12A (emlcs XB News Briefs Crossword 8B Obituaries IB District 4.5A People It A Editorials IA Sports MB Fashion A Television KB Horoscope Tnosteson 8B Landers HA Want Ads 1 11 Chuckle Girl at prfume counter: "Isn't there one that means 'Some other time? GUATEMALA CITY. Guatemala (AP) Aid poured into Guatemala today as the estimated death toll from the devastating earthquake Wednesday rose to more than 2,000.

"The 2,000 figure is conservative," said Col. Manuel Angel Ponce, head of the Emergency Rescue Committee. "We think it may be higher. "We are still receiving reports from the Interior of the country. Many areas are still without communication and we just do not know how serious the damage really Is." Officials said at least 3,000 others were injured in Guatemala.

The U.S. Embassy reported no American casualties although it was the height of the tourist season and damage In Guatemala City was heavy. Relief officials appealed for plasma, antibiotics and other medical supplies. The government also asked for tents, food, portable electric generators and earth-moving equipment to open roads. The earthquake struck shortly after 3 a.m.

Wednesday across 2,000 miles stretching from Mexico City south through the heart of Guatemala and into Honduras and El Salvador. The epicenter was located 30 miles southwest of Guatemala City between the villages of Siguinla and Iscuintla. Severe damage but no deaths were reported In Honduras near the Guatemalan border. There was less damage in El Salvador and very minor damage in some parts of southern Mexico. Aid poured Into Guatemala City through the international airport which remained open.

Mexico sent a delegation of relief specialists and began an airlift of supplies. The presidents of El Salvador and Honduras visited Guatemala City to coordi- Concerned about by prison overcrowding, Milliken proposed a 28.5 per cent Corrections Department increase, from $62 million to $79.8 million. He recommended $5.2 million of that to staff and operate 290 additional beds in existing institutions plus the 300-bed Ionia State Hospital, $1.9 million to improve inmate health care and $1.7 million to develop performance contracts with pro-bationsers and strengthen probation supervision. Milliken has slated the Department of Natural Resources for a $655,370 reduction to $29.6 million. The Department of Military Affairs lould get a 168,000 cutback to $5.1 million to reflect phasing out of the Vietnam Era Veterans Bonus program.

Marysville man survives earthquake Rick Simpson, 21, of Marysville, is one of 24 American student teachers who escaped injury in the Guatemalan earthquake Wednesday. Simpson's mother, Lois Simpson, of 1408 Twenty-second Marysville, said she received a phone call from another student's mother in Minnesota saying that all 24 student teachers were camping on a hill outside Guatemala City away from falling buildings. The private school at which the students were teaching was reported destroyed, as was the airport, Mrs. Simpson said. She said Rick was to have taught there until November.

He left Michigan Dec. 19, and teaches sixth grade. natc aid from their countries. The Red Cross in Nicaragua, Costa Rica, El Salvador and Honduras sent convoys of trucks and ambulances with trained disaster teams and relief supplies. The American Red Cross sent a disaster specialist to assess what was needed.

The Guatemalan government declared a state of emergency and concentrated all public services in the defense department. Warnings were Issued against looting, and a radio broadcast asked that no more bodies be brought to the morgue. "The morgue is full," It said. Col. Ponce said the death toll in Guatemala City was estimated at more than 300, but other reports said It might reach 500 to 600.

1, NT Margaret A. Woodward County treasurer 28 yean and several nieces and nephews. A brother, Thomas G. died July 10, 1972. Remains will be In Karrer Simpson Funeral Home after 7 p.m.

today. Funeral services will be held at II a.m. Saturday In Grace Episcopal Church. The Rev. Canon D.

Roy Lees, rector, will officiate. Gordon C. MacJennett, Harry E. Richards, William R. Mann, Charles L.

Shar-row, William O. Wastell and Dr. Frank A. Morrison will be active pallbearers St. Clair County officials will be honorary pallbearers.

Burial will be In Lakeside Cemetery. Memorials may be made to the Michigan Heart Fund and the Campfire Girls. QUAKE DAMAGE Family huddles in street In front of what was their home in Guatemala City. (UPI Photo) Concorde's problem -a flying while elephant? now have a year in which to sell seven more airplanes that are being built but so far have no buyers. In that year, the proponents must prove that at least in narrow operating costs leaving to one side the development costs and the purchase price Concorde can fly at a marginal profit.

It Is probably a totally unrealizable challenge. Neither Britain nor France has yet presented any public totalling of Concorde's cost, but development has certainly been in excess of $2 billion, and the price tag on each plane Is now probably around $60 million. Air France is purchasing four and British Airways has bought five, but the rest of the initial production run of 16 is yet to be sold. The Shah of Iran has made noises about buying two Concordes, but his other Investments in pushing Iran's economic expansion already are turning a healthy oil-rich balanceofpaymenls surplus into a deficit. It remains to be seen By DON COOK The Los Angeles Times PARIS Now that the Concorde has Its supersonic needle-nose under the American tent with limited landing rights on the East Coast for a 10-month trial period, its salesmen, manufacturers and operators will face the real problem of where does It fly from here? The decision by Transportation Secretary William T.

Coleman to let the Concorde land in the United States for restricted commercial operations has avoided an unholy trans-Atlantic row with France and Great Britain, which would have been like fighting the War of Independence upside down 200 years later. More than that, the decision has also precluded a situation in which the U.S. would forever have been accused of deliberately scuttling Concorde out of some pique because Britain and France built it but America didn't. Instead, Its Anglo-French proponents Margaret Woodward, county treasurer, dies whether even the oil-rich of the world can afford to go supersonic. If It turns out later this year that no airline in the world Is prepared to put up $60 million for the airplane, then the British and French governments are discussing the possibility of working out some lease arrangements although this would raise serious issues among the Birlines as well as among governments on the Issue of subsidies.

In the first two weeks of operation, with Air France flying to Rio de Janeiro via Dakar and British Airways flying non-stop to Bahrein in the Persian Gulf, passenger figures have not been bad but neither have they been overwhelmingly good. On the Rio route, with a capacity of 100 scats, Air France went out fully loaded only once after the Jan. 21 Inaugural. British Airways' load on Its last three flight has been 79, 46 and 39 to the Persian Gulf. None of this can be regarded as conclusive, and things may look a lot different on the high-density run to the U.S.

and back. But the Concorde thirst for jet fuel Is enormous, and the authoritative London Economist estimates that the run to Bahrein costs $17,000 and the Rio flight $35,000. In short, the Concorde's operational profit margin Is very narrow on 100 seats. As to future routes, British Airways and Air France will probably Jump in quickly within the next two or three weeks with a dally flight each to Dulles Airport near Washington. Getting Into John F.

Kennedy Airport in New York is yet another argument. Beyond that, Air France probably will have go trouble starting up a service to Caracas in Venezuela via the Azores sometime In April, but the British are a long way from achieving their hoped for Concorde route all the way to Melbourne. All of these problems must now be faced by the French and the British In stark commercial and political reality. As Coleman succinctly said In his ruling, if Concorde does now fall, "Its failure will be recognized as such rather than attributed to an arbitrary and protectionist attitude of the U.S. out of fear that our dominance of the world aeronautical manufacture is threatened." Margaret A.

Woodward, St. Clair County Treasurer for the past 28 years, died Wednesday in Port Huron Hospital after a short Illness. Miss Woodward, 70, lived at 1924 Stone St. with Beulah Hennlgar for 25 years. She was born April 18, 1905 In Battle Creek and lived in Port Huron 62 years.

She was a graduate of Port Huron High School and attended Port Huron Junior College. She began employment with St. Clair County In 1936 and, between 1944 and 1950, served as deputy treasurer under County Treasurer Walter P. Trelcaven. She was elected treasurer in 1950, as a Republican candidate and had been reelected continuously since.

Her affiliations Included membership In the Women's Business and Professional Club. She was active In Girl Scout work and was finance chairman of Campfire Girls. Miss Woodward was a member and past president of the State County Treasurers Association and was recording secretary and treasurer of the State Treasurers Association in 1959. She was supervisory chairman of the St. Clair County Credit Union and treasurer of the Michigan Inter-county Highway Commission.

She was also a member of the Tax Allocation Board and served on the County Employes Retirement Board. Miss Woodward Is survived by a sister, Mrs. Herman W. Copony, Marysville; two brothers, Francis H. (Brownie) Woodward, Harbor Beach and William J.

Woodward, Conroe, Concorde decision at glance Here Is a summary of Transportation Secretary William T. Coleman's announcement Wednesday allowing the supersonic transport Concorde to land in the U. 8.: Coleman ruled the aircraft could make two flights a day Into John F. Kennedy Airport In New York and one flight daily into Dulles International Airport near Washington during a 16-month trial period. The decision becomes effective March 4.

Air France said it could begin one flight a day to Washington then, while British Airways said It hoped to begin service in early summer. Coleman's decision was met with an Immediate lawsuit and a barrage of criticism from some members of Congress, many of whom said they would seek to overturn the order through legisla-ton because of the Concorde's noise on takeoff and landing and its alleged reduction of the protective layer of ozone around the earth. The federal government has authority over Dulles but the New York and New Jersey Port Authorty contends it has the final say over Kennedy. In his order, Coleman retained authorty to cancel the flights upon four months notice, or to cancel the flights Immedl-ately if he determines there Is an emergency deemed harmful to the health, welare or safety of the American people." The Concorde flies the Atlantic In Jty hours, compared with seven hours for conventional jets. The plane has room for 100 passengers.

Fares would cost 17 per cent more than for conventional jets, with a round trip on the New York run totaling $1,168 and $1,240 for the Washington trip..