. 5 (Sc. IV StaUtmcm, Salem, Oro, Wed. June 171853
Washington Mirror -
Ike's 'Hard Money'jPolicy May
Mean Higher Electricity Bills ,
By A. ROBERT SMITH ; !
Statesman CMTespadeat
WASHINGTON The Eisenhower administration's new "hard
money" policy is expected to be reflected in higher electric power
rates charged by Bonneville Power Administration to its customers
sooner or later, possibly next year when increased rates are sched
uled to go into effect I
While Republicans and Democrats art sow debating in congress
almost daily whether "hard
money" will mean a sounder dol
lar or whether it will only lead
tD hard times, the indisputable
result is that interest rates are
rising all along the line. The
government indebtedness, then,
is costing more to finance from
year to year.
This change in the nation's
fiscal picture is linked to Bonne
ville through the law which re-
t v i- w '
quires uiai or a pay i wc
U 5. Treasury suiiicieni inter
est on the taxpayers' investment
in dams and related facilities to
cover the Treasury's cost of bor
rowing, the money.
Interest Rate Ups Expenses
. With a rise in these loan
Charges will go an accompanying
increase in BPA expenses, which
will be reflected in power rates.
The timing is the only uncer
tainty at the moment
Federal Power Commission ac
countants are currently laboring
over columns of figures, calcu
lating for one thing the amount
of the cost of McNary dam which
will be covered by this amortiza
tion plan which BPA must han
dle with power revenues. They
will also have to take a look at
the possible need to jack up in
terest charges from the 2Vi per
cent level where it has stood
ever since Bonneville began pay
ing off.
FPC Set Rate
This current interest rate was
determined by the FPC to be
Baseball
See (he Senators Play
at Waters Field
Salem vs. Yakima
TONIGHT
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If he IHIi-IFi
Life Maocaine
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High Fidelity Sound in the
"Treble & Bass Boon" Ai Heider's
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422 Court Street ;
ssasssassssB
about right to meet the probable
cost of the investment in Bonne
ville and Grand Coulee dams,
taking into account bond rates
during the thirties and early
forties when they were built
Now the FPC must re-evaluate
this item in terms of what the
investment in fMcNary, The
Dalles, Detroit ! Albeni Falls,
TTtmcrrw TTnru anA Phif .Ifuutmh
has been costing in these post
war years and will, continue to
cost in the foreseeable future
when additional funds will be re
quired for completion in some
cases, additional generators in
other cases. . .
Before the administration's
higher interest rate policy be
came known this year, BPA Ad
ministrator Paul Raver esti
mated rates might have to be
increased from $17.50 per- kilo
watt year to about $21.50 or
$22.50 in order to permit BPA to
continue to meet its repayment
schedules for new projects of
considerably higher cost
It is still too early, BPA offi
cials believe, to estimate how
much I higher this prospective
new power rate may be driven
by the "hard money" policy,,
British Praise
Soviet Warship
PORTSMOUTH, England (fl
The Soviet cruiser , Sverdlov steam
ed out of British waters Tuesday
with the compliments of the Brit
ish naval commander in chief here
for the warship's smart appearance
in the big Spithead coronation re
view. Adm. Sir John Edelsten said
goodbye to the Russian visitors in
a .message in which he thanked
the Sverdlov for taking part in
Monday's review and wished the
ship and its men safe voyage home.
Vt Pound Serving U. S.
Choke Steer Beef
with Tossed Green Salad
Baked Potato, Hot Rolls
Air-Cond'rtioned
ooo
Sanduagon'
June 15th Issue
. . .
On Such
Equipment ass
Bell
Bogen
Electro-Voice
University
Bosak
Mcintosh
PUotunsf
lensen
the
Hah Fidelity
Becord Stars
Cecil Fames Co.
Phono 4-2271
$1.45
High
Court Ruling Pled:
-7
SAN FRANCISCO Harry Bridges
bor onion leader asd twe ether
(center), and J. R. Robertson are
Francisco that the Supreme Court bad reversed perjury-conspir
acy convictions against them. Bridges was a censed of lying when
he told a 1945 naturalization bearing that he was net a Commu
nist. Schmidt snd Robertson testified for Bridges at the natural
lxaUon hearing. (AP Wlrephoto to The Statesman.) i
Thief 'Jailed
Under Bed
ONTARIO m Burrell Wilson,
who likes sleep as well as any
man, caught a prowler and then
dropped off to sleep again without
bothering to call police.
He beard noises of the prowler,
who hid in the house by crawling
into! the big drawer that fills the
space under Wilson's bed.
Wilson got a hammer and nailed
the drawer shut. Then, he went
back to sleeping.
In the morning he called jwlice.
They opened the drawer and ar
rested a sheepish Santiago Gon
zales. More Forests
Taken Under
Fire Control
More than 63,000 acres of for
est lands have been added to the
acreages patrolled by the state
and fire control association dis
tricts during the past year, Cam
eron Mull, director of the forest
assessment section of the state
forester's office, announced
Tuesday.
Approximately 21,700 acres
were added by the Douglas For
est Protective Association, 18,000
by ; the Eastern Cane Protective
Association, 13,282 by the North
west Oregon District and ,12,736
acres by the Central Oregon Dis
trict. Increases in the forest land
totals came as a result of field
examinations conducted by mem
bers of the district wardens
stall Under this land check sys
tem, considerable acreages of
high hazard woodlands have
been added to the protection
rolls. Field surveys also dis
closed that a number of former
forest lands are now predomin
antly agricultural and in some
instances used for suburban
home sites.
Ex-Tax Aide
Tells of Links
To Samish
WASHINGTON ( Irvin Gold
stein testified Tuesday that he rep
resented Arthur Samish, California
lobbyist, in a tax case after once
recommending as special govern
ment prosecutor that a perjury
complaint against Samish be drop
ped. Goldstein was special assist to
the attorney general assigned for
IS months to investigate irregular
ities in the internal revenue bureau
in San Francisco. He resigned bis
government position last March 28.
Goldstein, told the House Judici
ary subcommittee investigating the
justice department that he appear-
ed before the internal revenue bn-
dicted on charges of income tax
law violation.
! Goldstein testified that he with
drew as counsel for Samish after
it was called to his attention that
Samish was Involved in one of the
grand jury investigations of tax
matters in California.
DANCE
TONNE
' ... ; y
Crystal Gardens
- Old Time Modem .
. BIO CROWDS! 1
GOOD MUSICI V
SEEDIBAII
DODEO
Jnna 23-21
: SLm Sfcifc
1:33 P. IL
- - -" -..
BjCA, : Approved
Tucker Rodeo Striae
I:1
:s r eft
(left) West Coast longshore la
anion nlcialx, Hemry Schmidt
all smiles after hearing In Saa
Sec. Wilson
Rebukes Reds'
Truce Method
WASHINGTON CB Secretary
of Defense Wilson, commenting on
the current Red offensive in Ko
rea, said Tuesday Americans
wouldn't apply such pressure when
a truce was in the effing.
Aed for his reaction to the big-
scale drive recently launched by
the Communists in Korea, Wilson
told a news conference he doesn't
think he understands the Oriental
mind, but - !
"From the American point of
view we certainly wouldn't want
to put pressure on."
Asked about the prospects of a
truce agreement, Wilson said:
"The evidence would indicate
there is going to be one, but I can't
say as to the timing.'
The secretary said, too, that it
would take six months or more aft
er a truce is reached before troops
can be started home from Korea.
He added:
"I'm conscious there will be the
same old push to bring the boys
home.
Before troops could be with
drawn, he added, a very great im
provement would be required in
general conditions ' throughout the
world.
Reutherlka
Ex-Opponent
As Assistant
DETROIT (J) Richard T. Leon
ard, a former leader of the Reu-
ther opposition in the CIO' United
Auto Workers, has been picked by
CIO President Walter P. Reuther
as one of his assistants.
Appointment of Leonard as one
of several CIO field representatives
will be announced soon, a spokes
man for Reuther disclosed. They
will handle special assignments
out of Reuthers Washington office,
Reuther is president of both the
UAW and CIO.
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ADULTS - 84 6 VIEWERS
CHILDREN - 20 16 '
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Tho Technlcil Achievements in
"HOUSE OF WAX"
Fer Surpass Anything In J-D
You Have Yet Seonl
U0 Journalism
Building Bids
BelowEstimate
PORTLAND tm . The State
Board of Higher Education opened
bids Tuesday for a new journalism
building at the University of. Ore
gon, and found them well within
estimates.;
The Legislature has : appropri
ated $600,000 for the construction.
which wiQ become available when
the State; Emergency Board re
leases the; money to, the higher ed
ucation Doara. -
The building, to' be named . after
Eric W. I Allen, first journalism
dean at the university, is expected
to 'cost a total of $300,000 on the
basis of bids, opened Tuesday.
The low bids: General construe'
tion, J. G. Watts. Portland, $290,
771; mechanical, H It S Plumbing.
Eugene. $63,672: electrical, L. H.
Morris Electric, Eugene, $38,584.
The bids include removal of Mc-
Clure HalL which was built before
the turn -of the century. It will be
the first classroom building ever
to be torn down on the campus.
Additional costs will come from
providing equipment,-? landscaping,
architect i and contingency fees.
The board formally .accepted the
resignation of President Harry is.-
Newburn of the University, and or
dered a $25,000 television labora
tory for the School of Engineering
at OSC. It will be used for class
room work. It will be available for
use if the state ever establishes a
TV station.
The board reported that Dr.
Philip G. Hoffman, director of arts
and sciences in the University of
Alabama ' extension division, -had
been named vice dean of the Ore
gon general extension division.
Soviet Writer
Switches to '
Peace Theme
BUDAPEST, Hungary W Bya
Ehrenburg,' Russia's top propagan
dist, declared Tuesday the Soviet
Union wants to reach agreement
"even with those who cordially and
long-standingly dislike us."
: Ehrenburg obviously was refer
ring to the United States in a con
ciliatory speech which was in
marked contrast to his vitriolic
blasts against America before the
Kremlin "peace offensive."
The wild-haired Russian author,
who often has expressed his bit
ter personal hatred of America,
spoke at a meeting of the Com
munist - dominated World Peace
Council.
The council, a main; instrument
of Kremlin peace propaganda, is
meeting here apparently to ac
quaint delegates of 65 countries
with the "new look" in j Soviet poli
cy, j
Co - existencerhegotiation and
agreement withjthe West appear to
be . the ...theme of the week-long,
meeung to wmcir .western corres
pondents were invited.
Starts Today Open 6:45
t0E SIABo
it"'" f-rti
- Top Co-Feature
"TAXI"
Dan D alley, Constance
Smith
rrav. m VI. I W M I
Eugene Hamrick
Elected as .Bethel
School Director
. - lUttaut Ntwa Service x
BETHEL At the annual meet
ing of Bethel school district. No.
123j Monday night Eugene Ham-'
rick was elected to the board of
directors, in the place of A. C
Sprangeri who has served for 14
years and. declined reelection. W,
R. Baker and Ralph Wilson, chair
man' fori the ensuing year, are
the! other; members Mrs. A. C.
Spranger has been school clerk
f orj 13. years. ;
Oak Ridge school will be un
able to send its pupils to Bethel
school this fall, as has beendone
for, the past five years, on ac
count of new school rulings. This
made necessary , an amendment
to Bethel's proposed budget: af
ter which 'the budget was adopt
ed, The levy will be eleven and
one tenth mills on last year's val
uation, it
The name of A. C Spranger
was written in unanimously for
a place on the county rural school
board at the suggestion of Ron
ald E. Jones, who now holds the
place. '
Aid to Small
Business Kept
hi Revised Bill
WASHINGTON to Senate-
House conferees Tuesday agreed
upon a two-year extenson of some
defense mobilization controls and
on creation of a permanent small
business administration with broad
lending powers.
Sen. Maybank (D-S.C.) announc
ed . he- would refuse to sign the
conference report because the Sen
ate conferees accepted th new
Small Business Administration
(SBA) which had been written in
by the; House.
This agency is supposed to take
over the small business lending
functions of the Reconstruction Fi-
pmVE-IN TIIEATlfE
Ph. Z-7SZ1
UtlSH CAIBIML HI6HWAT tlj
Gates Open 7:00
Show at Dusk
Starts Tonite (Wed.)
The Kettle Family
1 Goes Abroad - - -"MA
AND PA
KETTLE ON
VACATION
- Plus .
In Technicolor
-GUNSMOKE
Audie Murphy
Susan Cabot
d smmrs
After A Night of Fury,
2nd Hit -
( 'FIrst-Rvn,
In Salornl
I .'( -
I
I'
:( ;
nance Corporation 4RFC) which Is
scheduled to go put of business
June 30, 1954. - " - . . j
' But Maybank insisted the Senate
never had ' held. "hearings "on the
SBA and that there was no assur
ance it could get the 250 million
dollars ' in lending authority pre-:
Tided, in the bilL - f
He Said he was not going to vote
for a new agency to handle the
lending Job of the RFC when there
was no assurance - SBA would be
able to function. , r -J
-Jto
the) camera that
I 2nd Hit! I
. Excitement In the Gold Fieldsl
"GOLD FEVER" i I 1
. In three) dtmtruions
Stars of Warner Bros.
pictures
are a thrilling experience In
three dimensional realism.
i
4MATUIA1 VISION 9 MMfNSIOM.
cotot n wASMitcoioe
09 flswaaHj trttaV ftHBaT e4W(4
tvtOi Kfct ta "MOW Of WAX
Capitol Theatre
NOW PIAYING!
at 1:00 tpmi
"The Beast" Now Looses, its Savage Terror In
Broad Daylight Upon the
Rod Cameron In "SAN
Aduls-74c ; o
: ';f(G3iXllT)
54 Shell Dealers Hear ,
Of Gasoline Research
Fifty-four Shell service station
dealers met at breakfast Tues
day in Hotel Senator to, hear the
story behind TCP, a new gaso
line -additive described: as "th
greatest1 motor fuel development
for power and mileage since tin
introduction of tetraethyl . lead
31 years ago." Errol W. Ross ii
Salem Shell Distributor. . -
Starts
Tonight
.GA1LSI0,
th sam as you
ttMisr
I Andy roster's Cameras
174 NO. COMMERCIAL
City!
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CliiIdrcp-20:
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