1EMD
ETM
State Forecast
Oregon Partly cloudy to
night and Friday. High both
days 65 to 75. Low tonight
32 to 42.
LEASED WIRE WORLD
, NE,WS COVERAGE
CENTRAL OREGON'S DAILY NEWSPAPER
THE
BULL
33rd Year
Employment
Being Viewed
By Governors
3 West Coast State 1
Heads Meet to Talk
Over Mutual Problems
Portland April 7 IP Califon
nla, Oregon and' Washington now
have eight per cent of the na-
idtion's population and 12 per cent
or us unemployment, the Pacific
coast board of intergovernmental
"relations was informed at its
opening session today.
Governors Earl Warren of Cal
ifornia, Arthur B. Langlie of
Washington and Douglas McKay
of Oregon, plus federal officials
and experts on population and
employment, convened for a dis
cussion of mutual interstate prob
lems. - Drop Reported ,
Fay W. Hunter, San Francisco,
regional director of the federal
security agency, reported that
California showed a further drop
of 39,000 in employment from
February to March, with Oregon
and Washington showing a re
versal of the downward trend.
Employment increased in Oregon
.14,000 and in Washington 18,000
during the same period, Hunter
said. 1
! Gov. Warren, In his opening
address, said the intergovernmey
tal relations meeting were borh
during world "war II "because of
mushrooming of federal govern
'ment agencies and the need of the
west coast states to keep in con
tact with them."
"Should we have an emergency,
I know this organization could
Wet the needs," Warren said.
Population Up
J. W. Rupley, San Francisco,
spokesman for the U. S. bureau of
i the budget, said the three west
coast states have increased their
population until it how represents
eight per cent of the nation's total.
But those states at the same
time have suffered disproportion
ately in unemployment, with mast,
of the loss of jobs in California'.
Total employment in the west
coast states ,was estimated by
Hunter at slightly under 5,270,000
up to mid March. This level of
employment, was .43 per cent
above the pre-war level of 1940.
From February of 1948 to Feb
ruary of 1949 there was a drop
of 48,000.
Decrease Shown
Non-agricultural employ ment
estimates as of mid-February
were 78,000 under February of
1948, with Oregon showing a small
decrease and California account
ing for the gain, Hunter said.
"The unusually, severe winter
will delay the re opening of log
ging operations and has caused a
greater than usual seasonal drop
in construction," Hunter said.
"This, with some softening of the
lumber market will hold employ
ment to a lower level further into
the spring and it is unlikely that
it will go to last year's levels."
Gov. McKay said the number
of unemployed in Oregon has de
clined by 25.000 since winter be
gan easing off In mid-February.
Reds Demanding
iThina Surrender
Nanking, April 7 (tPi Commu
nist forces followed up a reported
demand for the unconditional sur
render of nationalist China today
with stepped-up attacks threaten
ing a drive across the Yangtze
river to envelop the whole coun
try. High official sources said the
communist attitude permitted no
bargaining or concessions. It
threatened the peace negotiations
going on at Peiping, with a yes or
no answer demanded by next
Tuesday, Informants said.
The government reported that a
big force of Manchurian commu
nists was rolling Into Hupeh prov
ince toward Hankow, while 25
miles east of Nanking other com
munist units smashed Into the
strategic river post of Hlching.
The Intensification of the com
munist attacks was believed aim'
ed to back up the demand for the
unconditional surrender as report
ed by unimpeachable sources.
A communique said five divi
sions entered Hupeh, the only nationalist-held
province north of
the Yangtze.
The government was silent on
the reported demand for uncondi
tional surrender. It Issued a state
ment regarded by high quarters
as an attempt to cover up a seri
ous situation.
FLAG DROPPED
Fairbanks. Alaska, April 7 UR
A flag presented to the alt
force by the New York Circum
navigators' club was dropped
Over the Nnrlh nolo fi-nm a KM
4'serday to commemorate the
anniversary ol Adm. Kooert
yeary's march to the pole.
TWO SECTIONS
Boy, 8, Has
I - - ..
- r
1
Earl Turner, 8, son of Mr. and Mrs.' Alvin Turner, who live south
of Bend, is pictured here behind the wheel of his own car, powered
with a model "A" motor, Earl attends Reid school in Bend. On the
seat with Earl is his brother, Bob, 6. The boys' father, who made.
' . " - ' , the car, looks on.
8-Y ear-Old
Drives Own
Aufomobile
Earl Turner. 8, son of Mr. and
Mrs. Alvin Turner, who live in
the vicinity of Knott field, drives
his own automobile around the
Turner ranch these days, and he
is looking forward to the time
when he is old enough to take the
car out on a public highway. That
time is still six years distant,
when he will be able to get a stu
dentdriver permit.
Powered by a model "A" en
gine; the car Earl drives over
ranch roads and out to the mail
box to meet the Bend school bus
was made by his father. The car
is 10 feet long, and has a clear
ance that surpasses that of mod
ern cars. Turner, who operates
a machine shop at his ranch, made
the car in his spare time.
EarL a capable driver, would
like to tkke his home-made car
our on--the- highway for a .spin,
but state laws forbid.; . However,
he can operate his car over roads
of the home ranch. In fact, Earl
doesn't ever require a car license
for this limited driving, since the
machine does not operate over
public roads.
Earl attends Reid school in
Bend. His frequent companion
in ranch drives is his brother,
Bob, 6. :, . .
Group Approves
Alaska Nominee
Washington, April 7 (IB The
senate interior and insular af
fairs committee today approved
the nomination of Ernest Gruen
ing to serve a third term as gov
ernor of Alaska.
Chairman Joseph C. O'Ma
honey said 11 senators voted to
approve Gruening's nomination
and none voted against it. Re
publican Sens. Hugh Butler, Neb.,
and Guy Cordon, Ore., were ab
sent, he said.
The nomination now awaits ac
tion of the full senate. O'Ma
honey said he expected Gruen
ing will win speedy approval.
Bend City Commission Considers Gasoline
Distributing Issue; No Hasty Action Seen
The most controversial issue be
fore the city commission at its
four-hour-long meeting last night
was the distribution of gasoline
Inside the city limits by large
tanker trucks, and the building of
larger storage tanks by fuel hand
lers. Under the existing ordinance,
gasoline retailers within the city
are limited to tliree louu gallon
tanks on one lot. An ordinance
to up capacity on these tanks and
amending the present ordinance
was scheduled to be read for the
first time at last night's meeting,
but the commission agreed to ta
ble the ordinance pending further
Investigation of the situation. ,
Delegations for and against the
gasoline distribution measure met
with the commission and aired
views on the subject. Fred Paine,
branch manager of the Standard
Oil company, said his company
was interested in complying with
safety regulations and believed
the city of Bend should adopt
safetv precautions regarding fuel
distribution which would conform
with the standards set by the'i
National Board ol r ire unuerwru
ers. W. O. Cuthbertson, Bend's new
city manager, meeting with the
city commission in regular ses
sion for the first time, said he
thought that the commission
should check with the stay fire
board before taking any final ac-
I tion on the matter.
BEND,
"Real" Car
- ,,
IB
Dam Construction
Planned for 1949
Washington, April 7 ui Rep.
Lowell Stockman, R., Ore., said to
day that construction of the
Ochoco dam near Prinevllle, Ore.,
will get underway this year.
Stockman said the way was
cleared under an agreement sign
ed by steel companies by which
83,618 tons of steel products will
be made available for reclamation
projects during the May-September
period. He said the steel
availability also will hasten con
struction of flood control work on-
the Klamath project.
Big Three Agree
On German Issue
Washington, pril 7 mi-French
foreign minister Robert Schuman
said the foreign ministers df the
western big three today reached
important "accords in principle"
on the. future of western Ger
many Schuman spoke briefly to re
porters after a two-hour meeting
this morning with Secretary of
state Dean Acheson and British
foreign minister Ernest Bevin at
the state department. He said
texts are being drawn up on the
agreements that were reached.
The ministers will meet again
this afternoon and possibly to
night as they drive toward early
conclusion of their talks.
Their talks are aimed at estab
lishing a western German state,
reportedly by late summer.
Acheson was said to have told
the foreign ministers in four and
a half hours of talks yesterday
that the three powers must speed
ily resolve their ditterences on tne
German question.
Though a strict news blackout
was maintained concerning the
talks, the ministers were expected
to issue a communique after their
final meeting.
44 DROWNED
Baghdad, April 7 mi Forty
four persons, most of them
schoolgirls, were drowned and 34
others were missing in a cloud
burst which deluged the town of
Telklef in north Iraq today.
Floyd West, Bend chamber of
commerce secretary, speaking for
the civic affairs committee of the
chamber, said the group was in
terested In the protection of life
and property in the city of Bend
and it felt that the unloading of
large tankers within the city
created a fire hazard with which
the city fire facilities were not
prepared to cope.
Alva C. Goodrich, attorney, said
the commission would first have
to decide whether the gasoline is
sue really created a fire hazard
in the, city or was being instigat
ed by fuel handlers and distribu
tors as a competitive move.
William Nlskanen, assistant
general manager of Pacific Trail
ways, declared Trailways was be
ing penalized by not being able
to Install larger storage tanks and
have gasoline transferred direct
ly from transport tankers. Nls
kanen said that under present con
ditions the company Is forced to
pay "the highest price in Oregon"
for gasoline. He also stated that
if the company would be allowed
to obtain larger storage tanks it
would cut the price of handling
the gasoline by one or one-and-one-half
cents.
After much debate Mayor T. D.
Sexton, speaking for the commis
sion, said that it was realized that
the issue was an Important one
throughout the state and the com
missioners felt that they could
not take any hasty action on the
DESCHUTES COUNTY, OREGON, THURSDAY. APRIL 7,
GOP Leaders
Battle to Cut
Turn of Events May
Finish Senate Debate ,
On ERP Renewal Bill
Washington, April 7 tlP) Sen
ate - republican leaders today
turned a statement by President
Truman's No, 1 economist into
ammunition in thfclr battle
against foreign aid.
This turn of events threatened
the . administration's drive to
wind up senate debate on the
$5,580,000,000 Marshall plan re
newal bill by tonight.
The statement was made by
Dr. Edwin G. Nourse, chairman
of the president's council ' of
economic advisers. He said the
United States should revise de
fense and foreign spending plans
In view of expenditures it will
have to make if it arms Atlantic
treaty nations.
Senate GOP leader Kenneth S.
Wherry, who had tried unsuccess
fully to get the recovery pro
gram cut la per cent, said
Nourse s call for caution com
pletely explodes" administration
claims that the $5,580,000,000 for
eign aid figure is a rock bottom
minimum.
The administration kept plug
ging, however, for a vote on the
recovery bill.
Other congressional develop
ments: Farm Program The adminis
tration unveiled its proposed
program to keep agriculture heal
thy and avert a "farm-led and
farm-fed depression."
Social Security Secretary of
labor Maurice J. Tobin asked
congress to boost social security
benefits and expand the law's
coverage.
Electoral College The house
judiciary committee approved a
proposed constitutional amend
ment to abolish the electoral col
lege way of picking . presidents.
Pay The house post office
.committee approved a bill to Hike
the pay of cabinet officers from
$15,000 a year to $25,000.
Defense The army, navy and
air force chiefs told congress
they - favor creation of a new
post a "chief of chiefs" who
would be the top ranking mili
tary officer in the armed forces.
In driving for passage of the
Marshall plan bill by tonight,
Connally said all "troublesome"
amenirnents to the measure are
out of the wai
Prineville Hospital
Contract Is Let
Prineville, April 7 The Prine
ville Pioneer Memorial hospital
came a major step closer toward
realization yesterday afternoon
when the board awarded to River
man & Son of Portland a contract
for construction of the modern
new building on a bid of $264,000,
the lowest of nine. The contrac
tors have announced that work
will be started in 10 days, ' and
the contract calls for completion
within 210 working days. The
highest of the nine bids was sub
mitted by Johnson, Wells & Tur
ner of Portland for $322,685.
The hospital will rise on a 12-
acre tract at the north edge of
the city, donated the Pioneer Hos
pital association by Crook county.
matter until a thorough Investiga
tion of the matter had been made.
Sexton also brought to the at
tention of the commission the
overcrowded conditions which ex
ist in the city hall and the fire
hall. Sexton proposed thaf city
funds be pooled with funds of the
Deschutes county veterans' coun
cil to provide a municipal build
ing to meet present needs. After
a short discussion the commission
agreed to consider the proposal
and a committee of three commis
sioners was appointed to meet
with the veterans' council to study
the proposed plans. Ralph Bailey,
Wilfred Fordnm and W. B. An
derson were chosen to represent
the commlssjon.
The commission awarded the
contract for building of rest
rooms at the municipal ball park
to Eric Hilton upon the receipt
of his low bid of $2,982 for the
construction. It was reported that
Hilton believed he. could cut the
cost of building down to $2,750
if the plumbing fixtures belong
ing to tlie city were used.
W. P. Drost who had been city
manager for the past five months,
tendered his resignation of that
position at the commission meet
ing. Sexton expressed the appre
ciation of the commissioners to
l Drost for helping them out In a
(Critical period, and commended
j Drost on the excellent job he had
I done as manager while also carry
ling on at his post as city water
I master.
Foreign Aid
i ' x J' .'- ' AtT&r lu ; j
Air view shows gutted remains
was swept by fire. Authorities
of the worst hospital fires in
House Tables Vets' Bonus
Bill;. Move Means Its Death
Legislation to Tax Cigarets, Regulating
Their Price Sent Back to House Committee
Salem, April 7 (TIE) The house today tabled the soldiers'
bonus bill, a move that means its death.
But legislation to tax cigarets and regulate their price was
sent back to the house tax committee for possible salvaging.
Two-cents-per pack tax on cigarets had been proposed to
finance world war II veterans bonuses.
The house tabled the bonus bill by a loud "aye" after Rep.
Ernest Kimberling, R , Prai- r 1
rie City, made the motion,
which is not debatable.. ' ;
Program Viewed"
The . house tax committee
now may use the proposed cig
aret tax money for a, continu
ous Drotrram to finance new
'college and ' state institution
buildings.-- ' - '
The tax would yield approxi
mately $3,500,000 a year. Sen.
Dean Walker. R., Independence,
has: proposed that this possible
revenue be used for new build
ings. : '
The bonus measure has been
kicked all over the house. First it
was introduced by the house mili
tary affairs committee, and the
house by an overwhelming major
ity gave it approval. But then it
.was sent to tne tax commuiee
which made several changes.
It would have given world war
II veterans up to $600 based on
length of service. It would have
cost almost $50,000,000 over ten
years.
House to Vote
If the tax committee recom
mends passage of the two cigaret
bills the house will have to vote on
whether they want the tax and
whether they want a fair trades
act to go along with it. The fair
trades proposal would regulate
the price of cigarets to prevent
underselling.
The two measures would in-
I crease the price of a pack of cig-
arms up iu 10 ui iv iciua. ifcuun
bill would be referred to the
voters.
The people of Oregon have
voted down taxes on cigarets four
I times in a row. And tobacco deal
ers say tiiry will ilgnt tne pro
posed tax unless they get the fair
trades act.
Reed Reports
On Lake Snow
Six feet of snow still covers
Newberry crater, and Paulina
lake is under a two-foot blanket
of ice and snow, Howard Reed,
proprietor of the Paulina resort,
reported here yesterday after
noon. He made the trip over the
rim with his boatman, Howard
Mertz. They returned to the
lodge last night.
Mrs. Jessie Reed, mother of
the resort manager, remained at
the lodge, where she has been
snowbound since last fall.
The two men made their way
to Bend yesterday following re
pair of the resort tractor, Wei
born Parker and Pete Gordon
hauled In parts for the tractor
last Saturday, using another trac
tor and two sleds. The parts
hauling Job took 1!) hours.
Reed's car, stranded In the
snow since last December 9, was
driven Into Bend. The car was
three miles from the lodge.
ROUNDUP QUEEN CHOSEN
Pendleton. April 7 Wi The
Pendleton roundup, one of Ore
gon's most famous events, today
named Joan Barnette, 19, Oregon
State college freshman, as queen
of the Aug. 24-27 show.
Roundup directors, who named
Miss Barnette. said she was
"equally at ease on a galted thor
oughbred or a tough cowhorse."
She is the niece of a former.
Knundun oueen. Mrs. Berkeley
I Davis.
1 949
Hospital Blaze Kills 74
of St. Anthony's Hohsital In Effingham, Illinois, after the building
believe that 74 persons died in the rife, which was described as one
the nation's history. Eleven babies died as a result of the blaze.
Six High School
Boys Nominated
Six Bend high school boys who
will "be seniors this coming year
have been nominated for the of
fice of student body president,
with elections to be' held on April
21, it was announced today. The
nominations were made by the
student body council.
Four girls have been nominated
for secretary. There arc three
nominees for paymaster and four
for treasurer.
Nominees for president are
Marvin Mix, Tom Niebergall, Dick
Rasmussen, Dick Carlson, Larry
Standifer and Kenneth Stevens.
The secretary nominees are Cath
erine DeRushia, Greta Nelson,
Marcia Skjersaa and Nancy For
rest. The three nominated for pay
master are Helen Ulster, Ann
Longballa and Meirley Fordham.
Nominated for treasurer were
Kent Hogan, Drannan Hamby,
Jackie Nystrom and Mildred
Chopp.
Campaign Planned
In the coming week, the high
school students will engage in
their annual pre-election cam
paign, one of the "extra-curricular"
highlights of the school year.
Halls will be covered with elec
tion placards, banners will be
painted and cards distributed.
Elections on April 21 will be
conducted in "precincts", with
votes cast between classes in des
ignated parts of the high school
building. It is expected that more
votes will be cast in the school
election than there were In Bend
city elections up until about 1912.
Don Denning, Jr., Is president
of the student body this year.
Senate Committee Approves
Tax Split for Those Married
i
By Ben K. Anderaon
(United frewt Huff CurretptinflenO
Salem, April 7 UPi Legislation
to permit state Income tax savings
by allowing married couples to
split their incomes for state tax
purposes nad approval ot tne
over worked senate tax committee
today, but a measure to abolish
property taxes was tabled.
The seven-man committee
unanimously recommended pass-
ago of the Income tax measure
after amending it to also allow
deduction of medical expenses up
to $1,200 when they exceed five
per of a taxpayer's Income.
The proposed constitutional
amendment to prevent taxation of
property apparently Is dead this
session. But Chairman Ralph
Moore, K., Coos bay, who is neaa
of the house tax committee, said
that was the key to our pro
gram.
one of the authors of the bill,
Sen. Eugene E. Marsh, R., Me-
Mlnnvllle, voted along with the
rest of the committee to table the
house-passed resolution.
senate tax committee chairman
Dean Walker, R., independence.
explained, "these taxes arc so
Hospital Fire
Effingham, April 7 (IB This
heartsick town began burying Its
dead today as the Catholic chan
cery office announced a "final"
toll of 74 lives lost In the fire
which destroyed St. Anthony's
hospital.
The chancery said 61 bodies had
been accounted for, most of them
dug from the charred ruins of
the three-story hospital, lwelve
victims were listed as missing and
believed buried in the debris.
"This estimate is considered
final," said a spokesman for the
chancery office.
He said that 123 persons, were
In the hospital when'. the .fire
flashed through the old building
early Tuesday. These included
patients, visitors, nurses, staff
members and Franciscan nuns
who ran the hospital.
There were 54 survivors, the
chancery said, leaving 74 dead or
missing.
The death count did not include
a baby born dead to & mother
who leaped from a window.
Residents of this southern Illi
nois town of 8,000 persons still
were stunned by the tragedy,
which ranged among the nation's
worst hospital disasters.
Group services for four of the
victims were to be held today.
Investigators were proceeding
slowly In their search for the dis
aster's cause. They wanted to let
some of the shock wear off. State
fire marshal Pat Kelly said after
a preliminary inspection that
there was "inconclusive" evidence
of paint stored in the basement.
The building was being redoc-
orated, he said, and he believed
the flames may have fed n paint
and varnish. But nuns in charge
of the hospital said the redecor
ating was done by a contractor,
and that no paint was stored on
the premises.
Hutchins Views
Atom Bomb Use
Spokane, Wash.. April 7 UI1
The United States made a "mili
tary and moral error in drop
ping the atom bomb on Japan,
says Dr. Robert M. Hutchins,
chancellor of the University of
Chicago.
deeply woven into the fiscal sys
tem of the state. It would be a seri
ous matter to change them right
now."
A house-approved bill calling
for an "exhaustive study" of Ore
gon's whole tax structure also was
tabled by the hurry-up commit
tee. Sen. Howard Belton, R., Canby,
suggested that a public relations
program be launched to "explain
and to educate" the voters on
the principles of Oregon's intri
cate tax sot up.
A hill to prohibit Portland and
other cities from levying personal
income taxes was amended to also
prevent them from taxing the In
i come of corporations.
A public hearing will be held on
i the bill Friday afternoon
The house- approved resolution
requiring all measures Initiated
by the people to carry a "price
tag" stating how much the pro
posed law would cost and where
the money Is to come from, was
amended by the committee to hIso
make bills referred by the legis
lature conform to the proposal.
1 he measure was held for redraft-
; ing
No. 104
Russia Opens
Atlantic Pact
Attack in UN
Reds Declare Treaty
Violates UN Charter;
U.S. Aggressor Nation
Lake Success, N.Y., April 7 UP)
Russia opened its attack on
the North Atlantic treaty in the
United Nations today.
The pact is a violation of the
UN charter, Soviet delegate Ja
cob A. Malik told the organiza
tion's steering committee. He also
said it was a shield under which
the United States was hiding ac
tions as an aggressor nation.
His attack on the North Atlan
tic treaty came in the middle of
another denunciation of the west
ern powers which he was deliver
ing. He opposed an attempt by
Australia and Bolivia to have the
UN investigate the recent trials
of Joseph Cardinal Mindszenty
in Hungary and 13 Protestant
churchmen in Bulgaria. Such an
investigation would be an un .
warranted interference in the in
ternal affairs of Hungary and
Bulgaria, Malik said.
Attack Shifted
Then he shifted his attack to
the North Atlantic treaty which
was signed in Washington eacHer
una w ccn. -
"We should recall," he said,
"the recent violations -of the char
ter of the UN through establish
ment of aggressive blocs under
the guise, the shield, or erudite
references to various articles of
the charter all actuated by just
one purpose.
That purpose, Malik added, is
"the fulfillment of plans for
world hegemony toward which
the leading circles of the United
States are hurling themselves
without any rhyme or reason."
He also said the United States
and Britain were guilty of "no
torious" violations of the Yalta
and Potsdam agreements.
Malik Bitter
Malik' was bitter against the
United States In his speech Op
posing 1 the investigation of the
churchmen's trials.
"The United States of America
and other states following in its
wake seek to utilize the United
Nations and the general assembly
for purposes of slander. Inimical
propaganda and the setting of
yokes on the shoulders of other
states," Malik told .the UN steer
ing committee.
"The United Nations charter
does not contemplate shielding
criminals and traitors. This is an
attempt to send the UN down the
road of protecting crime and
treason under the guise of-protecting
human rights and free
doms."
Deschutes to Get
Forest Road Fund
An $88,796 apportionment of
federal forest reserve rent and
sales funds was made today to
Deschutes county by the Oregon
state department. Of the total,
the greatest single year yield that
the county has had so far, $66,-
574.50 will go to the road fund
while the balance of $22,191.50
will go to the county school fund.
crooK county s share of the to
tal state apportionment of $1,669,-
628 amounts to $80,773 which will
be broken down to S60,579.7o for
the county's road fund and $20,-
lU.-I.Za for the school fund.
Jefferson county was low In the
area with a $15,084 apportion
ment. Of that amount $11,313 will
go 10 ine roaa iunu ana jm, mi
will go to the county's school
fund.
The apportionment to Des
chutes county this year Is more
than double last year's $42,417.99
totul for the county and Crook
county's share is slightly less than
double that county's total in 1948
of $l(i,551.5fi. Last year Jefferson
county received $7,419.60 from the
federal forest reserve rent and
sales fund. The $1,669,628 total for
the state this year is an increase
of $530,758 over the 1948 appor
tionment ot $938,870.
Only counties which have fed
eral forest lands share In the fed
eral forest reserve funds. Of the
apportionments made to the coun
ties 75 per cent goes to the road
fund while 25 per cent goes to die
school funds.
River Dragged
For Two Bodies
Salem. April 7 tin The Willa
mette river was being dragged to
day for the bodies of two men
who were believed drowned late
Wednesday when their small boat
capsized.
Missing were Robert C. Wood,
33. co-owner of Valley Concrete
Co., Salem, and W. A. King, 47.
a bridge superintendent for Mac
ro Corp.
'M