European Stars And Stripes (Newspaper) - September 23, 1989, Darmstadt, Hesse                                Page the stars and stripes saturday. September 23, 1989 Dod sends forces to devastated Virgin islands by Rill a Vinci Washington Bureau Washington the pc Magon has launched a Multi service Relief Effort that is pouring military personnel and equip ment into the . Virgin islands where widespread looting has occurred since Hurricane Hugo roared through the area. More than 700 military police from fort Bragg. . As Well As 61 vehicles and three Oii-5s helicopters have been sent to the islands to quell what some witnesses had described As a Complete breakdown of civil authority. Wore troops from fort Hood. Texas furl i Olk. La and fort Leonard Wood Mil. Were due to land on St. Croix on Friday. Pentagon officials said. Total military strength on the is land is expected to lop 1.100 soldiers. Officials said Iso military police Are patrolling alongside . Marshals. Fri agents and local police in the Island s two main cities Frederiksted and Christiansted. This is the first time army troops have been used in response to a civil disturbance since riots erupted in Washington and other cities in the Wake of the 1968 assassination of mar tin Luther King or. Officials said. On St. Croix violence and looting by local inhabitants including Island police and National guardsmen according to some witnesses were re ported on tuesday and wednesday but authorities said that by Friday no serious incidents had been reported in the previous 24 hours. Pentagon officials have been unable to confirm the reports of looting by the Island s National guard.  coast guard cutlers bearing heavily armed troops have evacuated More than 130 civilians from the Island to puerto Rico officials said. The Navy also has sent four ships to assist the Relief Effort. Much of the housing on the islands is in ruins and All utilities have been knocked out in the Wake of Hugo s 150 Mph winds. One of the most serious problems is a critical shortage of drink ing water. Pentagon officials said. The military has flown in one water purification unit and two More Are in route. The units can purify up to 600 Gallons of water per hour. Two of the Navy ships Are equipped with water converter units and arc docked in Frederiksted and Christiansted those units arc capable of converting daily up to 40.000 Gallons of sea water into potable water. The Dock Landing ship Gunston Hall with the capacity of producing 150,000 Gallons of potable water daily was due to arrive in St. Croix on saturday afternoon. The air Force is airlifting emergency Relief supplies to the Island including electrical Power generators portable air control towers 200,000 army Field rations and plastic sheeting for roof and Home repairs. Hurricane Hugo which swept onto the . Mainland thursday night near Charleston. . Has moved Inland and is continuing northward. Although the storm has diminished in intensity torrential Rains and High winds arc expected in the mid Atlantic Region Over the weekend As the Eye of the storm passes just to the West of Washington. Baker upbeat As talks with soviet open Jackson Hole. Wyo. A Secretary of state James a. Baker Iii. Noting a new openness and Candor raised expectations Friday of superpower arms control agreements As he opened talks in a Lakeside Lodge with soviet foreign minister Eduard a. She Varnad a. The sessions which wind up with fish ing sunday morning Are designed to produce a general Lime Frame for presi Dent hush s first Summit meeting with soviet president Mikhail s. Gorbachev next ear. The soviets also arc hinting they rein a mood to Compromise on some Tough arms control issues. And Baker posing for pictures with Shevardnadze look an optimistic stance. I believe and i think most would agree thai there is a new openness and Candor in our  he  i think that hopefully Well be Able to take some Steps that Are unprecedented. Shevardnadze asked about Bush administration statements that a Summit would he held sometime next year. Said. Well be discussing this  Baker said. I think we will have an announcement before we leave about a general time Frame for  the two men began the Day with a discussion including close advisers then spoke briefly to reporters on the Terrace of the Jackson Lake Lodge overlooking the grand felons mountains and a pair of Moose Gra ing below. In a meeting with several dozen aides from both sides Shevardnadze said it is High Lime to move from Mutual under the grand felons Sene As and his soviet counterpart u backdrop fur Secretary if state James a. Baker Iii left Eduard a. Shevardnadze in Jackson wyo., Friday standing to Mutual action. Because from our meetings i understand that conceptually there is a full understanding be tween the two sides. Baker suggested that they move immediately to another meeting with their closest advisers forgoing a planned ses Sion with the entire delegation and allow ing working groups to negotiate on Sharp reductions in nuclear chemical and conventional forces As Well As other issues. Shevardnadze told reporters on his arrival aboard a . Air Force Jet that his meeting with president Bush at the while House on thursday was a Good beginning for the talks. Speaking to reporters after his meeting with Bush. Shevardnadze said we have concluded that a Summit is necessary. There is no doubt about  Bush told Abc to on thursday night that there would be a Summit with soviet Leader Mikhail s. Gorbachev. Asked whether it would be Early next year he replied i would t say  a lop soviet arms control negotiator. Piklor Karpov Lold reporters that a deadlock Over space based Star wars defences was blocking a proposed Strate Gic arms reduction treaty Start. A senior . Official later said How Ever "1 Don l think in is Correct to say there is a  although no Start agreement is expected during the Wyoming meeting Baker and Shevardnadze arc expected to announce agreement on several other is sues including chemical weapons and human rights before they Fly to Newyork on sunday afternoon for a . Meeting. Cap a gains tax Cut would cause harm Foley says Washington a speaker Thomas s. Foley on Friday called president Bush s plan to Cut the capital gains lax a positive harm to the Economy and vowed to pass a demo uralic alternative despite a veto threat. I think we re doing very Well in in listing support for the democratic plan thai would raise taxes for the richest 600.000 couples and individuals to pay for new tax deductions for individual retirement accounts. Foley Lold report ers. We have a or cloy Good popular constituency a Wall Street journal Abc news poll seemed to Back that up showing that 49 percent of voters prefer expansion of iras while 38 percent favor Bush s Cap ital Gams tax reduction idea. The poll no cd Hal inc preference for iras was even greater among Middle income Vot ers 53 percent to 35 per cell. The democrats proposal also includes a scaled Down version of the capital gains lax Cut sought by Bush. Bush s ver Sion is a positive harm to the Economy an inequitable tax reduction favouring the least financially deserving of the in come groups in the country Foley said. The president interviewed live on the. Abc to program prime time  on thursday Yghi was asked what he would do of democrats on Capitol Hill succeeded in passing their own lax Bill. I will to a rate increase Bush said. You heard it for the first time Here but i have sent Hal signal up to the  responding to Hal Fole said Well then Well iry to Send n to him and let him veto  Bush also defended his proposal for a Cut in the capital gains Rale saying. It is not a tax break for the  the House ways and Means committee has approved a version of the president s plan. House majority Leader Richard Gap Ophardt d-mo., said thursday Hal democrats were ready to tackle the tax hike accusations. I like How the lines Are drawn Gep Hardt said. The Bush proposal gives a lax break for the Rich paid for by the Middle class. Our proposal gives individual retirement accounts to the Middle class paid for by the  the democratic proposal which the House leadership plans to bring before the full House would eliminate restrictions passed in 1986 so that All workers regardless of income could have a deductible Ira plan. The Money could be withdrawn be fore retirement without paying a Penally if used to finance the Down payment on a first Home or for College education. Pay for the iras and reduce the deficit by raising taxes on the nation s wealthiest 600,000 couples and i Dividu  Curry no Law the tax rate for upper Middle income americans is 33 percent but it drops Back to 28 percent for those at the upper most income Levels. The democrats would raise Hal top Rale to 33  example a single person Wilh $75,000 taxable income now pays a Lorrale of 33 percent on a $10,000 pay raise or inv colment Windfall. Bui a $250,000 a year earner pays Only 28 percent lax on a similar increase in income eliminate the 33 percent rate bracket for capital gains so it would never climb above 28 percent. That would be a tax break for those upper Middle income people who now pay 33 percent on Capi Tal gains just As they do on earned in  democratic plan would be offered As an alternative to the capital gains lax Cul approved by the House ways an Means Commilles with the president s support. Thai plan would Cut the effective capital gains rate to 19.6 percent forthe next two years and then would protect such income from taxes caused by inflationary increases in the property s value