The Evening Standard from Uniontown, Pennsylvania • Page 11

New Law Encourages Group Health Plans By CARL C. CRAFf Associated Press Writer WASHINGTON (AP) Under a new law, more Americans will be able to pay doctors to keep them healthy, rather than paying for treatment when they are sick. The new law encourages development of Health Maintenance a i a i or HMOs. The goal is to give more people better health at lower cost. The new law authorizes a five-year, $375-million experimental expansion in the geographic spread of these group health plans, testing the impact in various urban and rural situations, covering large and small groups and providing several kinds of health services.

"For the first time," says Rep. Paul G. Rogers, a chief author of the law, "we've initiated a program which puts the thrust on preventive medicine and also offers the physician financial incentives to keep people a i a of treating them when they are ill." HMO is a relatively new name for a health-delivery concept i out of America's 40-year experience with prepaid group medical practice. It traces its roots to a small clinic in Elk City, during the Depression days of the 1930s. The concept reached its first big-scale system in the West Coast development of the Kaiser Foundation health plan.

The HMO concept involves an organized system of agreed upon health services. The HMO is reimbursed a prepaid fixed amount without regard to the cost of a a services rendered. Federal health experts estimate there are 115 HMOs in operation--about 80 of them getting federal help--serving more than 4 million persons. During the next five years, these experts guess, the new law could spur creation of up to 400 more HMOs. Here, in question-and- answer form based on official briefings and congressional and other sources, is how HMOs work and how they will be aided by the new law: Q.

What does the law do? A. It knocks down some restrictive state laws which impede development of HMOs. It requires each employer of at least 25 persons to offer an HMO option in addition to private insurance in his negotiations if a qualified HMO exists in his area. Q. What would the law's money provisions cover? A.

These include financial help to public and nonprofit groups through grants, contracts and loans to assist in such things as feasibility studies, initial development costs and early operating deficits. i making HMOs in medically underserved areas would get loan guarantees for start-up activities. Q. What happens when an HMO is A. Members would have onethird representation on the policy-making body.

They would hire doctors, make contracts to get hospital care, pay a regular monthly charge for health care, and the government wotild help the group get started. The members would get all of their medical and surgical hospital services provided through the HMO. They and their colleagues would be represented on the governing boards and would be running the group. Q. What will happen after the five-year te.st? A.

The law will' expire, and Congress would consider whether to extend it after seeing if it is successful in lowering costs and increasing medical services; Q. Is there any special Centerville Health Plan The recently announced Blue Cross Centerville Health Plan (CHP) was formed as a Health Maintenance Organization under the new law. It was formed by Blue Cross of Western Pennsylvania and the Centerville Medical Group (Centerville Clinic). The prepaid health cart- plan, which has an effective date of Feb. 1, has been approved by the State Insurance Dcpt.

treatment for any particular area? A. In general, rural areas would get 20 per cent of the appropriated money. Q. What kind of services would be required in an HMO program? A. There would be a com- prehensive set of basic health services such as hospital care, a i a preventive and diagnostic service.

Q. Would there be uniform rates? A. Uniform rates for basic health services and certain supplemental health care would have to be set. Q. How will HMOs fit in i i a i i a i health insurance ideas? A.

Administration health experts say the President's health insurance proposal provides that all of those who are covered by that insurance may use insurance proceeds to join HMOs. Q. Why would someone want to belong to an HMO? A. The law's supporters say it has the advantage of providing a specific payment figure for the family budget, while the organization itself has the incentive of keeping people well. Q.

What will happen to the private doctor? A. Caspar W. Weinberger, secretary of health, education and a was asked whether the private doctor will lose all patients overnight. "1 would not think so," Weinberger replied. "I would assume that HMOs would make contracts with physicians in the community to provide the medical services.

That is the only way it can be done," he said. "There will be different kinds of contracts, different kinds of arrangements, but I don't see this as putting the doctor out of business in any sense. I think it provides a somewhat orderly way to manage and deliver medical and health and hospital services to people, avoiding the tremendous ups and downs in the a i by a a a i i Weinberger said. Q. What is the position of A i a i a Association, which had worked against other more exten- i i legislation? A.

Dr. Russell B. Roth, president of the AMA, said: "We have not been so much a i philosophy of the HMO concept as we have been opposed to the idea of massive federal spending to support it. The bill just signed by the President is rather modest in scale. It is satisfactory to us in the sense that it will provide adequate funding for trial purposes.

"Coupled with funds from the private sector--insurance company and commercial, for-profit investors, for instance--the legislation just passed will provide a level of spending to demonstrate such virtues as the HMO concept may have. "What we opposed is the idea of subsidizing HMOs to a point where they would have an unfair advantage over other methods of providing health care." News Roundup SAN CLEMENTE, Calif. (AP) President Nixon is planning another post-Watergate reorganization of his domestic policymaking apparatus, administration sources say. The revamping was prompted by the in- stallation of Vice President Gerald R. Ford, who has been promised a major role in domestic affairs, and the imminent resignation of the President's chief domestic adviser, Melvin R.

Laird. A major aim of the new Nixon staff plan is to sort out and define the responsibilities of Ford, director Roy Ash of the Office of Management and Budget, and Kenneth Cole, executive director of the Domestic Council. JUNCTION CITY, Ohio (AP) The ordeal was over and Helen Binckley cried. She said they were the first tears since she and two other women were held hostage for nearly six hours by two convicts who threatened to kill their captives unless they were provided a car for an escape. Highway patrolmen freed the three women Monday evening by breaking into a barricaded office at the Junction City Treatment Facility and shooting the two convicts, killing one and critically wounding the other.

NEW YORK (AP) The Buffalo, N.Y.. General Hospital can't get the clear plastic cups it uses to measure out medication and has had to switch to opaque ones. Brackenridge Hospital in Austin, reports its supply of cotton goods is "almost nil." The problems stem from the energy crisis. Industry sources and public officials have warned that some drugs and medical supplies might be in short supply, especially plastics, medicines and other items made from petrochemicals, by-products of oil and natural gas. ST.

PAUL, Minn. (AP) The federal judge who will hear conspiracy charges against two leaders of the Indian takeover'at Wounded Knee predicts the trial could last as long as four months. U.S. District Court Judge Fred J. Nichol of Sioux Falls, S.D., opens the trial today by questioning prospective jurors who will hear the" federal case against Dennis Banks and Russell Means, leaders in the American Indian Movement (AIM).

Banks and Means both are charged with 10 counts of conspiracy in connection with the 71-day takeover of the historic South Dakota hamlet last year. Four other AIM leaders will go on trial in St. Paul later. LONDON (AP) The determination of British coal miners to hold out for their wage demands appears to be hardening despite Britain's growing economic crisis. Some 3,000 miners walked off the job Monday at pits around the country, including 1,000 at five Leicestershire mines.

The Leicestershire miners were only a tiny fraction of Britain's total of 280,000 miners. But a more serious threat was posed by the leaders of Scotland's miners, who voted unanimously to extend the ban on weekend work to three or four days a week. A meeting of the union executive Thursday will consider the proposal. BELFAST, Ireland A Brian Faulkner, the Protestant chief of Northern Ireland's new provincial government, says he will campaign for grass-roots Protestant support of his policy of sharing power with the Roman Catholic minority. PHNOM PENH, Cambodia (AP) More than 3,000 government soldiers and about 75 armored vehicles advanced from three directions about seven miles northwest of Phnom Penh today, trying to surround a large Khmer Rouge force threatening the capital, the Cambodian command said.

WASHINGTON (AP) Bipartisanship, which was missing earlier, appears to be gaining in the House Judiciary Committee investigation of possible grounds for impeachment. Republicans say appointment of Chicago lawyer Albert E. Jenner as chief minority counsel will mean a nonpartisan investigation. WASHINGTON (AP) The Federal Aviation Administration may recommend sanctions against foreign airlines that refuse to tighten security against terrorists. The discussion of sanctions, including possible denial of landing rights, grew out of last month's firebombing and hijacking at Rome.

Thirty-two persons, many of them Americans, died in the incident. Burnworth Death DeMolay Installs Jan. 15 Fayette Chapter, Order of DeMolay, will conduct its 36th public installation of officers at 7:30 p.m. Tuesday, Jan. 15, i a i Pittsburgh and Peter Uniontown.

Mark E. Kovac, son of Mr. and Mrs. A. H.

Kovac of 1125 High Brownsville, will be installed as master councilor, succeeding George J. Omiros, son of Mr. and Mrs. Chris G. Omiros of 268 N.

Gallatin Uniontown. Harry J. (Jay) Brownfield, son of Mr. and Mrs. Harry J.

Brownfield of Hopwood will be installed as senior councilor, and Jeffrey W. McCabe, son of Mr. and Mrs. Homer McCabe of Hopwood, as junior councilor. i A a Charles M.

Hoak, Charles L. Lewellyn, Harry L. McElroy, Malcolm McGaughey and Edwin A. Smeal Jr. will be in charge of the program.

Rev. Don Dilley, minister of Fort Burd i Presbyterian Church of Brownsville will deliver the message. a relatives and friends of active DeMolay members, as well as others interested in the DeMolay movement of building better citizens by preparing young men for leadership in industry, government, business and professions, are invited to attend the installation. Refreshments will be served following the ceremonies. Fayette Chapter was instituted April 19, 1958 and is sponsored by Uniontown Comm a 4 9 i Templar.

It has an active membership of over 125 young men from all parts of Fayette County. Blast On Tanker NEW ORLEANS, La. (AP) A boiler exploded early today aboard a 579-foot oil tanker in the middle of the Gulf of Mexico, but the captain of the ship said the crew managed to extinguish the resulting blaze. The Coast Guard identified the vessel as the Greek tanker Atrotos. A spokesman said the captain radioed that he would be able to proceed to his destination in Corpus Christi, as soon as he repaired the boiler.

The Atrotos had been bound from Venezuela to Texas with a load of fuel oil. The ship was approximately 250 miles south-southwest of New Orleans when the fire broke out. The Coast Guard said it had no report of any of the 29 crewmen being injured. Funeral services will be held tomorrow for Mrs. Nellie C.

Burnworth, 92, who died yesterday at the home of a daughter, Mrs. Frances Silbaugh of Confluence R. D. Friends will be received in the Humbert Funeral Home, Confluence, this afternoon and evening and i 2 p.m. tomorrow, the hour of ser- i i a Hickson officiating.

Burial will follow in Johnson Chapel Cemetery. A member of the Johnson Chapel United Methodist WILMA MURPHY Will bo working at Charlotte's Beauty Salon, Tiies. thru Sat. 583-9024. Char, by appt.

only. Church, Mrs. Burnworth is survived by the following children: Ben Burnworth, Paul Burnworth, and Mrs. Frances Silbaugh, all of Confluence; Carl Burnworth, Farmington; Mrs. Wilma Ream, Pleasant Gap, and Mrs.

Nelle Hausler, Omaha, two foster children, Mrs. Florence Show, Richeyville, and Albrey Mathias, Uniontown, and 25 grand- i and 15 a grandchildren. She Evening "Tin- That Inlo The Homi 1 I i i i Pa. TUESDAY JANUARY 8, 1974 PAGE 11 United Fund Audit Report Results of the annual audit of the United Fund of Greater Uniontown, were announced today. The audit, for the fiscal year ending Sept.

30,1972, was conducted by the Uniontown firm of H'arper, Taylor, Steele Clark. The auditors found the cash transaction of the Fund "in conformity with generally accepted accounting principles app lied on a basis consistent with that of the preceding year." The statement: Cash b.alance at beginning of year $14,718. Cash receipts Contributions, other receipts, interest on savings, $88.89. Total $102,237.73. Cash i A to agencies: Salvation Army, YMCA, Boy Scouts, Catholic Charities, Girl Scouts, Multiple Sclerosis Society, $700; Arthritis Foundation, $450; American Red Cross, Mental Health, $1,800.

Total allocations, $85,050. Campaign and administrative expenses Office supplies and expense, electric, telephone, rent and sewage, $840; salaries, payroll taxes paid in excess of deductions, accounting, $100; dues and fees, campaign supplies and expenses, Total expenses, $14,569.74. Cash balance at end of year $17,336.01. Cut Your Own Taxes 4 No Schedule On Your Return By RAY DE CRANE In ano ther move toward tax simplifiication, Internal Revenue Service has eliminated Schedule on this year's income tax return. This is the form that had been required in the past for an itemized breakdown of the sources of dividend and interest income.

Remember how Schedule worked in former years? In the casie of dividends, you listed the- corporation paying the cash dividend and then used the symbols or to indicate ilf t.he stock was held in the name of the husband or wife, or was owned jointly. This necessary because of the dividend exclusion, which remains in effect. By law, the first $100 in dividends received is exempt from tax. On a joint return, the exclusion could be as much as $2:00. But the full $200 exclusion cam be claimed only if individually the wife and husband had more than $100 in dividends, or jointly they received $200 or more.

Because of the breakdown, IRS formerly had a double- check on the exclusion and could quickly determine if it was properly applied. This year's requirement for reporting only a single lump figure puts taxpayers on an honor system in claiming the exclusion. This makes it all the more important to keep careful records on your dividend payments and be able to produce them should your reported exclusion figure be challenged during an audit. Similarly, no breakdown is required on interest income. In the past you identified the bank, savings and loan, credit union, or other sources of your interest income.

Now you will give only the one total figure. But be sure to retain your other records for verification. (Newspaper Enterprise Assn.) Liquor Board Officer Jack Naylor Retires ENTEKTAINMRNT AM, SAINTS GYM-Mnsontown Early Bird 7:00 p.m. UNIONTOWN EAGLKS828 P.M.-FREE PARKING Constable In Georges Robert Frank Lake of Smithfield R. D.

3 was sworn in yesterday as constable for Georges Twp. Mr. Lake, elected in November, will serve for six years, lie replaces Harry McCormick. LIIS Band Parents Meeting Tonight Uniontown Area Senior High School Band Parents will meet at 8 o'clock tonight in the music room at the high school. Executive meeting will be at 7:30, President James Glisan said.

A veteran, employe of the Pennsylvania Liquor Control Board has rotired. He's John (Jack) Naylor of 117 State Charleroi. Mr. Naylor retired Dec. 28 after 37 yean; of service, most of them as an enforcement officer for the He started to work on Nov.

21,1936 and has spent his time working in Fayette, Washington and Greene Counties. For the past 15 years he has been in charge of license a a a plications. A native of Charleroi, Mr. Naylor and his wife, Margaret, are the parents of four children. He plans to "take it easy" for the next six months, then will consider the possibility of starting a consulting service.

Hospital News UNIONTOWN Discharges: Charles Backstrom, Melissa Brown, Anna Culleton, Bertha DeVon, Louis Dominick, Robert Erdely, Mrs. Linda Figler and son, Ann Komacko, Lois Marchute, Ann McClelland, female Pechunka, Russell Pierce, male Rusinack, Margaret Voytovich, Mike Koliscak. BROWNSVILLE Admissions: Mrs. Doris Earley, Republic; Mrs. Jean Dziek, Eighty-Four R.

D. a i i gettstown; Robert Denbo; Mrs. Anna Clark, Allison; Jeffrey Phillips, Vestaburg; Mrs. Hazel Farkas, Ellsworth; Mrs. Norma Bucklew, Smithfield.

Louis Gondy, Denbo; Mrs. Barbara Golmitz, Daisytown R. D. James Woods, Brownsville; Melissa Burke, Fredericktown R. D.

Mrs. Ethel Harbaugh, Clarksville R. D. Howard Powell, Brownsville; Mrs. Thomasine Lake, Smock.

Discharges: Mrs. Anna Gergel, Lawrence Bakewell, Mrs. Ida Killings, Mrs. Joan Borish, John Volk. CONNELLSVILLE Admissions: Mrs.

Margaret Bobyak, Connellsville; Tammy Hamilton, Hopwood; Paul Miller, Connellsville; Mrs. Louise Moore, Uniontown; Mark Wettgen, Connellsville; John Charleston, Uniontown; Jeffrey Bittner, Connellsville; Mrs. Betty Adams, Hopwood; Mrs. Nancy Bittner, Mill Run; James Junk, Dunbar. Discharges: Jessie Dunn, John Newill, Mrs.

Ethel Showman; Mrs. Mary Mitchell, Mrs. Betty Shroyer, Mrs. Arlene Wettgen and son. Stewart Meeting Millage and taxes remain the same in Stewart Twp.

this year, following a reorganization meeting held yesterday by the township supervisors. Reappointed to positions they held last year were Louis Collins, chairman; Judson Leonard, vice chairman and Odbert Leonard, secretary. a i employes were increased from $1.80 an hour to $2.05. Millage remains at four mills and taxes remain as last year: 5 per cent Amusement Tax, $5 Occupation Privilege Tax and one-half of 1 per cent Wage Tax. Uniontown VFD Auxiliary Meets Auxiliary to the Uniontown Vol.

Fire Dept. will hold installation of officers at its regular meeting tonight at 8 in the Municipal according to the out-going president, Carol Shannon. Being installed as president is Margie Johnson. Following the meeting, refreshments will be served. ENS.

AND MRS. LEONARD DILLINGER JR. Man And Wife Both Graduates A Fayette County couple, Mr. and Mrs. Leonard Dillinger are both December graduates.

Mrs. Lucinda Dillinger graduated from Mansfield State College with a B.S. degree in elementary education. In college she was a member of Alpha Sigma Tau Sorority, Kappa Delta Pi education honor society and the a i a State Education Assn. She's the former Lucinda Watt, daughter of Mr.

and Mrs. Lue C. Watt of Hopwood. Mr. Dillinger graduated with distinction from the a i a i a School at Newport, R.

and was commissioned an ensign in the Civil Engineer Corps. He graduated last June from Bucknell University with a B.S. degree in civil engineering. He is the son of Mr. and Mrs.

Leonard Dillinger of Point Marion. After a brief stay in Port Hueneme, Ensign and Mrs. Dillinger will be residing at the Naval Air Station, Pensacola, Fla. Newspapers Asking Control Exemption WASHINGTON (AP)-The newspaper industry has asked the Cost of Living Council to exempt it completely from government wage-price controls. In a petition filed before the council last Friday, the A i a a New Mine In Somerset WINDBER, Pa.

(AP) Bethlehem Steel Corp. says it will begin work on its eighth deep coal mine in Somerset County early next year, with production expected to begin in 1975. Officials said the new mine, to be located near here, will cost about $9 million and will employ about 250 workers during its expected 20-year life. Vice President of Mining Edward P. Leach said the steelmaking firm will begin construction after receiving necessary permits from the state.

House Burglary In Bullskin Twp. Articles valued at $70 were stolen from a summer home on White Rd. near Acme, Bull- skin owned by Louisa Fell of New Stanton. State Police said the burglary took place between 4 p.m. Sunday and 6 p.m.

yesterday. i A i a i (ANPA) said total decontrol of the newspaper business is essential "merely to correct the i a of i economic inequities." The ANPA said the industry is caught in an economic bind because of the escalating price of newsprint imported from Canada, postal rate increases and exempt competitors. "Newsprint shortages have impaired the effectiveness of newspapers in carrying out their First Amendment and public service responsibilities because these shortages have resulted in many cases in the rationing of advertising and news content," the ANPA said in its 19-page petition. The council has already freed about 10 other industries from price controls. Many newspapers have seen newsprint prices go up by 21 per cent in the past year, the association said.

It added that these prices i rise another 27 per cent this year. Yet, it said. Phase 4 price regulations do not allow full recovery for these prices. Greene Burglary a i a i vestigating a weekend burglary at East End Motors near Waynesburg, in which $569 in cash and $18 worth of inspection stickers were stolen. Parole For Watergate Trio Entertainme.nl Tonite 7:30 UNIONTOWN ELKS 370 Entertainment Tonite 7:45 pm HOPWOOD FIRE HALL PARKING IN REAR BRATTON'S --Hopwood WASHINGTON A Three Cuban exiles whose arrest in Democratic National Committee headquarters was the start of the Watergate case are scheduled to be paroled March 7.

The U.S. Parole Board voted Monday to release the three from the federal prison camp at Eglin AFB in Florida after they have served about 15 months of their one-to four- a sentences for con- i a a a wiretapping. Eugenio R. Martinez, Frank A. Sturgis and Virgilip R.

Gonzalez, all from Miami, were the lowest ranking of the seven men originally convicted in the Watergate conspiracy. Three other Watergate conspirators, Bernard I-. Barker, E. Howard Hunt and James W. McCord arc free on bond i the outcome of appeals.

The seventh man. G. Gordon Liddy, is serving a term for contempt of court and has an appeal pending of his Watergate conviction. a i the Senate Watergate committee returned to court to get its civil suit against President Nixon moving toward a decision. Committee lawyers filed a brief contending that jurisdictional problems had been resolved by an act of Congress and asking the court to begin consideration of the legal issues raised in the committee's subpoena of White House tapes.

Chief U.S. District Judge John J. Sirica, who dismissed the suit on i i i a grounds last Oct. 17, reassigned the case to Judge Gerhard A. Gesell..