, .,. 7093 VI Net paid dally, BantUy.ftTfii iROVElP AT HIKE IS Fire Hazard Elimination is Considered Along With New Jail Building But Vault Also Needed and Entire new Plant one Solution Talked Shall Marion county spend tome 115,000 on eliminating fire hazards at the county court house? Shall Marlon county spend an other $10,000 or thereabouts, on construction of a separate Jail building and heating plant on the courthouse grounds. Shall Marion county' Junk Its courthouse, admittedly a. fire trap, even with improvements, and build a new structure? These were a few of the ques tions talked pro and con about the courthouse yesterday, follow ing submission to the county court by the grand Jury of a report prepared by city , firemen and the building inspector. The report suggested elimination of serious fire hazards at the court house through re-wiring the building, Installation of an alarm system, addition of at least one fire escape, enclosing certain pp-enlngs-oolnd shutting off stair- ys, and adding fire resistant material over various ceilings and corridors of wood. Financial Problem Is Viewed by Court The report was present"! to the county court yesterday morn ing, and while the court made no indication of what It would or might do, each member did state that of course the court did not wish to see human life endangered. However, no budget allowance for any such project was made, and the cost problem will likely loom large, particu larly In view of present tax con ditions. , In the discussion between the Jury and court members yester day, suggestion of another build ing to house the jail and sheriff's office, similar to those in Eugene, Albany and Dallas, was made. The grand Jury will visit the Dallas jail in a few days with a view to making further recommenda tions to the court. The possible proposal for an outside jail would diminish little the need for correcting tire haz ards In the courthouse, county court members Indicated, and merely make two expenses, in stead of one, if the grand Jury's recommendations were ' carried cut. Keed of Fireproof Vault la rotated Oat County Commissioner Melson yesterday pointed out a salient matter of which the Jury's report took no cognizance: The heavy and irreparable loss which would result to the county In case of fire because of lack of fireproof vaults In the clerk's, tax collec tor's and recorder's officer., par ticularly. Loss of delinquent tax papers right now would ccat the county over half a million dollars In inability td collect through loss of records. So, with the grand Jury likely, before It finishes, to suggest mat ters which will cost around $30, .900 (should the court see fit to adopt them) why not build a new Courthouse while the county Is pending money, Melson asks. The $30,000 or so expenditure would he only a temporary matter at best, and only alleviate and not rid the courthouse of fire hazards, he says. But where't the money to come from tor a new courthouse, even if It could be built cheaper now than at any time in years, Melson and the other court members ask Incidentally, the $15,000 esti mate on following the recommen dations as laid down by the report submitted to the court, was vol unteered yesterday by two build ers, who looked the courthouse over as soon as a Job was scented The court will ask Inspection by another set of appraisers as Its first move. SHERIFFS ACCEPT Sheriff A. C. Burk of Marlon county and Captain W. H. Mc Clain, in charge of headquarters district, state police, were elected to the executive committee of the Northwest Sheriffs' association at the quarterly meeting held at CorvaUis last night With Deputy Newell Williams, the sheriff ob- umea promise that the August meeting of the association would he held In Balem. The. April ss- ion is slated for 8tr Helens. Other officers named' were: larl Nott, Yamhill Jcounty dis trict attorney, president; Sheriff Harold Sexton" of Wasco county, Ice president.; and John Acton, Astoria police chief, secretary treasurer. , The association Indorsed Sher iff Ernest T. Mass of Claeiamas tor the position of United States marshal. - - .. .. Distribution ' Average Jan. 8S EIGHTY-SECOND YEAR ifem, Oregon, Sunday Morning, Fcbrnary ,5, 1933 , , . No.270 IMI lr : . ? . I i " " i ' Chancellor Hitler Takes Helm With Cabinet of Conservatives 4 ' i . - kv - vV lv ' ; - . . ' v.? f tr ' " . , - s - - - S-'i " . t - ?i '5 ... aMBHMsisieMBeMMHasHBjeassei 'b sl . " . Grasping opportunity by the forelock, Adolf Hitler, former Austrian house painter, soldier la the German army and leader of Ger many's national socialist party, aa chancellor of the German re public occupies the international spotlight. Twice previously Hitler had the chancellorship almost within his grasp, but his unalterable demand for dictatorial powers lost him the job. This time, follow ing the downfall of the Yon Schleicher cabinet, Hitler abandoned bis "all or nothing" policy. But the nazi chief Jces a difficult task. His cabinet, handpickod by President Von Hindenburg, is composed mostly of conservatives, among whom are former Chancellor Franz von Papen, as vice-chancellor and dictator of Prussia and Baron von Xeurath, a hold-over of the Von Schleicher cabinet, who retains the portfolio aa foreign minister. These were bitter pills for the nazi chief to swallow, but there was compensation In the appointment of Dr. William Frick and Hermann Goer lug, both trusted lieutenants of Hitler, who are minister of the interior and minister of air and interior for Prussia, respectively. METHOD SEED 1 TUI Hoover Signs 90 Millions Aid Bill; may Insist On Acreage Cuts WASHINGTON, Feb. 4 (AP) Here is the procedure for farm ers who seek seed loans under the 90,000,000 crop production bill signed today by the president: Apply by mail either to the United States department of agri culture or the closest of its six regional offices at Dallas, Mem phis, Minneapolis. Salt Lake City, St. Louis or Washington, ior a loan application form. Forms will be sent or notice given that applications can be made at points more immediately available Including most county seats where volunteer committees or field agents will be designated to receive applications and assist in filling them out. In the application the farmer must give the legal description of the farm he occupies, the crops ne Intends to grow for which he seeks financing aid, the expense he contemplates for labor, seed, and equipment, and other facts. Two factors bearing on we ap plication remain to ne aeier- mlned. Tne secretary 01 agricul ture has authority to require atreaae reduction up to SO per cent by borrowers and jwill an nounce the requirements iaier. The maximum of loans, $400 last year, will also ho et later. Intoxication is Charged to Two City iail confined two men on as many charges last night. Be hind the bars were j. u. Bigier, 2277 North Liberty street, whom city police arrested on a charge of being Intoxicated, and Cecil Simon of Tangent, brought In by state police on a charge of being drunk on a public hignway. Vitiiol Boils Utilities Contiol Argued An explosion that blew loose a heated aeries of personal clash Ihga in the senate yesterday fol lowed submission of a divided re port of the railroads and utilities committee on the Thomas bill providing for a seven-point pro gram designed further to regulate the operation of public utilities In Oregon. Senators Brown, Burke and Zimmerman signed the majority report which favored passage of the bill, while the minority re port signed by Senators Goss and Bynon asked that the measure be recommitted to the committee for consideration of a d d 1 1 1 o n a 1 amendments. , The ensuing verbal altercations ended in the senate's passing a notion reref erring the bill to the committee with the understand Ins that it would ho reported out sj " i'" 1 ye4- E Kanzler Says Contract Is Result of Coercion in Milk war of 1931 PORTLAND, Ore., Feb. 4 - (AP) On the grounds that the Dairy Cooperative association had obtained Its exclusive contract through duress. Circuit Judge Jacob Kanzler today denied the association an Injunction to com pel the Brandes creamery of Portland to purchase all Its grade B milk and cream from the co operative. with the declaration that the so-called milk war was carefully planned by the officers and direc tors of the plaintiff," Judge Kanxler said that "for the court to grant the prayers of the plain tiff would be equivalent to plac ing the court s stamp of approval upon the acts of violence com mitted and participated in .by officers, directors and members of the plaintiff asociatlon from August 1 to 5, 1831," and that "the execution of the contract, August t, 1931, on tbe part of the defendant Brandes creamery was procured through coercion, duress and Intimidation." Directors of the Dairy co-oper ative meeting at Portland last night authorized their attorneys to proceed at once In appealing Judge Kanxlers adverse decision to the state supreme court, R. W. Clarke, local field man, reported on. his return here. Labor Portfolio For Green, Word WASHINGTON, Feb. 4AP) In a copyrighted story, the Washington Post says It has learned William Green, president of the American Federation of La bor, has been offered the post of secretary of labor in the Roose velt cabinet. Over When and made a special order of bus iness Tuesday afternoon. Senator Burke opposed the mo tion to reref er on the ground that the hill had received careful eonr slderatlon by the committee and that nothing would be gained through delays. He said the meas ure was satisfactory to Charles M. Thomas, public utility commis sioner, and other persons compe tent to pass on its provisions. ; "This bill is all Thomas and nothing else", Senator Goss re torted. "The hill covers more than 29 pages and seeks to give Thom as more power than is imposed in any other official in the world. While I respect the Judgment and ability of Mr. Thomas X do not he lieve tn electing esars to orrice. The majority of the committee re ported the bill out because Thom- . as wants IW MILK 1 HI --W I t lrtN.s V. POUNDED 1851 NT I L FARM STRIKE THREAT Holiday Association Chief Warns; More Insurance, Loan Firms in Line Governors Proclaim Need of Forbearances; Farmers Remain Vigilant (By the Asociated Press) Threat that a nation-wide farm strike would be called If relief legislation is not expedited by the Incoming administration was made last night by Milo Reno of Des Moines, la., who led the mid weetern non-marketing campaign last summer. While governmental and fi nancial leaders sought means of stopping rural mortgage foreclos ures, Reno said farmers In 38 states might be asked to stop marketing their produce and buy ing from merchants. "It has' been no secret at all," declared the president of the Na tional Farmers Holiday associa tion, "that If the incoming ad ministration doesn't correct the situation quickly there will be a general strike called" of both buyers and sellers." Meanwhile the rural mortgage remained one of the major prob lems of the hour. Concessions Granted By Loan Companies government Influence was added Saturday in considerable measure to the farmer's fight to save nis land, livestock, and machinery from mortgage foreclosure. From a dozen localities came reports of concessions granted by Insurance companies and loan concerns, together with attempts by government agencies to lighten agriculture s debt burden. The farmers gave no indication, however, of lessening their deter mination to save their property from foreclosure at any cost. Fanners Brave Cold To Assist Neighbor At Wlllmar, Minn., 1,000 farm ers stood in 22 degree below zero weather and halted sale of the farm on which Soren Hanson has lived 57 years. There were no bids, and the sale was postponed a second time for a two week's period. In Illinois Governor Henry Hor ner urged holders of mortgages to use the utmost forebearance in foreclosing on farms, homes and chattels." He warned that fore closures might result in many cit izens being dependent on charity. Another governor. Ruby Laf- foon of Kentucky, agreed with Horner in a statement declaring he believed something must be done for owners of farms and homes who are unable to meet mortgage and tax payments. If CO-OP PUNT Dairy Cooperative directors' plans for construction of a pro ducts plant at Portland to handle members surplus milk appear soon to bear fruit, R. W. Clarke. local and field representative, re ported last night on his return from an all-day directors' meeting at Portland, sentiment among the 10 active units of the associa tlon for financing the project Is almost unanimous, he said. Meeting here last week, mem ber producers In this area voted In good majority In favor of the directors' finance scheme, which calls for deducting one or two cents per pound butterfat from members' cheeks to build up a loan fund for construction of the plant Plans already drawn call for a factory of half-block site for the making of dried milk, butter and allied products. The matter will come up for final action at the annual meet- I tag of the co-operative, to be held at Portland Tuesday. Opposition to two senate bills changing grading laws on mux and other farm products was ex pressed vigorously at a meeting of It Dairy Co-operative association members' of this area last week. The members voted to have a committee present their ease to the legislators sponsoring the two bliis, jntroaueeu py senator 'oe E. Dunne. One of the measures, 8. B. ISO, would virtually destroy the value of the standard milk ordinances in the various cities, it was as serted. The measure would tub- mlt to arbitration a milk Inspects ors order degrading a dairy if tbe producer or . distributor de- manded such action. The other bill. 8. B. 15 1. would eliminate grade requirements on all farm products, the dairymen declared. - I WING m n MILK GMR W CHS OPPOSE Almost Certain Cabinet Choice t V 7 V s m Senator Thomas J. Walsh, of Mon tana, whose appointment as at torney general in the cabinet of President -el wet Roosevelt is vir tually certain, according to po- Itical forecasters. Senator Walsh was the victor in the bitter fight at the democratic convention for the permanent chairman ship. He was in the national spotlight aa the chief prober in the celebrated Teapot Dome oil scandals. E BEING SPEEDED IIP VOIUiUeerS aid dial I ; MUM Of Recent Disturbance Laid to Outsiders Declaring that Justice should be done to the bona fide needy res idents of Salem and Marion coun ty, workers at the Community Service-Red . Cross relief office yesterday asserted that recent dis turbances were largely the work of outsiders and the county's own citizens had conducted themselves admirably well, considering their plight. Except for grumbling here and there over delays In obtaining food requisitions, Marion county needy, for the most part, remain ed orderly, it was pointed out. Remedy was largely effected to the past delays yesterday when a volunteer assistant added to the relief office force permitted three of the young women to devote full time to taking records of cases and making out the requi sitions. It is anticipated that still more workers will be added, should the press of the relief ac tivities make it advisable. By closing time, fi p. m., yes terday, requisitions had been pro vided IS persons, most of them representing families. Few of them were forced to wait long for appointments In the office, it was reported. In addition to caring for the out-of-city applicants, who have right-of-way on Saturdays, the office assisted a number of Salem residents. On the surface, the relief situa tion had quieted down. Persons In dose contact with the week's dis turbances reported that the work was going on smoothly and agita tion at least temporarily stopped. Additional service for the coun ty's needy was started last week; wun tne opening of supply de pots at Woodburn, Sllverton and Stayton, supported by the Red Cross and county court. Appli cants for food supplies came to Salem yesterday from as far away as silver Creek falls. Legion Defends Status of Vets Aid Commission PORTLAND. Ore.. Feb. 4 w (AP) The- special investigating committee of the American Le eion renorted hare todav that ar- tlvltleaof the World war veterans' Btate aid commission have been (conducted along sound lines and hv vronrht mnt hnnt tn th I "we denlore the mass of misin- formation which has ben trtvn out concerning the affairs of the I commission," the report stated. "In our examination we find no criticism of Its conduct." Members of the committee were Stanley Myers, Ed F. Bailey, G. Lane GoodelL R. M. Walker, Floyd J. Cook, Thomas D. S tough ton and Harold. Sexton. Late Sports STANFORD UNIVERSITY, CaL, Feb. 4 (AP-Putting up a de fense which held their opponents I tA tftnT ft-Tl. n.ia TTntrarattv f I California's basketball team seor- ed jg-to-li victory over Stan- ford here tonight, to clinch the annual series between the schools. It was California's seventh suc cessive victory over the Cardinals. LOS ANGELES. Feb. 4 UP) I it was a ease of too much Libro I Guttero. listed as tenter in the J lineups, for University of Calif or- 1 nla at Los Angeles tonight as Uni- I versify of Southern California I swept throurh the Westwood out I fit, SB to S3, in a renewal of their l basketball wars, ' - v s RELIEF WORK liER FINAL QUARTER SCRAMBLE FOR RESULTS NEAR Speeding up of Legislative Mill is Necessity Soon Observers Agree Relief to Jobless is one Accomplishment of Past Week; Many Issues " By SHELDON F. SACKETT Legislative procedure reminds one of a hard-fought football game. For three quarters a stale mate and deadlock in scoring pre vails. Then as the sun goes down and fans decide there will be no touchdowns, a flock of passes start flying through the air and to the astonishment of the onlookers scores are numerous before the final gun. There have been Innumerable huddles in the 37th session, now nearing Its last period, many false starts toward the goal line, but a dearth of scoreboard marking. Members of the legislative team as well as the press gallery agree there nrtist he dash and verve to the final days if anything of im portance comes from this expan sion biennial combat under the dome In Salem. Unemployment Belief One Accomplishment The past week saw one big push put through, the passage in both bouses of the administration's un employment relief bill. Governor Meier signed the measure Satur day and it at once became law through its emergency clause. The governor Indicated he would not change his present statewide re lief committee but would simply reappoint them to be the commit tee authorized under the new bill. Raymond B. Wilcox will be the chairman. Sub-relief committees are short ly to be named in each county with appointment made first of relief committees In the counties where Unemployment funds are now being used. Accompanying the relief bill was a resolution un der which the state no longer re quires the county seeking relief to pledge Itself the moneys received. i the state now assuming that relief j must be a state-assumed cost, ap portioned to counties on the basis of need and abllty or inability to meet the need. The Joint ways and means com mittee, a bit worn by late sessions each night, says it will report by midweek and estimates a budget reduced around $500,000 from the Meier-Hanzen proposal. Most of the subcommittees have re ported and the majority of tbe (Turn to page S, col. 1) MILUCE OKI Members of the state tax com mission Saturday afternoon dis counted the weight of published statements that the legislature was without legal authority to divert any of the millage annu ally levied for higher education to the general fund. The tax-commissioners said the legislature might not be able to "divert" the money, as such, but could aecom push the same purpose by re duction of appropriations to high er education and substitution for the millage thus cut from the tax levy, an 'equal millage for general state purposes. The total of 2.04 mills on all real property In the state has been levied lor higher education heretofore. Of this .78 mills was a continuing legislative millage. subject, to legislative diminution or repeal. The JolnU committee on ways and means' has proposed that I50S.O00 In 1933-34 be tak en out of the total millage of approximately 14,000,000 - set aside for higher education pur poses, and used for the general conduct of the state, thus re ducing higher education's millage to about $305,000, with continu ing appropriations put at approxi mately 1280,000. CLAIMED POSSIBLE Polk to Aid Own People, Draws Line at Floaters West Salem officials. Constable Jack Gosser and Deputy Sheriff Walter Gerth, conferred with the county court here yesterday in an effort ta reach an adjustment of problems arising, out of demands of Dersons.llvlar in West Salem for relief measures from Marion 1 county. . The matter has come to a locus as result of excessive demands made upon the county court-Red Cross-Community service relief headquarters here last week. The West Salem officials indi cated -they had discussed the mat ter with County Judge G. L. Hawkins at Dallas, and that Haw kins had suggested that West Sa lem and Polk county take care of all legal residents there; that Is, persons, who have resided .there for a year. - The office 'front aeroes ha New Sales Tax Bill to Call for Abandonment Of All Property Levy -o Banks Arraigned Upon Charge of Criminal Libel MEDFORD, Ore., Feb. 4. (AP) L. A. Banks, editor of the Medford Dally News, was ar raigned in the Ashland, Ore.. Justice court today on a charge of criminal libel, on a complaint filed by M. O. Wilklns, Banks' former attorney. The editor waived preliminary hearing and was bound over to the grand Jury under $1000 bond, which was furnished by friends. The grand Jury is sched uled to meet Monday. A crowd estimated at S50 gath ered in the courtroom and In the street and cheered. Banks and County Judge E. H. Fehl. wolf cheek em SISUPDISPUTE Move to Reconsider Senate . Action Fails; Changes In Bank Code Pass Attempt of Senator Staples and other members of the senate to gain reconsideration of Senator Dunne's bill striking the Wolf Creek short route to the sea from the state highway map struck an air pocket and plummeted to a sudden crack up yesterday after noon when Senator Hess called for adjournment and his motion carried by a 14 to 12 vote. The senate approved Senator Dunne's bill Friday Senator Zimmerman opposed withdrawing the bill from the house for senate reconsideration, declaring that "If the Dunne bill is recalled . . . and disapproved It will cost the taxpayers of Oregon approximately 14,500,000. He as serted that "the people don't want this road and there is no logical reason why It should be retained on the state highway map." Senator Dunne appealed to the senate to vote down Senator Sta the change of heart apparently Die's motion. He declared that wa riii a to a atronc lobby, and the fact that Mayor George Baker of Portland wanted the highway In perpetuating and Increasing the value of his Seaside propeny. The motion to recall the Dunne bill from the house then passed by a vote of IS to 12, with fire senators absent. A motion to re consider Friday's vote on the bill followed. Zimmerman then moved that the rules be suspended and that (Turn to page 3, col. 2) HOLEMAN DIES AT S OF POLICE LOS ANGELES, Feb. 4 (AP) Andrew N. Holeman, ex-convict sought tor the killing of a Los Angeles police detective, and Ster ling McLaln Smith, another ex convict, died under the shotguns of the Detective's Professional as sociation tonight, . The pistol and shot gun affray occurred outside the apartment house where Holeman had been hiding. James Choate. attorney, was wounded by a slug which struck him in the leg as he sat In an au tomobile at tbe curb. The detective force avenged Its own in the death of Holeman. Ev ery officer who took part In the encounter was a detective lieu tenant especially Interested In the search for Holeman since Detec tive Lieutenant Paul Lee was kill ed last December 19 as he waited in an apartment to serve a war rant. river indicated that this would be done 'and supplies obtained through the county-Red Cross or ganization now being set up. - However, Polk county, seems loath to care for a number of men who have moved into shacks there only recently and who are report ed to be ringleaders in the recent disturbance. Marlon officials, too, urged that It is almost necessary that they hold their relief to legal residents, as most sections are doing. The extended conference yesterday. entirely friendly, will likely result in definite agreement and action on this border-line matter. , While here. Mr. Gerth stated that two weeks food . was last week apportioned the agitators who raised the rumpus here, but that the group used up the rations a ess uu two nays. . 1 . a WEATHER CiFiir today asd Monday, 'oeqepi for ksm i fog, tern-. pttratnrv , wnchanged Max. ; Ton p. Eat. M, Mia. 28, rtv--esH4L tU variable winds. No Assessment to be Made; Three Types Of tax Planned Six Millions Revenue Expected; Bill has Meier Backing A general sales tax which would save the state from col lecting a real property levy and meet many of the objections made to the sales tax proposed In the special session of the leg islature, was being drafted Sat urday by the state tax commis sion and will probably be intro duced In the legislature thia week, bearing administration ap proval. The essential difference of the new sales tax proposal from Its predecessor would be the aban donment in the future of the as sessment and taxation in Oregon of all personal property. The assessed value of such property in Oregon In 1932 was about 290.000.000 and the 1933 tax levied against it for all purposee itate, county, city and district. totals about $3,750,000. The state tax commission says such personal property amounts to 8.47 per cent of the assessed value in the state. Two Per Cent Tax On All Retail Sales In lieu of tax on this personal property the new sales tax pro poses to do the following: Levy a two per cent tax on all retail sales, payable monthly by the retailer. Levy a one-half of one per cent tax on all wholesale sales and manufacturers' sales, this tax payable monthly. Levy a one per cent tax on all service business, inclnding doc tors, lawyers, laundries, where service, not goods, are primarily sold. The new tax bill will provide that half of the revenue go for state purposes and half for coun ty purposes, with all revenues re ceived to be used in lieu of real property taxes now levied and not to Increase government ex penditures. Since the new bill. If passed through the legislature could not Include the emergency clause and might be subjected to referen dum, it Is provable It could only operate to offset the last half of 1933 real property taxes. Six Millions Deemed ' Probable Revenue A careful survey of possible in come to be received from the new tax proposal puts the sum at $$,000,000 annually. The state would thus receive $3,000,000 or enough to do away with any reel property levy for state purposes. The counties would receive $3. 000,000, or nearly as much as Is now levied by them on personal real property. Officials of the state tax com mission declared - yesterday that they thought total tax collections on personal property In 1933 would not be more than $2,500. 009 and probably not more than $2,000,000 despite the fact that about $2,750,000 in taxes on per sonal real property have been levied. Difficulty of collection on per sonal property which Is movable and which fluctuates rapidly in value has always made the tax on personal property hard to collect, the tax commission points out. This is especially true in present times. Assessments on real prop erty are also difficult since asses sors must do mueh rough estimat ing in evaluating property, such as (Turn to page 3, eoL S) The Day ijLi Washington By the Associated Press President Hoover signed the $80,000,000 crop prodnctiosi loan bill which wfll make seed loans available to House passed legislative supply bill carrying appropriations of $18,588,000 after voting down an amendment to reduce salaries of members of congress. ' State department began ta vestigatioB to determine it Wfl rliam C Bullitt has been posing . as av semi-official envoy of the United States in war debt die- evasions with Earopea na- , tlons. - house ways and means sub committee rejected bins propos-' lag tariff increases on imports from countries with depredated -currencies.: i " ' " . ' . ; 1 Senator Copelaad, Ifew York . democrat, neensed Great Brit- 7, sin of attemptina! to reach fa- ! - ternatiosuU . agreements detri- , mental to Americaa shipping in. ' advance of the world economic - .- i V t