1AGE TEN : The OXIE.GON STATESMAN, Salem. Oregon, Wednesday Morning, January 29 1936 Holman Stresses Saving in Office Predicts Further Economy on Carsand in Light and Heat Plant . A salary ,of 10 perjeent of the savings he hag been able to'tnake for Oregon as state treasurer and member of the state hoard of con trol would he folly satisfactory to Rufus C. Holman, the latter told the Salem Kiwanig, club Tuesday soon at Us luncheon here. Vast opportunities exist in Ore gon .government for eonstructiTe economy f?r reduction of costs rather than increase of taxes, Hol man averred. He said he wag sat isfied the state could save money on Its state owned nad operated cars, on Us purchase of light and heat and on Its telephone service. - The treasurer said citizens of the state who attacked this pro gram were content to let overhead . costs of their own government pile : up " rather;" - than take the chance of .making a few enemies. J Praises ' Colleagues He praised his associates on the board of control Governor Mar tin and Secretary of State Snell saying he had found each of them fine colleagues with whom to WOrk. - J'- '-XS - i :. ; .,- . -,' . Justice Bailey of . the supreme court Introduced Mr. Holman. An innovation at the club meet ing was six-minute forum in which Ralph Moody, deputy at torney-general upheld the proPos ed sales tax bill, and Allan Car son, attorney, spoke In opposition to it. Moody said it was the only sound way to finance old-age pen sions; Carson attacked the hill as a poorly drawn piece of legisla tion and subject to many legal er rors. . Historic Windsor Scene of Royal Burial f:S,-'V!M---"-'"M':aP, ,5:'v-v.:jS : a Teleplione Group Retains Officers STAYTON, Jan. 28. .The an nual meeting of the Stayton Co operative Switchboard association was held at the Foresters' hall, Stayton, .Monday afternoon, with representatives from the various lines comprising the association present. One of the principal matters of business was revision of the articles of association and by laws of the organization, a mat ter "which had been nnder advise ment of a committee appointed In 1934. No vital changes were made Jn the articles or by-laws other than to modernize them. They were originally adopted in 1115, and few changes were made since that time. . " Officers were all re-elected for another term. Geo. A. Sandner is 'President; F. A. Zimmerman, vice-president v Grant Murphy, secretary -treasurer; Edward J. Bell, secretary, and directors, E. A- Ditter, P. C. Freres. The report of the secretary - treasurer shows the association had a successful year in 1935, with approximately , 407 phones now operating 'through the switchboard, an- Increase of 10 over 1934. Tate President, Stayton Cannery STAYTON, Jan. 28 The board . of, directors of the Stayton Co operative cannery met Monday night and elected the following officers: President, George Tate; vice-president. Georee a. Smith: secretary - treasurer. Genevieve smith.' ueorge A. Smith, who lias filled the position of manager of the cannery for several years, was re-elected to that capacity. The year 1935 was a banner year for the organization with 176,000 cases packed. This repre sented: five million pounds of firm and vegetables. The organi sation purchased $111,000 worth of fruit, 818,000 eugar and S85, 000 cans. . It paid out for labor 336,000. At the peak of the season. 275 persons were employed. Governor Pleased . Governor Charles H. Martin den elared yesterday he was well'sat lafiei with the state budget law, the - provisions of which he ex pecU to put into effect in all de partments la February. "We must watch the pennies If we are to keep, down the costs of govern ment, the gorernor declared. Under the budget law passed In 1935.' each department head must file In advance each month a bud get of his expected operation ex penses for the coming month. Un til this, budget has been appreved, B expenditures can be made. Any deductions made by the governor .must be taken from" the budget. Huge Dividend Payment . Shoun by Utility Firm : As No Approval Asked lAerUI view of Windor Ca-tle 4 1 "f - V- isc- i if A ' ' , f - - & - i . . ::-: . ? .v.',' W. :v 5 -.15 ' I l 1 . - i Uf. i v. t : ( The Albert Memorial chapel Historic Windsor Castle, 20 miles west of London, I George and Albert the bodies of King Edward and final resting place of King George Valso has in j Queen Alexandra, parents of the late monarch; the burial vaults below the adjoining chapels of St. J William IV, George IH and George IV. In the Valley Social Realm Jefferson. The home of Mr. and Mrs. D. T. Henion west of Jefferson was the scene of a wed- ding ceremony Sunday at 4 p. m. when their daughter, Hazel Hen- Ion, became the bride of Roy Henderson, son of Mr. and Mrs.' John Henderson, of Jefferson. The ring ceremony was perform ed by Rev. Herbert Armstrong of Eugene. Preceding the ceremony Mrs. Herbert Armstrong and daugh ter, Beverly, sang, "I Love You Truly." The bride was attired in a blue crepe dress, and her at- j tendants were her three sisters. Vera, Esther and Gladys Henion, and Miss Evelyn Jellison. Roy j Tilley acted as best man for the j groom. i Following the ceremony a wed ding supper was served. For the present the young people will make their home at Camp San- tiam cabins. ' Guests present for the ceremony were Rer. and Mrs. Herbert Armstrong and daughters Beverly and Dorothy of Eu gene; Mr. and Mrs. John Henderson. Elmer and Carl Hendenon, lira. Dudley Hampton and daughter Laverne; Mr. and Mr. Phillip VanValkenbnrgh and daughter Phyllis Jean; Mrs. Guy Benight and son Ray and daughters Alice and Cna; Mia Florence Curtis, Deroy Mc Gill. Gertie Cox, Bell Branch, Charlie and Lavonne. Henion. . Jefferson. A family gathering was held Sunday at the country home of Mr. and Mrs. G. A. Rob ison two miles north of Jeffer son, in honor of their parents, Mr. and Mrs. R. O. Robison's 30th wedding anniversary. Covers were placed for the honor guests, Mr. and Mrs. R. O. Roblson, and sons, Wilfred. Rolla and Keith; Mrs. Viletta Robison, mother of R. O. Robison, all of Salem; Mr. and Mrs. A. D. Belknap, Mr. and Mrs. A. D. Robison and son, Rich ard, and Mr. and Mrs. T. O. Hes ter of Jefferson. Miss Frances Virginie Melton announces another of her First-Sunday-in-the-month musical teas to be given next Sunday, Feb ruary 2nd, in her studio at 324 N. Capitol, starting at 4 o'clock. William Wright, tenor, wiU sing. Zena Mr. and Mrs. J. H. Gray were hosts at a wedding dinner, Sunday, January 26, compliment ing their son and daughter-in-law, Mr. knd Mrs. Howard Gray who were' recently married here. Cov ers were laid for: Mr. and Mrs. Howard Gray, Mr. and Mrs. I J. W. Magee and children Jean and Robert, Mr. and Mrs. L. W. Magee and daughters Haxel and Margaret, Mr. and Mrs. M. M. Magee, Mr. and Mrs. G. George, Mr. and Mrs. A. Owena and daughter Gersldine, Mr. and Mrs. Xliae Nicholson and son James, Mr. and Mrs. Itsb Smith and son Gale, Mr. aid Mrs. George KUel and children relyn, Doria and Clotns, Mr. ui Mrs. F. A. Gray and children Betty, Diek, Leslie, Harley and Darleen, Mr. and Mrs. A. H. Straw and children Peggy, Lois and Glen, Mrs. Jennfe George, Mrs. Sarah Magee, Mr. and Mrs. Allen Hutchins and chil dren Barbara, Manrice, Jerry, Harold and Kenneth. Instrumental, selections, were played during the afternoon by L. W. Magee, Robert and Jean Magee, Gale Smith, F. A. Gray, George. Erelya and Cletna Et ieU Waconda Mr. and Mrs. Hen ry Stafford entertained at "500" Sunday night. High score was won by Mrs. Allyn Nusom and Al bert Girod. Mrs. Richard Tuve and Francis Nusom received low score. Others present were Mrs. F. R. Nusom. Mr. and Mrs. C. M. Hall, Mr. and Mrs Frank Felton, Mr. and Mrs. Pearl Patterson, Richard Tuve, Mrs. Albert Girod, Allyn Nusom, Velle Felton, Dnane Felton, Gordon Tuve and the hosts, Mr. and Mrs. Henry Staf ford. Dayton-i-Mrs. George Ravn (Claire Wagner), a recent bride, was very delightfully surprised with a miscellaneous shower Sat urday afternoon when Mrs. Charles Carr and Mrs. Charles E. Smith entertained 25 friends at the home of Mr. and Mrs. J. L. Sherman. Miss Marie Saccamonna and Mrs. Russel Coburn each gave vo cal solos, Mrs. F. E. Fisher, a reading; a piano solo by Miss Lu cille Fisher were the program numbers. The Artisan Woman's club will hold a benefit card party Thurs day night at 8 o'clock in the Fraternal temple. Reservations may be made by calling 877 or 8504. The Hermlston Light and Pow er company filed with the state utilities commission here Tuesday application for permission to Is sue a 156,000 eight per cent 10 year note to the American States' Public Service company and a 820,000 note of the same char acter, to the American States Elec tric company, both of Baltimore, Md. -v. . ... . . :The application Indicated that these notes would replace other notes previously issued.- A financial statement filed with the; utility - commission , showed that in 1933 the light and power company paid a dividend of 450 per cent on Us common stock of 310.000. In ; 1934 the dividend was reduced to 250 per cent and in 1935 to 25 per cent. -- Dividend payments In 1933 ag gregated 145.000. In 1934 these dividend payments were $25,000 ana in 1935 approximately $2500. Laura Wheeler Pattern 1 w'y jy. V.V ,i exes til" . -KJiiK - y V t it mr?t-ir-iSzai .if a, ra wa . z S29iU'Cn. .a, aV . . ei a Qaxton Is Again Phone President Valley Cities Are Against New Deal Only Four in Oregon, They in Wheat Districts, V: Favor Policies - 4 Only four cities In the state show a preference for the New Deal In the recently completed Literary Digest PolL : Uniformly these cities are in eastern Oregon where AAA's price-raising . has been of help to farmers. The com munities giving preference to the New Deal in the test ballot are Bent LaGrande, Pendleton and The; Dalles. ? ;;;; ,, .-'-V V - Salem's vote against the New Deal's policies was 'almost two to one. Ballots cast in favor of the Roosevelt program totalled 265; ballots against the program .were 487. : Eugene showed, an even larger opposition to the New Deal. Favorable votes numbered 236: unfavorable ballots totaled 622.. The vote by cities was: Oregon Albany , A it or is , Baker Bend Corrallia Eugene Klamath Falls La Grande : Marahf ield " Medford Oregon City Pendleton Portland Salem The Dalles . Tea S7 78 83 68 93 935 89 81 VI 116 88 118 He Total 111 198 97 83 68 250 622 15ft 57 8 183 85 103 115 148 124 S51 757 945 138 -164 290 188 831 .4448 5136 9579 . 285 487 752 . 105 69 174 Wayne's Market Will Open Today Wayne's meat market, operat ed by Wayne Dignan, opens to day In "the location formerly oc cupied by the Valley meat mar- Radiophoto of New Monarch , ,t:mfswwft)CMaw'..li.e:ty pievi r : - , r This radiophoto of Kins Edward VHI was taken as he rode to the1 airport near Sandringham to fly to London to assume his duties as ruler of the British empire:; ket, 17 8 South Commercial. Dig nan bought out Clay H. McDow ell who had operated the Valley meat market tor the past seven months. Dignan has been a Salem resi dent for the past three years, having been associated with the Valley Packing company, Steus-. loff's market and Salem Heat company during that time. He has also had experience on the wholesale side of the meat busi ness. George Coover is Dignan's as sistant in the market. First Aid Class Entry to Close - Registration for "ths first aid class under the adult education program win close tonight at Sa lem, high school, according4 to George Birrell, WPA adult edu cation,' supervisor. Registration may be made either on the sec ond floor or in the class room at the high school. - Esther Arnold, trained Instruc tor, will have charge of the class. Persons taking the course may study and qualify for either the regular or the advanced Red Cross first kid certificates. No tuition Is charged. Many Attend Funeral Of Mrs. Nellie Iliatt On Monday at Lyons LYONS, Jan. 28. One of the largest attended funerals ever held at Lyons was for Mrs. Nellie Hiatt, January 27. TJie church was filled with relatives and friends and many were unable to get inside the building. The numerous and beautiful floral pieces expressed sympathy and thoughts of a large circle of relatives, friends and neighbor of the deceased. & First Break in Women's Club Saddens Meet , Held in Salem AUMSVILLE, Jan. 28 A tele phone stockholders' meeting was held at the school house Friday night. A resolution calling for new by-laws for the share holders was passed. An election resulted in the re election of Robert Claxton, presi dent; George Claxton, vice-presi dent: directors, William Forgey. who takes the place of Ed Amort whose removal to Salem created a vacancy: F. A. Garbe, A. Wolf, Roy P orter, Charles Colyin, George Claxton and Robert Clax ton. A secretary and treasured will be elected. The Likem club met Sunday at the home of Mrs. Paul Johns of Salem, honoring her birthday. The event was somewhat saddened by the fact that this was the first meeting since their circle had been broken by the recent death of Mrs. Etta Burns in Salem. AH were women who grew to woman hood in Aumsville and who had been together on their birthdays over a long period of years. A birthday dinner was held with Mr. and Mrs. Paul Johns as hosts. Guests were: Mrs. Roy Fuson, Aumsville; Mrs. Katie Sturgis, Brooks; Curtis Tucker, a brother of Mrs. Paul Johns, Salem. After the dinner, the club visit ed the grave of their departed member, Mrs. Etta Burns, and placed flowers upon her grave in loving memory of girlhood days. . Mr. and Mrs. Griebenow of Sa lem, missionaries on furlough from Tibet, appeared before the AumBTille high school Monday afternoon In the costume of Thf- betans, and gave an Interesting description of their work. Scouters Gather At Albany Friday Thirty five men from Salem and vicinity are planning to attend the joint Cascade and Wallamet Boy scout area meeting at Albany Fri day night to hear of the new senior scouting program from the national director, Thomas - J,- Keaner of .New York City, James E. Monroe, executive of Cascade area, said here yesterday. Monroe added that. the. meeting was open to all men interested and equesti ed. that persons expecting to at tend should notify him at his off Ice here by telephoning 6734. The meeting will . be held at 7:30 o'clock Friday night at the Albany city hall. Keane will be accompanied by Edward L. .Curtis of Portland, northwest regional scout executive. Zaks Are Visitors at Bethel; Report Death Of Child Hart on 4th Wall Hanging? Pattern 1014 How rarely one sees a peacock with all his , lovely" plumage dis played!; This- proud pair, how ever; seem to welcome the admir ation they merit, and will hold this unique pose as long as your wall panel lasts. Youl! want' it done In time for Spri n g of course, and it will be, for the ac tual embroidery goes very quick ly, using only single, running and k outline stitches. You may use either silk, wool or cotton floss, but remember the more color ful it is, the prettier! Pattern 1014 comes to you with a transfer pattern of a pic ture 15x20 inches; a color chart and key; material requirements; illustrations of all stitches need ed. Send 10 cents in stamps or coin (coin preferred) for this pat tern to The Oregon : Statesman Needlecraft Dept. BETHEL. Jan. 28 Mr. and Mrs. John Zak and Mr. and Mrs. Robert DeBruller, all of St. Hel ens, came Saturday to visit Frank Kunciter for a few days at the old Kunciter-Zak home here. Zona Zak, young daughter of John Zak, Jr., who was injured by being pushed off. the porch by a neighbor child in St. Helens last July 4. grew steadily worse. She was taken to Mayo i Brothers, at Rochester, Mlnn where she was operated on for tumor of the brain. She died the following day, and - was . brought back to St. Helens for burial. - BIrs. Lou Gerth, 81, Is Called by Death; Last Rite Ls Held in Salcfm TJNIONVALE, Jan. 28 Friends here have received word of the death Saturday of Mrs. Lou Gerth, 81, at the home of her daughter, Mrs.. Sandy Anderson; at Toledo. Funeral services were held Mon day at Salem. Mrs. Gerth was well acquainted here when ; her son-in-law and daughter, Mr. and .Mrs. Sandy Anderson, resided on the farm of the late Jane Mitchell. Governor Charles H Martin Supports Sales Tax For Old' Age Assistance Every Voter Should Read His Statement 'He Does Not Dodge the Issue Social Security a Compelling Subject In recent years one of the general sub jects most prominently before Congress and the Legislatures of the Several states has been that of public welfare and social security. Consideration of this subject has been, prompted by the conviction, growing stronger each year, that neither the nation nor the state can ignore its responsibility to the aged and the destitute. A generation or more will be required to clear the economic and social wreckage of this depression Many workers , In their prime six years ago now have reached physical and mental conditions largely pre cluding reemployment for the remainer of their lives. As unavoidable results of the depression, reversals of fortune, losses of property and dissipations of savings have come to millions of Middle age, leaving them no opportunity whatever to regain a competence for their remaining years. These aging men and women must continue below the border line of self-support Measures and means for the ameliora tion of these conditions are engaging the most serious attention of the legislative and executive branches of our national and state governments. Irresistably the conclu sion has come that human welfare and social security are vital problems of the nation and the state which no longer can be left largely in the care of lesser political units. Old-Age Assistance Necessary and Permanent A crowning achievement of welfare leg islation Is the Social Security Act of 1935, and particularly so as it relates to assis tance for the needy aged. Regardless of whether we be for or against the so-called New, Deal, or whether the advisability of other features may be subject to question, we cannot sensibly deny the necessity nor 'doubt the permanence of that part of the Social Security Act which makes provision for assistance to the aged in want. Oregon Law Now Idle Machinery By acts of the 1935 regular and special sessions of the Legislature, Oregon now has an Old-Age Assistance Law which con forms in all respects with the requirements of the Federal Social Security Act. But this law is not self-operative; it must remain Idle machinery until put In motion with funds which Oregon itself must provide to match the proffered funds of the United States. State money In half ls required tor payments up to ( f 30.00 a month to the needy aged. - T1 ! The Legislature was confronted with the necessity of providing a revenue measure to put the Old-Age Assistance Law In oper ation. The final result of Its deliberations., on this difficult problem is - the so-called sales tax act, referred to the people for ap proval or rejection at the special election of January 31,1938. : Effects of Approval or Rejection of v Proposed Tax If the sales tax proposition shall be ap proved, it immediately will begin providing funds for old-age assistance. Equal match ing funds then may be obtained from the i United States for the same purpose. This means that qualified persons, 65 years of age and over, r may receive ' as much as 830.00 a month, 315.00 of which will be i contributed by the United States and J15.00 by the state of Oregon, in place of ' the county old-age pensions,-now paid in beggarly amounts to those only in the dir est need, 70 years.of age and over; The re duction In the age limit alone will Increase by 75 per cent the total number of eligible persons in' Oregon. tf : If, on the other hand, the sales tax prop osition shall be rejected, the Oregon Old- Paid Advertisement. Age Assistance Law will remain wholly In operative, unless and until some other rev enue measure shall be devised, enacted into law and begin supplying state funds to match the waiting Federal funds. Property Taxes at Breaking Point I have vigorously opposed Increases in existing taxes and, also, the Imposition of new taxes on the people and Industries of Oregon. Property taxes are at or beyond the breaking point and running against the inflexible law of the diminishing return. In general, Oregon's accumulated 347,000,- 000 of delinquent property taxes not only Impair the solvency and efficiency of many local governmental units, but also have brought loss and ruin to thousands of own ers and hang as a heavy cloud over the processes of industrial and economic recov ery. Let Well Enough Alone With Income Taxes I am a firm supporter of our state in come tax laws personal, Intangibles and corporation excise. But it is time to let well enough alone. Our income tax laws are in more danger from their -unreasoning friends than from their most violent ene mies. No surer method could be found of destroying these laws or Impairing their productive capacity than by reducing the exemptions and so bring in an enlarged opposition, or by Increasing the rates so high as to drive those with large incomes from the state. Inordinate property taxa tion has killed many a goose laying golden eggs and similar results can be secured by excessive and unreasonable taxation of in comes. Agree With Legislature on Sales Tax As is well know, I have not approved the findings of the Legislature In several Important matters. But I do agree in the 'findings of the last special A session that Oregon's necessary contribution to ade quate old-age assistance,' in cooperation with the Federal government under the Social Security Act, could not properly and safely come from increased taxes on prop erty or on incomes.. Neither do I know of any other source or sources of revenue sufficient and available for that vital pur pose, except the sales tax. Support Sales Tax Because Vitally Necessary I have no fondness for a sales tax and for any ordinary purpose would not support it. But we are confronted by a serious hum an condition and I cannot join with those who would sacrifice the aged In their neces sities for the sake of maintaining stubborn ly an economic theory. Therefore, I sup . port this sales tax whole heartedly, not be cause it is a sales tax, but because it is. vitally necessary to bring aid and comfort, here and now, to thousands of aged men and women who are In distress and want. I know they say this is the worst sales - tax yet proposed. Such statements are com -mon with people given to superlatives of . denunciation of all ideas not of their own . conceiving. To them, each sales tax is the '. worst ever, notwithstanding that the partic ular features of one to which they chiefly object do not appear in the next proposition submitted. - ' . - , : " . In one breath they proclaim that this sales tax would ruin the merchant because he would hare to absorb it and, also, op- 1 press the buyer because the merchant would pass it on to him. . Manifestly, it - could not do both these things at one and the same time. The merchant is permitted - to pass the tax to the buyer and common sense tells us he would not absorb it to his serious injury.. Common sense further tells us the passing of the tax by merchants or sellers would involve a distribution so thin and wide that the economic status of buyers and consumers would not be appreciably impaired. Numerous representations that this sales tax would "soak" particular groups of pro ducers, manufacturers, merchants or con sumers are but further demonstrations of the fact that issues in taxation present some of the severest tests of our capacity for self-government, for no other field is more fertile wherein appeals may be sown to ignorance, prejudice and selfishness. Xo Time to Dodge Issues or Twist Facts I am not unmindful of the devises many public officials employ to avoid commis sions on unpopular issues. But this is no time for arflul dodging of responsibility or clever twisting of plain facts, particularly when such responsibility and facts concern the vital welfare of thousands of mislort unate aged men and women of our state. Ancient Arguments Do Not Apply Neither am I unmindful of the sound arguments against a sales tax where em ployed as a principal source of public rev enues. Like learnel sales tax opponents of the present-day, I too could repeat Adam Smith's denunciations of 150 years ago, hurled at the Spanish alcavala and other sales taxes t the Middle Ages and later centuries. Whenever "sales tax" i. men tioned, the alcavala and its kind of the centuries preceding- .the American and French Revolutions loom before those of narrowed visions. Immediately they join the courageous attack on the same old wind-mills. But it Is a far cry from the Spanish al cavala and other sales taxes of some four hundred years ago, outrageously imposed by absolute monarchs, at rates of 5 to 10 per cent, for purposes of conquest and op pression, to the sales tixSow proposed in Oregon, at rates of one-quarter of 1 to I per cent, with liberal exemptions chiefly beneficial to the poor, to provide funds necessary for the support and comfort of our needy aged. Properly have the economists denounced the sales tax as the theoretical basis of all taxation. But none such Is proposed or con ceived for Oregon. It is proposed only as a minor factor in a tax system and to meet a desperate emergency. Meet Responsibility and Perform Patriotic Duty It is high time that we turn from the ad vice of ingrowing narrowness; that we meet our grave responsibility with open and liberal minds. Let us all chip in our bits of assistance for the needy old people, and particularly so since each penny or dollar we contribute will bring another penny or dollar from Washington. The Greeks are at our gates." I appeal to all the people of our beloved state to perform their patriotic duty In the present emergency by voting tor the sales tax for old-age assistance. Let us not leave the old folks in want, The Legislature at Its special session, on its own initiative, gave this question the .'most thoughtful consideration and could find no other means, without further im pairment of our present deplorable tax " situation, than by the proposed measure to raise the necessary revenue for old-age as : sistance.- -yy'r-- ; '.. X would be much distressed It the people of this state should reject the proposed tax measure and thus leave our needy old people in distress until the Legislature C shall again take up the then more difficult problem of old-age assistance at Its regular session a year hence. - T (Signed) CHARLES H. MARTIN, Governor of Oregon. ; Salem, Oregon, January 25, 1938 MERCY TAX LEAGUE, A. M. -Smith, Secretary, Pacific Building, Portland, Or.