2. Thursday, October 27,1977 University Daily Kansan Emploves excluded from Social Security tax WASHINGTON (AP)—The House voted yesterday against bringing more than six million government workers under Social Security, a change that would have reduced the stiff tax increases needed to save the system from gooing broke. The vote chime as the House considered amendments to a bill to bail Social Security out of its financial troubles by nearly 70 percent, an increase in American workers over the next 10 years. The bill would shift a greater portion of the tax burden to upper-income workers, but it would mean higher taxes for all 104 million Americans who pay into Social Security. The action on an amendment against bringing more workers into the system overruled the House Ways and Means Committee. Under the amended bill, the maximum Social Security tax would go up during the next decade from the present $965 per year to $2,982. With the new workers paying into the program, the maximum tax in 1987 would be $2.735 The amendment, by Rep Joseph L. Fisher, D-Va., calls for a two-year study of bringing the workers under the program. The study will include retirement plans and employees of state and Fisher and his supporters said it would be unfair to phase out separate pension plans on which workers have been basing their retirement plans. local governments and of nonprofit organizations may form independent plans. Fisher, who represents a district where numerous federal workers reside, expressed confidence that Congress would govern workers after the study. Opponents scoffed at this assertion, citing numerous studies dating from the 1930s recommending inclusion of government workers. Opponents of the Fisher amendment said no government workers would lose benefits under the committee-approved bill. They said the real reason for the heavy lobbying by groups of informal employees for the Fisher amendment is that the opportunity they have for double dipping. Double diapers collect two pensions. For example, a person can retire from a government job and then accept a job based on Social Security to qualify for a second pension. "The reason public employees don't want to come into Social Security is that they can get in anyway." Rep. Sam Gibbons, D-Fla., said. "A person can pay as little as $111 into Social Security during his lifetime and then collect $111 in benefits per month." Rep. J. P. Jickle, D-Tex., said that 100 million people would have to pay additional tax in order to appease a few million federal employees. Carter to support arms embargo workers, and benefit levels would continue to rise with the cost of living. Under similar legislation pending in the state, employers would pay higher taxes than the state employees. Under the bill, employers would make contributions equal to those of their one tax hike was proposed because of the financial troubles of the Social Security system. In recent years the system has been paying out more money in benefits than it has collected in taxes, and government and private experts say Social Security will be broke in several years unless changes are voted. WASHINGTON (AP) - President Jimmy Carter will support a U.N. embargo on arms sales to South Africa to demonstrate American distaste for mass arrests and the banning of black publications by the Preston government, it was learned earlier. U. S. Ambassador Andrew Young consulted with French, British, West German and Canadian diplomats yesterday in New York to frame a joint strategy within the Security Council to deal with the South Africa issue. The House Ways and Means Committee voted to make participation mandatory for more than six million employees of federal, state or local government and of nonprofit organizations. These workers are the last major groups not under Social Security. Experts say that without money the additional wage earners would pay into the system, taxes higher than those contained in the committee bill would be necessary. Young said earlier this year that sanctions on new investment for fixed periods might be an appropriate course of action against South Africa's policy of racial segregation. In his discussions he is exploring that kind of approach, but it has been viewed by ministries as not ready to support a massive assault on the South African economy. Last year American firms sold South America $1.35 billion worth of goods. U.S. U. S. ECONOMIC sanctions could have a more serious impact on Pretoria than support for a global arm embargo, because the war is South Africa's largest trading partner. THE COUNCIL is debating a request by African countries for a mandatory arms embargo and a resolution calling on all governments to halt new investment in them. arms have an investment of about $1.5 billion in the country. Carter is expected to discuss his South Africa decision at a news conference this afternoon. In the meantime, informed officials at the White House and State Department were instructed to guard against any leaks. THE UNITED STATES and Britain already observe virtually airlift arms embargoes of their own against South Africa. But some police equipment and other assets have been sent to old C130 transport planes, are sent to South Africa from the United States. France has been a prominent arms supplier for the African nation, but U.S. officials said they understood that country also is observing an embargo. A WORLD CONFRENZATION with South Africa has been building over the death last month of Biko, a black power leader, and the subsequent crackdown on blacks, their newspapers and white supporters. A final autopsy report concluded yesterday that the cause of Biko's death while he was in detention was extensive brain injury. to depend on South Africa to promote black rule in Rhodesia and in Namibia. That reliance could be severely tested by the application of sanctions. As a demonstration of displeasure, U.S. Ambassador William Bowdler was called back to Washington for consultation. date for his return to South Africa has been But even while it criticized South African apartheid, the administration has continued Tax increment... From page one downtown value, he said. The other three, one of which was Lawrence, had about an equivalent downtown value while the overall city value increased. Also in Lawrence, he said, the share of the city's business that was downtown was a little more than 20 per cent in 1980, but it had declined to less than 10 per cent by 1975. ONE STATISTIC that could adversely affect Lawrence's ease in improving its downtown area, Galloway said, was that 22 percent of businesses were living outside of the county, more than any other Kansas city compared in the study. Owners of downsland town who did not live in the county, he said, would be less comfortable to assimilate the improvement of their lots. Lawrence city officials are watching the progress of the Topeka court case, hoping that tax increment financing will be found constitutional and will be made available for use in Lawrence. Earlier this month, the Lawrence city commission appropriated up to $1,500 to the Department of Transportation. The commissioners have said that Lawrence could use the funding system to improve the 600 block of Massachusetts Street. They said that the improvement would probably follow the building of a city hall at the northeast corner of Sixth and Massachusetts streets. The city hall was approved Tuesday. Assistant City Attorney Leon Graves said the court case had a pretrial hearing Tuesday but only a few written briefs were presented. He said that another pretrial hearing would be set in about a month before the case could go to court. House, Senate ratify solar loans WASHINGTON (UPH) - House and Senate negotiators agreed yesterday on a $100 million program that offers low-interest loans to people who install solar energy devices at home, but killed a "vapooid" President Carter had proposed to save fuel. The negotiators predicted they would have the first section, or conservation segment, of the new energy bill virtually completed by tomorrow evening. The solar loan program approved by the House-Senate conference committee was designed to spur solar energy use in American homes by providing families with cut-tare financing of loans up to $8,000 for equipment and installation. "I think it $120 million well spent," said Pen, Pet Domenic, R-N-M. The conferences agreed on a five-year loan program to be handled by the Government National Mortgage Association, which would buy, insure and handle low-interest loans for installing solar heating panels or equipment to turn the sun's rays into energy. LOANS WOULD BE for up to 15 years at interest rates ranging from about 7.5 per cent to 12 per cent, with no penalty for early repayment. The maximum loan would be $8,000, less any tax taken for solar energy. Under other parts of the energy legislation. Energy legislation passed by the house did not provide for such loans. The Senate version would have allowed a family to get a mortgage loan or take a tax credit, but not both. in adopting the loan program compromise, House conferences agreed to a provision initiated by the Senate. But the Vampod program, the victory went to the House. share rides to and from work. Drivers of the vans were to collect operating expenses Under the vannpool program—one of the relatively few parts of Carter's energy plan which the full Senate supports—federal agencies must turn them over to federal bureaucracies to Conferences also approved a $75 million program to fit all federal buildings with energy saving equipment by 1990, agreed to a federal study of possible conservation improvements for recreational motor vehicles, boats and airplanes, and expanded mandatory energy use reporting for industries. SEEN. JOIN DURKIN, D-N,H., said it was an "asinine program" and suggested that Senate conferences give in to their House members to approve the program. His suggestion was adopted. the sharpest battle of the day was triggered by a Senate proposal that would overtown part of the Clean Air Act by prohibiting a governor from ordering, with the president's approval, that utility companies in his state burn local coal to keep miners at work. Final action was postponed until Thursday. Members of the committee postponed a choice between the Senate's $39 million program or the House's $68 million program to demonstrate solar electric cells. They also delayed decisions on how to make sure minority communities benefit from energy programs and on mandatory gasoline mileage standards for cars. SENATE AND HOUSE committee leaders predicted all but the mandatory auto fuel standards will be wrapped up Thursday. Ladies have one on "Bogie" all ladies receive one beer free Thursday, Oct. 27 207 W. 8th Special Purchase Reg. '21 to '28 Gotcha Covered Rose Hips JEANS $990 JEANS $990 JEANS $990 JEANS $990 JEANS $990 JEANS $990 THE ATTIC 921 Mass.