This Is the last Issue of tho
Dally Tar Heel for 1970-77.
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Heel will begin publishing
Thursday, May 28. The Dally
Tar Heel takes one last look
at the year on pages 16 and
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Serving the students and the University community since 1893
Thursday, April 28, 1977, Chapel Hill, North Carolina
Volume No. 84, Issue No. 141
By BERNIE RANSBOTTOM
A UNC student who says he allowed
himself to be talked into buying insurance
which he did not want and later found that
he really didn't need is encouraging other
students to examine fully policies before they
sign. The student, Reed Johnston, says he
wants to "help keep what happened to me
from happening to other people."
Johnston first became concerned about
the value his policy had for him when he read
an article about the shortcomings of student
insurance policies in the March 1977 issue of
Consumer Reports. .
The article examined several life
insurance policies sold exclusively to college
students and found five problems inherent in
these policies: "(1) They're not needed. (2)
They're too small. (3) They're the wrong
type. (4) They contain riders of dubious
value. (5) They're too costly."
Consumer Reports singled out the
Fidelity Union Life Insurance Co. of Dallas
as the biggest dragon in the college insurance
business. Fidelity Union has an office in
Chapel Hill, and at least a few of their UNC
customers seem to agree with Consumer
Reports' assessment of the company.
Johnston was first contacted by Fidelity
Union last semester when one of its local
agents called and encouraged him to "Come
in and just see what it's like." Johnston
wasn't interested in buying insurance and
A few weeks later, the agent called him
again. Johnston attempted to discourage
him by saying that he couldn't think about
buying insurance until after Christmas. But
Fidelity Union called back in January, and
Johnston decided to go talk to them so they
would leave him alone. He ended up buying
a "President's Preferred Life" policy.
What finally convinced Johnston to buy
was a list of policy holders which the Fidelity
Union agent showed him. "I only knew a
couple of them, but I thought they had pretty
good sense, so I figured it must be good,"
His father's lawyer did not agree that the
policy was such a good deal, especially as
Johnston was covered under his father's
policy, and advised him to cancel it. He did
so, and was charged $22 in penalties in
addition to the $37 he originally paid to start
"The insurance might be good and it might
not," Johnston said, "but I didn't want to
mess with it" after reading the Consumer
"The agent claimed that article was
prepared by some guy who wanted to work
for them to get back for spite," Johnston
said. "But, I mean, Consumer Reports isn't
supposed to be like that they're supposed
to be pretty all right. They wouldn't let
someone like that write an article.
"He said they could sue Consumers Union
for printing the story, but they wouldn't do it.
because it would take too much time,"
Johnston said. "It would seem to me that if it
false, the company would take the
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By MARK ANDREWS
When Southern Bell took over telephone service in Chapel Hill April 1 , rates went up
and installation fees increased. It also was announced then that phones in the Union
no longer would be free, but so far they are and will continue to be until new
equipment is installed this summer. Staff photo by Bruce Clarke.
The Chapel Hill Board of Aldermen directed its
attorney Monday night to look into the possibility of
preventing Southern Bell from raising telephone
installation rates from $7.50 to at least $20.
But utilities experts agree that since Southern Bell's
installation rates are uniform throughout the state, there
is probably little that can be done to prevent the rates
Reactivation of phones already installed will cost $20.
Installing new phones will cost $24.
Alderman Marvin Silver said Tuesday that the high
rates hit students the hardest. He said it is total insanity
for students to have to go through the $20 installation
process each year.
'Tm hoping we can convince Southern Bell or the
(N.C.) Utilitites Commission that there are special
conditions here," he explained, noting that the attorney,
Emery B. Denny Jr. will report soon to the board what
legal recourse the town might have.
Any protest of Southern Bell's rates would have to be
made through the N.C. Utilities Commission.
Robert Gruber, special deputy attorney general for
utilities, said Monday he saw little chance of success in
getting the installation rate lowered. The company's
rates are uniform throughout the state, he said.
Consumer advocate Lillian Woo agreed with Gruber,
saying that because other Southern Bell customers pay
the $20 rate, students and townspeople are probably
f ' ' ' i
Cohabitation on rise at UNC,
but unmarrieds living together
still must deal with difficulties
trouble to defend their reputation."
Fidelity Union's largest-selling college
policy is its "CollegtMaster." One of the
Please turn to page 15.
By MERTON VANCE
Cohabitation, or unmarried couples living
together, is becoming increasingly popular
in the United States, and the phenomenon is
not unknown among UNC students.
When Rep. Morris Udall of Arizona
visited UNC not long ago, he brought a
message from the White House.
"If any of you are living in sin, knock it
off, he said. Students laughed. President
Jimmy Carter, a few days earlier had urged
any members of his staff who were living
together but not married to stop "living in
Regardless of how one looks at unmarried
cohabitation, this way of life seems to be
growing in the United States. In New York
and California, marriage counselors
estimate that 10 per cent of their clients are
The Wall Street Journal recently reported
that more and more businesses are aiming
advertising at unmarried couples. Marketing
surveys indicate that the number of unwed
couples living tohether has increased by 50
per cent since 1970, and they are estimated to
total more than 600,000.
Such advertisements carefully avoid
showing young couples wearing wedding
rings or surrounded by many children. '
In North Carolina, unmarried'
cohabitation is illegal. It is a misdemeanor
punishable by a $500 fine and up to six
months in prison.
But most couples who decide to live
together manage to get around this.
One UNC female student rented an
apartment with another woman, then moved
in with her boyfriend while retaining the old
apartment as a mailing address. She and her
boyfriend have been living together for most
of the school year and plan to get married
when school is out.
When her parents, whom she describes as
very conservative, plan to visit, she moves
her belongings back into her old apartment
so her parents still will think she is living with
another female student.
Landlords in Chapel Hill tend to have
varied reactions to unmarried students, but a
number of them simply don't ask questions.
In other cases, the cohabitating students just
let people believe they are married.
Still other couples make mutual
agreements. Two women will rent an
apartment, and two men will rent an
apartment. Then they swap roommates.
Even though cohabitation is illegal, it is
very difficult to detect and prove. Also,
people in Chapel Hill tend to be a bit more
lenient when they learn of such living
"In this general area, there seems to be a
fair amount of acceptance," said John
Reinhold, who is a counselor for the student
mental health office of the Student Health
Service. The service offers "couples
counseling to unmarried couples as well as
to married students.
. Reinhold said it is hard to estimate exactly
how many unmarried students use the
service, but he said it is not uncommon for
cohabitating students to come talk to a
A common problem the couples face,
Reinhold said, is trying to decide whether to
Reinhold said that even though students
might be committed to each other and very
Please turn to page 2.
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With the cost of Japanese stereo
equipment going up next month, now is
the best time to buy a sound-system.
Recent tariff increases have led to higher
prices. Staff photo by Bruce Clarke.
stuck with the rate increase.
"They (Southern Bell) take all the expenses and
average them out and apply them uniformly throughout
the state Woo said. She added that the high cost of
business phones causes the rates of residential customers
Mike Carson, manager of the Chapel Hill office of
Southern Bell, said that Southern Bell, as a private
enterprise, has costly expenses that the phone system did
not have when it was owned by the University. He listed
state and federal taxes, a 6 per cent gross receipts tax and
depreciation as extra expenses.
"We have to include a lot of costs of doing business,"
he said. Some 55 cents of every dollar goes to these
expenses. The University did not have these."
He defended the $20 installation charge, saying,
"Connecting telephones is an expensive operation."
Please turn to page 15.
Time for buying
stereos is now;
prices going up
By ROBERT THOMASON
If you are in the market for a new
stereo, the time to buy is now because
jprices are going up.
Japanese stereo equipment will rise in
price next month due to a 15 to 20 per
cent tariff levied April 12 on all
Japanese electronic goods by a U.S.
Customs Court in New York.
In an effort to protect the U.S.
electronic goods industry, the Zenith
Radio Corp. brought litigation against
the Japanese exporting companies to
make the prices of U.S. electronic goods
"Ninety per cent of all electronic
stereo equipment sold in this country is
Japanese," Steve Gronback of Stereo
Sound in Chapel Hill said. "Sales are up
now, but by May or June it will be
tougher to sell things."
Jim Steele, manager of Soundhaus,
said the price increase will be passed on
to the consumer. "The companies will be
Please turn to page 7.
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Minorities admission: reverse discrimination a possible result
By TONY GUNN
The second of two parts
In 197 1 a high school senior named John applies to
the University of North Carolina at Chapel Hill. He is
black. He has made good grades in high school, but he
scored 750 on the Scholastic Aptitude Test (SAT).
He is denied admission.
About five or six years ago, the Office of
Undergraduate Admissions realized thatj the scenario
described above actually was taking place: low SAT
scores were cutting off access to UNC for a certain
segment of North Carolina.
!We felt uncomfortable for not admitting the
students who had a low SAT but high grades," says
Richard G. Cashwell, director of Undergraduate
Admissions. "We also realized that few minority
candidates scored 800 (or higher) on the SAT.
Cashwell called the College Board, the group that
designs and grades the test. The board told him using a
test cutoff is not how to run admissions.
"So we decided to admit the student on an
experimental basis," Cashwell says. "We figured they
would do well."
And they have. "We're keeping a lot more than
we're losing. It's now a normal program, not
Of the 2,900 students in this year's freshman class,
193 are black.
His office, Cashwell said, is not in the process of
reverse discrimination in the sense that the term is used
nowadays by students bringing suit. "At any time a
student could make a case for discrimination, whose
objective criteria (such as grades and SAT) are greater
or less than another."
But Cashwell points out that the University admits
some students with special talents and abilities.
"The youngsters who have the motivation to
perform well in high school will perform well in
college," Cashwell says. "You are discriminating
against people, but for the right reason. It's difficult to
categorize anything in this office as reverse
The University has no quota for blacks in admitting
undergraduates, but blacks are recruited.
"We used not to visit black high schools," Cashwell
says. "But now if one is predominantly white and one
is predominantly black, we visit both."
During the first two weeks of April, the Office of
Student Affairs and the Black Student Movement
coordinated Project Uplift, a program for high school
"We acquaint the students with the University,"
Cashwell says. The program is open to all, but the bulk
of the participants belong to minorities.
The program tries to give students a picture of the
campus and its racial aspects. "It's more difficult for a
black to adjust to a white-majority school, both
academically and socially," Cashwell says.
"We probably try a little harder with minorities
because they do not have the tradition of going to
The thought of what the U.S. Supreme Court might
decide in the Allan Bakke case worries Cashwell.
Bakke, a 37-year-old, was twice denied admission to
the University of California at Davis' medical school.
He insists that because the admissions policy gives
special preference to minorities, he is a victim of
Bakke says, and the university admits, that he
Hunt feels affirmative-action policy works
probably would have been admitted had it not been
for the policy.
"The dangerous thing is that it's conceivable they
could mandate admission based on grades, the grade
average and tests," Cashwell says.
That thought frightens him. "Who computes the
grade average?. Who decides whether one teacher is
better? Or the course? Or the high school?"
"We feel like we have been equitable to everyone
who applies," Cashwell says. "But we're human, and
we make mistakes."
By TONY GUNN
"The University's affirmative-action policy starts
from the premise that you may not invidiously
discriminate in hiring." says UNC's affirmative-action
Vice Chancellor for Administration Douglass Hunt
says that the University's affirmative-action program
has been effective since. its inception almost four years
"People who make (employment) decisions have to
make them in accordance with procedures," Hunt
"More than nc (department) chairman has told me
we do a better job of hiring because we see a broader
spectrum of applicants."
In a memorandum included in the affirmative
action plan and report for this year, Chancellor N.
Ferebee Taylor outlines the employment policy:
1) To recruit, hire, train and promote persons
without regard to race, color, religion, sex or national
origin, except where sex is a bona fide occupational
2) To base decisions on employment as to further
the principle of equal employment opportunity;
3) To insure that promotion decisions are in accord
with principles of equal employment opportunity by
imposing only valid requirements for promotional
4) To insure that all personnel actions such as
compensation, benefits, transfers, layoffs,
terminations, sponsored training, education, tuition
assistance and social and recreational programs will
be administered without regard to race, color,
religion, sex or national origin.
"This program is not utterly preventive," Hunt said.
But they (employers) go through steps likely to
eliminate discrimination, and they must say they did.
"If we find something wrong, we could go back to
If an error in the procedures is made. Hunt says,
then the process can be started again.
"We really are trying, all of us, to find minorities.
And we have improved the situation."
In 1973 14 blacks were on the faculty, Hunt says.
Three years later, the number increased to 36.
Each time a faculty member is appointed, the
department must give the following information:
Name, race and sex of the candidate being
Steps taken to identify other qualified persons
of either sex or any race for the appointment.
Name, race and sex of each person considered but
not recommended for the appointment.
Reasons for recommending the appointment of
the candidate rather than any other person considered
for the appointment.
Somewhat similar procedures are required for
reappointments, nonrenewals and terminations.
"Some way has got to be found to provide more
spaces for black students to engage in post
baccalaureate and other degree work," University of
North Carolina President William C. Friday says.
"We must provide a larger pool of black
professionals if we're to move ahead in establishing a
The state presented its plan to eliminate racial
duality to the deapftment of Health, Education and
Welfare (HEW) in 1974. HEW approved it, citing the
state as doing the job it was supposed to; the plan
could even be used as a model for other states to
Yet on April 1, District Court Judge John H. Pratt
directed HEW to invalidate the plan and formulate
guidelines for new plans.
In. the ruling, Pratt wrote: "The desegregation
process should take into account the unequal status of
the Black colleges and the real danger that
desegregation will diminish higher education
opportunities for blacks."
He noted that the National Association for Equl
Opportunity in Higher Education "has consistently
voiced its concern about the possible adverse effects of
state plans on the future of Black colleges and their
primary mission of education of Black Americana.'
'One such predominantly black school is the School
of Law at North Carolina Central University in
Please turn to page 3.