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University Daily Kansan, January 14 1983
News Briefs From United Press International
Reagan resigned to deficit, considers increasing taxes
WASHINGTON — President Reagan is resigned to a towering federal deficit for 1983 and is considering emergency "long-term tax reform" to bring it under control in future years. White House chief of staff James Baker said yesterday.
"The president recognizes that a large deficit in the range of $150-200 billion is inevitable for the current fiscal year. 1983. The fiscal year is more than three months old already, so this deficit is 'baked into the cake', so to speak," Baker said in remarks prepared for delivery to the Commonwealth Club in San Francisco.
Baker's remarks, released by the White House, came as the president's chief spokesman said there was some truth to reports that Reagan is ready to propose freezing federal wages and raising taxes
Baker said that although Reagan remained firmly against new taxes, he was looking at a number of options in long-term tax reform.
New taxes must be a last resort, and only then if they are tied to spending restraint and only if they are restricted to the 'out years' when they will not threaten our hopes for recovery," Baker said.
Thai. Vietnamese forces clash again
BANGKOK, Thailand — Thai forces skirmished with Vietnamese troops along the Cambodian border for the second day yesterday, bringing to 10 the number of intruders killed, Thailand's Supreme Command reported.
The command said the fighting erupted Wednesday night when Thai marines and border patrol poles ran into a Vietnamese unit laying siege.
Thai casualties were not reported, but field sources said two Vietnamese also were taken prisoner.
Official Radio Thailand said the Vietnamese unit of about 100 soldiers was apparently chasing a unit of the Khmer Rouge guerrillas and was taken by the commander.
plying to build up communication. The Vietnamese opened fire and the Thai forces shot back, it said.
Natural gas costs to go to consumer
WASHINGTON — Skyrocketing天然气 prices will jump another 2.5 percent as a result of a Federal Energy Regulatory Commission ruling made yesterday that allows gas producers to pass on more of their costs to consumers.
In a series of orders, the five-member commission voted unanimously to allow "production-related costs" from the compressing and gathering of natural gas for pipeline transmisson to be passed on to pipeline companies.
The increase, although it technically confronts only pipeline companies, can be passed on to utility companies and ultimately to customers.
Residential and Commercial
Charles Moore, the commission's general counsel, said the average added cost to people who heat their homes with natural gas will be about $12 a year, an increase of about 2.5 percent.
Nominee against birth control laws
WASHINGTON — As a member of Congress, Margaret Heckler protested new government teen-age birth control rules that she would administer as President Reagan's health secretary, it was learned yesterday.
The eight-term Massachusetts Republican was among 30 members of the Congressional Caucus for Women's Issues who wrote officials last April urging them to drop proposed rules requiring federally funded clinics to tell parents when girls under 18 get birth control prescriptions.
Heckler could not be reached for comment on what she will do about the rules when she takes over from Richard Schweiker next month as secretary of Health and Human Services. President Reagan announced her nomination Wednesday and the Senate is expected to approve the
Health and Human Services Secretary Richard Schweiker recently sent the final rule to the budget office for approval.
Walesa may return to shipyard job
WARSAW, Poland — Solidarity leader Lech Walesa said yesterday that he wanted to return to the electrician's job he gave up to lead the free trade union movement.
Here it is again. "On Jan. 14 I shall go back to my work place in the Lenin shipyard of Gdansk to resume my work," Walesa said in a telephone interview from his Gdansk apartment.
Walesa said he was never fired from the shipyard where he worked as an electrician, although he was interned for 11 months after martial law was declared in December 1981.
Pressure from the workers' strike committee forced the management of the shipyard to reinstate Wales, after he was fired for his operation of the tiny group of free trade unions which later became Solidarity.
Walesa said he would report to the management for work before noon today, but added that he was not sure whether he would be allowed to take up his old job.
Enviromentalists sue to stop Watt
WASHINGTON — Six environmental groups opened a major court battle yesterday to stop Interior Secretary James Watt from eliminating wilderness protection for 300,000 acres of lands in the West.
Calling Watt a "20th century Wild West outlaw," the coalition announced the filing of a suit in federal court in California challenging the Interior Department's Dec. 27 decision to remove the lands from consideration as part of the 80-million-acre wilderness system.
commemorations in particular.
"We have a rich tradition of 19th century outlaws in the Wild West. Now we have a 20th century Wild West outlaw. James Watt," said William Turnage of the Wilderness Society.
The environmental coalition filing suit against Watt includes The Wilderness Society, Sierra Club, National Aububon Society, National Wildlife Federation, Natural Resources Defense Council and the Environmental Defense Fund.
Parole denied for Manson disciple
SAN LUIS OEISPO, Calif. — Charles "Tex" Watson, a former disciple of Charles Manson, was denied parole yesterday by officials who described the Sharon Tate-Lenzo LaBianca murder case as a "search-and-destroy mission" against innocent people.
Watson is serving a life sentence for murdering seven people in a two-day rampage in August 1969 at the homes of actresses Tate and LaBianca.
Following a three-hour hearing at the California Men's Colony, the three-member board voted unanimously to reject Watson's fifth plea for freedom. The convict, who became a born-again Christian in prison, will be considered again for parole in three years.
The parole board has noted in the past that the seven victims were stabbed 156 times and that Watson was responsible for 90 percent of the wounds.
Shultz to play chief role in arms control
By United Press International
WASHINGTON — President Reagan yesterday gave Secretary of State George Shultz the key role in setting U.S. arms control policy, ending a long-running straining between the State Department and Pentagon hard-liners.
director of the agency, has been named acting director, but Reagan asked Shulz's principal deputy, Kenneth Dunn, to investigate the guidance," the secretary of state said.
"The president is determined that there should be no gap, no matter how short, in the leadership of the Arms and Disarmament Agency," Shultz said.
president Reagan fired agency director Eugene Rostow Wednesday without public explanation by either Rostow or White House officials.
Shultz refused to comment on the reasons for the firing and stressed, instead, the continuity in the U.S. that allows arms reduction talks with the Soviets.
Shultz said Reagan would remain in charge "—he's the boss" — and the policy would remain to "pursue arms control and assertive verification and affective verification."
JAMES GEORGE, 43, an assistant
But, Shultz said, he and Dam will supply the daily policy guidance.
meeting and reporting directly to Shultz. A former provost at University of Chicago, where Shultz taught, he collaborated with Shultz on a 2014 on economics and is regarded as Shultz's alter ego.
Shultz cited several sections of the law in which the agency was instructed to make policy recommendations on arms control to the president and
Under the new arms control lineup:
• Shuitz, who has gradually taken charge of the entire range of foreign policy, will be the overall coordinator of arms control policy as we predecessors Henry Kissinger and Cyrus Vance.
- Dam will oversee policy on a daily basis, presiding over a daily policy
- George, a former Senate staff aide and now assistant director of the agency for multilateral affairs, will become caretaker director pending Senate confirmation of Deputy Homeland Security Director as director and David Emery, a former Republican congressman from Maine as deputy director.
- William Clark, the president's adviser for national security, will act as a coordinator rather than a policymaker.
THE CHIEF losers in the shake-up,
besides Rostow, appear to be two
Pentagon hard-liners.
of the arms control agency in the Ford administration, and Richard Perle, an assistant secretary of defense who has been a Senate staff aide.
They are Fred Ike, an under-
secretary of defense who was director
The senate source said Ikle and Perle, with help from right-wing senators, were insisting on a U.S. policy that amounted to unilateral Soviet disarmament and would never permit a compromise agreement.
They frequently; came into direct conflict with Rostow, officials said.
The administration had received warnings from West European politicians that the battle between hardliners and softliners over the U.S. negotiating policy was politically costly to the United States and to friendly governments in West Germany and Great Britain.
The new alignment meant Rostov, who had been pushing for a more independent role for his reagan, the Reagan administration's plans.
Carlin to propose severance tax Monday
By United Press International
TOPEKA - Aides for Gov. John Carlin confirmed yesterday that he would propose a 7 percent severance tax on the production of oil and natural gas and a 4 percent processing tax on natural gas liquids.
Details of the taxes, expected to raise $138.5 million annually, will be presented Monday at a joint session of the Kansas Legislature as part of the county's budget and legislative message, said Bill Coch, Carlin's staff.
Mike Swenson, Carlin's press secretary, said the two taxes would represent the amount of money Carlin thought was needed to generate money for 'a meaningful highway program' or 'a greater education to offset property taxes.
Hoch said royalty owners and oil wells producing two or fewer barrels a day would be exempt from the proposed tax. Royalty owners also were exempt under the proposals Carlin had made to the state government years ago legislative leaders have suggested that royalty owners be included to avoid unfair taxation.
THE PRODUCTION and processing taxes will be submitted to legislators under two separate bills because of potential constitutional pitfalls that could arise if they were combined, Hoch said.
The severance tax proposals Carlin made in the last two years failed in the Legislature, and the current natural gas tax proposals are sure to receive heated resistance. But Hoch said Carlin's re-election in November was a message to legislators that voters supported the severance tax.
Svenson said the governor would consider an increase in state sales and
income taxes as part of a tax package, but his chief priority is passage of a severance tax.
"When the Legislature sees the budget, they'll see the 7 percent is meaningful and justified," he said.
WHEN THE severance tax was proposed initially in 1981, Carlin sought an 8 percent tax, and in 1982 be asked for a 5 percent tax. This year's proposed tax would be in addition to the tax already paid by the oil and gas industry, bringing the total tax on the industry to 11 percent.
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