Grant Ratzlaff Permit for Bus Line to Coast Direct Service Salem to Newport to Be in Operation by June By STEPHEN A. STONE John Rattlaff of Albany, do ing business a the Pacific Coast Lines, was today granted au thority to operate a line of stages between Salem and New port. Ratzlaff, in Albany, told the Capital Journal by telephone that he expects to have the lines in operation before the first of June with stdps at all pointsh, 1948, to March 31. 1949 total en route between the two ter minal cities. Sells Santiam Lines At the same time Ratzlaff an nounced that he received Thurs day from the interstate com merce commission approval of his application to sell the San tiam Lines to Mt. Hood Stages, doing business as Pacific Trail ways. Until the transaction is completed Ratzlaff will continue to operate the lines which run between Albany and Bend via Lebanon and Sweet Home. "For the new operation be tween Salem and Newport," Ratzlaff said, "we will get the equipment within the next two weeks and be running the sched ules before the first of June. To Use New Vehicles "The vehicles will be one new and one used bus, each of 29-passenger capacity." Ratzlaff buses will make two round trips daily between Sa lem and Newport. Hun No. 1 will leave Salem at 9:15 a.m., arrive at Valley Junction at 10:21 a.m., Taft at 11:09 a.m., and terminate in Newport at 11:48 a.m. Run No. 4 will leave Salem at 3 p.m., arrive at Valley Junc tion at 4:08 p.m., Taft at 4:54 p.m., and Newport at 5:33 p.m Run No. 3 will leave Newport at 7 a.m., arrive at Taft at 7:39 a.m. at Valley Junction at 8:27 a.m., and at Salem at 9:35 a.m. Tarriff of Fares Run No. 2 will leave Newport at 3 p.m., arrive at Taft at 3:39 p.m., at Valley Junction at 4:27 p.m. and at Salem at 5:35 p.m. The total elapsed time on the schedule is two hours and 33 minutes. The tariff of rates and fares "are identical with the fares as sessed by Oregon Motor Stages and Pacific Greyhound Lines at common fare points. At other points that will be on a base of 2i cents per passenger mile. The Salem terminal of the lines will be the Continental Trailways station at 520 North High street. Arrangements have ..been made to use Oregon Motor Stages stations at Rickreall and Dallas. The order permits the lines to operate as common carrier of passengers and their baggage, and express, mail and newspa pers. Ratzlaff was able to show at the hearing that his service will be more convenient than any other now existing between Sa lem and Newport. The order shows that on a day's trip from Newport to Sa lem the passenger would have five hours and 25 minutes time In Salem. The Pacific Coast Lines will not give local service between Salem and Dallas, since this is taken care of by Oregon Motor Stages and Valley Stages. Tunnel Forces Traffic Detour At 7 o'clock Monday morning the detour of traffic, made nec essary by the digging of a tun net trench across Court street between the new State Office building and the State House, will be made effective. Signs to give motorists clrar directions will be posted at that time. City Engineer J. H. Davis aid today the detour will be necessary for about 60 days. Southbound traffic on High way B9E will turn west from Capitol Into Marion instead of going on to Court. On Marion it will go clear through to Com mercial, and then south on Com mercial to the highway. Northbound traffic will use Court as usual as far as Sum mer street west, between the Sunken Gardens and the state library. Then it will move north to Chemeketa, on Che meketa east to Capitol and back Into the highway flow. Pedestrian traffic on the north side of Court between Summer and Capitol will be closed, but will be open at all times as usual on the south side. In the detour arrangement there will bt no streets. one-way The detour plan does not apply to through trurk traffic This will, as usual, move from Capitol to South 12h. and tn the highway it the 12th street junction. 61st Year, No. 102 Liquor Sales in Oregon Continue To Diminish By JAMES 1). OLSON Liquor sales by the Oregon Liquor Control commission con tinue to decrease according to a commission report of March 31. During the period from July net sales by the commission were $30,698,449.19 as compar ed with $31,996,244.78 or a drop in receipts of $1,297,795.59 during the same period in 1947 and 1948. Fewer liquor permits are be ing purchased, the report show ing that during the last eight months 292,092 permits were issued as against 306.040 during the same period a year ago. Although the commission re duced its operating expenses by $312,636.08, total revenues in all divisions were in the red to the tune of $1,596,221.02. Inventory Reduced The huge inventory that was built up by previous commis sions has been materially re duced by a reduction in pur chases. On July 1, 1948 the in ventory of liquor on hand was valued on the books at $13, 520,608. On March 31, 1949 this inventory had been reduced to $7,418,077. Purchases of liquor stocks by the commission during the eight months ending March 31 totaled $16,995,931 as compared to pur chases totaling $22,503,799 made during the same eight months' period a year ago. License Division Gains The license division and the privilege tax department both showed profits. In the license di vision the receipts of $336,441 were $66,030 in excess of re ceipts for that division in the previous period. In addition ex penses of this division were re duced by $58,914. The total earnings of the commission during the quarter ending March 31, 1949 is shown in the report at $1,937,033.24 or $660,114 less . than earnings dur ing the previous quarter. (Concluded on Page 5, Column 5) Ease Credit on Home Repair Washington, April 29 UP) The federal housing administra tion today eliminated the re quirement that persons borrow ing for home repair and mod ernization put up 10 percent of the Job costs in cash. This easing of credit came on top of four similar moves by the federal reserve board in less than two months. The latest of those four came only last night, making avail able next week and extra $1, 200.000,000 for loans by the 7000 banks of the federal re serve system. . The rules changes Indicated a swing in government policies to combat deflation instead of recently menacing Inflation. The 10 percent "cash down payment" on modernization and repair loans obtained from pri vate lenders under FHA guar antee had been in effect since April 20 last year. FHA Commissioner Franklin D. Richards, said the elimination of the down payment require ment is effective immediately. Financial experts said the re laxation of bank loans is enough to give the lagging economy a powerful "shot in the arm" provided banks and borrowers want to take risks. ECA Asked to Change Rules To Aid West Coast Lumber Washington, April 29 UP Expectation that the economic co operation administration will change Its regulations on lumber purchases by European countries using United States funds was expressed today by a northwest member of congress. The member, who declined the us of his name, said he be lieved ECA would announce ' mar be today a charge that will assure American firms get ting more of the European lum ber business. In the meantime two more northwest house members pro tested to Paul G. Hoffman, head of ECA, that Canadians were getting more than their share of the lumber business from Eu rope which Is made possible by use of foreign aid U.S. dollars. Rep. Mack (R-Wash) protest ed to Hoffman yesterday that now Canada is getting share of the European lumber business. Rep. Tollefson (R-Wash) and Rep. Nnrblad (R-Ore) sent simi lar protests today. Nnrblad aked that Hoffman review the situation thoroughly j saying that the unfair allocation Capital tntarod tu twoiMl cUm BfttUr At Stlam. Ortiot. House Defeats Simple Repeal T-H Labor Law Washington, April 29 Pi The house refused emphatically to day simply to repeal the Taft Hartley law and go back to the original Wagner labor relations act. The proposal was made by Rep. Marcantonio (AL, N.Y.), but was voted down. The roll call count against it was 275 to 37. The house got around to its first votes after four days of de-1 bate on a new labor law. Still ahead was the big test whether a substitute offered by Rep. Wood (D., Ga.) would be taken instead of the administra tion's bill. Truman Angers Many Off the floor, there was con tinued rumbling over President Trumans' broad hint that demo crats who do not support the administration on this issue need not look for any political plums. One house leader said private ly that the president "lost votes" for the administration's bill by tying it in with political patron age. But he still predicted the administration's measure would be passed. Marcantonio's move put three principal choices before the house: (1) The administration bill to repeal the Taft-Hartley act and reinstate the Wagner act with several revisions; (2) a sub stitute offered by Rep. Wood (D., Ga.) which would keep a large part qf the Taft-Hartley law, and (3) Marcantonio's bill. Wood Bill Amendments The parliamentary situation shaped up so that votes on am endments to the Wood bill were first in order, to be followed by a vote on Marcantonio's propos al. Rejection of Marcantonio's plan would bring in order a vote on substituting Wood's bill for the administration measure, sponsored by Rep. Lesinski (D., Mich.). In the first voting test the house approved' a republican sponsored amendment to the Wood bill. The vote, taken without roll-call, was 202 to 158 with about 40 southern democrats joining an almost solid republi can front to make the change. The amendment, by Rep. Ford (R., Mich.) would enable a man on strike to vote in a plant elec tion up to six months after he had been replaced in his job, in stead of three months as in the Wood bill. The Taft-Hartley act forbids replaced strikers from voting at all. Old Road Vacation On North Santiam Hearing by the county court Friday on the proposal to va cate parts of the old North San tiam highway between Gates and Niagara brought out quite a scattering of residents who it developed had a misunderstand ing about the vacation and found it would not affect them, especially back of Niagara where a piece of road Is left to serva the families interested. The vacation will be allowed with some adjustments, notably a 24-months easement granted to Ferris Lumber company to use the road between Bad Banks creek east to the junction for hauling logs. To vacate the road completely now would put their operation out of business, it was shown. of the major part of the Euro pean lumber business to Cana da was forcing Pacific north west lumber mills to close. Tollefson told the administra tion that prior to the Marshal plan 72.8 percent of the lumber shipped to ECA countries came from the United States and only 27.1 percent from Canada. Now he said the picture has changed completely. He said that of $1,600,000 worth of lumber to be Import erf kv franr in the VAST tlart- lion'S1;,,- .i,.iv Panaris will furnish tl. 000.000 and $600,000 worth will be from the United States. He called this 1 "gross dis crimination" against American lumber firms." Tollefon urged lhal the ECA art at once to remedy the intuition. 1 II Salem, Oregon, Friday, April Zt ' " X.littV ,f ft yfawiaswasBaaaajaaaaaai w f ? if? v , K "J-iW ? S H"f ? () Oli Oregon Youth Legislators Register Young men and women -of Oregon, selected by their own groups, register at the capitol for a two day session offering experience in legislative pro cedure. James Cooke, Salem high school boy, is serving as . governor. Boys State Government Takes Over at Capitol James Cooke, Hi-Y governor-elect of the state of Oregon spoke to some 150 students participating in the annual youth and government legislature at a joint prior to the opening of the legislature. Governor Douglas McKay welcomed the students with a short May Festivities At Willamette Willamette university's May week-end program, to be cli maxed by coronation ceremonies incident to the crowning of Queen "Edie" got under way on the campus shortly before noon Friday with the inter-sorority sing in Waller hall. In between the two events the program will be packed with a variety of ac tivities, including the stage pro duction, yOur Hearts Were Young and Gay," a Waller hall performance, Friday night. Two hundred and fifty pounds of pit barbecued meat were served on Sweetland field fol lowing the inter-sorority sing while the freshman-sophomore competition included a greased pole climb and tug-of-war con test across the mill stream. The schedule for Saturday in cludes the YMCA breakfast, an inter-fraternity sing in Waller hall at 11 a.m., coronation cere monies and May pole dances in front of Eaton hall (weather per mitting) at 1:30; baseball game between Willamette and Port land at 3 p.m. on the Bush pas ture diamond. Queen Edie and her court will attend services at the First Methodist church at 11 o'clock Sunday morning. Wallgren Still Alter Same Post Washington, April 2B lP Mon C. Wallgren conferred with President Truman today but said afterwards he had "no news" on his tabled nomiantion to be chairman of the national secur ity resources board. The nomination was tabled re cently by the senate armed serv ices committee. That action pre vents its submission to the sen at for a vote. "It does seem like the com mute would let the senate vote on it," Wallgren told White House reporters. He said that the nomination was not the subject of his call upon President Truman. Asked If he was being con sidered for some other Job, theja former governor of Washing ton state replied; "I doubt if I would want to be considered for any other Job." He said he did not know of any move to get another vote by the committee looking tn sub mission of the nomination to the senate. THE WEATHER Released bv United States Weather Bureau) Forecast for Salem and Vicin ity: Considerable cloudiness with scattered showers tonight and Saturday. Little change in tem perature. Lowest temperature expected tonight, 44 degree; highest Saturday, as. Condi tions will be mostly favorable for farm work, Saturday. Maximum yesterday 61. Minimum today 4-V Mean temperature yesterday 54 which was 1 above normal. Total 24-hour precipitation to 11:30 a m. today .12 of an Inch. Total precipitation for the month. .Aft of an inch which Is 1 11 Inches hflow normal. Willamette river height st Sslem Friday morn ing, I feet. JO XISJA)Un JULGUL 29, 1949 session of the house and senate talk which was followed by the main address by Governor-elect Cooke. State Senator Dean Walker, of Independence, com mented on parliamentary pro cedure prior to the separate meetings of both the senate and house of representatives. Cooke's address pointed out the need for youth to recognize the problems of the state. His speech closed with the chal lenge "build at home, build with youth, and build for the future. Preceding the joint session the house and senate held short meetings to enable them to or ganize before settling down to affairs of the state. Thursday evening the youths attended an advisory board committee meet ing with Dr. U. G. Duback, chair man of the state-wide youth and government, and professor of po litical science at Lewis and Clark college, presiding. Senator Howard Belton, Can by, explained various procedures at the meeting which was pre ceded by a dinner The dinner and meeting were held at Nohl gren's cafe. Present were James Cooke, Hi-Y governor of Oregon; Rod French, president of tne senate, La Grande; Dan Boyd speaker of tne hous?, Port land; Carol Winslow, clerk of the senate, West L;nn; Barton Adams, clerk of the house, Kla math Falls; Bill Brady, haplain of the senate, Roseburg; Phil Ringle, chaplain of the house, Salem. Commiilees appointed for the various bills at the meeting last night are agriculture, education, building and institutions, elec tions, fish and wild lite, labor. medicine, resolutions, revision of laws and roads and highways. Salem high school delegates participating in the sessions are James Cooke, Hi-Y governor; Richard Wyatt, representative; Tom Angle, senator: Rollin Cocking, senator; Tom Paulus, representative; Gordon Sloan, representative and news report er for the house of representa tives. The legislature sessions are scheduled to continue until Sat urday at 4 o'clock. Oregon Postmaster Appointees Listed Washington, Apr. 20 fli.B President Truman's nominations of 27 Oregon postmasters was In senate committee today. Some nomin a 1 1 o n i were holdovers from last year when republicans refused to confirm them. The list included: Fern Miles, Rcotts Mills; John .1. Clark, St. Benedict, (Mt. An gel); Leonard A. Ficker, Mt Angel; Harriet A. Fleischhauer, Aurora: Rose Mable Haskell. Gates and E. Cleone Blaisdell, Valsetz. Among the larger cities were Leon L. McFarlane, Ore gon City; Ethan L. Newman, Eu gene and Melvin J. Tufford. Newberg. The list was referred to the senate civil service and post office committee. Crew Members llafa Nanalmo. B.C.. April M M - All seven crew members of the tug Strath narrowly scaped drowning yesterday when their vessel broke up on rocks in howling gale near here. The wreck scene was near Texada Island, 20 miles north of Nanai- 4J'lJk II (20 Pages) Price 5c $54,200 Listed For Hospitals With new larger gift sub scription announced today, the total now subscribed to the Sa lem Hospital Development Pro gram is $54,200. This amount is in 23 sub scriptions averaging $2358.52 each. A comment by Ford E Watkins, general chairman of the program, was that "the average size of the subscriptions is ex cellent. They will be coming in taster from now on. ' Additional subscriptions an nounced were: Mr. and Mrs. Douglas Mc Kay, $7500; Mr. and Mrs Oscar D. Olson, $1000; a friend $6000; A. A. Krueger, $500; Capital City Transfer, $800; Mr. and Mrs. Gene Vandeneynde, $500; the Heltzel family, $800; Orval's Used Cars, $1000; Jud son's Heating and Plumbing, $1500; Salem Title company. $1500. Eola Acres added $400 to the $600 previously reported and took the flower room on the maternity floor in the new hos pital building. The Olsons selected the men's lounge on the first floor, and Orval's Used Cars took the ad mitting room on the first floor. No other selections of rooms in this week's added subscrip tions have been made at the pre sent time. The Heltzel family selected for its subscription the medical sta tion in the obstetrical depart ment at Salem Memorial hospi tal, Alsea School House Destroyed by Fire Corvallis. April 20 MV-Fire of undetermined origin last night completely destroyed the combined high school and grade school building at Alsea. Unofficially the loss was es timated at between $75,000 and $100,000. One hundred and eighty stu dents were left without school facilities but the district board planned to meet today to see what could be done about re suming classes. The fire had a big slart be fore it was discovered. Limited fire fighting equipment at Al sea broke down and by the time and engine arrived from Phi lomath, about 20 miles away, the entire structure was in flames. Atlantic Pact Creating Confidence Wave in Europe Washington, April 29 UP) W. today the North Atlantic pact confidence" In western Europe. Harriman, special representative in Europe for the economic .u-..r...,.,. .ummu ,.Vn, irnuurn r,rr mt- .rnfl. .urP. Kn rnnuunn L-mnmuire. ni urgpaT ratification of the treaty and ap proval of an arms-aid program for the pact nations. The administration Is prepar ing a program which It says will call for $1,130,000,000 of arms aid In the first year. That figure already has come under fire from Senator Wat- kins (R-Utah.) He told report ers the true cost will be several Imes that amount and that the administration Is "trying to fool10' ,h Nor,n Atlantic treaty the people. Watkins based his contention on testimony the enmmlttet got from Defense Secretary Johnson yesterday that surplus military W'?" "v" to western European nations un der the program. Harriman told the eommittee that nothing should interfere with Ihe economic recovery of Europe. "But alongside of it." he said, "I earnestly believe we tntuld. kilp cur auocittM In Hangchow Not Shanghai Main Red Objective Communists Seize Wuhing, Key Point West of Nanking Shanghai, April 2 W Com munist troops today seized Wu hing, a key point 40 miles north of Hangchow, the main prop for Shanghia. Wuhing Is 36 miles west of Kashing, control point on the Shanghai-Hangchow rail road. Kashing, 62 miles southwest of Shanghai, was in the path of a Red column driving south from Soochow (Wuhsien), A Nationalist communique said a Red drive on Shanghai appeared to be a move to pro tect the flank of the southbound columns. It asserted the force coming from the west had been checked about 37 miles west of the me tropolis near Kunshan, on the Shanghai - Nanking railway. Trains to Kunshan had quit run ning. Delay Shanghai Drive The Shanghai garrison report ed the captors of Wuhing now were advancing south toward Hangchow. It earlier had report- ea tne communist 23rd army was operating in this region. It appears that the main Red push is aimed now at Hangchow not Shanghai. With the capture of Hangchow. Shanghai would be sealed by land. This could mean that an at tack on Shanghai will be de layed. Vice Admiral Oscar C. Badger, commander of the western Pa cific fleet, said U. S. navy forc es would be retained at Woo sung as long as needed "in the safe evacuation of American na tionals from Shanghai." Woo sung is some 10 miles from Shanghai where the Whangpoo flows into the Yangtze, Transportation Ready The announcement Issued through the U. S. consulate said: "Ample provisions have been provided transportation to leave Shanghai if commercial trans portation is not available." President Truman said yester day in Washington such provi sions were made. Landing facilities used by the navy on the Whangpoo at Shanghai have been closed. Bad ger's announcement was taken here to mean the navy will keep units near the Yangtze mouth with perhaps one vessel at Woo sung. The Shanghai American con sulate moved into the Glen Line building on the waterfront. Air lines said evacuation had slackened. Some flights report ed a few vacancies and cancel lations. Osa Johnson Gets Divorce from Getts Chicago, April 20 IIP) Mrs. Osa Johnson Getts, who with her husband, Martin Johnson won fame as an explorer and big game hunter, was granted an uncontested divorce yester day from Clark H. Getts, 55 New York City booking agent Mrs. Getts, 55 year-old au thor, charged her second hus band deserted her November 25, 1046, after a disagreement over management of her busi ness. They were married secretly on April 29, 1939, she said. Mrs. Getts was granted the use of her former name. Oso Johnson, by Judge Joseph A Sabath. Portland Flection June 7 Portland, April 20 irMult- nomah county voters will go to the polls June 7 tn ballot on $4,- 520.000 In tax levies. Averell Harriman told senators is ereating "a growing wave of their own efforts to build up meant to defend themselves." The Europeans cannot devel op their military defenses alone, he added. He said they must have military equipment and raw materials from the United States. "In western Europe today," Harriman said, "there Is a grow inK w,v nf confidence, confl- arnn msuneo ny ine concept mat iree men win wiana ingpin er in common defense of their liberty and freedom." But, Harriman said, if the United Slates should "turn aside at this moment I doubt whether we can ever again recapture that spirit (nf confidence.)" He said the strength of the United States alone now gives "strength and meaning to the pact. XXX The Europeans have confidence in us have conll-isole command until the two dence that In any war we would! Soviet officers showed up this eventually ba yietoneui," J morning. U.S. and Russian Envoys Meet on Berlin Blockade Written Reply From Moscow on Position Expected New York. April 29 IIP Am bassador Philip C. Jessup met tndav with Russia's Jakob A. Malik, apparently to receive a Soviet answer In American questions shout lifting the Rer un blockade. The Soviet deputy foreign minister asked Jessup by tele phone this morning to come to the Soviet United Nations dele gation building on Upper Park avenue at 4 p.m. (noon PST). Western circles in the UN Im mediately speculated that: 1. Malik has received defi nite information from Moscow to answer Jessup's question about when and under what conditions the Berlin blockade will he lifted. Big 4 Meet May 25 2. Malik will propose to Jes sup that the four-power council of foreign ministers meet about May 25 in Paris for a review of the whole Berlin problem. During a meeting of the steering committee of the UN assembly at Flushing Meadow park this morning. Malik sud denly urged that the assembly set a deadline for "1 p.m., May 18 to complete its work. The adjour n m e n t proposal was made by the Russian Just as the U.S. delegation was an nouncing elsewhere In the UN building that Malik bad asked Jessup to meet him. Adjournment of the assembly on the dale proposed by Malik would give key delegates here a week to get to Paris for a May 25 meeting. (Concluded an Page B, Column T) Berlin Youths Clash in Riot Berlin, April 2ft fPr Several hundred communist and antt communlst German youthi clashed in bfloody street fighting this morning, . ' A number! of Reds were hos pitalized after the battle which was broken up by police. T h fighting took place In the Am erican sector, near the soviet sector border. The communists claimed their opponents tried to break up their pre-May day meeting in the American occupied Borough of Templehof. The communist press charged American mili tary police Inspired the disord ers. American authorities said no allied personnel was Involved. American public safety offi cers said the communist free German youth organization had been given permission to hold a meeting. They said that scores of those attending the meeting came from the Russian sector and this "invasion" created re sentment among the anti-communists. The ruckus stirred fears of further clashes Sunday when communist and anti-communist trade union federations plan tn stage rival May day celebrations. The Christian democratic un ion newspaper Der Tag said to day the communists have arrest ed r German priest and several Roman Catholic students at Warnemuende in soviet - occu pied Mecklenburg. The report was confirmed by a spokesman for the diocese of Berlin. Berlin Barge Battle Over Berlin, April 29 W The Rus sians apologized today and th brief "Battle of the Barges" ap peared to be over. Soviet headquarter not if if d , (hp Rrj , jsh , R.iar. Soldiers who attempted yesterday to halt traffic in British sector canal locks had acted without author ity. The Soviet action opened the way for a conference of British and Soviet transportation chiefs on the question of barge traffic tomorrow. Two Russian officers who had directed the attempt to halt the barges yesterday and Wed nesday returned today and an nounced they had orders "not to cause any trouble" and not to in terfere with Brit ish canal traf fic. Rarge traffic was normal this afternoon and the atmos phere much more friendly. Five Russians carrying side arms, who had announced their intention to remain at the canal locks to atop barges lacking So viet registry, pulled out during the night, leaving the British in