NEWS CONFERENCE 417

mayoral candidate has said that the new tax program does not go far
enough, and for further aid to the City they recommend shifting cer-
tain agencies to the State, for instance, City Hospitals. That would
save the City $10 million. There were several other plans. Would you
be in favor of such a program or would you consider it?

A. One of the questions I just had has indicated that the State budget
requests are beginning to expand and accelerate to meet the new
Federal obligations under such programs as Medicaid and Title 19
of the Federal law. The State is not unlimited in its resources. We just
put through a fairly substantial tax increase to help the subdivisions,
and I think there is a limit to how much the State can bite off. In
other words, what I'm saying is, until the Federal government begins
to relieve the State of some of its obligations, which I don't think is
always desirable, but which I would suggest in the area of welfare,
the State just isn't in a position to take on additional responsibilities.
I think the State has met its commitments to the subdivisions very
well by sending $100 million of new revenue to them last year, and
I again commend the Legislature for its foresight in doing it.

Q. Governor, you said something just a moment ago with a very
sly grin, and I don't want to move too fast.

A. Would you object if I objected to having my smiles characterized
as sly grins?

Q. You said assuming the Attorney General's report allows him,
referring to Commissioner Pomerleau, to remain long enough he'll
do an excellent job. Do you have some indication or some reason to
think that the Attorney General's report will give you reason not to
allow Mr. Pomerleau to remain very long?

A. No, but I have already indicated I haven't read the report, so I
think it would be unfair for me to leave you with the impression that
he was out of trouble by reason of the fact that I said he was a good
police administrator. I haven't read the report.

Q. Based on what you said —

A. I said I don't know whether he's in trouble or not in trouble
until I read the report. The only thing that could get him in trouble
is the report. I haven't read it yet.

Q. Based on what you said, though, you have not ruled out the
possibility of dismissing him, depending on what's in the Attorney

General's report.

A. I never rule out the possibility of dismissing anybody.