University Dally Kansan Thursday, July 14, 1977 5 on oots sual Bennett defends energy plan,chides Berman TOPEKA (AP)—Gov. Robert Bennett answered criticism yesterday of the state's new energy plan, calling it well thought-out and declaring it could serve as a guideline for state efforts to conserve energy in the future. The Republican governor also chided State Sen. Arnold Berman, D-Lawrence, who has been the plan's most severe critic, saying that if everything Berman wanted were passed into law, "We'd be in a hell of a shape." Berman led an attack on the recently completed plan during a legislative interim committee meeting here Tuesday. He said it was ill-conceived and apparently had been thrown together just to fulfill federal mandates thatunasas could receive federal grant money. "I can say it was far from hastily prepared," Bennett said of the plan, drafted by Kansas State University researchers and a university administrator, and now under review by federal officials. "I think it was a well thought-out plan to respond to some federal mandates and to give us a plan to work on for the future," the governor said. Bennett also said he would not decide what recommendations to make to the 1978 legislature regarding an increased state tax on so-called "gas guzzer" cars until after a study was completed. The idea of such a state tax to encourage the purchase of cars with more efficient engines was submitted earlier this week to a legislative interim committee by Lyle Goltz, assistant director of the state Energy Office. Goltz said it was one of the proposals under consideration by the Bennett administration as a response to the energy crisis. However, Bennett said that no study had be made of the effect and potential gasoline savings under such a plan, and until such a study was made and he had or did not learn that whether he would support it. Bennett said the Energy Office and persons at Kansas State University who helped to develop the state energy plan now are more aware of the need for investment would do the gas guzzer tax study. Bennett also said he supported the Kansas Corporation Commission's appeal of a Federal Power Commission order that changes natural gas priorities for Shortage of insulation materials is predicted The demand for insulation has been so great that many contractors have had to be allocated limited amounts of insulation materials. In some areas of the state There will probably be a shortage of insulation materials this fall because of last winter's cold weather, rising natural gas prices and President Jimmy Carter's plan for energy conservation, according to area insulation contractors and suppliers. "It's a tremendous problem as far as supply versus demand is concerned," Phil Bacon, midwest regional salesman for Certain-Teed Products Corp. in Kansas City, Mo., said yesterday. "All plants are producing at maximum capacity." Insulation experts said do-it-yourselfers were in better shape because the insulation materials they used—mainly batten and rolled fiberglass—were readily available. customers have been put on waiting lists for materials. The demand for insulation materials has its own unique purpose because of government incentives. The House Usually, the insulation market peaks in the fall, when interior reinsulation of buildings, homes and assembly plants is done. Because of the early demand during the spring and summer months, insulation manufacturers have been unable to keep up with the high demand. "I think we ought to vigorously oppose it." Reenned said. Committee recently approved a tax credit of 20 per cent of the first $2,000 spent on home insulation purchased after April 20, 1977. customers supplied by Cities Service Gas Co. and prohibits any new hookups Jim Bighs, owner of the Kansas Home Insulation Co. Inc., in Kansas City, Kan., said that from 50 to 100 per cent more insulation is being used in newly constructed homes. Although the Federal Housing Administration sets standards for the amount of money a homeowner can borrow, "There's been a complete change in consumer awareness," Biggs said. "Before, consumers never used to care, but now they're using a lot of it." have said that consumers have been exceeding the standard. He also said he agreed with Robert Robel, acting state energy officer, who told a legislative committee Tuesday that the governor should accept the seriousness of the energy crisis. Recently, the Kansas Corporation Commission set insulation standards for Kansas, effective Nov. 1. The standards specify that homes must be constructed so heat loss doesn't exceed 35 BTUs per square foot per hour. Officials at Johns-Mansville, in Kansas City, Mo., said that an increase of about 35 per cent in the demand for retrofitting also put a strain on the supply of insulation materials. Retrofitting insulation is the method of existing homes and buildings. WASHINGTON (AP)—An American military helicopter carrying four crewmen went down north of the demarcation line separating North and South Korea, the White House announced early today. Three crewmen were reported killed. U.S. helicopter downed in North Korea While Press Secretary Jody Powell said he was uncertain of the fate of the crewmen aboard the Chinko cargo craft, other U.S. sources said a beeper signal was heard indicating that at least one crew member had survived. U. S. authorities in Seoul immediately requested a meeting with North Korean representatives, Powell said. The spokesman said any penetration of North Korean airspace would have been unintentional. plane went down north of the two-and-a-half-mile DMZ and along the coast. "We are deeply concerned about this incident, and we are requesting a prompt explanation from North Korean authorities." Powell said. President Jimmy Carter was informed or the incident while attending post-dinner reception at the White House Situation Room to consult with Secretary of State Cyrus Vance, national security adviser Zhigun Breszewik and Defense Secretary Harold Koehler. Insulation labor strikes in the Johns Manville and the Certain-Teed companies also have burdened the market, a Johns Manville official said. But Bennett said this was true of people all over the nation and could be chalked up to some extent. Powell told reporters at an unusual post-midnight briefing following a state dinner for visiting West German Chancellor Helmut Schmidt that the helicopter went down north of the demarcation line. But he said it was not clear whether it was down within the northern portion of the island or actually over North Korean territory. believe the helicopter was armed and that the mission did not appear to be related to terrorism. The spokesman said that he did not He said the helicopter was flying in upper South Korea and carrying a cargo plane. At his subsequent briefing, he said the United States had requested that North Korea give every consideration to any surviving crewmen. An an earlier meeting with reporters, posed said, "One would assume it was out on Sunday." The incident occurred at 10:20 p.m. Lawrence time. Officials from John-Mansville said their board of directors had just approved a $200 million expenditure for four years to build a new plant to double fiberglass production Bacon said certain-Treeed was also building new insulation plant facilities in the area. Although there's been a surge in the demand for insulation, officials said there would be little change in the price of insulation materials. Bennett also said his virtual moratorium on any new state construction next fiscal year, which was made public Monday in a memorandum to state agency heads, would not apply to his proposal to build a new state security prison. Other qualified U.S. sources said the However, Bacon said he did forsee higher prices in insulation materials because of increases in the price of fuel and labor. Bennett said his current inspection tour of state nursing homes would lead to some proposed changes in state law, which he will submit, to the 1978 legislative session. The governor also said that Tuesday's strong endorsement by Robert Raines, corrections secretary, of the concept of a new prison system and facilities represented no change in thinking within his administration. But, he said, the new prison remains the first priority because the state must alleviate theiling of its present penal institutions. He also said state officials could see mark improvement in many homes since the gas crisis. Bennett, who visited nursing homes in Lawrence last week and in Hutchinson and Fremont, said that he reinforced his feeling that Kansas must do more in the area of home care for the elderly. He said he would have more discussions for the next session in that regard. THE UNIVERSITY DAILY KANSAN Editor Business Manager Julie Williams Larry Kelley Carter's aim is to raise the price of gasoline and other petroleum products in an effort to forest conservation. It is estimated that this tax would result in an increase of 20 percent in the price of the petroleum gasoline by 1980, and roughly the same increase in home-heating oil. The committee did agree to extend the four-cent tax through Oct. 1, 1985. Otherwise, it would drop to 1.5 cents on Oct. 1, 1979. The section of the bill with potentially the most far-reaching effects would gradually, over the three years, raise the price of U.S. production to the world market level. U.S. production now averages about $8.35 per bar; the world price averages $13.50. However, the bulk of the money collected by this tax would be returned across the board through the income tax system. The committee voted for a rebate on only the first year's collections—meaning about 80% of it would be deducted and generally assumed the rebate would be renewed for subsequent years that the tax is in effect. The committee voted a special benefit to persons who heat their homes with oil. This provision, worth about $80 a year to a typical family with oil heat, would serve to prevent increases in heating oil prices as a result of the tax. The vote sends the bill to the special House energy committee. There, it will be merged with one being written by the House Committee. The bill would federal policy on oil and gas price controls. Carter wanted authority for a standy tax of up to 50 cents per gallon, which would be imposed in five-cent stages unless conservation goals are met. Rabbit LEAPS FROM 0-50 IN ONLY 8.2 SECONDS. Bob Hopkins' Volkswagen Inc. 2362 IOWA The committee made several changes that reduced the saving in the Carter bill, but it was generally agreed the Carter bill would have little effect on the energy-saving potential of its package. WASHINGTON (AP) - The House Ways and Means Committee gave final approval to a bill that would extend the veterans program, which includes higher prices for fuel and for gas-guzzling cars. Committee okays energy-tax plan Committee technicians estimated the bill would save 2.8 million barrels of oil per day by 1855, considerably below the 4.7 million-barrel saving Carter had proposed.