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Serving the students and the University community since 1893
Volume 87, Issue No. lf
Friday, March 21, 1SS0, Chapel Hill, North Carolina
New. Sport Ad 933-0345
By MURPHY EVANS
Most North Carolina economists and government officials
support President Jimmy Carter's strategy of cutting the federal
budget in an attempt to arrest inflation, but most are waiting for
details of the president's plan before predicting what effect the
new budget will have.
"I think that Carter's budget is a step in the right direction,"
said UNC economics professor Ralph Pfouts this week. "It will
have some effect, but (economic recovery) will be a slow
Pfouts said the United States is likely to face a recession and
during that time the nation's fiscal policy will be important.
"What happens during the recession will be crucial. If the
government tries to overcome unemployment by increasing
spending, it will revive inflation and inflationary psychology."
Pfouts said the government must balance the budget to steady
the economy, and added that such a move is politically feasible
now that congressmen are recognizing how strong a political
liability inflation has become.
"I don't, however, think that budget balancing alone will
control inflation," he said. "There will have to be a? coordinated
effort by the (Federal Reserve Board) in the area of money
Aides to Sen. Jesse Helms, R-N.C, and Sen. Robert Morgan,
D-N.C. said both senators support the current congressional
movement for a balanced budget by 1981. But, whereas Morgan
support's the president's budget, Helms said he would like to see
In a prepared statement last week, Helms said the budget
should be balanced now, and he advocated an immediate cut of
more than 3 percent on federal spending. The senator warned,
however, it would be unwise to cripple defense capabilities.
Instead, Helms said the cuts should be made in other areas.
"Senator Helms has opposed Comprehensive Employment
and Training Act funding and led the fight in the Senate to trim
the growth rate for the food stamp program," a Helms aide said.
Doug Copeland, assistant to 6th District Rep. Richardson
Preyer, said the congressman would support whatever cuts the
"Rep. Preyer feels that balancing the budget is important and
that Congress can't ask the American people to cut spending
unless the government does too," Copeland said.
Copeland also said the loss of revenue-sharing funds through
spending cuts would have the greatest effect on local
governments. The funds involve money given to states and
counties without restrictions upon how it is spent.
"Rep. Preyer has talked to officials from throughout the state
and feels that he can vote to cut the state share without too much
opposition. The counties' share, however, probably won't be
changed," said Copeland.
Gary Pearce, press secretary for Gov. Jim Hunt said the
governor completely backed Carter's new budget proposals.
"In a cabinet meeting the other day, Gov. Hunt said that it
See BUDGET on page 2
& S s
' V v
Although Thursday's gloomy weather belied the arrival of spring, these
brave daffodils scorned the climate and seemed to foretell sunnier days.
As the season progresses many more showy reminders will divert
students' ever-lessening attention span away from studies.
N.C. congressmen find oil tax vita
By GARY TERPEMNG
Staff W riter
Director of Student Aid William M. Geer said
Thursday the Faculty Council Committee on the
Status of Women distorted and misinterpreted data
in its report on financial aid at UNC.
In a report prepared by the Office of Student Aid
for presentation to the Faculty Council Friday, Geer
writes, "While we (the Office of Student Aid) totally
support efforts made to equalize opportunities for
women as well as other under-represented groups on
this campus, we must strongly admonish the
committee on the manner in which it presented its
findings, which were inaccurate and unsubstantiated
with regard to the operations of this University's
student aid office."
Geer said data in the committee's report comprises
all financial aid on campus, but the office of student
aid administers only about 22.5 percent of that total.
The remainder includes sources like corporate and
private donations, veteran's aid and More head
scholarships, he said.
But from the point of view of the University,
Committee on the Status of Women Chairman Joan
W. Scott said Thursday, the total financial aid sum is
what is important.
Scott also said the report does not charge the
Office of Student Aid with discrimination but simply
requests that the Faculty ask the
office to investigate and explain reasons for the
financial aid situation at the University. She said the
charge of discrimination is a misinterpretation by
Geer of the committee's report.
Assistant Director of Student Aid Kathy F.
Wright said Thursday the diverse nature of sources
of financial aid prevents an overall assessment of
inequities and disparities in awards.
"If the Committee on the Status of Women were to
look at all the sources which make up the categories
of funds," Wright said, "they would have to point
their finger at someone else."
Wright said the Committee on the Status of
Women obtained its data from the annual report
prepared by UNC's Office of Institutional Research
for presentation to the Office of Civil Rights in
Washington. The OCR report is based on all
financial aid funds available at the University, she
The report prepared by the student aid office states
that of the $34,775,469 in funding provided for
students at the University during the 1 978-1979
award period, the office was responsible for the
direct administration of $7,847,964.
In a breakdow n according to category of financial
assistance for which the Office of Student Aid is
responsible, the report indicates that women
received: 61 percent of grant funds, 47 percent of
loans funds, 60 percent of scholarship funds and 55
percent of income from the College Work-Study
"We do not deny there is an overall disparity in the
funding of femalesat this institution but merely point
out this disparity is not occurring with funds
administered by the student aid office." the report
By JONATHAN RICH
President Jimmy Carter's controversial
"windfall" profits tax is vital to the development
of a national energy program based on
conservation and self-sufficiency, said the
majority of U.S. senators and representatives
from North Carolina.
The compromise version of Carter's bill
taxing the oil industry swept through the House
last week after Republican-led efforts to soften
it were defeated. The $227.2 billion tax bill is
now being debated by-the Senate,-which must
decide either to accept or completely reject a
compromise costing $50 billion more than its
Sen. Robert Morgan, D-N.C, was adamant
in his support for a bill he claimed would
equalize the oil companies' enormous profits
from oil and gas deregulation,
"The senator has favored a "windfall" profits
tax from the beginning," said Gibson Prather,
an aide to Morgan. "Why give the large oil
companies an extra $200 billion?"
Prather said the bill would not discourage
domestic energy production, while the money
collected would be spent to encourage alternate
energy sources and efforts toward a balanced
budget. "Congress is retaining control of this
money, and given the present climate, we don't
see any needless swelling of the federal
bureaucracy," he said.
But North Carolina senatorial opinion on the
matter is divided, and Republican Jesse Helms
plans to continue his opposition to any kind of
"windfall" profits tax. Helms, who is the only
North Carolina official opppsing Carter's bill,
said the legislation would tax the American
consumer and hamper the country's energy
"This is not a "windfall" profits tax, said Sam
Currin, an aide to Helms. "It has nothing to do
with profits it's purely an excise tax on the
consumer. The problem is that it only taxes
domestically produced rather than foreign oil.
It's the silliest thing we could ever do."
Currin said most of the $227 billion from the
tax would be lost in the federal bureaucracy
rather than being passed on to the consumer.
More serious, he said, was the threat posed to
research and production of domestic oil and gas
"We must remember that oil corporations
already are paying large state and federal
taxes," Currin said. "This new excise tax will
curb incentives and diminish potential domestic
production between one and two million barrels
of oil a day by the end of the decade." The
United States currently is importing eight
million barrels of oil to supply almost 45 percent
of its petroleum needs.
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See WINDFALL on page 2
on his experience
By PHIL WELLS
Controversy surrounding sperm banks throughout the
country, especially one for Nobel Science laureates in
California, has triggered much curiosity about how the
banks actually operate.
A donor at North Carolina Memorial Hospital's sperm
bank recently discussed his views on and experience with the
"If I were married and not capable of fathering a child and
wanted children, I would turn to this (the sperm bank)," the
The donor, who first gave sperm in February 1979, said he
decided to do so because he "thought it was intriguing." He
donated semen the rest of the school year and returned to
Chapel Hill twice during the summer to donate.
The purpose of a sperm bank is to artificially inseminate
women whose husbands are infertile.
"People have become more aware of the bank and are
more willing to donate sperm," said Dr. Jaroslav Hulka,
director of the sperm bank at N. C. Memorial Hospital.
The sperm bank was formed in 1970. But in the mid-1970s,
the number of donors began to increase and the amount of
available sperm also increased, Hulka said. Increased
popularity forced the sperm bank to start freezing the semen
so it could be saved.
The number of donors at the sperm bank varies according
to demand, Hulka said. Most of the 30-50 donors are UNC
medical students, he said. But if someone needs sperm which
these students cannot provide, the sperm bank asks for
The bank has had a problem getting black donors, Hulka
said. When a need arises, the bank usually advertises for
donors at both the UNC and NCSU campuses, he said.
"At the time, I was the only black-haired donor, so they
had a demand for a black-haired donor," the student donor
said. The frequency of his donations depended on how often
the sperm bank called for his sperm.
He said he usually donated sperm once a week but
sometimes sperm was needed twice a week. The sperm bank
always required him to wait three days between donations.
Hulka said donors are screened for genetic defects and
blood type. Their sperm is then checked to make sure it will
survive freezing and thawing, he said.
The semen is put in a plastic vial and stored in liquid
nitrogen, which freezes it. The semen can be preserved in this
way for up to two years.
Each woman is screened so she will match the donor and
"minimize the risks of genetic defects," Hulka said.
"Sometimes we get requests but we don't honor them."
Hulka said women are matched to a donor by eye color,
hair color, race and blood type. The husband must definitely
be infertile, he said.
The insemination process lasts about an hour, H ulka said,
but the actual placement of the sperm in the womb takes 15
' r .
W: L y i
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Carol Sloan, research analyst
...studies tank of sperm
The sperm bank pays donors $25 per sample, Hulka said.
Women pay $70 for a sample, which also includes screening
and the insemination procedure. The price is a bargain, he
said. "There's inflation out there."
Sperm bank personnel did not designate how much semen
should be donated each time, the donor said. The number of
sperm in the semen is more important than the amount of
semen, he said. "1 had a high sperm count."
You could do it in your room as long as you got it (sperm)
there (the hospital) within 30 minutes and kept it at body
temperature," the donor said.
But he said he usually went to a public restroom in the
hospital and locked the door. "They didn't have a room full
of magazines to induce sexual arousal," he said.
Before each donation, sperm bank personnel gave the
donor a sterilized cup in which to put his semen. The cup was
labled with his secret code number which was used for
confidentiality, he said.
"1 go by number down there and not by name," he said. If a
woman knew he was the father of her child, she "could claim
a paternity suit against me." the donor said.
"I think it's a very good program." he said. "It has its
advantages over adoption."
The donor said his participation in the birth of a child
definitely ends with his sperm donation.
"They're not my kids," he said. "They're the mother's kids.
There was no act of conceiving on my part."
"I'm just glad I could help."
Forms to arrive soon
enw mciuaea in census
By PAT FLANNERY
Staff W riter
Most Chapel Hill and Carrboro residents will be receiving
their 1980 census forms in the mail during the next two weeks,
and local officials are urging residents to stand up and be counted
to ensure the area receives its share of federal money.
"It is very important for general planning needs to know how
many people there are," said Chapel H ill Planning Director M ike
Jennings. "So much federal and state aid is tied to population."
The local census will be conducted by mail. Off-campus
students, like all local residents, will be receiving their forms
sometime after March 28. The official kickoff of the first census
in a decade is April 1. Residents who do not respond to the U.S.
Census Bureau will be visited by official census counters, or
James Cansler, associate vice chancellor for student affairs,
said University students will be counted as part of the local
population. Dorm residents, however, will not be mailed
questionnaires, but will be visited by the census enumerators.
The mailing process is an attempt to cut down on the cost of
counting people, but since dorm residents are in a concentrated
area, it is possible to use the enumerators, Cansler said.
The figures gathered by the local census will be important in
future planning decisions and town applications for federal
grants, Jennings said.
Both Jennings and Carrboro Planning Director Sonna
I.oewenthal said the 1980 figures should reflect a large increase in
the local population since the 1970 census.
Loewenthal estimated Carrboro's population has doubled in
the past 10 years. Carrboro's population in 1970 was 5.058.
"A lot of our(grant) money is based on shared revenues, which
depends on population," she said. "Our population has changed
drastically since 1970."
If Carrboro's population has doubled, the new population
figure would be more than 10,000, which I.oewenthal said is "the
magic cutoff point" for federal grants.
Jennings said he. hoped the new census would put the
population of the entire local area over the 50,000 mark, which he
said would make the area eligible for more federal funds.
See CENSUS on page 2
Mixed drinks help restaurants
By LEE DUNBAR
Staff W riter
For more than a year Orange County
has been very wet. Vodka Collins, gin and
tonics and pina coladas have flowed
freely in county restaurants.
Since Orange County said yes fo liquor
by the drink in September 1978, 36 local
establishments have opened their doors
Most Chapel Hill owners and
managers of restaurants that serve liquor
by the drink say liquor sales have
increased their business and added
diversity to the local restaurant scene.
But some of the most outspoken
opponents of liquor by the drink remain
unconvinced about the benefit of liquor
"1 think it has caused Chapel Hill to
explode," Jimmy Vine, manager of the
Yacht Club said. "It makes dining in
Chapel Hill a lot more interesting."
Mickey Ewell, owner of Spanky's and
Harrison's, agreed with Vine.
"1 think it has worked really well."
Ewell said. "I think the restaurant
industry has grown in the past two
years.... Overall, it has been successful for
Jerry Williams, executive director of
the N.C. RcstaurantOwners Association,
also said he has noticed an influx of new
Liquor Incret&es business
businesses into the Chapel II tU area.
Some restaurants, including the
Carolina Coffee Shop. Tijuana f at and
Breadman's. have refurbished their
establishments and revamped their
businesses to make wav for liquor bv tlr
"We've enlarged Breadman's becauw
we expect a larger cltentek," said
Breadman's manager Ro I'lvciteilo
Ewell said he thought mixed drink
sales definitely added to business at hi
Wc get people who want a drink wiih
their rncal. who otherwise would go
somewhere else." Ewell said.
Ray Wittenberg, manager of Crook's
Corner Barbecue, said, "We're basically
a food business, but our bar represents
about 30 percent of our weekly gross"
While some owners and manager of
the town's larger restaurants said they
have not seen a great increase in business,
they said liquor sales added to dining out
"We make all our drinks from scratch,
and I think it added a little different taste
to the meal." Brien Smithy of the Aurora
Despite the general positive report
from local rcstaurantcurs about mucd
drink sales, some dr a.tiwts till
question liquor sales
I he Rev. Jack Mansfield, who fought
the passage of liquor by the drink in
Orange County, said. "People are still
drinking. And liquor by vc drink has
increased that drinking due to the great
acccssibilitv. I.stablishmenu tan sell
liquor from seven in c morning to one
the next morning I hat means the
business nun who wouldn't have a drink
before lunch might have twoor three, and
alter ork, another to. I hat begin the
Bui Williams- sjid "Die person who
See LIQUOR on page 2