The Oregon statesman. (Salem, Or.) 1916-1980, February 14, 1933, Page 2, Image 2

Below is the OCR text representation for this newspapers page. It is also available as plain text as well as XML.

    v i. - ".: i -
The OREGON STATESMAN, Saleafr Oregon, Tuesday Morning, Fthnury It 1913
Retaining Three Mill Levy
0r,3 of 3 Alternatives
Solonsnow Face
( Cbattneed from po 1)
cent, the following figures are as
' accurate an estimate as the state
tax commission may make. Feder.
al income tax elnmpa the last six
inoataa have been aa high as 47
per cast, to a 10 per cent reduc
tioa mar Bet be adequate.
H. B. S Won Id
Afford Host Kevenote
la 1933, based on a SO per cent
drop la net Incomes, H. B. 48
woeld produce $119,000 addition,
al ananal revenae. H. B. SOI
would produce $417,000 addition
al revenue. H. B. f would produce
$$04,000 . added revenue. H. B.
411 woald produce $551,000 ad
ditional rerenue. II. B. 410, most
drastla of an, would presumably
produee $807,000 additional rer
enue. .
These computations are based
en tha amount of additional rev
enue which would be produced
above the tax commission's bud
geted Income tax rerenue for
1931. This figure, $400,000, has
vbeen Included In the state levy;
addltioaa to the $400,000 would
obviously go to reduce the prop
erty tax mlllage if the new law
provided such steps being taken
by the commission.
The largest possible increase in
state revenue estimated on any
Inheritance tax thus far proposed
is $200,000 above the estimated
returns for 1933 under the pres
ent law.
There are three other proposals
for revenue aside from the gen
eral sales tax and the above in
creases. One is the Martin bill
in the house providing for a sales
tax on luxuries. Estimates on rev
enue from this bill place the total
at $600,000 with $500,000 com
ing from the 10 per cent tax on
the retail sales of tobaeco. Pass
age of this bill is doubtful; ref
erendum is certain inasmuch as
the retail sales price of tobacco
is now one-half tax, as far as cig
arettes are concerned.
Utility Receipts
Tax Legality Doubtful
Tha Gordon 5 per cent tax on
gross utility receipts provides that
this be passed on to the consum
er but administered by the utility.
The bill's constitutionality is
questionable Inasmuch as utilities
are now bearing a heavy property
assessment load. Certain legisla
tive lawyers hold the bill would
be litigated and unless it could be
shown that the tax was in the na
ture of a franchise enactment
which it is not the measure
would not hold up.
This leaves the so-called "tith
ing measure" or "service charge"
as its proponents prefer to have it
deisnated. This might produce
$700,000 annually to the state.
Previous tithing measures have
been soundly defeated. The bulk
of the money comes from highway
funds which heretofore have been
held sacrosanct, not subject to
assessment for general state rev
enue. The ways and means com
mittee may approve such a "re
capture" bill for state emergen
cies: It would have a hard legis
lative fight.
Taking tb.e grange income tax
bill tha largest rates and the
lowest exemptions the grange and
labor have been able to agree up
on, the Martin luxury tax and the
tithing bill as well aa the stlffest
inheritance tax yet proposed, the
legislature presumably could se
cure this much new or recaptured
revenue for each year of the 1133
1934 biennlum:
Income tax additions. . .$504,000
Inheritance tax boosts.. 200,000
Luxury tax 600.000
Tithing tax 700,000
ToUl misc. taxes. . .$2,004,000
Provided these are all enacted
and are not defeated by referen
dum, the legislature presumably
could reduce the state millage
from three to one mill for 1933
end 1934 bv these Indirect tax
The third alternative, the one
favored by Governor Meier and a
presumed majority In the house.
Is a general sales tax. The new
est proposal: 2 per cent on retail
sales, 1 on retail services, per
cent on manufacturers' and
wholesalers', would produce $6,
000.000 annually, it is estimated.
Halt of this after 1933 would go
to tha counties; half to the state.
Thus the direct property levy for
state purposes would be eliminat
ed and the counties. In lieu of
their losses In taxes from personal
property, would have almost an
equal amount ot sales tax Income.
Alternatives two and three pre
sent, the essential fight ahead In
the remaining days of the 17th
session. Legislators who believe
tha existing taxes should be left
status auo are In a decided min
ority. They are being pressed by
county eourts at home for some
readjustment, forseeing that in
Home of 2Se Talkies
Richard Arlen
Zita Johann
Weftaesday Thursday :
creasing realty tax deliaauenciea,
coupled with a naw three-mill tax
tor state Purposes, will leave tie
county treasuries dry.
No Organized Fight
Against Income Tax
There Is no organized lobby
against increased income and In
heritance tax levies. Tha main
concern of the legislature li how
much real returns these will
yield: the tax commission thinks
tha only income tax which wm
produce a really large chunk of
money la one with extremely low
exemptions. This prediction fs
made because figures for 1911
show incomes above $5000 an
nually are few and far between la
Tha greatest resistance to the
administration's sales tax pro
gram, will come, first, in tha sen
ate, and secondly, in the inevita
ble referendum tight. Probably a
sales tax will pass the senate.
Two more votes would have turn
ed the trick in the special session
and these three rotes should be
secured, first, through the new
light thrown on the state deficit,
the state budget and the state
needs In the lvt six weeks. More
over the governor up to date, has
not turned a hand to influence
the votes of senators by personal,
direct action. With the patronage
and other powers the executive
controls, it Is an Inert governor
who cannot swing to his side a
senate as nearly divided aa the
special session senate's opposition
to the sales tax.
(Continued from pag 1)
two years' premiums." he told the
committee, "and we can make the
other expenses."
Those speaking against the bill
to create a new fair board Includ
ed R. V. Hogg, Salem stockman;;
J. J. Sechrist, Ballston, vice pres
ident of the Oregon State farmers'
union; and G. W. Potts, Marion
county farmer and chairman of
the legislative committee of the
Farmers Union of Marion county,
who pleaded, "Don't throw Max
All members of the state board
of agriculture were present. They
are J. O. Holt, Eugene, chairman;
M. G. Gunderson, Silrerton; J. R.
Richards, The Dalles; Mac Hoke,
Pendleton; Martin Rostvold,
Woodburn; Morton Tompkins,
Dayton; and Fred Cockell, Mil
waukee. C
Winfrey Putnam
Called by Death
At Independence
Winfrey N. Putnam, 73, died at
Independence, Ore., at 6:30 p. m.
Monday. He was born in Lawrence
county, Missouri, August 14,
He was the husband of Belle
Putnam and father of Mrs. Ger
trude Edwards of Mavllle, Ore.,
brother of Marion Putnam of Sa
lem. Funeral services will be held
from the chapel of the Clough
Barrlck company, Wednesday,
February 15, at 2:30 p. m. Inter
ment will be made In City View
A number of Salem legion
naires attended the annual dinner
in honor of past commanders of
the Sheridan post last night. Ar
rangements were in charge of Ed
Baylies, past district commander
and grand chef de gare of the 40
et 8, and Otto Heider.
BOISE, Idaho, Feb. 13 (AP)
Without a dissenting vote or a
word of debate, the Idaho state
senate defeated a bill legalizing
S.S per cent beer in Idaho. It had
passed the house.
Ends Today (Better
m M3dv &3BMrJ tor? mtm1
msomi mm & mam
It X
. 1 1 1 1 1. V
!U-r' and
w m rssk.
Newa Events
n I hj
The Call
The Capitol
Today Robert Armstrong
and Constance Cummlngs
In "The Billion Dollar
Wednesday Kent Taylor
and Lone Andre in Zane
Grey's -Mysterious Rider'
The Elalnore
Today Speaeer Tracy la
"30.000 Tears la Sing
Wednesday Walter Huston
In "American Madness".
Friday Ann Harding and
Leslie Howard in "The An
imal Kingdom".
The Grand
Today - Spencer Tracy la
"Pace in tha Sky".
Thursday David Manners in
"The Crooner".
Friday Vaudeville and Re-
gis Tooney on the screen
In "State Troaper".
(Continued from pea 1)
sure, Chester A. Moores, repre
sentative of the Portland Realty
board, said such action defeated
its own purpose by drying up
credit, making renewals impos
sible and further contributing to
deflation of values. He said his
board supported his position.
'Fundamentals' are
Stressed by Bronangk
X. C. Bronaugh ot Portland,
said he was a debtor and subject
to the difficulties ot one, but ha
declared he was not going to lot
any exigency drive him away
from fundamental principles."
The speaker declared: "We are
not going to bring recovery by
setting one class against an
John Cassidy, a Portland law
yer, spoke vigorously against any
moratorium proposals. He said
they were unconstitutional and
would be thrown out by the
courts as impairing tha obliga
tions of a contract. Cassidy con
tended that tha laws of the state
at the time an obligation waa
made, were part of the obligation
which protected the mortgagee.
(Continued from page 1)
Fighting against legislation was
a numerous delegation from As
toria including former Represen
tative G. A. Hellberg. Other
speakers were Cecil Moberg, John
Strangholm, and Andrew Sepp.
James W. Mott, former legis
lator from Clatsop and Marlon
counties, now national congressman-elect
from the first district,
was a prominent speaker In oppo
sition to allowing operation of
fish wheels.
Principal arguments ot oppon
ents to the bill were that salmon
caught by wheels are chiefly of
value for hatching purposes.
Wheel caught fish, although help
ing, a certain number ot persons,
are attained only to the detriment
of the publie at large and to the
majority of other fishermen who
work the lower reaches of streams
for good quality salmon, it was
L asserted.
Than 7 Am a FngtHve')
Tomorrow & Thursday
- rays aearehbagiy every
1 t-
dreama . . . thundering
the acreesu
PORTLAND, Ore., Feb. 18
(AP) A frigid east wiad swept
cities near tha eastern boundary
ot Oregon early today and tha
chlBing blast caused tha record
ing of severe sub-aero tempera
tures at many points.
Pendleton was visited by tha
lowest temperature since 1110,
with 11 degrees below zero aa its
minimum. A few miles eastward,
Meacham in tha Blue mountain
region, aaw tha mercury speedily
tumble to 41 below bat a few
days attar relief had been ob
tained from tha wintera low
mark ot 11 below zero.
La Grande residents awoke to
sea more anow added to aa al
ready hoary fall and nlaa below
sera on tha thermometer while
Enterprise shivered with 31 be-lo-w
Tha mid-Columbia section also
felt the chilly galea and the Col
umbia river Is frozen from bank
to bank for the second time this
winter. The occurrence Is said
to be the first in the memory of
older residents.
Portland and vicinity had
slightly warmer temperatures
with a maximum of 14 recorded
and a minimum ot 1$ Monday,
while coast and southern Oregon
points received near normal win
ter temperatares during the day.
(Continued from page 1)
amortisation It months ago' and
waa being lenient with interest
payments." "
Fart said any attempt to re
lieve men who can pay fr&td meet
ing Ihelr obligations will "dry ap
the springs of credit."
Fort's visit came only a few
hours after tha senate had passed
its bill lit. This will permit, it
passed by tha house and signed by
the governor, the purchase by
Oregon Institutions of cooperative
stock in tha Home Loan bank.
Medical Men to
Gather Tonight,
Saturday Night
The Polk-Yamhill-Marion Med
ical society will hold two meet
ings this week, one tonirht and
the other Saturday night, accord
ing to vr. w. W. Baum, secretary
Tonight at 6:10 o'clock tha med
ical men will aether in the Mi
sonic temple banquet room to hear
Dr. Martin Howard of Portland
discuss a technical subiect.
The Saturday meeting, at the
same hour and place, will be a
special one called for the purpose
of hearing Dr. W. W. Newman of
San Francisco, noted practitioner.
speaa on "Heart Disease".
Cltr firemen mivrMl fnnr
calls for minor biases over the
weekend. Sunday morning a short
Circuit caused a minor hlax a
930 Tamarack street and that eve
ning a cnlmney fire waa extin
guished at the C. O Robrtnn
residence. 442 North H!b ttrut
A gasoline blase at th Mini
eoniectionery on Court street was
q a 1 o k 1 y smothered yesterday
morning and a fire In an automo
bile parked at the rear of tha Sen
ator hotel waa put out before fire
men arrived.
Cltr notice vesterdav warn imI
I In the Identification of the ner
son who lost an expensive baby
buggy on tha Pacific highway
three miles north Sunday. Tha
buggy was picked up and brought
to police neadquarters.
Hurry Last Day
Y end Request Picture j
t Leg Is
nrr.innuA crrr. raw 11,
SAWl Soma woman vha lost her
rtrfet las- raeantlr eaa recover It
by applylag at tha police gtetloa
here. Tha artificial leg waa among
articles recovered by tha atolaa
goods 'bureau.
(AP) Alarm clocks which resi
dents couldn't toss out tha win
dow harraased aleepera this mora
lag. Fighting planes participating
In tha Joint army and nary man
euvers roared over tha city awak
ening residents at assorted hours.
LEBANON. Mo.. Feb. 11.
(AP) When Jasper Berry em
erged after digging himself out
ot the county Jail ha found no one
la sight except the sheriff, the
prosecuting attorney and two dep
uties. So Berry went back to JalL
(AP) Streets being what they
are, with snow and lea making
fast driving perilous, It was pretty
convenient when fire laddies at
one station had a conflagration
delivered right at their doorstep
today. A short circuit set fire to
a street car filled with students
on their way to school. The stu
dents had no more than piled out
when the firemen were on tha Job
with extinguishers. The car had
stopped directly In front of tha
fire station.
BELLEAIR. Fla.. Feb. 13.
(AP) Babe Ruth qualified to
day with a card of 4 0-4 S 11. la
the Belleair amateur golf cham
pionship and figured ha had land
ed in an easy enough match play
field to have a chance of winning
the tournament.
Garret A. Hobart of Areola,
N. J., won tha medal with a
round of 19-11 77.
Ruth found himself In sixth
place In tha medal scoring. He
three-putted the first two greens.
took a fire on two short holes
and two sevens. Aside from these
mishaps, he played well. On the
10th hole he dropped a 3 8 -footer
for a birdie three.
When Ruth missed a shot, his
only remark was:
"Imagine that!"
Babe's strong point, as usual.
was his terrific tee shots. Ruth
meets W. R. Harper ot Philadel
phia, In the first round of match
Police Benefit
Dance to Have
Two Orchestras
Dancing to suit the varied
tastes of the rhythm lovers of Sa
lem and vicinity will be offered at
Crystal Gardens starting at 9
o'clock tomorrow night, by the
Salem police department, which la
staging the affair la benefit to
Its short wave radio fund. Lively.
orehestraa have been obtained to
play both modern and old-time
music and entertaining Intermis
sion acts are promised.
Chief Frank Mlnto plans to put
a police radio transmitter In op
eration as soon as funds are la
sight to pay for tha Installation.
Tha Boxing and Wrestling com
mission benefit held last month
netted nearly $100 for the taad.
MEDFORD, Ore.. Feb. 13
(AP) Three men covered W. A
S tarns, Medford grocery man, with
guns as he was preparing to close
his store door and then forced
him to lie on the floor while they
rifled tha cash register of $10 In
cash, here tonight.
Matinee 2:15
draws opposmorj
(Oemtuoed xreea page 1)
a arses noma at tha etate tuberca
losia hospital aear Salens waa re-
r starred to a commute for fur
ther investigation- Tha nursee
aow occupy sleeping quarters la
tha mala hospital.
house bill approprlatlag $S
00 with which to Improve tha
8panUh-American War veterans'
burial plot la Rtrerriew cemetery
near Portland was approved.
Tha request for an appropria
tion of $7000 to provide for a
traveling psychiatric clinic will be
considered by the ways and means
committee tonight. Representative
Dammasch said ha believed this
appropriation was warranted, and
that it would result In a large an
nual saving to the taxpayers of
tha state.
Tha ways and means committee
probably will complete its work
Wednesday night, when final re
port will be prepared.
; A subcommittee recommended
that $1,100,000 be eliminated
from the special requests for the
World war veterans state aid com
mission, but It later was discover
ed that this activity Is self-supporting
and receives no state ap
propriation. Yew Park Evens
Double Header
At Aumsville
AUMSVILLE, Feb. 11 The
Yew Park second ttrinr hukn.
ball team waa defeated by the
Aumsvuie second string team
Friday night f-11. The Aums
ville lineup waa Donald Hankel,
Clold Wlgle. Andy Foster, Frank
Tripp and Northup Bates. Sub
stitutes waa Lawrence Roberts.
Tha Aumsville first string
team waa defeated by the Yew
Park first string team by a score
of 40-41. Tha score stood 19-41
at the final whistle but a foul
made the other point for tha lo
cals. Tha starting lineup for
Aumsville waa Ed Hankel, Ray
mond Morgan. John Ogle, Rod
Hendry and Mozart Tappln. Sub
stitutes, Cletus Lebold and How
ard Long.
R f.C. Funds for
Industries Asked
In Goss Memorial
A memorial introduced hv sen
ator Goss Monday urgea congress
to enact legislation making avall-
aoie to the states for the use and
benefit ot industrial interests a
part of the reconstruction finance
corporation funds. Goss declared
that such a law would assist ma
terially in developing the Indus
tries of the various states and
provide work for the unemployed.
Southern Pacific
Dollar Day Offer
Comes on Feb. 24
A three-day program of Dollar
Day roundtrips between all sta
tions on Its lines la six western
states will be Southern Pacific's
excursion offer over the Wash
ington's Birthday weekend, it
waa announced yesterday.
Tha low tares, based oa a cent
a mile, will ba la effect February
"Believe me, B want a
Car that's Safe!"
tnem ta my work, go asfr saeana a lot to me. thinking cla great deal mwriiaa to good
'. T-t
. , -
... . '-- -
: ... - , , i
ri ad.iM protection Cor my wxi I looked at other lowpdcc4 cars, thea canal
end little girl la that steel body aodtb safety glass." back to Plymouth. Nowadays, I fed a lot safer."
I govo thorn all tho
YM f thinking of safer these days engineered the txctss utigU out of tha car!
JZ (iil V"- Also, Iff a victimless Sir ...with that
p,"r7a jV ia No wonder Lieutenant Anderson decided
lrAJX that Plrmouth offer, more for tha money.
i ti.u : ... ww races 4-eooi sedan now sts lcsl
14. if and It. according to A. F.
Nota. local agent, who stated
that tha flaal return limit win ba
If arch J.
Under tha arrangement, it waa
pointed out. excursionists will bo
able to utilise tha Dollar Day
transportation to attend San
Francisco's spectacular celebra
tion of ground-breaking tor tha
Golden Gate Bridge on February
It. -The Uaited State battle
fleet will bo in the harbor for the
colorful ceremonies.
Community programs will be
presented Friday night by Salem
civic clubs, cooperating with Sa
lem chamber of commerce at
Bethany, Brush Creek and Sher
wood, as follows:
Brush Creek Booster club, Fri
day night, by Salem Zonta club.
Miss Dorothy Pearee in charge
Music by American Legion auxil
iary trio and talk by Don H. Up
john. Bethany Community c!-. Fri
day night, by Capital post. Ameri
can legion, Onaa 8. Olson In
charge George Heeseman and
Ernest White, accordionist and
triple tap daneer; Haywire or
chestra. Dr. A. D. Woodmansee,
H. R. "Rufa" White, Frank Zinn
and Dr. S. F. Scott; address, "Aa
X see the 1911 Legislature", by
Brasier C. Small; boxing exhibi
tion. Jones vs. Randall.
Sherwood Motion pictures
shown by Dr. David B. HilL
Falls City Has
Three Wins in
Two Evenings
local basketball squads have come
out victorious In the last two
games played on the home floor.
The Buell grade school team was
defeated Thursday night It to 12.
Friday night In a double header
the local high school five won
over the Alrlte high school, 21 to
17. Referee, Nelson.
The Falls City Loggers defeat
ed the Airlie home towners, 31 to
27. Referee, Zuver.
Silverton Slate
Has 2 Big Tilts
SILVERTON, Feb. 13 Two
Interesting basketball games have
been arranged for the Silverton
high school team. The first of
these will be played Wednesday
at 8 p.m. when the Eugene Frosh
will play here. The next game
will be played with Astoria here
on the 25th at 8:30 p.m.
FACE in the SKY
Saaacar TRACY
Third Degree... and then picked Plymouth"
tin TO IE
DETROIT. Feb. 14 (AP)
Governor William A- Corns toek
early today issued a proclamatloB
calling for an eight day pubUa
holiday in Michigan, during which
time "all banks, trust companies
and other financial Institutions
conducting a banking or trust
business within tha state ot Mich
igan shall not ba opened for
transaction of banking or trust
WALLA WALLA. Wash., Feb.
13 (AP) Officers of the First
National bank and the Union
bank and Trust company announ
ced tonight that they will dose
for a 00-day period beginning
February 14. Plana tor a consol
idation of the two Institutions fell
through at the last minute be
cause the Reconstruction Finance
corporation's inability to extend
at this time as much credit ss
contemplated under the plan.
Four Hawaiians
Are Cleared of
Massie Charges
HONOLULU. Feb. 11 (AP)
The finale of a case which by lta
ramifications shook Hawaii to lta
social and governmental founda
tions was written today whoa
charges against four men of mix
ed blood accused of criminally at
tacking Mrs. Thalia Massie, bride
of a naval officer, were dropped
at the request ot the prosecution.
A nolle prosequi or discontinu
ance, was noted in the case, free
ing four men who had been held
under bond for more than a year
and clearing the name of another,
Joseph Kahawai, who was kidnap
ep by Mrs. Massle'a mother, Mrs.
Granville Forteecue; her husband.
Lieutenant Thomas H. Massie,
and two enlisted men ot the navy,
and shot to death in the Fortee
cue home by the naval officer.
Ufa Look Brighter Sine She)
Took Lydia E. Pinkham'a
Vegetable Compound
"I was so rundown and weak that I
could hardly walk. I waa about ready
to give up when I tried Lydia E. Pink
ham'a Vegetable Compound. Binee
then I have bad three more babies and
I feel well and strong. I am taking: tha
medicine again now at the age of forty
three. I am also giving it to my daugh
ter." M&a. J. 3- Aim. 2693 Alle
ghany Ave., Columbus, Ohio.
Don't go another day without tha
help this medicine can give you. Get a
bottle from your nearest drug store
immediately. Take it regularly accord
ing to directions.
ss VOepe y;
iee terms. Lcr
optional $8.
f f ?
tfsoTo, aooai aw oanut atxics