Senators
agree tm buyout plan
WASHINGTON (AP) —Sens.
Mark Hatfield. R-Ore., and
Howard Metzenbaum, D-Ohio.
have reached a tentative agree
ment that would allow some
380 timbei\companies to buy
out lumber contracts with the
federal government, a Metzen
baum aide said Sunday.
Under the terms of the agree
ment, each company will be
able to buy its way out of
government contracts for up to
200 million board feet, said
Doug Lowenstein, special assis
tant to Metzenbaum.
He said the bill should reach
the Senate floor sometime this
week as Congress rushes to
finish business before its Oct. 4
recess. If passed, the bill must
still be approved by the House.
"The bill appears in good
shape unless the (Reagan) ad
ministration decides to throw
its body in front of it,” Lowens
tein said in a telephone
interview.
In the past, the administra
tion has consistently opposed
allowing companies to buy their
way out of government
contracts.
Lowenstein estimated that the
bailout would cost the govern
ment some $100 million in lost
revenue. However, he said the
Agriculture Department has
estimated the loss at between
$127 million and $427 million.
Rates for the buyout would be
calculated on a sliding scale
based on each company’s finan
cial condition, Lowenstein said.
Financially ailing, smaller firms
will pay as little as $10 per
thousand board feet, while
some of the industry giants will
pay as much as $45 per thou
sand board feet.
The problem arose, Lowens
tein said, when the companies
overbid on federal timber con
tracts in the late 1970s.
Following the downturn in
the housing market in the early
1980s, the contracts, bid to high
levels, became unprofitable for
the companies.
V.M. “Whitey” Howard, vice
president of Seneca Sawmill
Co. of Eugene, Ore., said that
his company is not holding out
much hope that the contract
Heroin production ‘simple’
BOULDER. Colo.(AP) - A
man suspected of building a
heroin production laboratory in
Portland says the process is so
simple a teen-ager could do it.
“A 13-year-old could make
heroin," Ronald "Sandy" Jones
told the Denver Post during an
interview at the Boulder County
Jail on Friday.
"If 1 was only interested in
profit. 1 might publish a pam
phlet and there'd be a thousand
Ronnie Joneses next year."
Jones. 41. was arrested at a
storage locker business near
Boulder last July 11 when he
was spotted by Sheriffs Capt.
George Epp and police infor
mant Paul McGuirk, a former
friend of Jones.
He had been sought by
authorities since May 1983
when they discovered what was
described as a heroin laboratory
in Jones's Longmont Colo,
home.
During the ensuing months as
a fugitive, Jones set up another
heroin laboratory in a rented
apartment at Portland,
authorities added.
Since his arrest, Jones has
been held in the Boulder Jail in
lieu of $1.1 million bond.
Jones, a physics enthusiast,
told the Post he began making
heroin a few years ago to supply
his own habit.
The process to make heroin
“sort of fell into my lap one
day,” he said.
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problem will be solved by
legislation.
Howard’s company is one of
the plaintiffs in a class-action
lawsuit seeking to void these
high-priced federal timber
contracts.
He said the high-priced con
tracts are most burdensome to
some of the smaller timber com
panies that are already having
trouble surviving in today’s
lumber market.
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