St. Louis Post-Dispatch from St. Louis, Missouri • Page 1

On Today's Editorial Page Shrinking Th Safety Net Editorial Bipartisan Retreat On Clean Air Editorial T.LOU Comics PD Magazine "Parade" Magazine Television News Section 6 Pages 24 Pages 24 Pages 68 Pages 16 Pages Vol. 104, No. 9 Caprrigfcl IW2. St lmU Paaa-DfepMrk SUNDAY, JANUARY 1982 Pages 75V POST 0 spfircH Plain Seeking Big Excise-Tax Hike Reported Tax-Exempt Status Granted To Racially Biased Schools WASHINGTON (AP) President Ronald Reagan, under increasing pressure to hold down the 1983 federal deficit, is agreeing to double the federal excise taxes on tobacco, liquor and gasoline and shift major highway, welfare and education responsibilities to the states, administration sources say. The sources, who asked not to be identified, said Friday that some of the revenue from the new taxes would be used to help states meet their added responsibilities.

Although they refused to give further details, the sources said the decisions were made Friday during meetings between Reagan and his economic advisers and were designed to hold down the deficit in 1983. After the private meeting Friday, White House spokesman Larry Speakes refused to discuss the session. "We're not going to conduct the president's decision-making in a fishbowl," he said. of tax increase. These sources, who asked not to be identified, said that with the exception of Rep.

Jack Kemp, virtually all Republican leaders of the House believe that it is essential that Reagan increase government revenue. Treasury estimates earlier this year said a doubling of the three major excise levies would yield an additional $5.4 billion annually by 1984. A doubling would put the federal excise tax on gasoline at 8 cents a gallon, on cigarettes at 16 cents a pack, on wine at 34 cents a gallon, on beer at $18 a barrel and on liquor at $21 per gallon. In addition to the increase in the excise taxes, other revenue-raising proposals considered include some form of minimum income tax on individuals and corporations. Delaying the 10 percent tax cut scheduled for July 1 is not among the possibilities, the sources said.

At the White House, meanwhile, Reagan advisers all support raising at least $10 billion in new taxes for 1983. The administration also is considering a plan to dispose of relatively small plots of federal land in urban areas. That could raise $2 billion in 1983 and 1984. Also under consideration is a plan to sell federal timber to raise $3 billion over two years. Sources said large sums of money could be raised through other, similar plans, but no details were provided.

In addition, Reagan was reported reconsidering a plan to limit annual cost-of-living increases for benefit programs such as pensions and food stamps. Social Security would be exempt from the change, which Reagan originally reviewed last fall. The changes include either delaying the increases or scaling them back in size. Sources said the savings could amount to as much as $6 billion in the next fiscal year. Reagan already has settled on about $31 billion in cuts in domestic programs and a big increase in funds for the Pentagon in his 1983 budget.

But without tax increases, the result would be a deficit that officials estimate at nearly $110 billion, a level that is intolerable to administration officials and congressional Republicans. "There's a consensus on the need to narrow the deficit. We are committed and the president is committed to doing so," said Rep. Thomas B. Evans R-Del.

He said narrowing the deficit would require a balanced approach to the budget, and "that means looking at revenues and expenditures." Evans and a group of House Republican leaders are expected to meet with Reagan at the White House on Monday. Sources said they likely would urge the president to re-examine the proposed $215 billion defense budget for 1983 as well as to adopt some form Later, a Justice Department spokesman said his department was restoring tax-exempt status immediately to the schools in the cases Bob Jones University of Greenville, S.C., and Goldsboro Christian Schools of Goldsboro, N.C. and would process applications from the rest of the schools that have been denied tax exemptions because of racial discrimination. Bob Jones University forbids Interracial dating and interracial See SCHOOLS, Page 2 WBi ill 7 2 Compiled From New Service WASHINGTON The Reagan administration has restored tax-exempt status to more than 100 private schools that practice racial discrimination, reversing a policy instituted in the Nixon administration. First word of the policy switch came when Justice Department attorneys representing the Internal Revenue Service told the Supreme Court on Friday that the agency is willing to concede two pending cases in which the policy is under attack.

and appropriate, and we stand ready to meet anywhere, anytime." Ford Chairman Philip Caldwell agreed, saying, "We all know that we have major problems in this industry, and they're not going to be resolved unless we can sit down and talk about it and work out the issues together." The first round of negotiations will begin Monday in Detroit and will last until Jan. 23, when bargainers will report to the councils at meetings in Washington. The vote by Ford representatives was 97 percent in favor of the resolution. GM delegates adopted the resolution by a 75 percent margin. UAW President Douglas Fraser AD eSfo.

mgxtv-. Blow The Man Down The operator of a tow truck high winds while cleaning up trailer on a highway near Fontana, Calif. The winds, gusting up to 80 mph, blew over several vehicles on the highway. AW Talks With GM, Ford Survival Motorist's SOS Catches Eye Of Passenger In Jet bare'y making headway walking into debris Thursday from an overturned Historic Compiled From New Service CHICAGO In a historic move, United Auto Workers negotiators will sit down Monday with representatives from General Motors and Ford Motor Co. to begin renegotiating their contracts seven months earlier than usual.

The union's 225-member Ford Council joined the 330-member GM Council on Friday in going along with UAW leaders' request to start collective bargaining immediately with the automakers. "It is time for innovative action," the resolution read. J'Therefore, this GM Council authorizes the negotiating committee to start co'ctive Poles Plead For End Of Repression Compiled From New Service Prominent Polish cultural figures and intellectuals addressed an appeal to martial law chief Gen. Wojciech Jaruzelski warning of possible tragedy and further bloodshed unless martial law is lifted, reports from Poland said. The appeal to Jaruzelski being distributed in Warsaw on Friday said "the introduction of martial law was aimed at depriving society of its voice and subjugating the nation to military dictatorship." "History proves, however, that the Polish nation will not submit to such a fate, that following a short period of apparent peace, a struggle for freedom will erupt with renewed strength," it said.

In order to avoid "further tragic events" it outlined eight steps. Among them were freedom for internees, a guarantee of full civil rights, abolishment of summary court procedures against those accused of violating martial law and nullification of verdicts already handed down under those procedures. It also called for a halt to mass firing for union activity and cessation of official demands that Poles sign loyalty oaths. Those who signed the document were Wanda Wilkomirska, a leading violinist; the Rev. Jan Zieja, a chaplain who served in Poland's underground See POLAND, Page 2 refused to predict the outcome of the discussions with the automakers.

"We're not willing to commit ourselves to any proposal before we begin negotiations," he said. Fraser said job security will be the top issue at both Ford and General Motors. More than 200,000 workers are on indefinite layoff at the auto companies and an additional 60,000 are temporarily without jobs. In addition, auto industry losses are expected to hit $1.5 billion this year. Automakers say they cannot afford to pay labor costs and contend that American labor costs are $8 to $10 per hour above those of Japanese workers.

tape recorded. No money exchanged hands, however, officials said. Meyer said Coll and Whiteley reported the bribery attempt to the Police Department's Bureau of Internal Affairs, which investigated the charge. Police officials in turn contacted the circuit attorney's office. Wallace and Haley were told of the allegation Dec.

6, and Wallace was suspended from the force that day, police officials said. Haley remained on duty, but was transferred to another district, sources said. Bird, of the 7100 block of Southwest See OFFICERS, Page 1 Very Cold DRRRR! Official forecast for St. Louis and vicinity: Partly cloudy tonight with a low zero to be-low; Sunday partly cloudy with a high around II. Con tlnued very cold Monday, high In the teens.

Slightly warmer Tuesday and Wednesday with highs In the low Ms and lows In the teens. GEORGETOWN, Colo. (UPI) Alan Phillips found himself stranded in the snowy Colorado mountains without tire chains this week. So he used his pickup truck's headlights to flash an SOS that was spotted by a passenger In a jetliner thousands of feet above. Phillips, 30, and a resident of Ceorgetown, was driving home Wednesday night from Bailey, and had to cross Guanella Pass.

Near the summit his pickup got stuck in snow drifts. Phillips had warm clothing and an emergency blanket to keep warm, but no tire chains. "You find out how lonely it is really quick," he recalled. "I thought about walking to a ski area nearby, and went about 200 yards and thought, 'No It was too cold." As he sat in the truck with the Two Officers Accused In Bribery Attempt Resign By Kathryn Rogers Of the Pot-Oipatch Staff St. Louis Police Officers Melvin Wallace and James Vincent Haley, accused of trying to bribe two other officers who were to' testify in a drunken driving case, have resigned from the department, authorities said.

Their resignations were submitted Friday and were effective immediately, sources said. Police officials said the men resigned "to seek other employment." Wallace and Haley have been under investigation by the Police Department and the St. Louis circuit attorney's office since early December. charge of driving while intoxicated. Authorities said Wallace was a friend of Bird and that Haley and Wallace tried to bribe the arresting officers so that they would not testify in the case.

The arresting officers, Patrolmen Daniel Coll and Patrick Whiteley, reported that Wallace and Haley approached them several times in the week before Bird's trial, which took place Dec. 7. "A discussion was had about money to keep them (Whiteley and Coll) from testifying," Meyer said. "There were discussions about $500 and $1,000." Authorities said that some conversations among the officers were bargaining discussions with the corporation, in an effort to improve the prospects our members face in the future." The talks mark the first time the UAW has reopened bargaining to consider concessions. Company officials have been pushing the union for months to come to the table and discuss wage and benefit levels that they claim have made the U.S.

automotive industry noncompetitive. "This is great news," Alfred S. Warren GM vice president for industrial relations, said in Detroit after the announcement of the GM council's action. "It is both realistic George F. Meyer first assistant circuit attorney, said Friday that because of their resignations, the men would not be prosecuted.

Prosecutors had considered asking a grand jury to indict the officers on charges of tampering with a witness, Meyer said. Meyer said the circuit attorney's office had told an attorney representing Wallace and Haley that the case would be dismissed if the men resigned. "We're satisfied now that they're off the force," Meyer said. Wallace, 35, and Haley, 24, allegedly offered money to two fellow Lynch Street District officers who had arrested Gregory David Bird, 29, on a Late Friday, Chief Judge H. Kenneth Wangelin, acting on an emergency peitition filed by Bakewell's attorneys, issued a temporary restraining order against the Postal Service.

Judge Wangelin barred the Postal Service from trying to remove or transfer Bakewell. He set a hearing on the dispute for Wednesday morning. The restraining order will expire at 5 p.m. Wednesday. The Postal Service wanted to remove Bakewell today.

It had sought to make him the district director of customer service for St. Louis. It said See POSTMASTER, Page temperature at 20 below zero wondering what to do, Phillips heard an airplane overhead. He started flashing the headlights in the SOS signal three short, three long, three short. On the plane was Harold E.

Bray, a passenger flying to San Francisco on business. Bray also is sheriff in the Denver suburban area of Jefferson County. Bray noticed the lights flashing below, recognized the code and alerted the plane's pilot. The pilot radioed the Federal Aviation Administration, which dispatched two nearby planes to investigate. Mike Wilcox, the pilot of a Rocky Mountain Airways plane, spotted the truck and radioed the FAA.

The report was forwarded to the Clear Creek County sheriff's office, which sent out two vehicles to rescue Phillips. Fresno and east of Yosemite National Park. Mono County deputies planned to return to the area near Tioga Pass to recover the bodies of Donald's stepfather and mother; Donald Vaughn, 38, the pilot; and his wife, Lee, 36, of Orinda, Calif. Vaughn was a senior research chemist at Chevron Research in Richmond, and his wife was an attorney for Standard Oil Co. of California in San Francisco.

"The sleeping bag probably kept him (Donald) alive," said Navy Chief Petty Officer Jerry Balderson. The boy was suffering frostbite on his feet and hands plus shock and hypothermia, but was conscious and lucid, hospital See BOY, Page 2 Boy Saved After Spending 5 Days In Wrecked Plane Saturday Judge Blocks Attempt To Oust Postmaster Here FRESNO, Calif. (AP) Rescuers who had been kept off the high Sierra for five days by winter storms have reached the wreckage of a light plane and found an 11-year-old boy alive, huddled in a sleeping bag near the bodies of his mother and stepfather. "I think it's remarkable Donald's alive after five days," Dr. Richard Chandler said Friday after examining Donald Scott Priest at Valley Medical Center in Fresno.

The boy's body temperature had dropped to 87 degrees, Dr. Chandler said. Searchers found the boy in the fuselage of the four-seat Grumman Tiger, which crashed in a storm Sunday, 11,100 feet above sea level in the Sierra Nevada. The crash site was about 90 miles east of -i NOW GOES TO COURT: The National Organization for Women filed papers with the Supreme Court on Friday asking for a quick ruling on whether Congress' extension of the deadline for ratification of the proposed Equal Rights Amendment was legal. NOW wants the court to strike down a decision issued Dec.

23 by a U.S. district judge that found the extension unconstitutional. Should the court deny a speedy review, a final decision might not be made until early July and the deadline for ratification is June 30. '1 By Edward H. Kohn Of the Pot-tMpatch SUff A federal judge has delayed efforts by the U.S.

Postal Service to oust Claude I. Bakewell as the St. Louis postmaster. Bakewell has been the postmaster here since 1959. Postal Service officials want to replace him because he hasn't attended a special executive training course required of employees in top positions.

But Bakewell contends that only President Ronald Reagan has the authority to remove him unless he is found guilty in impeachment Those haven't been started, fie said..