Brown and White Vol. 82 no. 14

              brown and white 866-033 i vol 82 no 14 friday november 6 1970 u finonces(-$274,000 a difficult problem by steve glickstein there is an old tale that at the end of a rainbow is a pot of gold this year several colleges and universities may find it nec essary to follow that route to remain fin ancially solvent although no one at lehigh has started searching for rainbows the fiscal problems facing the university are quite real president w deming lewis calls it the most serious problem we face today over the last fiscal year the university incurred an operating deficit of 274,000 its first since 1930 however this is not as gloomy as it seems around the entire country private schools are suffering seven of the eight ivy league schools lost money last year some incurring fantastic losses columbia for example lost 11 million last year and ts facing a possible 15 million deficit this year by comparison the university's deficit is small moreover according to univer sity treasurer elmer glick last year's deficit ran far below the 4 25 000 that was projected luckily short term interest rates soar ed to eight percent much higher than bud get planners liad anticipated consequently the university earned more on these investments lowering the deficit by 150 000 to make up for the remainder the university was forced to take 100,000 each from the 1967-68 and 68-69 annual giving campaign funds the remaining 74,000 was charged against surpluses amassed m rosier years for the current fiscal year the budget has been planned to break even however glick cautioned against too optimistic an outlook for 1970-71 it is still too early to tell whether we'll stick to our budget said glick utilities especially oil have already gone up since our budget was completed moreover congress is con sidering an increase m the social security rate and base this would result m added cost m the form of increased payments to labor still another discouraging sign has been the drop of the short term inter est rates which helped the university last year these are the types of things we have no control over complained glick " and so we're goi ng to have to cut expanses or suffer what are tha reasons for the university's financial problems the major cause ts the unusual state of the national economy where there is a com bination of both inflation and recession thus while university costs conti nue to soar several traditional sources of income have declined last year the university's endowment fund dropped by almost 7 million due to the slide m the stock market income was reduced by the interest lost from these funds another souce of income gifts are likely to be adversely affected by the economy according to paul franz vice concert procol harum will play m grace hall on saturday nov 21 tick ets will cost 2__so and will go on sale m the near future living group sales might be limited to 55 every attempt is being made to have an early performance m order to avoid conflict with previous living group plans fragmentation editorial the letter from w.d lewis university president to prof ferdinand beer forum chairman presented on page three m total prompts this editorial the first important point m it is made m the fourth paragraph a related con cern is that once the first mags married and graduate student unit is built as planned m the valley economics will dictate the construction of all future housing on that site that statement may classify as the understatement of the year the economics will undoubtedly dictate such a program if the university wishes to avoid another monocacy creek entanglement it should decide what is most important does the university spend money and meet com mitments to the community or does it do what is right for business and go to the valley in the three points made after this statement the most important concerns the fragmentation argument one of the major concerns is to not fragment the residential campus by putting housing m the saucon valley fragmentation has begun by stating that a major concern is to keep the academic community m a single unit and that we are reluctant to use for housing those areas which we see as needed for future academic development the implication is there will be no more housing built on the present campus therefore the university must go to the valley or further expand into the city in an effort to avoid fragmentation the u mversity is fragmenting the campus about as much as geographically possible social inequalities based on sex roles by walt wilczynski before an audience of " a lot of friends and not too many sisters gloria steinem and dorothy pitman prominent figures m the woman's liberation movement spoke wednesday night m a packed packard lab auditorium tmv lecture was sponsored by the forum for visiting lectures committee we live m an age when an awful lot of myths tiave broken down said miss steinem yet they're still so burled ln o-urhead that we still sometimes act according to them she said that the reason for their speaking was to eliminate some of these myths not to tell women what they should and should not do miss steinem said that one of the most widespread myths was the physical superiority of men according to miss steinem " women are so much more durable than men they're more resistent to all types of disease and according to the ama their emotional stability makes them potentially better drivers than men she said that what is defined as feminine and masculine has only to do with culture not physical attributes there is much more about us that is human and the same not race and sex-oriented and different she said b&w photo mccormick miss gloria steinem and mrs dorothy pitman answer questions from the audience during their lecture on women's liberation m packer lab auditorium wednesday night saucon-monocacy background by george j bancroft editor's note this is the first of several articles concerning lehigh university's purchase of land m the saucon valley for graduate housing and the ramifications of the univer sity's withdrawal from the monocacy creek graduate housing project a deed filed last week m northampton county court m easton confirms the pur chase of 82.2p3 acres of land m saucon valley by the university for 400,000 the property located between research center rood and route 191 m bethlehem was purchased from joseph and anna duh the deed was recorded by raymond hag gerty of the taylor and haggerty law firm m bethlehem the purchase culminates 10 years of effort to acquire the land and a three year misunderstanding between the bethlehem redevelopment authority and the uni versity over building graduate housing m the monocacy creek urban renewal area the duha retained five acres of land a house a barn and outbuildings on the tract that totalled about 90 acres lehigh's withdrawal from monocacy creek wee made public sept 29 since then much criticism has been directed at the university by city officials by resi dents and by lehigh students lehigh officials have explained the decision was based on the university's may decision to go coed necessitating vast expansion not possible ln the 1 fi acre monocacy tract and on the high costs of financing loans that would be needed to build m monocacy creek due to high construction coats however other factors were involved m the decision in the original bill of sale on the monocacy creek dated june 5 1968 the university agreed to pay real estate taxes on the land the price of the land was 225,000 the university had planned to build a 4.5 million graduate housing center on the land m three phases of 150 units each during the two years the university held the land it could have invested the 225,000 at five percent a year which would have earned 28,125 interest from june 1968 to december 1970 also during that period it paid taxes on the land assessed at 60 percent of its value or 135,000 taxes to the city county and school district for the two years came to 16,027 if the graduate housing had been built on schedule 1969 the university would have paid 105,582 over a two-year period of 1.48 million of buildings assessed at 60 percent or 888,000 since the purchase the university lost at lea=;t the interest plus the taxes on undeveloped land or 44,125 according to carl smith director of programs for the state department of community affairs m harrisburg the university will pay no taxes on buildings or land m the saucon valley he also said no legislation is being proposed or talked of that would tax graduate housing by moving the project lehigh will save a lot of money paul franz lehigh's vice president for development said the university had to offer to pay the taxes on the land to convince the bethlehem redevelopment authority bra to sell lt te lehigh augustine concilio co-ordlnator for see real page 3 see unbroken page 4 see government page 4