Builles Threatens Chinese Reds With 6Weaipons of Precision i ! Declares Commies Still Seem Bent on Formosa Conquest WASHINGTON ( AP) Secretary of State Dulles said Tuesday niht the Red Chinese seem bent on conquering Formosa, but he warned them the United States hasnew "weapons of precision" which can annihilate their military centers. He saidcthe LS., pledged to defense of Formosa, .. POUNDDD 1651 " ' I ' . . . . i 104th YEAR ' 2 State Employes Group Calls Barrington Pay Sur vey Unaccept The Oregon State Employees Association, through its legislative committee, said Tuesday the Barrington salary and classification sur vey report was "unacceptable" to the association in its present form. This was regarded by Capitol observers as a heavy blow to the report, which is already under fire from other state, agencies and individuals. The OSEA cumbers 6,000 state employes as members. EE (UQ3 QjQCB He was quite an intelligent Negro, the cabbie who drove me out to the airport at Chicago Mon day afternoon. He had graduated from high school in Louisana, had served in the Army during the war where he was on duty in many countries of Europe. Had two boys, one 4, one 2; and he was very ambitious for them. .:. It's a long ride from the Loop cut to the Midwest airport so we carried on quite a conversation. I asked him" about housing for persons of his-race, and he said it was quite unsatisfactory. Negroes are pretty well confined to sections. He told of a housing development where he was sure if he applied for a rental unit he would be denied admission or would be discouraged from press ing his application. Ay the rental manager, though he was entitled to full GI rights. Chicago was the scene pf . a prolonged and bitter race war at one of its housing projects, Trum bull Park. The whites in the neigh borhood rioted, damaged the prop erty and had to be held under strong police restraint for months after a Negro family occupied one of the housing units. Finally, after many months, the family moved out. On the other hand, my driver said, there was one project where whites and Negroes were living together amicably. . He favored housing where there were no restrictions on occupants on the basis of - color. For in stance he would like to have his '(Continued on .editorial page 4) Two Burned Fighting Fires Two Salem men ' were burned Tuesday in attempting to extin guish minor house fires. In Salem General Hospital is Claude Trusty, 2210 Simpson St., who suffered second-degree burns on his face and both hands while beating out a burning bed and cmains. Treated by city first aidmen for s;cond-degree burns of the left hand was Jack Knedler, 1883 Wal ler St., whose house and clothing sustained $330 damage from a closet fire. Firemen attributed the Trusty fire to a cigarette blaze which orig inated in the bed. and the Knedler fire to an electric heater in the coen clothes closet. ' The hospital reported Trusty as doing "fairly well. Fire Damages Farm Home At Woodbura Statesman Newt Service WOODBURN A fire at the Ben Baune house, a quarter mile west of Woodbura, Tuesday de stroyed the second floor and attic before firemen Jrom Woodbura and Gervais got the blaze under control after an hour's battle. Woodbura Fire Chief Floyd Maricle estimated damage at about $2,000. He said the fire started on the first floor near the furnace and . burned between walls until it cropped out on the root The loss reportedly is cov ered, by insurance. Baune is a small-acreage farm er on thr Woodburn-SL Paul road. All furniture in the house was saved. ANIMAL CRACKERS V WARREN OOOORICM "He' beard It's a gorrewui an right bat falsie," SECTIONS 20 PAGES able' - State Employees Association of ficials indicated that if the Bar rington report is not adopted by the Legislature "the great mass of information compiled on state workers' jobs and dutie," can be used by the state-civil service commission to set up a new salary and classification system for state employes. "Major faulf of the Barrington report," said OSEA President Vir gil O'Neil, "has been a lack of time for the survey directors to properly avaluate the information they gathered. Consequently many points in the report are based on inadequate study." The OSEA committee, making its first public stand on the re port and the entire membership. together with O'Neu enumerated these points against the Barring ton report: There has been a lack, of per sonal contact with other states in order to personally compare , du ties and salaries of Oregon state employes with those of other states. A check by mail, OSEA of ficials said, is not adequate. Apparently not all of the many thousands of employes' job ques tionnaires were studied by survey directors. Only sample studies were made which did not "give the complete picture" on jobs and classifications. Too many employes, and depart ment heads, probably numbering several thousand", are complaining about the report. Too many jobs have been down graded and salaries lowered. (Additional details on page 2, sec. 1.) Bill for Garage State Policy The State Board of Control at a meeting here Tuesday adopted a policy that hereafter no work on state buildings will be paid for un less such work is authorized by the board. The announcement came after the board had voted to request the legislature to pay a $4,429.71 bill for replacing a leaky roof on the n -w state motor vehicle pool garage. Board members said they were not advised that the roof was defective until it had been replaced. Both Governor Paul Patterson and State Treasurer Sig Unander said they had assumed the leaky roof was replaced . without cost to the state, until the time the bill for repairs arrived. Lyle F. Bartholomew, architect, said he was informed that the material used in the first roof was superior in quality to most roofing materials on the market at the time the garage was constructed. Governor Patterson insisted that full explanation be made to the legislative ways and means com mittee in connection with the re quested appropriation. Secretary of State Earl T. New- agreed with other members of the board on the new policy. I Woman to Serve As Circuit Judge In Marion County Marion county is about to have a woman as circuit court judge the first in history, so far as is known. The women, Cecilia P. Galey, bweet Home attorney, was ap pointed by Supreme Court Justice Harold B. Warner to replace Judge Joseph B. Felton while he is hos pitalized for treatment of a back ailment. The lady judge will take charge of the court of domestic relations on March 21. Since Felton is sched ul. I to be hospitalized next week, Circuit Judge Charles Foster, Lake cevjity, will assume his duties from March 14 through the 19th. Max. - 59 53 Min. 29 30 21 29 40 28 Preclp. Salem Portland M .09 ' .00 , .w .00 .00 OO JD1 .00 M Baker Medford North Bend 68 57 65 69 Rosebuxg San Francisco Chicago .55 IS 36 19 New York Los Angeles 80 53 Willamette River .4 feet. FORECAST (from U. S. Weather Bureau. McNary Field. Salem) Partly cloudy with a few light showers this afternoon and tonight Partly cloudy Thursday. High today near h. low tomgni near 3? Temperature at 12:01 a.m. today was 44. , SALEM PRIClPITATlOir glare start f Weather Tear Mii ThisTear Last Tear Normal 2101 38.64 30.38 Tbt Ortfjon Stittsmsn, itkm, Oregon, Wednesday, March Street 4 ' " CATLETTSBURG, Ky. This eastern Kentucky border city of some 5,000 has center of business district turned into canal Tuesday as flooding Ohio and Big Sandy rivers hit from two sides of unwalled Hells Canyon Bill Filed by 30 Senators WASHINGTON 1 Congress was asked Tuesday, for the third time, to authorize a federal dam in the Hells Canyon reach of the Snake River between Idaho and Oregon, where three private' util ity projects have been proposed. Proponents of the federal pro posal showed more strength on in troduction of authorization bills in both houses of Congress Tuesday than was displayed during the past two sessions, when similar meas ures failed. Thirty senators sponsored . and four spoke for a 'bill offered, by. Sen. Morse D-Ore), and Morse predicted others would co-sponsor or support the measure. The Sen ate bill last year; had about a dozen co-sponsors. Four members of the House In troduced identical bills, and two made speeches supporting them. The bills would authorize proj ect works costing an estimated 473 million dollars, including a 337-million-dollar dam in Hells Can yon, power transmission facilities costing 68 million and two smaller dams and power plants on the north fork of the Payette River, east of Hells Canyon and north of Boise, Idaho, costing an esti mated 48 million. Idaho Power Co. Is seeking Fed eral Power Commission (FPC) construction licenses for three smaller dams which would flood the proposed federal project site in the deepest river canyon on the continent. Its applications are be fore an FPC examiner. The private utility contends its three proposed dams, costing an estimated 133 million dollars, would produce almost as much power and as many other benefits as the federal project Sponsors of the Hells Canyon bills, however, said the federal dam would generate much more power and greater flood control and navigation benefits than tne three-dam plan. (Additional details on Page 10, Sec. 1.) FAMILIES SNOWBOUND ASTORIA UP A resident of the southeastern tip of Clatsop County reported' Tuesday that some 15 families are snowbound in the Camp McGregor area nine miles north of -the Sunset Highway. Eden Fails in Formosa Trace Try, Asks Isles "By SEYMOUR TOPPING LONDON un Foreign Secre tary Anthony Eden disclosed Tues day Britain's secret negotiations for a Formosa ceasefire have bogged down. He called on Na tionalist China to open the way for a settlement by surrendering the offshore islands. Eden told the House of Com mons his soundings oi reipmg show "the necessary conditions for progress' toward ending the China war "do not yet exist" But the foreign secretary said secret contacts with Russia and Red China are continuing in an effort to get a Formosa ceasefire! through "a conference or other dis cussions." Eden's disclosures came during a report on bis meeting with U. S. Secretary , of State Dulles at the Bangkok conference and his 16 day swing through capitals of Southeast Asia and the Middle East Warning that further fighting in the Formosa Strait could lead to "grave" consequences. Edea Becomes Canal - imii-i - " " fst .. .. 1 f, .. A i.-. 26 Perish in Crash Of Mexican Airliner ' ' I MEXICO CITY (if) Twenty-six persons, including four from the United States, were killed Tuesday in the flaming crash of a com mercial airliner near Mexico's west coast The owner of the two-engine DC3, Compania Mexicana de Avia cion, said there were no survivors. Aboard were 23 passengers, in cluding two children; and a crew of three. The plane crashed into a wooded mountain peak shortly after taking off from Puerto Vallarto, on the Pacific Coast. It burst into flames and set fire to the surrounding for est. The U. S. citizens board were identified as Edd Johnson, R. S. Hall, Dr. J. Ingler and a Dr. Hays. The airline said their home ad dresses were not available. (The San Francisco Chronicle reported -it had a - staff member named Edd Johnson who was on leave at Puerto Vallarta. Johnson was formerly a correspondent for a Chicago paper and an editor of the- New Republican Magazine.) The crash occurred 16 miles north of Mascota, in the state of Jalisco. Its cause was unknown. Weather conditions were said to be good at the time. The plane was flying from Puerto Vallarto to Guadalajara. Flames from the forest fire pre vented rescuers from reaching the plane. i . New Portland Video Station On Air Today Salem area television viewers will if they wish, be seeing a new network telecast today when Port land's newest station, KL0R, goes c- the air at 3 p. m. The TV station. Portland's third will continue to telecast daily on channel 12 with ABC network shows and home talent. Beginning today KLOR s com plete daily schedule will be found on The Statesman's television page. Today's telecast will open with an introduction by Ron Myron, studio show director. Last program is a full length movie beginning at 10:45 p. m. I BETTY HUTTON WED LAS VEGAS. Nev. un Singer actress Betty Hutton, 34, and Alan W. Livingston, 37, recording com pany executive, were . married Tuesday, i i I - Surrendered ! urged Chiang-Kai Shek's National ists to take two steps: "First we would like to see them withdraw their armed forces from the other coastal islands. Quemoy and Matuso). Secondly, they should let it be known that they . . . while maintaining their claims, will not prosecute them by forceful means, and wiH ab stain from all offensive military action. : ' Eden appealed to Red China to refrain from attacking Quemoy and Matsu and "to make appar ent" that it does not intend to take Formosa by force. ; . Amid cheers both sides of the House, the foreign secretary prom ised that a peaceful Formosa set tlement would result in the West giving fresh consideration to Red China's claims to a seat in ; the United Nations. Eden's apparent call for immed iate Chinese Nationalist evacua tion of Quemoy and Matsu indi cated he still disagrees with Dul les over immediate disposition of the islands despite efforts at Bangkok to smooth over the rift 9, 1955 PRICE St in Kentucky Town community. Truck was used in stalled by rising water, which is House G roup Votes to Hike Price Props - WASHINGTON un" Another farm fight brewed Tuesday in the House, where the Agriculture Com mittee approved a bill to restore major price supports at ' 90 per cent of parity. ; The vote was 23-11, crossing party lines, and Chairman Cooley (DNC) predicted House ' passage of the legislation. , After a long struggle in Congress last year, the Eisenhower admin istration succeeded in scrapping the warborn law calling for high pru supports on "basic com modities. Substituted was a meas ure providing a more flexible sys- tem ranging from 22Vt to 90 per cent of parity. - Parity is a standard of fixing farm prices, declared by law ,to give producers a fair return in re lation to the price of things , they buy. The new House legislation would reinstate 90 per cent supports for wheat, rice, cotton, corn and pea nuts. Tobacco, the sixth basic crop, is supported at 90 per cent under a special law. Rep. Abernethy (DMiss) added a dairy provision 'which would raise the price support floor for dairy products milk, cheese and butter from its present level of 75 per cent of parity to 80. The change would become efefctive im mediately upon enactment The House bill provides a two yer extension of the federal pro gram for eradicating brucellosis, a cattle disesae also known as in fectious abortion. (Story also on Page 8, Sec. 1.) Plan Would Have Brownsville Mill Built at Lebanon it BROWNSVILLE 10 A proposal has been made that the Browns ville Woolen Mills, destroyed bv (ire a week ago, be rebuilt at Lebanon. But the owners, Chester Page and his three sons, Chester. AI and Raymond, said every effort was being made to resume opera tions nere. An ertort, unsuccessful so far, has been made to find new equipment The industrial development com mittee at Lebanon said it has had discussions with the Pages on the proposal to move there. Schools to Close For Week During Spring Vacation Salem schools will be closed next week for spring vacation. Many teachers, however,1 are ex pected to be in Portland for three of the five days attending the Oregon Education Association conference there Thursday through Saturday. . Superintendent of schools Wal ter Snyder will also be out of town. He leaves Sunday for Den ver, Colo- where he will attend a three-day meeting of the Amer ican Association of School Admin istrators, v No. 347 evacuating drug store goods when 2 - 5 feet deep here. (AP Wirephoto) Flood Crest Rolls Closer To Cincinnati CINCINNATI un The crest of a "major" Ohio River flood rolled closer to the heavily populated Cin cinnati area Tuesday but the U.S. engineers reiterated "there ha? been nothing like a catastrophe." The principal development Tues day was a revision in the U.S. Weather Bureau's forecast of the crest here of from 61 feet to 61.5 feel. That would be 9.5 feet above flood stage. The river already was in manv low lying streets buf it still had more than two feet to go to reach the,, predicted . crest i due -early Thursday., ... From Cincinnati upstream, more than 900 Ohio families have been forced from their homes. The American Red 'Cross, which calls the situation of "disaster" propor tions for relief purposes, said more than 2,000 families had been af fected in West Virginia, Kentucky and Indiana. , There were no forecasts of any heavy rains, however, and that brightened the picture for the re mainder of the week. Baker Wreck Kills Mother, Unborn Twins BAKER un A spectacular au tomobile crash here Monday nieht claimed the lives of a mother arid her unborn twin daughters and hurt five other persons. Mrs. Olvin D. Hale, 19, was be ing rushed to a hospital for deliv ery of her babies. As the car sped through a pass under the Union Pacific Railroad tracks it met an other head-on. The girls were born dead an hour after the crash, and Mrs. Hale aiea two nours later of Her inju ries. There was no immediate police statement on blame for the acci dent but skid marks indicated that one of the cars must have been on the wrong side of the street. Mrs. George Hughes, riding in the car with Mrs. Hale, suffered critical skull fracture. Jesse Hale, driver, suffered non-critical hurts. He was Mrs. Hale's broth er-in-law. Others in the car ivere the expectant father, Olvia D. Hale, their 18-months-old son, and Barbara Lee, 18. All are from' Baker. Occupants of the other car, Mr.- and Mrs. George Curtis, of Baker, suffered fractures and cuts. Stocks Drop as rlea tor Lash By KARL R. BAUMAN WASHINGTON W The stock market broke sharply Tuesday fol lowing testimony before the Senate Banking Committee that stock buy ing ought to be put on a cash basis, that there is too much spe culation. I However, Chairman Fulbright! (D-Ark) of the committee said of the market drop: "I think it has do connection whatever with the study being made by this committee. I can't imagine how there would be any connection." - ' Some New York brokers attribu ted the sell-off in the market to testimony Tuesday by John Ken neth GalbraiUj, ' professor of eco nomics at Harvard University, who urged "strongest precautionary measure' to prevent a repetition stands ready "to ..meet hostile l force with the greater force that we possess." In a nationwide radio-tv broad cast speech, the secretary of state did not name the new weapons. But he said they can be so pin pointed as to "utterly destroy mili tary targets without endangering unrelated civilian ; centers." This could mean "baby" atomic bombs, or guided missiles or something not yet disclosed. His mention of not endangering civil ian centers could be 'taken as a form of assurance to those some American allies among them who opposevlhe use) of hydrogen bombs .or convention A-bombs as indiscriminate slaughter. Warning to Reds j It also could be taken as a warn ing to any Red Chinese leaders who might figure tjey would be safe in launching an attack be cause the U. S. wqtfld never risk world-wide revulsion! by the use of massive atomic j or hydrogen weapons. Dulles was saying in ef fect that there wou& be no heed to use these ultimate weapons, that others would saffice. . Dulles' speech wai a report on his just - completed tour of Asian countries and the fai Pacific. "Paper Tiger" j I Red China, he sail, seems "de termined to try to Iconquer For mosa." and is spreading the prop aganda that the Urjted States is only a "paper tiger;?. While practicing -restraint against such taunts, Dulles Continued, the United States must wt let the free people of Asia get the idea that "our love of peace fmeans peace at any price." ! "We must, if occasion offers, make it clear that i we are pre pared to stand Dryi," he said, "and, if necessary,! meet hostile force with the greaser force that we possess. ' 1 If the Chinese Communists en gage in open armed aggression," he said, "this would probably mean that they ha-e decided" on general war in Asia." Defense Treaties - i- "They would thenJhave to take into account the ; mutual defense treaties of the United, States with the Republic of Korea and the Re public of China, and the forces maintained under them. "Thus general waf , would con front the Chinese Communists with tasks at the south."' center and north, tasks which jwould strain their inadequate means of trans portation. "The allied nation possess to gether plenty of power in the area. The United States in particular has sea and air forces now. equipped with new and powerful weapons of precision which can utterly destroy miliary targets without endangering '(unrelated ci vilian centers." i Wilsoa Opines 1 Secretary of Defense Wilson sup plied the opinion at ja news con ference Tuesday that the Chinese Reds do not have th capacity to invade Formosa. He laid the For mosa Strait would fee a "more formidable obstacle"! to invasion than the English Channel was in the Normandy landings of World War II in 1944. 5 j Sen. Mansfield ,D--Mont) said "Secreatry Dulles has laid it on the line the days tf retreat by America - in the i Far East are "The decision,"? Mansfield said, "now lies in the hands of the Chi nese." i i 5 Premier Nagy of Hungary Censured By Communists LONDON I The Hungariaa Communist Party 1-Wednesday denounced Premier j Imre Nagy, spokesman la his country for the Malenkov policy of fbetter living conditions. j J Budapest radio announced Xht party censure, which aeensed the 59-year-old veteran' Commu nist of "right-wing . deviation ism." r i . Nagy has been retorted on his way not of favor fof some time. Solons Heai Unly sales of the disastrous market crash of 1929. i While saying there lis too much speculation, Galbraitii added there are some "formidably safeguards" against a 1929-type crash. -A reporter refersed to Gal- braith's testimony as -' "gloomy," but Fulbright said: I "It wasn't a gloomy statement He only said we should be cau tious. We should be cautious when we are walking across the street." In urging "strongest precaution ary , measures' to avoid a bust sucfi as occurred ia 1929, Gal braith told the committee that prevention rather than cure is our best hope." ! Galbraith is the author of a book. "The Great Oash." to be published next month, dealing with tne 193 crasn. ; Retirement Law Changes By HECTOR L. FOX Associated Press Writer m x Broad changes in the public employes retirement law won speedy 27-2 endorsement Tuesday in the Oregon Senate. Sponsors said the bill, which goes to the House, would. benefit 14,000 state, county and city em ployes. But opponents argued it was "speculative" in savings to the state. The measure contains two prin cipal revisions. Exclusion of an employe's first $600 of annual income in -computing his retire ment contribution now would be optional. Also, employes earning more than $4,800 a year could continue their - contributions to boost their ultimate benefits. . Would Pay Less These" revisions mean that low er paid employes in many cases would pay less into the system and receive slightly lower bene- WEDNESDAY EVENTS 10:30 a. m. Election subdis tricting bill in the Senate. . 2:10 p. m. Proposed constitu tion revision convention bill in the Senate., . 7:30 p. m. Bill for doctors'1 advisory committee to medical school, hearing before Senate education committee, Room 309. fits on retirement while higher paid employes could have more of their income covered by pay ing more into the system. Sen. Carl Francis (R), Dayton, said mere was no way to deter mine how many employes would exercise either-option. Doubts Claim " - - -- He asserted sponsors' claims of A $330,000 state saving were speculative. Several cities, he said, including The Dalles and Oregon City, want to ij withdraw from the retirement plan. Sen. John Merrifield (R), Port land, said the estimated saving was a maximum figure. He con ceded it would be less in propor tion to the number of employes who want to take advantage of the options. Merrifield added that he thinks less- than 40 per cent of those earning above $4, 800 would want to make a change. Goes to House If enacted, employes could re-i tire at age 65 at almost half of their salaries. The bill now goes to the House. The Senate today will debate bills to have a constitutional con vention in 1959, divide Multno mah County into legislative sub districts, and repeal the law which .sets forth physical educa tion requirements in schools. (Additional legislative news on Page 4, Sec.' 2.) End to Ideal' Weather Seen Salem's weather continued close to ideal Tuesday with a high of 59, two degrees short of Monday's 61. A high of 52 is predicted for to day, which is forecast to be partly cloudy with a few light showers this afternoon and tonight. The state highway department Tuesday night reported virtually all highways free of snow but ad vised motorists to carry chains in the Government Camp and Timber line areas where plows were still operating. 1 Icy spots were reported at Sun set Summit, Warm Springs. Junc tion, Prospedt, Willamette Pass, Lakeview, Meacham, Austin and Basque. National Demo Chief Plans Oregon Visit PORTLAND m Oregon Demo crats scheduled a dinner meeting here on March 17 for Paul Butler, new Democratic national chair man. ' Butler, a South Bend, Ind.," attor ney, will be making his first offi rial visit to Oregon, State Chair man Howard Morgan reported. Today's Statesman Sec. 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