Bennington Banner from Bennington, Vermont • Page 1

Cloudy Cloudy with snow tapering off to flurries this afternoon. Total accumulations of around 3 to 4 inches with higher amounts in higher elevations. Highs today in the 20s to mid 30s south. Variable cloudiness and windy tonight and Wednesday with a chance of flurries south, likely north. Lows tonight in the teens and highs Wednesday in the mid 20s to mid 3()s.

Sunset 4:55, sunrise 7:17. Bennin Bennington, Vermont Tuesday, January 25, 1977 aimer Weekly founded 1841, Daily 1903 20 Cents Snelling asks 18.2 spending hike, sees surplus in two years MONTPELIER (UPI! Gov. Richard Snelling today called on the legislature to approve a budget for the next two years that would represent an 18.2 per cent increase over current state spending. The House, meanwhile avoided a con- WILLIAM H. BAUMANN Stoneman, Baumann in key posts MONTPELIER (UPI) Vermont Corrections Commissioner R.

Kent Stoneman has been shifted to another top level state job. Stoneman was named Monday by Gov. Richard Snelling as the state's new Social and Rehabilitative Services Commissioner. Also appointed by Snelling was William Bauman of Barre as interim public safety commissioner. Reappointed were Paul Philbrook as social welfare commissioner and Dr.

Marshall McBean as health commissioner. Stoneman is credited with establishing a system of regional correctional centers. However, he has been criticized by some for the department's furlough policies. Asked whether the shift in Stoneman's job represented a change in corrections department philosophy, Snelling said he plans to discuss department policies in more detail with Human Services Secretary Sister Elizabeth Candon. But Snelling added: "That's an area which we didn't get to talk about very much before the appointment." The Stoneman, Philbrook and McBean appointments were announced by Snelling and Sister Candon.

McBean has been the interim head of the Health Department since last August. He was recommended for the full time job by the state Health Board. Bauman, 57, has extensive experience in See STONEMAN on back page frontation over two disputed legislative elections, one involving a Brattleboro seat and the other a Grand Isle seat. Recommendations from the Municipal Corporations and Elections Committee were postponed awaiting opinions from the attorney general's office. Spokesmen said no floor action is likely until Friday.

Major budget increases proposed by Snelling to a joint legislative session included a $10.2 million hike in spending on elementary and secondary education, a $6.5 million boost in human services expenditures, a $4.5 million hike in spending on higher education, a $4.8 million boost in pay for state employes and $401,000 in additional funds for public safety. But despite these increases, the governor told lawmakers he expects a surplus of $2.2 million on June 30, 1979, when the period covered by the biennial budget comes to a close. The reason for the expected surplus, Snelling said, is an anticipated increase in state revenues of several million dollars. The Republican governor last week advised lawmakers the state will have more money to spend over the next two years, thanks to a brightening economy. But he also warned the economy may slacken by 1980.

Snelling told reporters at a briefing held just prior to his formal budget message that he proposes the following increases in educational spending. $2.2 million in fiscal 1978 and $3.7 million in fiscal 1979 in additional state funding of local school districts. $3.8 million in special education funds over the twoyear period. Snelling said that increase more than doubles the rate of funding provided under the 10-year special education plan. $600,000 in increased state funds for vocational education.

The governor said his proposed hike in public safety spending, includes a plan to add 20 troopers to the state police Bureau of Criminal Investigation and 20 additional highway patrolmen over the next two years. He said he would like to see the state police play a larger role in rural law en- forcement, but said details on how that can be accomplished will have to be worked out later so they conform with guidelines for the receipt of federal funds. On the election dispute issue, the House Municipal Corporations Committee last week conducted a recount of a much disputed House election from Brattleboro District 4-2, where a tangled set of recounts and legal maneuvers had given Republican Sydney Nixon a one vote lead over Democrat Robert Emond. But Emond challenged the results and took his case the legislature. After ite recount reversed Nixon's election and gave Emond a one vote lead, the committee agreed to recommend to the full House that Nixon be removed from the legislature and the seat be given to the Democrat.

Committee Chairman Richard Allard, D-St. Albans, said his panel would oppose any move to send the contest back to Brattleboro for a new election. The committee was also awaiting an attorney general's opinion whether the legislature or the courts was the proper arbiter in a contested House race in Grand Isle. During the primary campaign, John Curran promised to give his lawmaker's $150-a-week salary to local fire departments and rescue squads if he was elected. One of his defeated primary opponents later challenged his election on grounds he violated a constitutional provision barring a candidate from offering rewards in exchange for votes.

The committee last week held a hearing at which Curran admitted his promise was wrong and testified he has since changed his mind and won't give away his pay. Vt. to participate in Yankee hearings MONTPELIER (UPI) Vermont apparently will be allowed to participate in federal hearings on plans to expand spent nuclear fuel storage capacity at the state's only atomic power plant. The staff of the U.S. Nuclear Regulatory Commission Monday approved the state's petition to intervene in upcoming hearings which involve Vermont's Yankee nuclear power plant at Vernon.

Earlier this month, Atty. Gen. M. Jerome Diamond filed a petition with the NRC charging the public safety and health was threatened by Vermont Yankee's plans to triple its waste fuel storage space at Vernon. Diamond's petition initially was opposed by Gov.

Richard Snelling. However, after the attorney general toned down the petition's language, Snelling announced his support for state participation in the hearings. The staff decision to allow Vermont's participation, however, can still be overruled by the full Nuclear Regulatory Commission. In a related development, the state Environmental Protection Agency scheduled a public hearing here Wednesday on the subject of permanent storage of atomic wastes. Vermont is one of several states being considered by the U.S.

Energy Research and Development Administration as possible sites for storing radioactive wastes. Two-pronged assault Town crewmen Richard Knapp. left, and Arthur Knapp. struggle against a mountain of ice caused by a bleeder valve off the main water line from Bolles Brook lo Bennington. The valve, which keeps water in the main from freezing, sprayed water onto nearby trees, and the gradual buildup resulted in a threat to the water main.

At first it was derided to dynamite the mass, but that alternative was rejected as too dangerous to the main. So. manning splitting mauls, shovels, jackhammers and blow torches, workmen chipped and melted away enough to clear the water main. Carter, to leaders, defends tax rebate i On the inside In the nation: Vance contradicts Carter on SALT goals; President liberates aides from their limousines; AFL-CIO displeased with new jobs plan Page 2. Local: New parking ordinance in Bennington to be tougher; Bennington Rural Fire District votes purchase of new truck at annual meeting Page 3.

Edit: Tom Wicker on a replacement for the Sorensen appointment to head CIA; Braden on Kissinger Page 4. Page op: Russell Baker writes a spoof of the Cabinet that couldn't find its way to the White House, on foot anyway; Maddocks of the C.S. Monitor fantasizes about a new all-purpose drink that would be cheap and stay that way Page 5. Entertainment: Gray Film Atelier apprentices hard at work; a review of the final Thompson book on Robert Frost in his later years Page 6. General: Effect of instant riches from lottery winnings Page 7.

County: Shaftsbury selectmen tackle several issues; lively caucuses in Arlirgton; MES to seek federal funding for vocational education program at BBS; cross-country skiing program for the blind Pages 8 9. General: Ex-CIA cover tells of "ruined life" Page 11. Sports: MAU and MS.) in showdown tonight in Rutland; Manchester Country Club to host state women's amateur golf tourney; John Randolph talks about a proposal for a third deer season with muzzle-loading weapons Pages 12 13. WASHINGTON (UPI) President Carter told Democratic congressional leaders today he still believes emphasis in his economic stimulus package should be on a tax rebate in the first year rather than on the creation of more jobs. Carter held his first meeting with the Democratic leaderssince taking office six days ago.

Rep. John Brademas, the No. 3 ranking House Democrat, said Carter "pledged to meet Congress more than half way on his (legislative) proposals." Brademas said Speaker Thomas P. O'Neill told Carter he hoped four major bills-- economic, government reorganization, energy and a code of ethics--will be law by the time Congress takes its August recess. Bradanas said Carter repeated his determination to reach a balanced budget by 1980 and said the President told them "the only way is to have some stimulus.

The tax rebate in the first year is the best way because its the fastest way to stimulate consumer purchasing power and then we can act on public works." Labor leaders and some members of Congress have urged that emphasis in the economic legislation be on jobs first because, -they argue, tax rebates have shown in the past to have little impact on stimulating the economy. Brademas said Carter reported he will have "a tight budget and wants to be constrained in federal expenditures." Carter also said he hopes to have his energy bill sent to Congress by April 20 and a welfare reform proposal by May 1. On Monday, Carter canceled one ot Ford's final orders to remove remaining price controls on gasoline and said the matter would have to be studied by his experts before his own recommendations. Lance declares tax cut, rebate, will be $50-200 Solzhenitsyn Vt. move confirmed by Snelling UPI In a file photo, Natalie and Alexander Solzhenitsyn salute the American flag during Fourth of July ceremonies in Williamsburg, Va.

in 1975. MONTPELIER (UPI) Reports that exiled Russian author Alexander Solzhenitsyn plans to make his home in Vermont have been confirmed by Gov. Richard Snelling. Snelling told a news conference Monday he had a three-hour lunch Saturday with the 1970 Nobel Prize winning author. Snelling said Solzhenitsyn told him he plans to live in Vermont until he can return to a "free Russia." Asked exactly where Solzhenitsyn plans to live in Vermont, however, Snelling smiled and said, "I guess you'll have to learn that from him." Persistent reports and immigration papers filed with the U.S.

State Department last year indicated Solzhenitsyn planned to live in the southeastern Vermont town of Cavendish. But those reports have not been confirmed. Snelling said Saturday's meeting was requested by Solzhenitsyn. Solzenitsyn was interviewed in Montpelier Friday by a reporter for the Barre- Montpelier Times Argus who learned he was in the city. The Russian author came to Montpelier See SOLZHENITSYN on back page WASHINGTON (UPI) Budget Director Bert Lance said today the Carter administration has decided on a $30 billion tax cut including rebates of about $50 to $200 for individuals.

Lance, in a meeting with reporters, said the administration had also decided on a bigger, more flexible tax cut for business. He said the business reduction would be about $2.5 billion, up from an early suggestion of about $2 billion. President Carter, Lance said, would probably outline his proposals in a message to Congress within about a week. Lance also said the administration would accept President Ford's $440 billion budget for fiscal 1978 with few exceptions. "It will be a Ford budget with Carter amendments." During a meeting with reporters, Lance said the administration had settled on tax cuts for the next two years of about $30 billion.

Earlier, the tax cut package had ranged from a low of $23 billion to a high of $32 billion. lance said Congress would be asked to approve rebates for individuals of about $50 for each exemption, up to an income of about $17,000. The administration had first considered a break' for businesses in the form of a 5 per cent credit for payroll taxes. Lance said the administration thinking now was that the payroll tax credit would be 4 per cent and the investment tax credit now in effect would be increased from 10 per cent to 12 per cent. lance said the "congressional leadership has been very responsive" to the tax proposals, although there was still a strong feeling in Congress that more efforts had to be made to stimulate employment.

Giles resigns at Vets Home Selectmen approve a budget asking up to $2.17 rate hike By JOHN LEANING After reversing themselves on the food stamp issue, and adding $8,000 to purchase more voting machines, Bennington selectmen Monday night approved a proposed budget for next year totaling $1,969,138. That figure does not include $54,100 which represents requests from six social service agencies and the town Bicentennial Committee. Those requests for funds will appear as separate ballot articles. The gross breakdown of the budget shows the general fund at $1,409,487, and the highway fund at $559,651. The highway fund budget is approximately $67,000 over last year's budgeted amount, and most of the increase is caused by necessary equipment purchases of a new dump truck and a grader.

The general fund budget declined this year in the proposed budget by $13,488, from $1,422,975 last year to the approved amount for 1977-1978 of $1,409,487. The budget does include a 5 per cent increase in the salary account, but selectmen were careful to point out that the 5 per cent figure does not mean a 5 per cent salary increase for all employes, but rather a total sum which will be distributed among town workers as negotiations are concluded. If voters approve all seven ballot requests for additional money which amounts to $54,100, the total budget for Bennington in 1977-1978 will be $2,023,238, or an increase of $97,822 over last year's total combined budget as approved by voters. The combined total, under the existing Grand List, would mean raising the tax rate $2.17 per $100 of valuation, compared to a $2.05 tax rate increase last year. The breakdown of each separate budget on the tax rate is general fund $1.60, highway fund 49 cents, and the ballot articles 8 cents.

Although last night's vote was unanimous, Selectman Gerald P. Morrissey, who will be the "budget defender" at Town Meeting March 1, voted his approval "with reservations." While representing only a tiny percentage of the total budget picture, the debate over some $4,600 requested from the Bennington Opportunity Council to help pay costs of its food stamp program provoked the most discussion in several budget meetings, including the final session last night. By a 4-2 vote, selectmen rescinded their earlier vote rejecting the $4,600, which BOC wanted included in the budget, and agreed to a compromise figure of $3,900 Sec SELECTMEN on back page Brig. Gen. Edward H.

Giles, commandant of the Vermont Veterans' Home since 1958, submitted his resignation Monday to the executive committee of the home's board of trustees. Official confirmation, however, was difficult to come by. Home Adjutant John Ahearn, who becomes acting commandant, said he was not authorized to make any statement. Gen. Giles himself was not available for comment.

Rep. Lawrence F. Powers, former board chairman who is now a member of the executive committee, said it would not be appropriate for him to comment on the situation, and referred inquiries to the board chairman, Roy Sweet of Windsor. Called at Vermont Institutional In-' dustries in Windsor, where he works, Sweet was not available and was said to be on his way to Wallingford this morning. Giles' resignation is expected to be acted on officially at a meeting next Monday of the full board of trustees of the state institution.

Rumors of the pending change of administrators have been circulating in Bennington for several days, and were also making the rounds of politicians in Montpelier this morning. Giles, 57, a native of Hartland and Windsor, has a long military career. Brig. Gen. EDWARD H.

GILKS Before being named commandant of the home, then called the Vermont Soldiers Home, in 1958, he was for three years assistant adjutant general of Vermont. He entered the military Dec. 7, 1941, Pearl Harbor Day, and served in the U.S. Air Force, remaining in the Air Force Reserve until 1949..