March 30, 1977

High Adm officials privately express fear that Carter's tax rebate plan is in trouble in Sen because of ideological differences and pol resentments; Mondale and Blumenthal confirm fear, meeting; basis of opposition by some Dem and Repub Sens noted; Long and other powerful Sens have not used their persuasive powers on behalf of Carter; Repr Philip Burton tells Carter there is theory on Capitol Hill that White House seeks confrontation with Cong; says Carter denies it; Jody Powell says rebate dispute is partisan issue; 38 Repubs, Harry F Byrd (ind) and Dem Floyd Haskell reptdly oppose rebate; position of some other Sens noted; some comment (M)

HR, 395-22, passes Pres Carter's reorgn bill; grants him authority to create, abolish, shift and consolidate agencies in exec branch unless either HR or Sen votes within 60 days to reject his plans; passage was smoothed by Carter Adm promise not to tamper with VA in its reorgn; Repr Robert S Walker's amendment, which would have required vote by both Houses on any reorgn plan, is defeated, 329-87 (M)

Dutch admit KLM Boeing had not been granted takeoff clearance; statement follows meeting with Spanish and Amer investigators at which tape of conversations with control tower was played; Spanish officials say collision occurred while Pan Amer craft was taxiing to takeoff position in response to orders from controllers; say KLM pilot ignored instructions 'in perfect English;' Pan Amer officials reject Dutch assertions that plane missed assigned exit ramp along runway; Spanish officials say runway was being used by Pan Amer craft because usual taxi strip was congested with airliners diverted from Las Palmas; death toll put at 573; rescue efforts described; survivors, including Pan Amer pilot Capt Victor Grubbs, illus (M)

NYS Health Dept auditors uncover millions of dollars of alleged overbilling to Medicaid by voluntary nursing homes and health-related facilities--private, technically nonproft orgns, often connected to religious or charitable insts--that until now have remained largely unnoticed in nursing home scandals; audit dir Frederick J Parker comments; rev of audits of Queen of Peace Residence and Jewish Inst for Geriatric Care, both Queens; special NYS special prosecutor for nursing homes Charles J Hynes says Cedars Nursing Home (Ogdensburg, NY) owner Alton E Barlow has been indicted for theft of $220,000 in Medicaid funds (M)

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