The Daily Register VOL. 98 N0.3 SHREWSBURY, N. J. TUESDAY, JULY 1, 1975 15 CENTS ^Unacceptable9Senate fiscal plan sets stage for Trenton cold war By JAMES H RUBIN the reductions became offi- In a brief televised address with the state's financial and — An increase In the corpo- said they were illegal since cial. from his outer office, Byrne educational needs. rate income tax, from 5.5 per the state constitution requires TRENTON (AP) - Gov. The Senate meeting, which plainly indicated he had not The administration has esti- cent to 7.5 per cent, to pro- that tax-raising measures Brendan T. Byrne and his al- produced a bipartisan agree- abandoned an income tax mated it will take about 1750 duce $90 million. originate in the Assembly. lies In the Assembly were in ment on approximately $330 even though the Senate re- . million in new revenue to — Taxes on bank stock Moreover, they said, the spe- open, bitter conflict with the million in taxes, set the stage jected the idea five times in meet those need). transfers and savings and cial session was a futile ges- state Senate today after an for what is expected to be a the last year. The tax package approved loan buildings, $20 million. ture since Byrne and the As- extraordinary midnight ses- protracted war of nerves over by the Senate before it ad- — A penny increase in the sembly have said they won't sion in which the Senate ap- the solution of New Jersey's "I will not be panicked into journed this morning in- cigarette tax, now at 18 cents, go along. proved a variety of taxes de- fiscal problems. any hasty, inequitable solu- cludes : for $8 million. Supporters of the program signed to restore most of the Earlier yesterday, Byrne tion that does not do the job," , — A penny increase on the Critics of the taxes See Seaale, page 2 {314 million in administration and the Assembly Democratic Byrne said. "I am hopeful 5 per cent sales tax to raise budget cuts. leadership served notice that there will be agreement on a about f 1(0 million. Today marked the first day any so-called nuisance tax revenue program that deals — Increased car and truck of the nenj fiscal year when package was unacceptable. lly and responsibly" registration fees, $50 million. Byrne aide may sue Bedell TRENTON (AP) — Antagonism between the state admin- istration and some Democratic senators was underscored yes- terday by the disclosure that a counsel to Gov. Brendan T. Byrne, Mrs. Jerry English, was considering a libel suit against Sen. Eugene Bedell, D-Monmouth. Bedell was quoted in a news account as saying the admin- ADMINISTRATION WANTS TO SUE - State Sen. istration offered state aid to benefit his constituents last week Eugene J. Bedell, D-MonrViouth, talks to Assem- in return for his support of an income tax. blyman Edward Hynes (back to camera) outside Although Bedell mentioned Mrs. English directly in the the State Senate Chamber In Trenton yesterday. published report, he said yesterday she made no offers herself The legal counsel to Gov. Brendan Byrne raised for his vote. Bedell voted against the tax. the possibility of a libel suit against Bedell. County school heads fired as cuts begin TRENTON (AP) - The two weeks notice or one week the eight state colleges. Rut- $535 a year tuition. The pro- Byrne administration's dras- plus vacation time, he said. gers, the state university, the posed increase, urged by tic reduction of the new state Members of the governor's 17 county colleges and the Byrne last week to make up budget began to be felt yes- cabinet were told to draw up state medical school. some of the cuts, would hike terday when the firing of 21 dismissal plans for employes Chancellor of Higher Edu- tuition to about $800 a year at county school superintendents in their departments and send cation Ralph Dungan called a the eight schools. FIGHTING CONTINUES — Three armed men ad- have been killed and 800 wounded In continued and 56 workers in their of- them as fast as possible to meeting of the state Board of Rutgers sets its own tuition vance near barricade barrels on a Beirut street fighting In Lebanon this week, fices. the state treasurer's office for Higher Education for (.30 which is now $505 a year but during fighting yesterday. More than 200 people The governor's office re- approval. The final decision p.m. today at the Educational the state board was expected tracted late last night, a on layoffs will be made by Testing Service Conference to urge the university's board statement earlier in the day Byrne, his aide said. center in Princetpn to consid- of Governors to order a sim- that 333 employes of the State The governor's budget cut- er an immediate 50 per cent ilar 50 per cent increase. Agricultural Experiment Sta- backs included a 150 miUlon increase In state college tui- The state board sets the Beirut street fighting rages tion at Rutgers University reduction of funds for public tion. celling for the county colleges had been dismissed. higher education, including The colleges now charge See Stale Jobs, page 2 A spokesman for the gover- nor retracted the statement after Rutgers officials pointed as death toll mounts to 210 qut that employes at the sta- BEIRUT, Lebanon (AP) - heaviest one-day toll since the lice broadcast appeals to a midnight radio broadcast tion were paid by the univer- Bond ratings down Savage street fighting raged fighting broke out last snipers to stop firing on am- reported the official an- sity and would be laid off by unabated through the night Tuesday. bulances and trucks. nouncement of the new gov- the university if cuts In state and into the eighth day today funds supporting the facility Terrified noncombatants "Corpses are scattered ernment was held up until while Lebanon's new "recon- today by last-minute snags in made It necessary. ciliation cabinet" squabbled stayed at home with window about streets and alleyways," The governor's aide said shutters closed. All shops and, reported one resident in the the allocation of cabinet jobs. for agencies, towns about ministerial appoint- The reported cabinet lineup dismissal notices were sent to ments. business houses were also eastern suburbs, where Chris- College. All went from a Aa tians, Moslems, leftists, right- represents all of Lebanon's 21 county school superinten- By BEN VAN VLIET problems," said Moody's, Casualties increased to closed, and most streets were dents, who are state employ- rating to an A-l rating. "we can no longer assign it left to the fighters and the ists and Palestinian guerrillas major religious sects. Karami more than 210 dead and began fighting each other last is a Sunni Moslem, former es, and to 56 other state em- RED BANK - The often The lower ratings follow our top rating." nearly 1,000 wounded as security forces trying in vain ployes In the superintendents' reported lack of confidence in Moody's reduction in rating of. to check the bloodshed. week. President ChamlUe Chamoun The seven Monmouth bond armed Moslem and Christian a Maronite Christian, Philip offices. the administration of Demo- state bonds several weeks issues rated downward were factions battled with mortars, Fires raged in buildings hit The government television Takla a Roman Catholic, The new budget was to take cratic Gov. Brendan T. Byrne ago, which went from Aaa to Asbury Park School bonds; machine guns and rocket-pro- by rockets or dynamite. station announced yesterday Ghassan Tueni an Orthodox effect today without the $384 has made itself felt in nation- Aa. Hazlet Township school pelled grenades. A total of VI The government radio that Premier-designate Rash- Christian, Adel Osseiran a million Gov. Brendan T. al financial circles. "Although good security is bonds; Howell Township dead were reported in the 24 warned that no street In the id Karami had finally put to- Shllte Moslem and Majid Ar- Byrne slashed from the Yesterday, Moody's Bond provided for the state's school bonds; Keansburg hours ending at dawn, the city of 700,000 was safe. Po- gether a six-man cabinet, but slan a Druze Moslem. spending program last Friday Survey, one of the most re- bonds," Moody's said yes- school bonds; Long Branch after the New Jersey Senate spected weekly financial pub- terday, "the current policy of school bonds; Manalapan- failed to pass his proposed in- lications, downgraded the the state In facing its revenue Englishtown school bonds and come tax to close a deficit of bond rating of both the New problems and Its general Union Bejcji school bonds. that size. Jersey Highway Authority, bonding program is open to The cause of all this is an GAO asks for data on fort The governor's aide said which operates the Garden serious doubt about its ability overall lack of confidence in Byrne's original estimate that State Parkway, and that of to be decisive in face of need." the Democratic adminis- cutbacks would cost 2,000 jobs the New Jersey Turnpike Au- Umemploymeit cited tration says Jerome U. had risen to some 4,000 em- thority. In addition, the newsletter Burke, president of Underhill ployes, unless Byrne and leg- Since their Inception, both said, the state cannot tap Associates, a Red Bank in- move's economic impact islators agreed on a revenue the authorities had been rated available wealth to meet vestment banking firm. plan to restore funds to the as Aaa, the highest rating. present needs; unemployment Byrne blamed By SHERRY FIGDORE legation for additional infor- The three congressmen had said the three congressmen budget.