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City Schools Will Lose $385,000

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The-Ann Arbor School District will have about $385,000 total cutback in state aid for the remainder of this school year as a result of the recent state budget cut by the House and Senate Appropriations Committee. This budget slash is the total cutback from the state aid grandfather clause and direct state aid, according to school officials here. More than $38 million was cut out of the Michigan budget and the largest area affected was a $12.6 million slash in school aid payments. This amounted to a .75 of a per cent cutback in aid to local districts for the remainder of the budget year. Other major cutbacks included a $6 million reduction for capital outlay projects, a $6 million adjustment in 1 er's retirement payments and a $3 1 lion cut in the school aid grandfather 1 clause. The clause had provided that no I school district would receive less than it received in payments the year before. Cutbacks in state appropriations to local state universities are the University of Michigan Ann Arbor campus, $173,540; the U-M Flint campus, $2,685; and E a s t e r n Michigan University, $30,174. Officials at Washtenaw Community College said they were not sure how much their state appropriations will be reduced by the recent action.