thursday, november 6, 1975 volume 99 number 42 lincoln, nebraska Exemptions in budget cuts rejected by Legislature By Dick Pkrsol The Legislature voted 24-23 Wednesday not to exempt several state agencies, in cluding NU, from Gov. J. James Exon's proposed three per cent budget cut. The across-the-board budget reduction for this fiscal year also survived a kill attempt by Omaha Sen. Ernest Chambers by a vote of 8-30. Exon called the Legislature into special session last month to deal with a cash flow problem in the state treasury expected in January. The agency exemptions to LB6 were contained in an amendment introduced by Sen. Loran Schmit of Bellwood, which required a majority of 25 senators for passage. Tax Increase Sen. Frank Lewis of Bellevue, in sup port of the amendment, said the issue would have been better handled by raising taxes, but the only alternative left was to cut the budget selectively. "We've got the human services taken out of the bill and the agencies which can stand the cut left in" he said. Hastings Sen. Richard Marvel, arguing against exemptions from LB6, said, "The key to the survival of this country is au sterity. We are accused of being cheap. But look at the increases in expenditures of every agency-including the whole univer sity system- we've allowed over the years. "We're being painted into a corner by departments telling their clients we're cheap. They want their budgets without question and without review of increased budget requests." Warner arguments Sen. Jerome Warner of Waverly, also ar guing against the exemptions, said, "I come from an area where, in 1972, we had heavy agricultural losses because of a wet harvest season; in 1973 we suffered losses in live stock; in 1974 we had severe drouth and that continued with less severity in 1975, The prospects for 1976 are bad." Warner said paring the appropriations would be harder than raising taxes, but hard times demand reductions even when they hurt. Schmit, waving his legislative expense check, said that most senators "are gonnji trot down to the bank and cash them today for fear there won't be any money to cover them tomorrow. "There isn't room on the Exon band wagon for 49 taildraggers. If we were here to do the smart thing politically, we should cut the budget six per cent and outdo the governor, but we're not here to be popular." Question divided The senators also voted to divide the question of exemptions and consider Lewis's proposal not to cut the regional state mental retardation offices' budgets separately. Sen. Ernest Chambers of Omaha, ar guing to kill LB6 entirely, said the bill would not get the two-thirds majority (33 votes) necessary to pass it with an emer gency clause, making it effective immedi ately. "Courage has not been manifested by this body," he said. 'The governor tried to intimidate the Appropriations Committee by saying they were gutless. He says there's the hoop, now jump-and we jump. Not we-ye. I'm not going to jump. You don't have the courage to take an unequivocal position." Lewis opposed Lewis opposed the motion to kill LB6. "If the legislature won't vote to raise taxes, then the only alternative is to support LB6 and cut the budget three per cent across the board," he said. "Revenue and expenditures have to match." The senators rejected 25-14 another attempt by Lewis to amend LB4 to set the state income tax rate at 14 per cent. LB4 also contains an amendment by 7 L i Hit 7 - T J'rT - - " ts w , 1 i . if J Photo by Tad Ktrfc Sen. Frank Lewis, Bellevue, was on the losing side when he spoke in favor of an amendment exempting certain agencies, including NU, from a proposed three per cent state budget cut. Sen. Jules Burbach of Crofton to lower the state overlevy cushion to three per cent from the current five per cent and require the Board of Equalization to consider express obligations when setting tax rates. Exon's original version wanted to elim inate the cushion and ignore express obliga tions for tax rate setting purposes. Express obligations are those financial commit ments known more than one fiscal year in advance of their appropriation. Alternatives rejected The Legislature rejected two alternatives to Burbach 's amendment Wednesday. One, introduced by Springfield Sen. Orval Keyes, would have eliminated the general fund overlevy cushion in accordance with Exon's original plan. The other, introduced by Omaha Sen. John Cavanaugh, would have provided a one per cent cushion. LB4 and LB3, which would set up a system of payments to political sub division relieving the state's cash flow pres sures, were advanced to enrollment and re view on their way to final reading. LB6 is still on general file and still may be amended. The roll call vote to exempt certain agencies including the University of Nebraska from a 3 per cent-state budget cut was as follows: For: Anderson, Barnett, Bereuter, Cavanaugh, Chambers, Cope, DeCamp, FitigeraM, Fowler, Goodrich, Johnson. F. Law is, Luedtke, Mahoney, Marsh, Mills, Moylan, Rumery. Savage, Sdtmlt, Simpson. Stall, Swigart, Syas. Against: Burbach, Burrows. Cars tun, Clark, Dickinson, Duis, Oworak, George, Hasebroock, Kelly, Kennedy. Keyes. Kime, Kramer, R. Lewis, Maresh, Marvel. Murphy, Nichol, Rasmussen, Warner, Wiltse. Not Voting: Koch and Skarda. School's move may raise welfare agencies' costs By Barbara Lutz Changes in staff loads and personnel hir ing and a possible welfare cost increase all may result from the planned move of the UNL School of Social Work to Omaha, according to officials from several state social welfare agencies. Threatened by loss of accreditation, all graduate and undergraduate programs at UNL will be phased out within two years. Five hundred students currently are enrolled in the NU school, with about half of them attending classes on the UNL campus, according to the social work office. In past years, area social service agencies have benefited from the services ot under- Work and in return have provided practi cum experience for the students. However, if the school moves to Omaha, area agen cies will have to go outside the city to hire employes and must do without the services of volunteer students. Volunteers diminish Albert Schrekinger, a retired UNL pro fessor and member of the Lancaster Coun ty Public Welfare Advisory Council, said Omaha wfll have the "first call for under graduates." Because there no longer will be students available, in Lincoln for employment, agen cies will have "to attract people who don't live here. We will have to compete, with ... tUm rxrxl f Cmll oVir ritim hf taiA Because of this, agencies may have to offer higher salaries to make the job attractive, Schrenkinger said. This is the reason the cost may rise, he said. The Advisory Council's 21 members are a mix of allied agencies, concerned citi zens and welfare consumers (clients), Schrekinger said. Appointed by the Lan caster County Board, the members advise the county welfare director on policies and programs, but they have little power. Virginia Overcash, a council member, said members are "very distressed" at the plans to move the school to Omaha be cause of the expected lack of students for social work. Spokesmen for private social welfare agencies refused to speculate on what monetary effect the probable move will have. Don Williamson, assistant to the direc tor of the Lancaster County Public Wel fare Agency, said if the undergraduate program is dropped it will feel "reper cussions" in the form of fewer applicants for jobs from students in social work. "These are the ones we look for because they are mors effective welfare workers," Williamson said. Applications are taken from students in other majors such as business admin istration, but those who have an interest in social welfare are better qualified, he said. Continued on p.8 , inside On the increase: The number of courses offered by 'e State University of Nebraska (SUN), p.5 On the run: Members of UNL's Tau Kappa Epsilon fraternity p. 10 Also Find: Editorials p.4 Arts and Entertainment p.9 Sports p.10 Crossword Puzzle p. 12 Short Stuff p.12 Weather Thursday: Decreasing cloudiness and mild. High temperatures in the upper 70s. South to southwest winds ranging from five to 15 m.pJh Thursday night: Partly cloudy with temperatures in the low to mid-40s. Friday: Temperatures in the low 70s. Regents to meet Friday morning Pershing, tenure decisions expected By Theresa Forsman The NU Board of Regents will be asked Friday to approve a recommendation that the University of Nebraska Foundation liquidate its interests in the Pershing College property. The resolution states that under existing law the board cannot accept the title to Pershing College nor can it deed the property to Southeast Technical Community College without the Legislature's consent. The Board will meet Friday at 8 a.m. in Regents Hall, 3835 Holdrege St. The regents also are expected to act on a tenure density report, presented at their October meeting, which was prepared by Steven Sample, NU vice president. Sample has recommended a review of existing tenure requirements and has suggested that tenure approvals be distinct from departmental promotions or raises. He was asked to prepare the report last April when the regents became concerned that the proportion of tenured UNL professors (approximately 70 per cent) might be too high. The board will be asked to approve appointment of Brian Blouet as chairman of UNL's Geography Dept. to become effective Aug. 23, 1976. Blouet would succeed Richard E, Lonsdale, who has asked to be relieved of the post and return to teaching and research. Capital construction budget A request by the State Department of Administrative Services that the board review priorities of its capital construction budget also is slated for Friday's meeting. In his letter to the board, John Jacobson, state budget administrator, said Gov. J. James Exon asked the board to review the $114 million capital construction budget approved and submit- ted to the state in September. Jacobson said that only the construction list's most critical items will be approved and that first priority will go to repair, renovation and preventive maintenance of buildings in use. Tho regents will hear a report on pending litigation, including a suit being filed in District Court which attempts to define limits of the board's authority. Other items on the regents agenda include: -Authorization of the expenditures up to $317,000 from revenue bonds to make alterations and improvements in UNL residence halls, the Nebraska Union and the University Health Center. Approval of architectural program statements for renovating the Agricultural Engineering Bdg. and Love Library and for remodeling Bessey Hall.