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About The Battalion. (College Station, Tex.) 1893-current | View Entire Issue (Oct. 17, 1984)
Page 14/The Battalion/Wednesday, October 17, 1984 Budget cuts Texas loses $2.4 billion in federal funds American Airlines to contend court ruling United Press International AUSTIN — Federal budget cuts sponsored by U.S. Rep. Phil Gramm of College Station during the Rea gan administration has cost Texas more than $2.4 billion in public as sistance funds, according to a study released Tuesday. The report by the American Fed eration of State, County and Munici pal Employees said if Reagan’s 1985 budget is adopted by Congress, Texas will lose another $1.2 billion in money for social programs. “The Reagan years have brought on difficult fiscal times for Texas state and local government,” the re port concluded. The budget cuts have cost Brazos County more than $7 million or $77 per person annually for people on welfare, said Peter Fears of AFSCME Local 1624, which rep resents about 10,000 public workers in Texas. United Press International DALLAS — A high school foot ball coach, who was awarded $850,000 in damages by a jury that ruled he was fired from his job at a sredominately black school because le is white, said he is ready to coach again. A federal court jury decided Mon day that Norman Jett was unfairly dismissed in March 1983 as coach and athletic director at South Oak Cliff High School because of his race. He was replaced by a black coach. The jury also ruled that Jett was Gramm originally was elected as a Democrat, but resigned and ran as a Republicanand won his current seat. AFSCME has endorsed Democrat Walter Mondale and Gramm’s Dem ocratic opponent in the U.S. Senate race, state senator Lloyd Doggett. Fears said the budget cuts have forced local and state government to raise taxes to partially offset the loss of federal funds. “Texas’ middle income families are also adversely affected as local taxes increase to meet the gaps in services cut by the Reagan adminis tration,” Fears said. “People have been hurt across the economic spec trum.” The study of the effect of budget cuts in Texas was undertaken by AFSCME as part of a $20,000 study of eight states, Fears said. The Texas study detailed 62 of Texas’ counties, representing 80 percent of the state population. denied his constitutional right to due process. Jett had asked for a minimum of $150,000 in damages, but the jury awarded him $650,000 in actual damages from the Dallas Indepen dent School District, and $150,000 in actual damages and $50,000 in punitive damages from principal Frederick Todd, who recommended Jett be replaced. “It was pretty evident that the coach was railroaded,” said jury foreman David Burton. “There was no evidence to substantiate his Fir ing.” The study said the most severe re duction in direct assistance to indi viduals came in the food stamp pro gram, which was cut by nearly 6 percent. Among the hardest hit counties were La Salle, Starr, Edwards, Za- vola, Real, Willacy, Zapata, Kinney, Maverick and Dimmit. Among the examples cited in the report were: — In the Aid to Families with De pendent Children program, benefits were eliminated for 8,119 recipients and reduced for another 4,050. — Medicaid benefits were denied to 30,000 recipients. — Aid for child nutrition pro grams was cut in a range from 6 per cent to 86 percent. — More than 6,800 public service employment jobs were eliminated. — Compensatory education assis tance was eliminated for 65,000 chil dren. to coach Since turning down a position as freshman coach at Thomas Jeffer son High School in the fall 1983, Jett has worked as a building contractor. He said he did not want to pursue another coaching position until the legal case was settled. Jett had been at South Oak Cliff for 21 years and was head coach there for 13 years. Twenty of Jett’s former players have made it to the pros, including Dallas Cowboys Har vey Martin and Michael Downs, and San Diego Chargers running back Wayne Morris. United Press International NEW ORLEANS — American Airlines vowed Tuesday to ask the Supreme Court to free it and its president from facing charges in an alleged conspiracy to fix fares with Braniffin 1982. Spokesman A1 Becker said company lawyers would ask the high court to throw out a ruling by the 5th U.S. Circuit Court of Appeals, which cleared the way for prosecution of the airline and president Robert Crandall. The 5th Circuit said Monday agreement by two parties was not necessary for the government to bring suit under the Sherman Anti-Trust Act. Both airlines are based in Dallas, though Braniff is now owned by a company head quartered in Chicago. The court overturned dis missal of the anti-trust complaint, saying the government suffi ciently presented charges that if proven would constitute an at tempt to create a monopoly. “The better reasoned authori ties support a view that a highly verbal crime such as attempted monopolization may be estab lished by proof of a solicitation along with the requisite intent,” wrote Judge W. Eugene Davis. Former Braniff Chairman Howard Putnam did not raise his airline’s rates after the telephone conversation with Crandall. In stead, he turned a tape recording of the conversation over to the federal government. In September 1983, U.S. Dis trict Judge Robert M. Hill of Dal las ruled that because Putnam never agreed to raise Braniffs rates, no attempt at a monopoly took place. The government’s lawsuit asked that Crandall be removed as American’s president for two years and the company be pro hibited from discussing prices with competitors for the same length of time. The 5th Circuit said Braniff and American together enjoyed a market share higher than 90 per cent on nonstop flights between Dallas-Fort Worth International Airport and eight major cities when the conversation took place in February 1982. American and Braniff were vy ing fiercely for business, a situa tion Crandall’s phone call alleg edly sought to remedy. “I have a suggestion for you,” the American president was quoted as saying. “Raise your goddamn fares 20 percent. I’ll raise mine the next morning.” When Putnam insisted the subject was illegal, Crandall allegedly fired back, “We can talk about any goddamn thing we want to talk about.” According to the 5th Circuit, other federal courts have gener ally rejected a rigid approach to anti-trust prosecution, choosing instead to consider a case’s partic ulars. 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