The Weather Cloudy today and Monday, probably snow, temperature unchanged; Max. Temp. Sat urday 38, Min. 17, norther ly winds, cloudy. FOUNDED 1651 EIGHTY-FIFTH YEAR Salem, Oregon, Sunday- Morning, February 16, 1936 Price 3c; Newsstands 5c No. 280 Sunday Features Tour only Salem Sunday paper Is The Statesman, with extra feature for jour ex tended reading time on the day of leisure. 1 JKBVI 10 Pension Setup For This Year Be Offered 1U Gondy Has Plan; Federal Refusal Possible on State Law Clause Mt. Angel Well Ahead in Flax Plant Program; Cash is Need Now f ; By SHELDON F- SACKETT Down from Portland this week Will coma Elmer Goudy. state re lief administrator, bringing with him a detailed plan for a pro posed county-state-federal old-age pension project in Oregon for the remaining months of 1936. This plan will be submitted by Goudy to Governor Martin. If the latter approves it, back to the social se curity board at Washington ' the plan will go, tor the approval or rejection of that body. Until such a concrete proposal for pensions is submitted to Washington, ; the status of payments in this state for 1936. cannot be determined. Accompanying the state's! re quest for old-age pension funds will go an attorney-general's opin ion 'on the 1935 old-age pension law passed by the regular session of the legislature. If the attorney general rules as he is expected to do that the enactment of the special session, Senate Bill 43, is tied up by the referendum peti tions tiled 10 days ago, Oregon is to proceed immediately to try for federal funds under the 1935 regular session act. Three-Way Pensions Will Be Higher If Washington approves Gou dy's request for funds, to be dis bursed through the state relief organization in each of 36 coun ties in Oregon, average pensions of $11 a person a month for Ore gon's needy aged are a thing of the past. Instead of the counties being the sole source of pension moneys, the state -will have; its $1,000,000 appropriation to nfatch the county outlays while the fed eral government will match the aggregate contributions of Ufee counties and 'the-'state.v-Tnat means much higher pensions; tot the maximum of $30 a month for all "pensioners, probably a 50 to 100 per cent increase in the present rate of pay. The exact amount to be paid will not be known until Mr. Goudy presents his specific plan of pension dis bursement. If Washington turns down Ore gon's request and it is quite possible it will do so none of the pensioners now receiving enhnt heln in Oreeon can look for any advance in their checks until another legislative session has passed amendments to the existing pension law. Governor Martin is going to do his best to get federal pension moneys this year but he fears Comptroller General McCarl will shake ' his head over at least one defect in the Oregon pension act the pro vision that all real or personal property turned over to the state by applicants for pensions, or se cured by the state after their death -remain the property of the state. The federal act makes Uncle Sam joint owner of such property with the state. The fed eral government has put up half the money, the reasoning goes, and is therefore entitled to one half the property received by the pension board. This provision was cured in the amended pension act of 1935 the act now tied up with a referendum. If Washing ton Is a stickler on this point, federal pension funds will be only an impossiDie aream tne remain ing months of this year in Ore gon. . i commencement of wort oni three privately owned flax retting ,and scutching plants Is proving a tedious task. First of the plants which will probably. be under way will be one at Mt. Angel. During the week, nearly $2B00 has been raised in stock for this plant in a Salem selling campaign; the ; ob jective is to secure $6000 in pre- v ferred stock subscriptions. ! Mt. Angel and its territory are td se cure a like amount of stock sub scriptions; WPA Is to put $19,000 Into each of the three plants and working capital for the 19.36 Crop is to be secured primarily through the federal bank for cooperatives at Spokane. Administration is llehlnd Program The state administration is ex tremely anxious to see these plants succeed. They mark a! day of departure from the decade when all flax was handled throw gh the state penitentiary to a day when flax will be processed com mercially and the fibre obtained can be manufactured into goods without fear by the processor of the operation of state and federal laws which prevent convict-made . goods from moving into trade. - All that ! now lacking to get the scutching and retting plants started at Mt Angel, at Hoialla and Eugene, this year. Is local capital to furnish a small equity of the Investment The Mt Angel group interested in the flax plants has studied scutching and retting wltn care; has made estimates of costs; has looked into the finan cial requirements of such a plant: has secured a pledge of the; neces .. sary flax acreage. With years of -iTira to Page 2,. Col. 5 Drafts State Pension Plans 1 f if !1 t. : ELMER GOUDY Three in Hospital After Cars Cr asli Injuries Not Serious, Is Report; Mishap Occurs Five Miles North Three persona were in the hos pital last night as a result of an auto accident at 6:20 o'clock on the Pacifie highway about five miles north of Salem at the Che mawa four corners. The two cars involved were badly damaged, state police reported. The injured: Theodore Edward Schultx, West Fir, Oregon, suffering from cuts about the head. Auidd Preston Earls, 14, Lake Lablsh, cuts and bruises. Clarke Chester Jackson, 63. cuts and internal injuries. The accident occurred when Al bert Langdon Earls, Lake Lablsh who was driving his wife and three children, together wiih Tftckson, to Salem, pulled onto the highway from a service station at the Chemawa intersection. He bad reached the highway and wa driving south at about 15 or 20 miles per hour when the car driv en by Schultz came over a rise in the road and smashed into the rear of the Earls car. The crash was witnessed - by Mrs. Charles Olson of route 7. (Turn to Pae 2, Col. 1) Will Vacate Part Of Willson Park Steps To Be Initiated at Council's Session on Monday, Expected Steps will be initiated probably ai the Monday night meeting of tbe city council to vacate the east portion of Willson park so it will be available to the state capitol reconstruction commission for use in the development of the capitol. The portion will include a half a block from the present line of the state grounds to a point about 175 feet west which is on the di rect line with the center of the alley between the Patton and Kay properties on the north. Dr. H. H. Ol'nger, member of the capitol commission, says that this amount is adequate for the needs of the commission; and the remainder will he left as a park under the city control. By trans ferring only the east portion of the park the state will escape ine principal cost of maintenance. Re maining In the city portion of the park will be the Waite fountain and the bandstand. Tbe procedure required is vaca tion of the portion of Willson av enue and then deeding the area to the state. A favorable response has been received from some of the Willson heirs to the propo3-l that they join in deeding the por tion to the state. The matter will be presented to all the heirs. Curtailment of On Relief, Further reductions in the cost of administering state relief in Oregon were recommended yester day to Governor Martin by Wal lace S. Wharton, newly named executive secretary. Wharton reported that the ad ministrative payroll for SERA had been trimmed 40 per cent since WPA began its operations In No vember and the state took over the load of direct relief for indi gents. He said further reductions could be made as the eounties as sumed more and more of the work, leaving the state -with the "job of supervising, auditing and disbursing all funds, theretofore under the direct control of the SERA offices." Statement Pleases Commissioner Hewlett .- The statement of Wharton was immediately praised by LeRoy Hewlett, Marion county commis sioner, who last month criticized the administrative cost of relief work in this county. "I am pleased to see my ideas coincide wi,th those of the new budget director in reducing, per- ( soruiel .for relief administration Record Entry List Seen For County Races Democrats Make Up for Oversight in 1932; Plan Full Slate Burk Strong With Party; Some of Incumbents Hard to Dethrone At the present rate of new can didacies for jobs at the court house, more men and women will have filed for office here by March 30 thin at any time in the coun ty's history. With the exception of the county judge's post and one commissionership, all county officials must run the gauntlet at the promary and general elections Four years ago the democrats failed to fill their ticket and from that time have been constantly complaining about their lack of forethought for anyone then with an affiliation in an anti-Hoover party had excellent opportunity to win. If enough volunteers do not show up to contest for each coun ty office, the party organization or some of the non-legal party groups such as the democratic so ciety or the Young Democrats is going to see that a slate of demo crats is put into tbe field. Sheriff Victim of Unfavorable Publicity To date the most interest In county jobs centers in the posi tion of sheriff. A. C. Burk, in cumbent, has been in the newspa pers frequently, often with unfav orable publicity. Judge L. H. Mc Mahan's repeated attacks on Burk and the latter's second indictment by the grand jury have raised the hopes of onlookqra that the posi tion of the sheriff was vulnerable and that a new man .could get the Job. The democrats will support Burk; probably he will have no opposition in the primary for it was Burk who pioneered for the part in 1932 and got Jnto the courthouse when all republicans apart from Oscar Bower, sheriff, were retained. Already three re nublicans are out for the job: James McGilchrist, H. F. Field. "S'g" Harris of Brooks and there will be more "Dick" Richardson, who has handled the civil process es department in the sheriff's of fice for years will probably an nounce. John Orr is toying with the idea of seeking the sheriff's position. f Some of Incumbents Certain to Remain Unless the democrats or indi vidual candidates on the republi can ticket, can persuade the elec (Turn to Page 2. Col. 8) Too Many Reasons For McGurn Death CHICAGO. Feb. U-f)-A tan gle of gangland hostilities ex tending back seven years to the St. Valentine's massacre of 1929 en meshed tonight the hunt for tbe slayers of dapper "machine gun" Jack McGurn. "Public enemy No. 6" on the or iginal Chicago list, he died early today, just 12 hours past the ex act anniversary of the septuple killing of George "Bugs" Moran henchmen which spotlighted him in national notoriety. Three pistol men ended his "charmed life" in a near northwest side bowling al ley.. There were "Just too many rea sons" why the death of the chief mach'ne . gunner of the Capone "Syndicate" could have been de sired to make it easy to trace his killers, said Mai Coghlan, assist ant state's attorney. "Police will have to untangle many phases of his life before we can even get started toward a so lution," he added. Overhead Wharton Plea and in cutting down overhead costs," Hewlett commented last night. "I think further reductions are possible in - this county. We started our new relief program with 13 workers. These have now been cut to ten. I believe we can cut our present administrative staff in half; the executive sec retary, his secretary and three cases workers should be enough." The commissioner expressed gratification at word that the state was asking Washington to assist with old-age pensions In Oregon in 1936. "I hope Wash ington will accept Mr. Goudy's plan," he said. "Our old people are in bad shape. Most of them are only getting a pittance; the small amount they now receive as pensions is shameful. These cold days are telling on the old peo ple; I believe eight of onr pen sioners have died within the last two weeks." .. State's Outlay is " Over 28 Millions In Wharton's report on relief, he said the state's outlay for help to seedy people since the relief or . (Turn to Page CoL 3) Ohio Farm Aid Plan Passes Senate By Big Margin Vote 56-20; McNary One of Main Opponents in Final Dehate Constitutionality Issue is Fought Out; Subsidy Provision Made WASHINGTON, Feb. 15HP) Plowing under bi-partisan opposi tion by an almost three to one margin, administration forces to day won senate passage of the $500,000,000 soil conservation subsidy brand of crop control. The bill now goes to the house. The senate vote, climaxing eleven days of debate during which the measure's constitutionality was challenged and defended, was 56 to 20. Forty-nine democrats, five re publicans, the farmer-laborite, Benson, and the progressive, La follette, voted for the bill. Ni e democrats and 11 republicans op posed it. McNary Moves to Refer to Committee Just before the last roll call, a motion by Senator McNary, the republican leader, to send the bill back to committee with instruc tions to report out a new proposal In three weeks, was rejected 54 to 21. McNary contended the bill was "unworkable and unconstitution al." He predicted after the sen ate quit for the day that some state would challenge it In the courts. Supporters argued it was con stitutional under the supreme court's interpretation of congress's appropriating authority In its de cision killing tbe AAA which the soil bill is intended to replace. Half BOllon For Farmers Provided The bill, introduced by Senator Smith (D-SC) as a substitut for a somewhat similar measure by Senator Bankhead (D-Ala) would authorize expenditures of half a billion dollars in federal subsidies to farmers based on their acreage of crop land, soil-improving and erosion-preventing crops, changes In farming practices, and a per centage of normal production en tering domestic channels. After two years, permanent state-aid plans with the same ob jective would become operative in any state whose legislature ap proved a formula prepared by the secretary of agriculture. Stove ExpL losion Kills 4 Children HELENA, Mont., Feb. 15. -)- Death, a snowshoe race with men ingitis serum, fuel and food short ages, 50-below zero temperatures and record snowB tonight harass ed the blizzard - swept Rocky mountain area. Four young children of Mr. and Mrs. Clyde Stowall, of near Car ter. Mont., died following an ex plosion of a stove around which they huddled as the temperature outside their little home sank to 40 degrees below zero.- The mo ther and two other children were not expected to live. The father was away at the time. The deaths brought to eight the number of persons who have per ished in this region as a result of the current cold blizzard wave. Near Cody, Wyo., the snow laden plains and wild ragged peaks held the secret of an un identified plane heard last night over that town. The Grover civilian conserva tion corps camp, in isolated west ern Wyoming, was under strict quarantine after one case of spin al meningitis was discovered. Degree Per Hour Mercury Decline A temperature drop of exactly one degree an hour from 7 p. m. Saturday to 1 a. m. today, was the novel feature of the most re cent weather reports as Salem prepared for another frigid week end. The 1 o'clock reading how ever was two degrees higher than that of Saturday morning, indi cating the renewed cold spell which saw the mercury drop to 17 above sero that morning, had slightly abated. Hourly temperatures Saturday night were: - i 7 19 n ss 8 . JS 13 24 27 1 2B 10 ,. 2 The sky was overcast Saturday but this brought only slight re lief from the cold, and not much' more abatement was expected to day. Snow was expected td fall in some Darta of western flre?on ' Battle N BIG GUNS r " As "Big Gnus" of the 1036 presidential campaign fire their opening salvos Al Smith (below center) al though not a candidate, leads President Roosevelt's opponents in attack on New Deal policies. Senator Borah of Idaho (top left); Governor London of Kansas (top right), and Frank Knox (below), Chi cago publisher, are republican presidential poesi bilities while Governor Kugene Talmadge of Georgia (below left) leads a threat of southern democratic secession. Peace Parley For Americas Planned - F. R. Invites Presidents of Western Hemisphere to Send Delegates WASHINGTON, Feb. U.-yP)-President Roosevelt tonight un covered a proposal for an extra ordinary inter-American confer ence, encompassing the 20 Central and South American governments and aimed "at permanent peace on this western continent." In almost identical personal let ters to the presidents of the var ious republics, the chief executive suggested that the parley be held at Buenos Aires, Argentina, at an early date. The cause of peace in the new world, he said, is a matter of "vital concern." "These steps, furthermore," he said, "would advance thecause of world peace, inasmuch as the agreements which might be reach ed would supplement and rein force: the efforts of the League of Nations and of all other existing or future peace agencies in seek ing to prevent war." Success Assured, Method is Unusual A favorable response to Mr. Roosevelt's suggestion was gen erally conceded. In fact, the stag ing of such a peace parley was virtually guaranteed in advance (Turn to Page 2, Col. 1) Relief Setup Hit At Regional Meet SPOKANE. Wash.. Feb. 15.-(iP) -The third annual' Pacific North west regional planning conference adjourned its compreh e n s 1 v e three-day session today after rec ommending a "w ell defined na tionwide land policy to bring about the greatest possible use of the land and water resources of the United States." The conference adopted the res olution of the program and poiiti- cies committee, stating "there can be no prosperity if we destroy or continually neglect the land. We need a national land policy rec ognising each section of the coun try is entitled to a developed agri culture within which reclamation may take its proper place as part of a great nationwide develop ment and conservation enter prise." The conference adopted the pol icies committee recommendation for the return of the federal relief program to "regularly constituted public agencies and normal estab- 1 1 s h e d construction methods.' The resolution did not mention specific government agencies. Three Arrested Three men ran afoul the law last night and as a result were spending the night in jail charg ed with drunkenness. The men were F. J. Babbcock of Portland, Albert Tracy of Salem and Charlie Armey of South Dakota. . OF CAMPAIGN AND TARGET " j it McFadden Is Heckled, Cuts Speech Short BALTIMORE, Feb. 15 (fl) Bernarr McFadden met with so much heckling after a criticism of the Roosevelt administration here tonight that he apparently cat short an address he was making and sat down. McFadden, publisher of the magazine Liberty, was speaking at a dinner of the advertising club. Some of bis listeners booted parts of bis speech loudly. Nut Bread Recipe Sought This Week Round Table Issues Usual Invitation ; More of Liver Uses Given Nut bread recipes of all sorts are wanted at The Statesman Round Table this week. They may be for white or. dark, raised or "cake" bread . . . any kind just so they qualify as nut bread. All en tries must reach the food editor by 12 o'clock noon Thursday. The liver recipe series con tinues: Spaghetti and Liver tablespoons thorttmng enp onion, chopped 2 1 enp liTer, cubed or (ronnd 1 teaspoon salt H cup tomato pulp H rop uncooked spaghetti 8 eups water 1 teaspoon parsley, minced 2 tablespoons grated cheese Brown onion in shortening, add cubed liver and seasoning. Cook slowly for 10 minutes. Add toma to pulp and continue cooking 20 (Turn to Page 2, Col. 2) Sewing Project it? Recognition, State Leader Salem Is gaining statewide rec ognition in official relief circles through its sewing project, in the Chambers building here, which is now employing 216 women. Visit ing state relief and WPA officers late last week Joined earlier offi cial visitors in declaring the Sa lem sewing room a leader in the state. But better than recognition, the city is receiving triple benefits of another sort from the project: The sewing room provides a week ly payroll approximating $5100, it produces clothing for unemploy able families garments whtcb could in few Instances be paid for out of scanty local relief funds and it is of marked service to state . institutions, which have great . quantities of mending and repairing to be done. Many Garments For Relief People Blended ; Dnring the last four days oper ation of the sewing room, tne women mended an estimated 300 garments sent in from Falrviaw home, renovated 10 garments for distribution by , the local Red Ml Snow's Prisoners Sent Food by Air Planes Ski-Equipped Take S upplies ; Dynamite Blasts Roads CHICAGO, Feb. 15. -(JP)-Airplanes and dynamite sped food and fuel to starving prisoners of the snow n the northwest tonight as zero cold sank deeper into the east. Pleas for "pretty quick" aid from a dozen towns hurried ski equipped planes into the air and over hnge drifts which had blocked land rescue crews. The ships could carry only light supplies, however, and snowplows, sleds and trucks floundered on. Dynamite blasts shot snow and ice high in the air after winter's barriers repulsed the plows. Four South Dakota communi ties Red Owl, Twilight, Stone ville and Fairpoint were in a critical plight when the first ski ship visited them. Another plane was loaded with 800 pounds of food for a second trip. Snowplows Burrow Ahead With Supplies Snowplows, trucks and trac tors, turned back once for re pairs, bored on with greater sup plies for them and for the resi dents of Marcus, Opal, Murine, Mudd Butte and Sulphur. A snowplow hurrowed Into Ar pon, isolated for weeks, and found food in the general store but drifts too high for townsfolk to reach it. A relief party brought Here ford its first food since February 1. Fuel was gone, and residents last night burned fence posts and "anything else they can get their hands on." On the bleak Dakota prairies, ranchers had not been heard from for weeks. Here Gets Cross chapter and remodeled and repaired 27 other garments to be given out through the relief com missary. It is not unusual for a state institution to send in a truckload of clothing, blankets or sheets' at a time to be mended. While mending and repairing bare taken much of the working time of the women in the sewing room, the manufacture of new garments of all sorts has progress ed to a point ft which the boys' slacks, men's shirts and women's dresses, as examples, turned out on this project are equal to the readymade articles offered in the stores. ; Last week the production ac counts showed an output in four days of .14 2 new garments, in add ition to the mending and repairing done. The list included 14 men's shirts, 30 women's dresses, 14 sets of women's and girls' undergar ments, IS girls dresses, 15 pairs of boys trousers, 11 children's dresses, one boy's shirt, four pairs of children's pajamas, two play suits and fonr baby garments. Six- (Turn to Page 2, Col. 4) ,V r 1 ' - -s i J . J, r f " J L-J v.. II,'. Borah Friends And Foes War Over Control Opponents Eye Strategy . of Entering Favorite Son in Primaries Democrats Seek to Stop Disaffection Seen in Al Smith 'Attacks By EDWARD J. DUFFY WASHINGTON, Feb. 15.-VP)-After months of drifting, maneu vers in both major parties have at last entered channels that may influence the presidential cam paign itself. The situation in Ohio, where some members of the republican organization have been waveriag over how to thwart Senator Bor ah of Idaho, was the center of interest tonight. Borah himself implied tonight that no question of a walkout on the party was in mind, as T ex pect to be the nominee of the party myself." His statement was in connection with a letter frua the Illinois republican state mittee asking that he pledge Mr loyalty to the party. Carl G. Bachmann, from Be ah - for - president headquarters here, announced that organiser from throughout the state wvatt meet at Akron tomorrow with Representative Fish of New Yerk and ex-Representative Johnson x South Dakota. They propose, fee said, to put the campaign "int high gear and to secure the av tire delegation of 52 for Borah," Backing "Favorite Son" is Considered The regular leaders in the state meet later in the week. An at tempt will be jnade to. deelde whether to back a "favorite son" candidate or support a contender from without the state. Day to day developments this week added up to these major facts and questions: The new deal, by entry of Pres ident . Roosevelt into the Illinois and other primaries, plans extra ordinary precautions to further a harmonious convention at Phila delphia. No opposition candidacy has been declared. Looking primarily to Alfred E. Smith and Governor Talmadge of Georgia for leadership, disaffect ed democrats completed militant attempts against party endorse ment of the administration. Borah and Knox Certain to Contest Hopes in the republican com mand to avoid pre-conventios dis sension have waned. Borah and Col. Frank Knox decided te con test in the Illinois primaries. Knox headquarters in Chicago obtained the papers required to file- in Ohio. Similar rivalry In other Impor tant states, possibly with Gover nor Landon of Kansas a flgtrre, appears likely. Alone among the potential GOP nominees in speaking against the old guard, Borah's aggressiveMsa increases. Both Smith and Borah- confine themselves at present to working within their parties. Both never theless dwell on principles, sot partisanship. Both realixw the odds they are up against. Will Smith, if his immediate aims fail, support the republican ticket? Will Borah, if the Cleveland convention rejects his wishes, tap port the Roosevelt-Garner ticket? Many capital discussions- dvrtog the week ended up in those two questions being asked. Nothing in the outpourings of Lincoln day or atory pointed to an answer. Record Navy Fund Bill Is Prepared WASHINGTON, Feb. 15.-W)-A naval appropriation bill that will rocket expenditures tor na tional defense to a new peace time peak will start its trip through congress Monday. Chairman Cary (D.-Ky.l today summoned the house naval ap propriations sub - committee to start hearings on a 543,S1,229 measure 167,859,920 morv that the last navalr fund. Combined with $ 545,22 C31I in the war department appropria tion bill that skimmed through the house yesterday, the new leg islation would boost army and navy spending close to the 100,000,000 mark for tbe fiscal year beginning next July 1.' Of the army's total, however, $118,359,985 was ear-marked tee river and harbor Improvement and othe'r non-military activities. Cary said the navy bill, as It now stands, would provide 12, 000,000 for 333 new airplane and $13,980,369 for laying dewn 12 destroyers and six submarines The total new appropriation tor ship construction would be $182,- 600,000.; .