Kennedy Proposes Big Tax Cut
By NORMAN WALKER
WASHINGTON f AP) — Presi
dent Kennedy said today the na
tion is only part way up the hill
toward a booming economy and
needs a new push to reach the
top
TIIE PRESIDENT, in his State
of the Union message to Congress,
declared that the end of the re
cession is no time to relax but a
time to forge ahead, with the aid
ol the 10 billion dollar tax cut he
is proposing, to renew economic
growth and full employment.
Kennedy discarded the idea of
a massive increase in federal
spending as a means of creating
jolj* and economic growth Favor
WORLD
FOCUS
I PI AP REPORTS
Oregon Delegates
Discuss Boardman
Associated Press Special Service
WASHINGTON (AP) — Ore
gon's congressional delegates plan
to meet again Wednesday on the
problems of establishing a state
industrial development area at
the Navy's Boardman Bombing
Range in Eastern Oregon.
MEANWHILE, representatives
of the delegation and aides of
Gov Mark Hatfield are to meet
with federal officials involved in
the project
The transaction for getting the
land in state bands has stalled
over title to the land. It was to
come to the state by a land ex
change with the Navy
Inability to conclude the ex
change has prevented the Boeing
Co. and the state from proceeding
with steps leading to possible es
tablishment of a Boeing project in
the area
The six member Oregon delega
tion heard the situation outlined
Monday by S H Mallicoat. direr
tor of the Oregon Department of
Planning and Development, and
Rupert Kennedy, his assistant.
After the meeting. Sen Wayne
Morse. D-Ore said he would send
a letter to Hatfield assuring him
the delegation will do everything
possible to solve outstanding prob
lems."
MORSE declined to comment in
detail on the meeting An aide
said a full report is being sent to
Hatfield
Morse was asked to coordinate
the delegation action by Hatfield,
who said two important problems
need solving: Settlement is of the
question of control over the water
front along the Columbia River
ami determination of the value of
the western half of the Boardman
Range.
REP. EDITH Green, D Ore., i
said a recent letter from Hatfield
stated that the Boeing Co. hail
agreed to lease the site under
conditions providing for industri
al research development. As soon
as the land title is in proper or
der, the company is willing to
start the development, the letter
said.
Reports that Washington Demo
cratic Sens Warren G. Magnuson
and Henry M. Jackson had put
roadblocks in the way of the proj
ect brought denials from both.
JACKSON said, "Ridiculous, no
one has talked to me about it.”
Magnuson said, "I don't know
anything about it.”
Morse said, "We’ve always had
nothing but the finest cooperation
with Sen. Magnuson and Sen.
Jackson.”
Bank Reports Loss
BRUSSELS (AH)—Possibly 40
million dollars are missing from
the Katanga National Bank in Eli
sabethville, reliable Belgian sourc
es reported.
The sources said the bank notes
were removed from the hank late
in December. This would be about
the time of the renewed lighting
between Katangan and U.N. forc
es.
Use Emerald Classified Ads—
Phone DI 2-1411, Ext. 1818
inn instead the tax cut he is pro
posing, tiie President said "In to
day’s setting, private consumers,
employers and investors should be
given a full opportunity first.”
There was a notable lack in
Kennedy’s message of any men-’
tion or program to combat the re
cent rash of serious labor strikes,
including the present East-fiulf
Coast docks and New York news
paper strikes. Nor was there any
clue that he may deal with this
matter in a subsequent message
to Congress
THE PRESIDENT expressed
' what appeared to be unalterable !
opposition to the hopes of organ
Hatfield Urges Tax Rise
In Inaugural Ceremonies
SALEM (UP!)—(iovernor Mark
Hatfield began his second term in
office Monday amid colorful in
augural ceremonies in the state
capitol.
In his talk to the legislature, he
urged tax increases, a single
Hoard of Education, government
efficiency, and a reduction in de
pendency.
The 40-year-old governor said
Oregon is at the crossroads - in
his words—“Either we progress
through continued maintenance
of high standards or we assume
the mantle of mediocrity ”
He reminded the legislators
that the people of Oregon have
again chosen a Republican gover
nor and a Democratic controlled
legislature He urged cooperation
rather than partisanship.
REACTIONS to Hatfield's in
augural address ranged from
comments of "very profound” to
flowery."
Democratic Senator Ben Musa
of The Dalles, the senate presi
dent, called the speech profound
and sincere and said it apprises
the legislature of the problems it
will face.
But Musa said he still does not
like the idea of a net receipts tax
and predicted the Hatfield pro
gram will get a thorough going
over.
House Speaker Clarence Barton
called the speech comprehensive.
Unlike Musa, Barton supports the
net receipts tax idea.
DEMOCRATIC Senator Walter
J. Pearson of Portland labeled the
Hatfield speech, ‘‘Rather long and
flowery.” lie added, "I would need
equal time to reply.”
House Tax Committee Chair
man Richard Eymann of Mohawk
said the Hatfield program was
generally liberal on the issm •
but he accused Hatfield “of mak
ing a $405 million budget talk and
a $500 million inaugural talk."
HATFIELD’S proposal to com
bine the State Board of Higher
Education and the Board of Edu
cation drew' mixed responses.
The Governor’s inaugural
speech was hardly complete when
William Walsh, president of The
Board of Higher Education, issued
a statement critical of the merger
plan
In Walsh’s words, ”1 don’t see
how it could be possible to ap
point board members and expect
them to do a responsible job.” He
said board members would have
so many duties they would either
have to neglect their board work
or their outside occupation.
Walsh said the two boards have
differing responsibilities and there
is little over-lap.
Several legislators said they
liked the consolidation idea How
ever, Republican Representative
Stafford Hansell of HermLston
said it would facilitate a spirit of
cooperation in dealing with edu
cation's financial problems. Re
publican Representative Joe Rog j
ers of Independence also praised
the plan
HATFIELD departed from the
printed text of his inaugural ad
dress to give special emphasis to
the need for treatment of sex of
fenders.
He directed the attention of the
lawmakers to the report of the
intercommittec on social prob
lems with these words. “The
bizarre and sordid histories of sex
deviates make it imperative w-'
concentrate on what we can do to
confront this problem.”
Hatfield deviated from his print
ed text only one other time. That
was to expand his explanation of
the need for state tax reforms
bed labor that it may achieve a
cot in the standard 40 hour work
week to a 35-hour work week as a
way to curb unemployment.
Instead, Kennedy pinned the
hope of his administration on a
substantial federal cut to achieve
a fuller measure of economic
growth.
"For this would mean tens of
billions of dollars more each year
in production, profits, wages and
public revenues,” he said.
“It would mean an end to the
persistent slack which has kept
unemployment at or above 5 per
cent for 61 out of 62 months—and
an end to the growing pressures
for such restrictive measures as
the 35-hour week, which alone
could increase hourly labor costs
by as much as 14 per cent, start a
new wage-price soiral of infla
tion. and undercut our efforts to
compete with other nations.”
“Sew much more for the
money” with the smartest
Fashion Fabrics and ALL of
America's fashion pattern serr
ied.
OSCAR STRALSS
Heath’s
Wonder
Fabrics
878 Willamette
Soto's
"Tareyton’s Dual Filter in duas partes divisa est!”
says Quintus (The Eye) Tacitus, well-known hunter and man about town. “My modus vivendi calls for the
very best. And-when it comes to flavor in a cigarette—Threyton is nulli secundus. Indeed, here’s de gustibus
you never thought you'd get from any filter cigarette.
Dual Filter makes the difference
DUAL FILTER
Produi! of y. V>rxt\<c<xn *Jk ^ccc-Ccnyutry — Jx^loco is our middle name O
Tareyton
uxo 15 our middle name O* re*.