The Oregon statesman. (Salem, Or.) 1916-1980, January 29, 1936, Page 1, Image 1

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! Election Near
. Important Issues will be
decided In Friday's speck. J
election. Be tare to vote
and read the results first in
The Statesman. ! ;
' The Weather
Pair and continued cold
today and Thursday, freez
ing; Max. Temp. Tuesday
40, Blin. SO, river 3.? feet,
northerly winds. ,
.no
FOUMDEP 1831
EIGHTY-FIFTH YEAR
Salem, Oregon,. Wednesday Morning, January 29, 1936
Price 3c; Newsstands 5c
No. 264
.RimMm Mate
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Pay of Solons
Is Vote Issue
For 9tli Time
Sets Record for Number
of Times Brought Up
: for Ballot Test
Agreement Higher Wage
Merited Seent Lack
of Limit Opposed
Editor's Note: Thin is the fonrfh arti
cle dealing with question! in the ballot
ext Fridsf. The current article concerns
the proposed increase in the pay oMefif
lators. Both sides are presented.
Br SHELDON F. SACKETT
For the ninth time, since Ore
gon citizens obtained the privil
eges and responsibilities of the in
itiatiTe and referendum, ; the
question of increasing pay to le
gislators is before the state, No
other measure prohibition, the
sales tax, or capital punishment
has so many times been placed
on the ballot.
On eight occasions, usually de
, eisiyely, the state has rejected the
efforts of its 90 legislators, to se
. cure a pay boost. Only once in
1920 when times were good did
the state approach the award of a
pay advance to legislators. : Then
the proposed constitutional am
endment lost by 5000 votes.
Indirect Methods
Adopted by Solons
Falling to , secure a direct In
crease In pay, legislators : have
tried other methods. Once in he
last decade they voted themselves
an expense account and drew the
money until the supreme court
of Oregon invalidated the bill.
: Tb4 practice of nepotism is eom
tnorr and continuous; frequently
the wife of the legislator : with
her $5 a day pay as secretary
makes 60 per cent more-.than the
legislator himseiryv '4 '
The bill before the rotef s Fri
day sets no limit on legislative
pay. The legislators can draw
whatever pay they set by law pro
vided the legal period for the ses
sion Is not exceeded. The propon
ents of the new amendment to the
- constitution, notably Senator Wil
liam Strayer of Baker, say the
amendment, without any strings
on the rate the legislature will
set, is equitable. No legislature, it
Is contended, will dare to set the
rate so high Its members will be
rapped by their constituents and
hot returned to the assembly.
Governor Would Veto
Too High Pay Rate !
Furthermore the governor
would veto any till providing too,
high a rate of pay, the senator ar
gues In the brief supporting the
bill as published in the voter's
pamphlet. Other state Jobs and
county . positions have rates of
compensation fixed by the legisla
ture; why cannot the legislature
be trusted to fix its own compen
sation? Opponents of the pay increase
for the legislature Argue that for
77 years Oregon has nfanaged
with a. 13-a-day-legislature. There
is no assurance that paying the
delegates S5 a day or 110 a day
would bring better men to alem.
Well-to-do legislators do not come
for the money involved;, : they
come because they love power and
the" headlines and "state service."
A poor man considers $3 enough
or nearly enough to maintain hinv
while In Salem. -; j
. Greatest opposition to the leg
islative pay amendment Xo the
constitution lies with objectors
who say It is not safe to leave the
sky-the-limit as to the amount the
assemblymen will receive, j A 1 5
or 110 maximum should: ; have
been specified, this group feels.
That' the times are not propit
ious for an increase, is a third ar
gument against the bill. The leg
(Turn to Page 2. Col. B)
Milling Millions
Delay Procession
WINDSOR, Eng., Jan. 28.-P)-George
Y was buried beside the
bodies of his father and mother
today In the vaults under the eha
" pel of his 1000-year old castle.
He was laid to rest after a sim
ple service- In. contrast to! j the
pageantry of a great funeral pro
cession which brought hia i body
here from Westminster hall,: Lon
don.' -i;- ! ; i
The Archbishop of Canterbury
' committed George's soul to God.
his body: to eternal peace. I Then
Edward VIII, his son and succes
sor, sprinkled earth from a silver
urn on the coffin as it was low-
ered into the crypt. s : f t
t ' Slllllons of George's subjects
gave him a tremendous farewell
and because the cortege could not
get through the crowds in Lon
aon the funeral schedule was
thrown 33 minutes behind.! : ! I
Police were forced to take dras-
0 tie action to clear the roadway
and angry shouts went up from
thousands at Hyde Park when po
lice roae among them and; forced
them back to side streets.! i i
Niagara Caught in Winter's Grip
Becomes Trickle and not Torrent
.v ..... y . .)..
i
Courtety Universal Xewreel -Jack
Fros lavished all his artistry on Niagara Falls when the mighty
cataract was sheathed In Ice, checking the torrent with huge blocks
or. ice wnich lormed on the rock
Meat Is Unloaded
Despite Picketing
Preble Pushed Aside When
Interference Claimed;
Makes Statement
With the help ; of state police
men and two special inspectors of
the Southern Pacific company, a
carload of partially finished meats
was moved to the Valley Packing
company here yesterday morning
and unloaded by salesmen and of
fice employees of the plant.
James Preble, business agent
for the drivers' and helpers local
union, was pushed aside and pum-
meled by policemen, officials at
the plant reported. They said
Preble was interfering with the
moving of goods to the plant.
Preble later yesterday said his
difficulties near the plant "had
nothing to do with the Valley
Ordered to Leave
At noon yesterday Preble or
(Tura to Page 2, Col. 6)
Building Permits ,
Reach Large Sum
T h i r t een thousand dollars
worth of nermlts for residential
and warehouse construction were
issued here yesterday by the city
building department.
The largest permit was for a
99000 warehouse: addition which
D. A. Larmer will put under way
at once, he said 'last nlxht. The
fonr storv addition. 40 hv 120 feet
in size, will be erected against the
north wail of the newer or nis
two timsnnt warehouses at Lfbertv
and .Rroadwav. Need for better
furniture storage facilities promp
ted the plans for tne addition.
TCdwarii Rosteln vesterdav se
cured the building department's
permission to build a 300U one
story house at 370 Norm lain
street and Hawkins and Roberts
trw alter a house at 1120 SOUtn
Liberty street at a cost of $1000.
Urgent Request
Subsidy1 Sent by Governbr
A renewed request for a $10 a
ton federal subsidy for Wfllam-!
ette valley flax growers was wir
ed to Washington late yesterday
by Governor-Charles H. .Martin
in an effort to 4xpedK the se
curing of federal funds which will
assure a- large planting of flax In
the valley this spring.
Advices from Washington are
that the subsidy has been ap
proved save for the official sanc
tion of Comptroller M c C a r 1
through whose offices the pay
ments must be made. Secretary
of Agriculture Wallace has ap
proved the subsidy, payments to
be made from Import duties re
ceived on agricultural products.
Governor Martin expects the
subsidy to be of great help In
establishing the i three scutching
and retting plants which have
been secured fori the state with
WPA funds. j
Plans Jor Three 1
Plants Completed'
Preliminary slant for these
three plants have been complet
ed. One is to be located near
Springfield, Lit e county, one
near Mt. Angel, and the other be
tween Canby : and Molalla. WPA
funds totalling 119,500 are avail
- ..'.. .:-;-"-:-:ft,... " smwrn - -m laininrMfmrtnf M
ledges.
O. K. Allen Taken
By Sudden Death
Former Long Henchman Is
Victim of Cerebral
Hemorrhage
BATON ROUGE, La., Jan. 28.-
(iPHGpv. Oscar Kelly Allen who
rosa to power with Huey P. Long
and; inherited the political leader
ship left by the late senator, died
today of a cerebral hemorrhage.
Apparently in excellent health
and spirits, the 55-year old gov
ernor was stricken suddenly as he
prepared to leave the executive
mansion for his offices in Louis
iana's skyscraper state house.
He i died within an hour, his
wife and two of his children at his
bedside. ' r
The news spread ranidlv. shock
ing the state with the knowledge
that the second of the two men
who helped build a political em
pire without comparison in Amer
ican history,, had passed.
Like his late allv. Allen often
was the center of nolitical temo-
est. Only last week he figured
largely in sweeping into office a
new state administration in
landslide victorv which followers
or Long declared a "vindication'
or nis policies.
Alien's death automatically
made Lieutenant Governor James
A. NOe of Monroe, a hieh lieu ten
ant in the Long-Allen political or
ganization, the chief executive
but again left vacant the Uni
ted; States senate seat Long occu
pied before he was slain.
f
j Loan Over Million t
PORTLAND, Ore., Jan. 28.-
-Jamieson Parker, state director
of the federal housing adminis
tration, said today operations un
der the complete home financing
plan of the FHA passed the 31,
000,000 mark In Oregon last
week. The week showed unusual
gams, be said.
for Flax
able !for constructing each of the
plants.
plans made through the board
of j control and the state flax
board call for cooperative-' organi
zations in each of these three
areas "who will make contracts
for the planting of flax, super
vise I construction of the new
plants, purchase and Install pro
cessing machinery and handle the
scutching and retting operations, i
trhe Mt. Angel cooperative, fur- j
therest along in its organization
plans, seeks to raise 315,000 in
preferred stock as its portion of
the necessary capital to get the
plant started. Of the money rais
ed approximately 35000 would be
used for materials In construct
ing the retting and scutching
plant. Another 35000 would go
as: first payment on the seeded
machinery, an estimated sum of
36000 being borrowed for x ma
chinery from the federal bank for
cooperatives at Spokane. The re
maining 35000 would .provide
working capital. -Plant
700 Acres or
More, Each District
fFirom 700 to 1000 acres of flax
would be planted adjacent to each
I ITurn to Page 2, Col. 2)
Power Utility
Hearings Data
Studies Begin
Commission o Pay More
Attention to Reports
of Its Engineers
Facts Will Be Useful in
Future Planning Even
if Projects Fail
With Its series of public hear
ings behind It, the state hydro-el-
ectric commission is settling down
to 120 days of hard work pre
paring reports on the three public
utility district proposals it has
under consideration.
The full time allowed by law
will be used by the commission.
When the reports are made, whe
ther or not they recommend form
ation of the districts, the reports
will contain factual data of value
to the state in plotting its future
use of hydroelectric power.
Three Districts Ask
Right to Organize
Three districts have asked for
consideration as future units for
the distribution of power:
One is Marlon county, including
Salem. .-
The second Is Linn county.
The third is a seven-county dis
trict including Polk, Yamhill,
Washington, Clackamas, Lincoln,
Columbia and Clatsop counties.
Members of the commission
will base their findings much
more upon surveys of the commis
sion's engineers than upon data
produced at the various public
hearings. The latter will be used
primarily to gauge public senti
ment on utility district formation.
Under the utility district law
the findings of tho hydro-electric
commission will not determ
ine whether or not utility districts
will be formed. If the commis
sion recommends t against the
formation of a district, five per
cent of the registered voters of
the territory proposed for the dis
trict can nevertheless petition for
an election. The election must be
held within not less than 50 or
more than 60 days from the time
the petition is filed. If a major
ity of the voters in the area ap
prove the formation of a district,
one is set up.
Second Election
Needed to Bond
However, no bonds can be is
sued within the district except by
a special vote of authorization
also given by the voters of the
district. These bonds, which can
be general obligation issues, can
be issued up to ten per cent of
the assessed value of the district
if a majority of voters approve.
(Turn to Page 2, Col. 8)
Convict Explains
Slaying of Loeb
JOLIET, 111., Jan. 2$.-Jfy-
Slasbed 52 times by a razor In
the hands of an enraged fellow
convict, Kicnara Loeb, 30, co
perpetrator of the "thrill slaying"
of Bobby Franks in 1924, was
allied today in statevuie pennen
tiary.
James Day, 28, serving a term
for larceny, confessed the killing
of Loeb, State's Attorney Will
McCabe of Will county Bald, and
blamed it on Loeb's persistence
in pursuing him over a long per
iod with improper advances.
To Edward G. Powers, Inves
tigator for the state's attorney's
office, he gave a full statement
of the furious fight he said he
and Loeb engaged in, and the in
cidents which, he said, led to it
He denied he had stolen the
razor with which, he "cut to
pieces" the partner of Nathan
Leopold in Chicago's most revolt
ing crime of nearly a dozen years
ago.
The r a s o r, he claimed, he
wrested from Loeb's hand when
Loeb threatened him with it.
PORTLAND, Jan. 28.-6qp-R,t
chie Fontaine, Missoula, Mont.,
scored a technical knockout over
Midget Wolgast, Philadelphia, In
the seventh round of a; scheduled
ten round bout here tonight. Fon
taine weighed 132, Wolgast 129.
Wolgast was not hurt when the
bout was halted but Referee Tom
Loutitt awarded the contest to the
Montanan because of the former
flyweight champion's Indifference
to warnings to. start mixing.
The Portland boxing commis
sion' announced Wolgast's purse
would be held up pending a hear
ing tomorrow morning.
LOS ANGELES, Jan. 28.-iip-
Maxie Rosenbloom. former light
heavyweight champion', took all
10 rounds from Charlie "Killer
Coates tonight. .-
Late Sports
Shaping
Has
Live Platform
NeedofG.O.P.
Borah Asserts
Popular Voice in Choice
of Candidate Also
Necessary, Claims
is
Townsend Plan Will Not
Work Though Pension
Strongly Favored
NEW YORK, Jan. 28.-(P)-Sen-
ator William E. Borah tonight as
sailed "back room" tactics in de
termining the republican presi
dential nominee for 1936 and as
serted that only a "living plat
form" could assure republican
victory next fall.
The Idaho senator, addressing
a Borah-for-PresIdent meeting at
Kismet Temple In Brooklyn, made
no declaration as to his own pos
sible candidacy, but strongly op
posed selection of uninstructed
delegates to the national conven
tion in June.
Such a course, he declared In
an extemporaneous speech, meant
the disenfranchising of republi
can voters.
Parties Prestige -Held
tn Balance
"Party ties rest rather lightly
noon the shoulders of the people
at this time, as we unfortunately
know," he said, "and a ' system
which permits a few self-appoint-
(Turn to Page 2, Col. 4)
Linn Held Solving
Marketing Puzzle
ALBANY, Ore., Jan. 28.-0P)-
W. L. Teutsch, assistant state
county agent leader, said today
Linn county had made consider
able progress in balancing pro
duction to effective marketing de
mand. His talk was a part of the
Linn county agricultural confer
ence, attended by about 200 per
sons. '
Figures were presented showing
Linn led the state in the number
of dairy cattle with 17,000, and
that the area also led in produc
tion of oats and rye grass.
F. C. Mullen, Linn county
agent, told the group the county
is equally divided between farms.
other privately - owned property
and national forests. He said the
average size of farms dropped
from 275 acres to 125, and im
proved acreage from 175 to 75.
He said the 3,849 farms, which
gives Linn fourth ranking In the
state in the number of tracts, pro
vided a farm income of 34,500,000
in 1935, divided equally between
field crops and animal produce
Martin Stresses
Oregon Prospect
CORVALLIS, Ore., Jan. 2 8. -OP)
-Governor Charles H. Martin told
the Corvallls chamber of com
merce today that "unlimited op
portunities" present 'themselves
for making Oregon the site for
an outstanding development pro
ject.
Undeveloped mineral resources.
timber, farming and Bonneville
dam were cited as potential fact
ors of importance.
The governor decried defeat of
the state mining survey bill and
declared that hesitancy cost tne
state 33,500,000 for flax develop
ment.
In commenting on the student
fee proposal, the governor said
the matter should be handled by
the state board of higher educa
tion. "Next thing you know we'll
have to vote on whether Chancel
lor Hunter Is to remain here," he
said. ' - '
Hotel and Two Homes
Laid Waste at Atsea$
Entire Total Imperiled
ALSEA, Ore., Jan. 2.-(fl3)-A
hotel and two homes lay in ruins
tonight as a result of a roaring
fire which for a time threatened
the entire town. Damage was un-i
officially estimated around 35.
000. The fire was under! control
before a truck sent from Corral-
lls arrived. Volunteer firemen and
a hand -drawn hose -cart halted
the blaze, aided materially by
change In the. wind. ,
of
Jl. Ajm J JL M lUef
Mmeh
Swats Back at
Party's Critic
'Ft J S & MOwu
JOSEPH T. ROBINSON
Runte Appointed
Temporary Chief
Liquor Board Delays Move
to Fill Jack Allen's
Place Permanently
PORTLAND. Ore.. Jan. 28.-W
The- Oregon state liquor commis
sion named Otto J. Runte as act
ing state administrator today,
succeeding Jack Allen who resign
ed as of February 1.
Runte, who has been connected
with the liquor control commis
sion since the state board was or
ganized in February, 1934, has
been supervisor of state liquor
stores since September, 1935. He
formerly was a salesman for the
Neustadter brothers wholesale
firm in Portland for 18 years.
The commission took no action
toward the appointment of a per
manent administrator.
Jack Holden, now chief elerk.
was named acting supervisor of
stores to succeed Runte and E. C
Crout, auditor, was named chief
clerk.
More Beer license
Inspectors Hired
Other actions of the commis
sion today:
Hiring of six additional beer II
cense inspectors and two addi-
(Turn to Page 2. Col. 1)
Mercury Dives as
North Wind Comes
Jack Frost rode a north wind
into Salem yesterday afternoon
and blew the mercury Tapidly
downward. Thermometers read
25.5 degrees downtown at mid
night and were still falling.
The weather bureau predicted.
after having mistakenly guessed
rain for yesterday, that today and
Thursday would bring fair weath
er with freezing temperatures
and "continued cold."
Yesterday's maximum tempera
ture was 49 degrees, two points
below Monday s.
I "...
tfrK" -v
v V A
1
Disposal Problem Viewed
At League
Sewage disposal is a problem
Oregon municipal officials must
face, especially in the Willamette
VaUey, and one which may be
solved through construction of
proper disposal plants, Carl E.
Greeb, state . sanitary engineer,
told 41 delegates of the League
of Oregon Cities regional confer,
ence at the chamber of commerce
here yesterday afternoon.
Green cited sewage plants being
erected at Medford and Hillsboro
as examples of modern disposal
systems. He warned the mayors,
aldermen, recorders, city attor
neys and managers present to be
ware of the beUet that products of
the disposal plants would pay for
their maintenance and amortiza
tion. Such Is the ; case, he said,
only in a few cases where unusual
cost factors enter In. :
Pay For Fire Fighting; '
Outside City Studied
The officials discussed Inform
ally all types of municipal gov
ernmental problems throughout
the afternoon but took but one
formal action. They adopted a mo
tion by Mayor. G. C. Newgent of
West Salem requesting the league
i to study and if possible devise
ighi) Moth
High Hat
Brown Derby Says
Joseph T. Robinson
Former New Yorjt Governor Approved
of NRA, Farm Relief, Power
For Executive, Alleges
Issues Upon Which He Sought High
Office Rejected; "Turncoat"
Phrase Hurled on Radio
WASHINGTON, Jan. 28. (AP) The new deal officially
portrayed Alfred E. Smith tonight as a turncoat "war
ring against his own people and against the men and
women with whom he fought shoulder to shoulder in the
past."
The spokesman, in reply to the Saturday speech im
pugning the Americanism and integrity of Roosevelt poli
cies, was Smith's running mate in the 1928 campaign for
presidency Sen. Joseph' T. Robinson of Arkansas.
He said "the hour long harangue before the miscalled
Liberty league was barren and sterile, without a single con
structive suggestion."
Fight Call Issued
In Maritime Row
Old Union Ties up Funds;
Employers Prepare by
Incorporating
SAN FRANCISCO, Jan. 28.-ff)
-The leader of 7,000 Pacific
coast sailors accused officials of
the International Seamen's union
of conspiring with ship - owners
and issued a "fight" call to the
rank and file membership from
coast to coast today.
Brought to a sudden head by
the revocation of the Pacific
Sailors' union charter, the break
between militant left-wing lead
ers and the old-line officials was
seen here by observers as the
opening of a battle for control
of America's maritime labor.
The conflict was- carried Into
federal court here when I.S.U.
representatives obtained an In
junction intended to tie up joint
funds at Sailors' union halls in
San Francisco and San Pedro.
Sailors union officials, who
were ordered by Federal District
Judge Michael J. Roche to ap
pear and show cause February 3
why the injunction should not be
made permanent, said the court
action had been anticipated. They
intimated arrangements had; been
made for funds to carry on union
activities.
Employers; meanwhile, tighten
ed their organization 1ly incor
porating as the American Pacific
Ship - owners' association under
the laws of California.
of Cities Meet
some system nnder which towns
and cities may be remunerated
for their fire departments' servic
es to residents outside the city
limits. ,
That a new Oregon law re
quires all cities to submit an an
nual financial repbrt to the se
cretary of state's office was an
nounced by C. W. Starr, supervi
sor of the auditing division. Starr
said his division had prepared
uniform report form on which in
come and disbursements, assets
and liabilities, disposition of spe
cial funds and debt Items would
be listed.
While all eligible men are now
employed on WPA projects in this
district, WPA officials will ap
prove worthwhile new projects
applied for by. eities, the officials
were told by Thomas J .Sheridan,
labor relations manager, who
spoke for J. E. "Jim" Smith dls
trict Wpi. director. But few of the
WPA projects now In operation,
he said, are. within eities and but
a handful of these sponsored by
municipal . governments , them
selves. -
Numerous questions were an
(Torn to Page 2, Col. 1)
ams
Camps
Replaces
O "Governor Smith." he conclud
ed a national broadcast. "I've
read you the record.
Says Smith FtaTored
New Deal Policies
"You approved of NRA, yon
approved farm relief, yon urged
federal spending for public
works, you urged congress to cat
red tape and confer power on the
executive, you urged autocratic
power for the president, and yon
exposed with merciless logic the
false cry of communism and so
cialism.
"The new deal was the Plat
form of the 'happy warrior.'
"The policies of the Liberty
league have become the platform
of the 'unhappy warrior'."
The speech, distributed to news
paper offices early by the demo
cratic national committee publi
city bureau, was replete with quo
tations from Smith's positions is
the past.
"The brown derby has been dis
carded for the high hat; he has
turned away from the east side
with those little shops and fish
markets, and now his gaze rests
lovingly upon the gilded towers of
Park avenue."
In the quotations, Robinson un
dertook to prove that Smith had
"advocated and championed ev
ery basic principle" enacted since
March, 1933.'
29 Earth Shocks Felt
In Oaxacas No Deaths
Shown in First 'News
CACAHUATEPEC. Oaxaca.
Mex., Jan. 2 9.-( Wednesday)-
-Nine earthquake i shocks were
felt here today, damaging several
homes, but no casualties were re
ported immediately. .
A total of 29 earth shocks have
been experienced by this region
during the past 48; hours.
Octopus Seen, Claim
j
THE DALLES, Ore., Jan. 28
(JP)A four-foot octopus was seen
moving along the! bottom of a
clear, 10-foot pool in the Meto
lius river. Jack McDaniels re
ported. He said his son also saw
the Inland phenomenon.
Ballot
Recommendations
Special Election
Jan, 31
I
Changing primary ; elec
tions to September
Vote 800 X Yes.
Giving legislature power
to fix own salaries, t
t Vote 803 X No.
Sales tax bill.!
Tote 803 X No.
Giving statej board of
higher education power to
fix student fees. -
Vote soe X Yes. ;
City . manager form - X
government for Salem.
Tote 600 X Yes.