December 18, 1972

Radical new procedures being devised by new Cong com to give Cong more control over Govt spending include allowing Cong, after reviewing President's annual budget, to adopt rigid over-all spending ceiling each yr and binding itself not to pass any appropriations bills exceeding ceiling; in addition, any bills creating new Govt programs or revising old ones would have to be passed by 2/3 vote of both houses if they would commit Govt to spending in violation of ceiling; measures would allow Cong, for 1st time, to debate econ policy; new joint com to study Cong budgetary reforms discussed; Repr A Ullman outlines budget-control procedures he would like to see

US Sens, Dec 17, express disappointment at negative turn in Paris peace talks; it is not clear whether they will renew criticism of Nixon Adm's Vietnam policies; Repub Sens suggest that keeping matter under control was one of the pol purposes behind the decision to have Kissinger break secrecy on talks and give a pub accounting; question being raised is whether a Dem controlled Cong will be as tolerant and docile if no accord is reached when Cong reconvenes on Jan 3; Sen McGovern's immediate reaction is that Adm had 'misled' people into believing the war was virtually over; says Cong action may be needed to end US involvement; Sen Mansfield suggests there will be a renewed attempt in the Sen to force an end to US involvement; comment by Sens Scott, Fulbright, Dole, Saxbe, Dominick and Buckley

Rhodes scholars announced; list; scholars J M Petkevich and T Valenzuela por

NYC Budget Dir Grossman on Dec 17 questions Fed calculations of revenue-sharing funds allocated to NYC; will confer on Dec 18 in Washington with Treasury Asst Sec J E Smith on apparent cut in allocation of up to $70-million; believes cut for NYC is far greater than that for any other major locality; says he and members of Cong expected NYC allocation to be $305- to $310-million for period beginning Jan 1 '72 and ending June 30 '73; recalls members of Cong in Sept '72 saw US Treasury figures putting NYC allocation at $247.5-million for calendar '72 and $371-million for 18-mo period; city recd $100,847,538 without explanation, indicating allocation had been cut; Grossman says Fed formula was supposed to be based on 3 elements: population, per capita income and local tax effort; Grossman asserts city's fund eligibility has remained, on balance, unchanged

Henry A. Kissinger's an nouncement that the Vietnam peace talks had failed to reach “a just and fair agree ment” has raised many unanswered questions. An article attempting to answer some appears on Page 3.