The Pantagraph from Bloomington, Illinois • Page 1

1U IK uf I 1 1 1 ii 111 i i i.iini.aim. ii. Coverage on pages A4, A5, A8 ally ant agrap f) 60 pages, 5 sections Bloomington-Normal, Thursday, Nov. 3, 1983 Twin Cities Final 25c Che King holiday finally official IpQHrfflgg ire ma diss rmmr -rasa pullouf WASHINGTON (AP) With Martin Luther King's widow at his side, President Reagan signed legislation yesterday he once opposed that honors the slain civil rights leader with a national holiday each year. Reagan said King had "stirred our nation to the very depths of its soul" in battling racial discrimination.

Congressional leaders and veterans of the civil rights movement, including Jesse Jackson, the Rev. Ralph Abernathy and Atlanta Mayor Andrew Young, filled the Rose Garden for the signing ceremony. The proceedings climaxed as the crowd softly sang, "We Shall Overcome" the anthem of King's nonviolent crusade against segregation. His widow, Coretta Scott King, told the crowd, "America is a more democratic nation, a more just nation, a more peaceful nation because Martin Luther King became her pre-eminent non-violent commander." While saying the nation had made huge strides in civil rights, Reagan declared, "traces of bigotry still mar America." He said King's holiday should serve as a reminder to follow the principles that King espoused: "Thou shalt love thy God with all they heart and thy shall love thy neighbor as thyself." Recalling King's historic address to 250,000 people at the Lincoln Memorial in 1963, at the height of civil rights battles, Reagan said: "If American history grows from two centuries to 20, his words that day will never be forgotten: 'I have a dream that one day on the red hills of Georgia, the sons of former slaves and the sons of former slave owners will be able to sit down together at the table of The legislation makes the third Monday in January a legal public holiday, beginning in January 1986. For the day of the signing ceremony, at least, civil rights leaders put aside their policy differences with the administration and their anger over Reagan's earlier opposition to honoring him with a national holiday.

"Well, we've all had high and low V.j yesterday as President Reagan signed a bill birthday a national holiday. U.S. aid $3 million for relief WASHINGTON (AP) The United States is committing $3 million to Grenada to help that country return to a "normal state of activity" following the American-led invasion of the island, the Agency for International Development announced yesterday. M. Peter McPherson, the agency administrator, said the funds represent the beginning of a long-term U.S.

effort to revitalize the Grena-dian economy. McPherson told a news conference that some of the $3 million will be used to repair damage resulting from the hostilities on Grenada over the past week. The allocation follows a $475,000 outlay, announced earlier this week, for immediate relief measures. McPherson said medical and public health services were disrupted by the exhaustion of basic supplies and equipment as well as by the repatriation of foreign medical personnel. He said U.S.

public health officials are now in Grenada surveying basic health needs. Major segments of the population are not receiving potable water because of damage to the supply system, he said. The problem stems partly from deterioration and partly from the conflict, he said, adding that the Army Corps of Engineers may have a role in assisting Grenada in this and other areas. McPherson said the agency "is firmly committed to the economic recovery and the long-term development of Grenada." He said he views the private sector as the central instrument for economic recovery, adding that the United States expects to work closely with the agricultural and tourism sectors in Grenada to achieve this POINT SALINES, Grenada U.S. officials yesterday announced plans to withdraw about 2,300 troops from Grenada by Friday, a move they said would reduce the U.S.

military presence on the island to about 3,000. The announcement came as 57 sick and wounded Cubans and 10 Cuban doctors flew out of Grenada en route home and diplomats in the Cuban Embassy in St. George's defied an order from Governor General Paul Scoon to leave. The Cubans were greeted in Havana by President Fidel Castro and other high-ranking Communist Party and government officials. In Washington, the Pentagon said Secretary of Defense Caspar W.

Weinberger had informed President Reagan that all hostilities have ceased in Grenada and U.S. forces would ''begin a pullout within a few days." It was also announced that Vice Adm. Joseph Metcalf III, who commanded the Grenada invasion last week, has transferred responsibilities to Maj. Gen. Edward L.

Trobaugh, commander of the 82nd Airborne Division, and to Brig. Rudyard E.C. Lewis, a Jamaican officer commanding what U.S. officials called the "Caribbean peace force" of several hundred troops from neighboring islands. The Pentagon said the two officers will coordinate their efforts through the office of the newly appointed U.S.

ambassador to 'Grenada. As the withdrawals were announced in Washington, however, Navy officials said the aircraft carrier USS America, in a nine-ship battle group, has left Norfolk to conduct exercises in the western Atlantic and eastern Caribbean. The officers insisted that the new deployment was a routine exercise unconnected to events in Grenada. U.S. military spokesman Maj.

Douglas Frey said here that about one-third of the troops remaining in Grenada would be stationed around St. George's. The others will sweep the north to flush out any remaining resistance to the 8-day-old invasion. The impending withdrawal was clearly visible yesterday as truckloads of sometimes whooping paratroops in camouflage fatigues rolled toward the Point Salines airport with trailers of weapons and baggage in tow. Paratroops dismantled an artillery base on a golf course near the airport.

One field gun was later seen being loaded onto a C-141 jet transport at the airport. Frey reported there had been no military contact with hostile forces in the past 24 hours. Journalists touring the island's mountainous said he would have preferred a day of recognition. At a news conference Oct. 19, Reagan said he decided to sign the legislation "since they (Congress) seem bent on making it a national holiday." At that same session, Reagan publicly speculated on whether secret FBI files would show that King was a communist sympathizer.

For that remark, the president later apologized to Mrs. King. Reagan also wrote former New Hampshire Gov. Meldrim Thomson that the public's perception of King was "based on an image, not Coretta Scott King, left, watched making Dr. Martin Luther King's moments and this is one of his high moments," said Jackson, an outspoken Reagan critic and newly announced candidate for the Democratic presidential nomination.

Jackson said the only thing that mattered was Reagan's signature on the bill. "The effect is that the civil rights movement and its place in American history is institutionalized, and that's very signficant," Jackson said. Reagan originally had expressed concern over the cost of honoring King a national holiday, and Some U.S. officials believe the attacks were carried out by pro-Iranian Shiite Moslems. "I ask the Marines to move from that area to say West Beirut or to another place and in their places the Italians or English should be deployed," Berri said.

If the Marines refused, he added, they should leave Lebanon. In Washington yesterday, after almost two hours of emotional debate, the House rejected by a wide margin an amendment that would have cut off funding for the U.S. Marine force in Lebanon after March 1. The meaning of the vote, which became snarled in House parliamentary procedure, is unclear. Sponsors of the' amendment had hoped to signal strong congressional opposition to Reagan ad INDEX Abby C2 Classified D4 Comics D10 Deaths D3 Entertainment B9 D1 Focus CI On the Record D3 Opinion A10 Sports Bl LOTTERY Daily: 609 Copyright 19M tnrfnai Showdown on Lebanon seen reality." Mrs.

King told reporters she had accepted Reagan's apology for his news conference remark. As for his letter to Thomson, she said, "I am not questioning motives at this point. I think we have to accept what people say and then we watch what they do." White House deputy press secretary Larry Speakes noted Reagan's apology to Mrs. King and said, "I don't think a day like today calls for discussion from us on that kind of controversy. I honestly don't see how you can add any more controversy to this." the Marines should be in Beirut for an indefinite period." Berri and the rest the leaders of Lebanon's warring factions failed to reach agreement on the troop withdrawal pact during a day of often-heated talks marked by a bomb scare, a walkout by one of the delegates and a brief scene over the searching of another.

The Syrian government, represented as an observer at the talks by Foreign Minister Abdel-Halim Khaddam, has demanded the Lebanese government cancel the pullout agreement because it grants Israel political and economic concessions in return for the withdrawal of its troops from Lebanon. The Israelis invaded June 6, Please see SHOWDOWN, back page ministration foreign policy by passing a requirement that Congress approve funding of U.S. troop involvement in Lebanon after March 1. However, opponents invoked House rules to force the sponsors to reword their amendment so that it mandated a straight funds cutoff a much harsher alternative that lost the votes of some members who had favored the earlier version. The final vote was a lopsided 274-153.

Rep. Tom Loeffler, R-Texas, a member of the Republican leadership and an opponent of the amendment, said. "There is no question there is a very strong mood in Congress to achieve withdrawal of troops as soon as possible. This vote should not be read at all that Congress has stated northern sector reported seeing U.S. troops patrolling with gun-ships circling overhead but heard no sounds of fighting.

The wounded Cubans were placed aboard a U.S. C-130 transport at the dusty airport and flown to Barbados, where a commercial jet chartered by the International Committee of the Red Cross took them to Havana. Washington Posl GENEVA, Switzerland Lebanese leaders appeared yesterday to be headed for a showdown over the troop withdrawal pact with Israel. A Shiite Moslem leader demanded that U.S. Marines be moved from their garrison in the southern suburbs of Beirut.

Nabih Berri, leader of the Shiite Amal militia and a delegate to the national reconciliation conference, said the Marines should be moved away from Beirut airport because of a "climate of racism" following the Oct. 23 bombing there. Berri said the American public blamed the Shiites for the attacks, which killed nearly 300 Marines and French paratroopers, and that the hostility generated by the incidents could cause violence between U.S. troops and Shiites in the airport neighborhoods. 0 147th Year.

307th Day. THE WEATHER Cloudy and cooler today with highs in the mid-50s. Northeast winds 1 0 to 20 mph and gusty. Cloudy and cool tonight with a 50 percent chance of rain. Complete weather on D3 YOPAY Senate renews interest in budget cuts nance Committee, previously had announced he was working on a package of spending cuts and tax increases that would reduce the deficit by as much as $120 billion over three years.

The Budget Committee package included $14.6 billion in spending cuts, mostly in federal pay and pension, and $13.4 billion in tax increases. At the same time, there was no movement in the Senate toward reconsidering its refusal to raise the national debt limit above its current ceiling of $1,389 trillion. The limit was reached Tuesday and until it is raised, the government will be operating only on the cash it has on hand. Congressional leaders have indicated they may let the problem worsen as a way to prod reluctant legislators to go along with increasing the borrowing authority. The House already has acted to meet a Reagan administration request to raise the debt limit to $1,615 trillion.

Under a budget outline Congress adopted in June, three-year spending cuts of $12.3 billion and tax increases of $73 billion were mandated. Domenici said there is "at least a broad support for deficit reduction at least equivalent to the numbers in the budget resolution." The House last week passed a $10.3 billion package of spending savings, but a companion measure to raise an estimated $8 billion in taxes over three years is bogged down. There has been a consensus in Congress that action must be taken to shrink the budget deficit, which was $195.4 billion in the fiscaly year that ended Sept. 30 and is projected to remain in that range unless there is action. But there has been no agreement on the mixture of spending cuts and tax increases such a package should contain.

In addition, the president has ruled out any major tax increases until 1986, and has in-steaded advocated further spending cuts. WASHINGTON (AP) The Senate, stalemated for months in efforts to pass legislation to trim soaring deficits, showed renewed signs of interest yesterday in meeting its self-imposed goal of enacting $85 billion worth of budget savings this year. Some members even talked of exceeding that figure. However, legislators agreed that President Reagan's support, which he has withheld so far, would be critical to passing any package that included significant tax increases. "It will be very difficult if he's (Reagan) totally, totally opposed, but that doesn't mean there isn't enough fever around here to do something," Sen.

Pete V. Domenici, chairman of the Senate Budget Committee said after his panel considered a $28 billion omnibus package of deficit reduction measures. Meanwhile, members of the Senate Finance Committee were meeting privately to discuss a separate package of deficit reduction measures. Sen. Robert Dole, chairman of the Fi -4.