THE WEATHER HERE BAIV TONIGHT snd most of Sunday. Cooler Sunday, Lowest temperature tonight, 50; highest Sunday, 60, M a I m u m ttttrriar, minimum ie (lav, 41, TnUI it-bnur prrrfpiUtian: trri fr mnnth: l.?!i nnrmai, .!). Ken prr ttPHatlon, !.'!!! mitro, ,89, Rivtr belch t, 3. 'Heport by U. 8. ' either apital T TKT1 "n -rt-o-r Th it HO M E EDITION V 61st Year, No. 222 Fntrd u sestj !ut Salem, Oregon, SaturtJo0,,nber 17, 1949 Pries 5c Fear Coal Strike Already Begun 3 Excursion Steamer Moronic Burns with 226 Death Toll . . . Taxpayers of Salem to Pay -More This Year Assessed Valuations $6 Million Above Last Year Rate Lower By DON UPJOHN ' Salem property owners are going to have to loosen their purse strings when taxpaying time comes around this fall. Announcement by County As sessor R. Tad Shelton shows that in the Salem city limits the assessed valuation is up $5,993, 512 or an increase this year to $28,267,738 from $22,274,226 last year. And the composite levy in the city limits will be "tiown but 1,4 mills dropping from 73.5 mills last year to 72,1 mills this year. The total taxes covering Sa lem and its political subdivis ions are not yet extended but the signals shown give warning that they are going to be higher due to increased budgets. City Levy 19.9 Mills The city levy itself is down from 20.5 mills last year to 19. S mills this year and the county levy also is down from 17 mills last year to 14.2 mills this year but the school levy is up 2 mills from 36 mills last year to 38 mills this year. Assessor Shelton says that the heavy increase in assessed valu ation over last year, around 25 per cent, reflects a large in crease in both real and personal property increases and also the fact that there have been large annexations to the Salem area the past few years accounts for another sizeable chunk of the increase. Eugene's Valuation It may be interesting to note that figures received in the of fice of Assessor Shelton from the Lane county assessor show that the Eugene assessed valua tion for the current year is $27,- 173,164, a little over a million dollars less than the Salem val uation while tiie Eugene city levy is 72 mills, or ,1 of a mill less than that of Salem. Other Lane county towns show Flor ence with a levy of 103.4 mills; Cottage Grove, 75.3; Coburg, 80 and Springfield 58,3 mills. The other two of the larger towns in Marion county, Silver- ton and Woodburn, both show increases in valuation while one is up in its levy and the other down, (Concluded on Page 5, Column 8) Seek lo Finance Sanfian? Dike Immediate completion of main dike for flood control of the North Santiam was urged by leaders of the movement at meeting in Jefferson Friday af ternoon. The project is being financed by farmers of the af fected district. Dike financing was the princi pal topic of discussion with the committee deciding to place two additional bulldozers to the three already at work on the eight foot channel through the island The equipment was needed if a major portion of the work is to be completed before the rainy season. The barrier calls for con- " struction strong enough to hold back water backed up three niles into Linn county by the completed dike. It must also carry the river fast enough to prevent washing out around 3, 000 acres during flood stage when the North Santiam reach es 24 feet here. The main dike will be 20 feet high and 130 feet through at the base. Work done on the dike so far will be inspected next week by engineers from Salem, Port land and Albany. Vafer Again Flows In Old Mill Race Eugene, Sept. 17 W) Water Is again flowing in this city's his toric old millrace. In a special ceremony witnessed by a crowd of over 1000 people. Mayor V. Edwin Johnson turned valves that allowed water to flow into the channel for the first time. Since 1845. The canal was broken by Wil- ments, including superintendents lamette river flood waters early of state institutions are directly In 1945, and the return of water chareed with the proper fune to the millrace is the result of tinning of their organizationg. a spirited campaisn among the; "This responsibility requires citizens of the community for 'that these officers have discre - donations towards the recon- tion within legal limits in the trucuon costs. 400r00D Out Chances of Averting Nation-wide Steel Walk-out Brighten Washington, Sept. 17 Mt The danger of a nationwide e o a 1 strike next week mounted to- dav but hopes brightened for averting a less-imminent steel strike. The 400,090 coal miners were expected to stay away from the pits next Monday because their welfare fund's trustees, headed by Mine Union President John L. Lewis, voted to suspend pen sion and other benefit payments. This action was taken at a stormy, five-hour meeting of the fund's three trustees yesterday. The reason was that the fund was fast running out of money. Many coal operators, because their contracts with Lewis have lapsed, have refused to continue paying their 20-cents-a-ton roy alty to the fund. Spontaneous Stoppage Lewis, in announcing the cut off of welfare payments, re frained from any mention of a strike. But 8,000 miners in Wyoming and Utah already were out of the pits in what union officials called a spontaneous stoppage. Union officials in the west said they had nothing to do with the walkout at all, that the men were protesting the lack of a contract. Operator spokesmen said men heading back into the pits were stopped by union of ficers. That happened just be fore Lewis announced the end of welfare payments. The trustees' meeting was fol lowed by the sudden resignation of the operators' trustee, Ezra Van Horn, He wrote coal own ers he wanted to step out right away. In fact, he warned that if they don't name a successor promptly he will go to court to force them to do so. Concluded on Page S, Column 8) Palffy Admits udapest Plot Budapest, Hungary, Sept, 17 IIP) Lieut. Gen. Gyorgy Palffy, former chief inspector of the Hungarian army, confessed in court today that he and his co- defendants had plotted to assas sinate Hungary's top govern ment officials last May. He said the planned putsch failed because the government arrested Laszlo Rajk, former communist minister of foreign affairs and minister of the in terior, 4 Rajk admitted his guilt on the stand yesterday, Palffy said the scheme had Yugoslav help, and after the planned assassinations the plot ters would have seized the coun try. The general, iumber two de fendant in the treason trial here, took the stand and, like Rajk then embarked on a long public confession. (Six others are scheduled to follow Palffy to the witness box It appeared certain that they also would follow the establish ed procedure of confession.) Dismissal of Miller Upheld by State Board By JAMES D. OLSON Dismissal of Dr. Horace G. Miller as psychiatrist at the Oregon State hospital by Dr. Charles E. Bates, superintendent, was upheld Saturday by the state civil service commission. In a letter to Dr. Miller, J. N. Chambers, of Salem, chairman of the commission, said no evidence was submitted at the recent hearing indicating that "your dismissal was made for political, racial or religious reasons nor was your professional competen cy as phychiatrist questioned." The commission stated that in recognition of the years of past experience of Dr. Miller with the state, his request for place ment of his name on a state wide re-employment list, was.in reviewing the information granted. However, it was point- ed out that Dr. Miller's re - em - olovment from this list would be subject to the-"judgment of,imical to the best interests of any appointing authority to iwhnm vour name and other eli- gjblos might be certified." The commisison in its findings that heads nf state fienai-t. selection and removal of employ- SPA-1 kl ' 1 j;;f- Id rr-h' McKay Urges Conservation Barring any serious depres sion, the wise handling ot Ore gon's natural resources will en able the state to continue her absorption of thousands of new residents without experiencing economic disruption. Governor Douglas McKay said Saturday in addressing the crowd at the soil conservation field day at the Bartcls farm. Gov. McKay Insisted that there was no such thing as a de pression mirrored in his crystal ball. In fact, he said, the state s payrolls for 1948 and thus far in 1849 are the greatest in state history and the Oregon labor market of 668,000 as of last month, also was a record-breaker. McKay said that the latest figures now place Oregon's pop ulation increase at 50.4 per cent, which, in numbers, means 543,000 new residents most from out-of-state "but several tens of thousands brought here stork-back," The continued Influx, the1 governor said, calls for careful1 planning to avoid a labor sur plus. Industrial expansion must keep ahead of population expan sion, he added, and any future blueprint must take into consid eration the location of new in dustries so as to avoid overcon- cenfralion with its resulting stream pollution and smog. "Development of hydro-electric energy must spearhead Ore gon's growth," the governor said, "But it is important that the state's natural resources must be governed by the long- range outlook, rather than by the expediency of the moment es unde their supervision, "To properly discharge these responsibilities and maintain or ganization morale" the commis sion continued "there should be cooperation between the ap- ! pointing authorities and their staffs. It appears to the commission submitted at the hearing that 1 personality difference between ' yourself and Dr. Bates were in- the administration of the hospi tal, in view of the failure of Dr. Bates and yourself to resolve -such differences,' said. the decision "It is our opinion that the ap pointing authority acted within his legal and administrative rights in the action which he has taken. Based upon the above 1 observation the dismissal action is sustained," the commission ( concluded Bartela Family Field Day Hosts Leonard Burns, left, la charge of Stayton staff of V. S. soil conservation service, discusses with Irvin Bartels family the range of soil conserva tion work set to be carried out Saturday during demonstrations of good land use practices. Left to right, Burns, Henry, Ron ald, Judy, and Irvis and Mrs, Frankie Bartels. Rejuvenation of Land Aim of Conservationists By CLAUDE When Daniel Waldo, first settler in the hills east of Salem now known as Waldo Hills, plowed December, 1843, he started a soil ment company tractors and all trying to put back together again $100 Boost in Duty Free Goods Washington, Sept, IT ) A $100 boost in the amount of du ty free goods a U.S. tourist may bring back from abroad has been approved by the senate. The Increase still t subject to action by a senate-house confer ence committee. A tax bill pass ed yesterday by th senate was sent to the conferenca group. Chairman George (D-Ga.) of the senate finance committee said the bill would correct a number of hardships in the present fed eral tax laws. The $200 exemption would re place the $100 exemption ap proved by congress In 1887, It would be applicable, as at pres ent, to a resident once every 30 days, provided he remained out of the country at least 48 hours. The exemption would apply on ly to merchandise for personal or household use, or as souvenirs or curios. It would be In addition to the law passed by the 80th congress permitting $300 In duty-free goods for U.S. residents, provid ed they remain out of the coun try 12 continuous days. This ex emption may be used only once every six months. Burglar Killed in Portland Tavern Portland, Or., Sept, IT mm Athanasiot A. Montis, 21-year- old ton ef t Portland tavern owner, today killed a burglar who attempted to break into his father's beer parlor. Ellta Ruben Garrison, ST, an ex-convict, died at Providence hospital two hours after Monstis shot him with a ,32 automatic. Monstis said the tavern had been burglarized twice, and that he had been sleeping In the rear Garrison served several peni tentiary sentence in Virginia and Nebraska and wa convict ed of burglary lit Multnomah county la 1840, t,rrtI- ' -p,.r... TT i I iLJ f j even Portland would feel the , 'tlU,4- - .r.ST7'-,H-i' S , heavy gusts by late tonight. When Garrison broke Into the f t ,. ,j ; : '-Jls rsr-,-' ' -4'CT, ; I The coastal town of Astorta tavern esriy today with bg , - : ' l';.;,. , ?vm. ' d Just recovered from m of burglary too s itenrtis com- ' ; , I I ' - ' t f srm; The most tevert electrfe- manded him to "hold It " Mon- . ' ' , , f , , i A , s ,..,".-' - ' i i-anifestatten ver to strife stis, believing th Garrison held t t , v f iV'.l I , U i ,S "- Lightning early yastcr- ,,. '"VP,. h,' h'nd' h" h'm '' ' ' ,,; '' V 'VV' !,,., - r 'X. 4 utowcd up th front yard of through the Jung U.l.v,..'!, . i Jr,5i , i SH- .5 'fj.. .1 A.i,! L ..i L.L.i C.?-,p connty -H Agent Date SC - r ' ' y a .vjj 'i STEUS1.0FF his virgin soil to plant wheat in breakdown which all the imple the soil conservation men are in today's big Willamette valley h1 conservation field day on the Irvin Bartels farm near Shaw, Bartels farm join land of the old Waldo place. Contour strips and diversion terraces were needless in th fields of two-foot high native grass as Waldo staked his mile square claim on the hilts where he came to rid himself of the ague which plagued him In Mis souri. "Better to be scalped by the Indians and be done with it than to stay here in Missouri and be shaken to death with the ague" counseled his wife Melin da at the start of the trip across the plains. During the next quarter een-j tury most of the arabie land in Waldo Hills felt the stab of the grain farmers plow. Mrs, Wal do did manage to hold out a small tract of land in its native state for her huckleberry patch which until recently was an un disturbed point of interest near the Bartels house. For some years the hills grew magnificent crops of grain. For ty bushels per acre yield of wheat and 75 bushels per acre of oats were not uncommon. But continual grain cropping brought declining yields, by 1879 the average yield was only 18.4 bushels, 1889 was a better crop year with an average of 22,8 bushels. Fruit growing was introduced in 1851 but to this day the Waldo Hills section is devoted largely to grain with a three-year rota tion of wheat, oats, and a one year fallow the common rou tine. The lipid" day is s concentrat ed dose of conservation and good farming practices which have been advocated in Marion coun ty by the agricultural adjust ment administration (produc tion marketing administration since 1937 and by the soil con servation service since 1947, iCenHudrg on Page H, Coiwmn ?s v ft V I tJ- ' Contraction Start On North Marlon Union High School Structure lit hy tit feat contain ing seyen class rooms, gym, domestic art department and cafeteria in the basement started hy Kuhr & Sons, Portland builders, three miles northwest of Hubbard. Gl. brick will festur classroom sidewail construction. Completion date will b about April IS, leso, Aflantir Part Powers Agree Upon Defenses Washington, Sept, 11 f The North Atlantic pmt council ; today set Bp a ll-natton defense ; committee and Instructed H in draw u riefens iantic at draw bb Immediately aniied plans far the North At-- c t 2800-word communique ; upon wmen me setense com-! : mittee will work was fa-sjed after a one-hour conference or the council of ministers the first meeting of the council. The defense committee will i bt composed of defense minis ters of each of the pact nations. : It will meet onee a year unless I emergencies dictate more fre- : quent meetings. The first meeting will be held here Oct. 5. Military Committee The council directed the de fense committee to establish a military committee composed of chiefs of staff of the 12 pact na tions. It also directed that five re gional planning groups be es tablished to lay out a defense plan on a geographic basis. The planning bodies wiU be divided as follows: North European Denmark, Norway, and the United King dom. The V. S. agreed to parti cipate in this groups defense planning "as appropriate." melsde4 en Page 5, Column Cashmere Fruit Plant Burned Cashmere, Wash., Sepf, It Wi A fast-spreading fire destroy ed the huge plant of the Cash mere fruit growers union here today, with loss estimated at nearly $1,000,000 in buildings, equipment and fruit. The blaze flared suddenly from an unexplained cause at 4 a.m. just as a watchman was making his rounds. It started in the middle of the warehouse and spread both ways down the block-long structure, fed by dry material for fruit boxes and oil ed packing paper. By 10 a.m. the fire was dying, but had destroyed all the plant including a new cold storage unit built st the west end three years ago. Mrs, Jean Barnes, secretary treasurer, estimated loss to buildings and equipment at $750,000. Also lost were 75,000 boxes of d'Anjou pears and 35 carloads of Bartlett pears for canneries, with total value plac ed at about $200,000, Insurance covered both plant and fruit, which was owned by individual growers and stored in the plant awaiting delivery. The fruit was being handled for growers by Gwin, White & Prince, Inc., distributing com pany, Noel Bakke, the com pany's sales manager at Seattle, said the plant toss woufd be a serious handicap to handling of the apple crop, Mrs. Barnes said the grow ers union, organized in ItKtT, was one of the oldest coopera tives in Washington state, Richard ft'tx In Hospital Holly wand, Sept. 1? Wf Richard Dix, 54, former film star, remains "in grave condi tion. his physician siri loriay. Dix suffered a heart attack Au gust 10 and probably will be hospitalized several weeks. ! ,IT m ' lWm2KEAl . - si'- i - If i-Ax - allace P. Carson Carson Named Oregon Siaie Bar President Gearhart, Sept 17 fff Wal lace P. Carson, Salem, was elect ed president of tiie Oregon State Bar today. Wilbur P. Eiddtesbarger, Eu-i gene, was elected viee-president Lee Karr, Portland, secretary; and Roy F. Shields, Portland, treasurer, A circuit Judge told the Ore gon State Bar today that Judges are making ton many mistakes, Circuit Judge James W. Craw ford of Portland said he was1 shocked" at the number of low er court trials which, because of j error, have been reversed by the state supreme court. Multnomah county, in which Crawford himself serves, ts justi as bad es the other counties, ha said. He said h thought Judges in that county handle too many cases; "Accuracy flies out the! window when ysst try ts go too fast." Crawford proposed a school for trial judges, where they; could study errors in past eases I and means to prevent them. Search On for Azores Plane New York, Sept, 17 ( Coast guard, air force and Canadian aircraft were thrown Into a widespread hunt today for a small, single-engine plane long overdue on a projected S,000- mtie non-stop flight from the! Azores to New York City, The little plane, a Beecheraft Bonanza, rrporfedly was loaded with fuel for 29 hours of flying when tt tnok off with two Italian aviators from the Asores yester day. Under normal conditions, its gss supply would have been exhausted st JO a.m. (EST) to day. The search planes started from American and Canadian bases shortiy after dawn, about 10 hours after the plane last made radio contact with shore. At that time, the fliers, John M. Bronrteilo and Camillso Bar! ofiifn, gave their position as abtmt 4i( mites east of New Vork City and 18tt miics due south of the naval base at Ar gent i, Nflrf. The missing aircraft's radio apparentfy went dead after that report. Their flight was to help win American financial support fori a proposed "Boys Town" In : Italy. Middle-night Flash Fire af Toronto Pier i Toronio, Sept. ft Mf A msd dle - of the night Mr roared ; til rough the Great Lakes crisis? Koranic at her pier b4 fcy notm ! today, police said. 198 bodies ;had been removed front th w reekage, I In addition they said three persons died in hospitals n( four were recovered from th a ster, making a known death i toll up to at least 1ST, Torsnts hospitals and first aid station at two hotel counted 188 In jured, 189 ef them seriously, Ir,- vestigrtme otttewte t the sees of the Great Lakes worst disas ter In a century said titer thought th number of dead might mount high a S2S, Hast PasseBfrrs 4jif?p The fir, which raced through the JS-year-oId vessel, broke out while most of those aboard were sleeping. Operating offi cials put the number aboard at 512 passengers and 1T8 crew members. The i,80S-ton Jforonig tied up at her pier to downtown Toronto last night with holiday tapper bound from Detroit and Cleveland tor th Thousand islands. It was to b her tost eruis of the season. Hundreds of passenger es caped: In a frantic, cranung, pushing mob, after they were awakened by alarms and cries of "fire. Some leaped to th pier, some ts other vessels, some into the water. Other wei trapped and their uneeantetl bodies were afitl believed to b huddled In th submerged C- deck. The death toll rosa at tire men kept bringing vp th char red, broken bodies st th irfa tint, SI2 Pamngersv 17t Crew The operating department of Canada Steamship Lines, own ers of the ruined vessel, said the best estimate they could make was that there were approxi mately ill passenger end 1TB crew members. All except about 10 of th passengers were Ed to b American. The veaseE arrived here last night from Cleveland and Detroit for her last cruise of the season to Preseett and the Thousand Island, - OnHudM eg Page Casms f) Belgian Ship On Cuban Rocks Miami, Fla Sept, VI m Rescue craft were rushing to day to aid the 2,$0B-ton Belgian freighter Brabant aground on rocks off the southern coast ot Cuba. An SOS signal was picked tip from the vesset shortly after t a.m. (EST. Ship at sea wers alerted and the coast guard in Miami stood by ready to send help if needed. Coast guard air sea rescue headquarters said the Brabant master reported the vessel was "taking on a little water but was to no immediate ctanger." The commercial tug "rescue was dispatched from Kingston, Jamaica, The vessel wss reported to have been en route from gulf coast ports to Antwerp, No estimate of the number of men aboard was cvailable. Another Sform Headed for Oregon Portland, Scot, ST Anstlt. er storm was bearing Inland on Orrg,m today, and th weather : Bureau hoisted sform warnings ; ssoii the coast, i The weatherman forecast .s'i up to 4S mile an hour a(no the Oregon coast, nd said Hoecitcr. and burned th porch of Harold Rathburn' home. Luckily, the wood were wet that no forest fire wer started by th bolt.