Capital A Jovial 62nd Year. No. 32 SSfjrZ&SS Salem, Oregon. Tuesday. February 7. 1950 (18 Pages) Price 5c HOME EDITION 62nd Year, No. 32 SSS?J'Sdo2 Salem, Oregon, Tuesday, February 7, 1950 (18 Pages) Flood Threat $350,000 for Blame British Red Tape for Atomic Leaks . v Over Valley but Detroit Road THE WEATHER HERE MOSTLY CLOUDY TONIGHT, Wednesday, with occasion al showers. Little change In tem perature. Low tonight, 35; high, Wednesday, 45. Msilmum yeiterday, 40; minimum lo diy, 36. ToUl 54-hour precipitation: .4ft t for month; 1.62 1 normal, 1.31. Seiaon pre cipitation. SJ1.31; normal 53.99, River heljht, 8.X feet. (Report by U.S. Weather Bureau.) 118 BliBiililS9 No Alarm Felt Snowpack Over Past Five Weeks Has Most Water in Years By MARIAN LOWRY FISCHER . .Threat of a serious flood hangs over the Willamette valley re gions, but there is little cause for alarm during the next day or two, states the weather bu reau. A continued gradual run off of snow will save the situa tion. The potential is there, how ever, due to the record snow pack piled up during the past five weeks, and should torren tial rains and abnormal tempera tures occur, the valley will face a severe winter flood, a survey of conditions reveals. The Santiam at Jefferson is due to reach flood stage of 13 feet Wednesday. Flood stage there is a common occurrence during any extended rain or quick run-off of snow waters, however. River Now 8.2 Feet At Salem Tuesday morning the Willamette river was nearly 4 feet higher than for the Mon day reading, measuring 8.2 feet here this morning. The Willam ette hit above flood stage of 20 feet here January 24 during the three-day respite from the snow and ice, measuring 20.7 feet at that time. (Concluded on Page 5, Column 6) $11,171,981 in Building Costs Construction and improve ment of state institutions during the past year cost $11,171, 981.68, according to a report giv en the board of control Tuesday by Roy Mills, secretary. Of this sum, $7,568,001.18 came from the state building fund, authorized by a vote of the people, and the remainder was paid out from legislative appropriations. The largest expenditure of $4,428,223.19 was for buildings at the state hospital in Salem. Other expenditures included $1, 448,152.73 at the Eastern Ore gon state hospital; $1,692, 887 29 at the penitentiary; $300, 000 at the state school for the blind; $1,078,387.29 at Fairview home; $700,022.51 at the Wood burn school for boys; $804,528 at Hillcrest school for girls; $321, 726.73 at the state school of the deaf and $348,053.39 at the East ern Oregon Tuberculosis hos pital. The state building fund now has a balance of $131,000. House Debates Aid to Formosa Washington, Feb. 7 (IP) House debate opens today on a bill to give short-term economic aid to Korea and Formosa. Democratic leaders predicted early approval. The bill is a polished-up ver sion of the Korean economic as sistance measure which went down to a surprise one-vote de feat two weeks a"go. But whereas the defeated measure was limited only to Korea, the new proposal is t wrap-up of economic aid pro posals covering Formosa as well as the postwar republic of South Korea. With both China and Korean aid due to expire February 15, framers of the new bill made no attempt to write into it a policy of continuing assistance in Asia. Instead they put a June 30 dead line on U.S. dollar spending in these c o m m u n s t-threatened areas. In the case of Korea, $60,000, 000 would be authorized for raw material imports and capital im provements under the economic cooperation administration. In cluded in the program would be 10 small coastal vessels. For Formosa, lone remaining stronghold of nationalist China, the bill simply extends ECA au thority to use on the island's economy whatever it can of $103,000,000 of unexpended China aid funds. Oregon Highways Normal All Oregon highways are in good condition, but motorists were advised to carry chains in the mountains, the state high way commission said today. Appropriated New 6 Mile Route Mehama to Mill City OKd by Highway Board Grading of a six-mile stretch of new road west from Mill City at a cost of $350,000 was approv ed by the state highway com mission in Portland late Monday as the first step in the construc tion of a new route between Me hama and Mill City. When the project is completed nine miles of highway on the Marion county side of North San tiam river will have been com pleted at an estimated cost of $900,000. The highway has had the sup port of civic groups in Salem, Marion county, and residents of the Santiam canyon and of sev eral central Oregon communi ties. The state has owned the right of way for many years and the route was surveyed by WPA crews during the depres sion. From Unallotted Sums Present route up the North Santiam crosses from Marion to the Linn county side between Mehama and Mill City. Curves and difficult maintenance con ditions have been protested for years. Digging into unprogrammed funds of around $1,000,000, the highway commission allotted $65,000 for the oiling of 3.5 miles of the Scio-Thomas creek section of the Albany-Lyons sec ondary highway and also ap proved Scio's request for a flashing beacon at Main and Water -streets on the Albany Lyons highway. Referred to the slate engineer was the surfacing of 8.43 miles of the Thomas creek-Lyons sec tion of the Albany-Lyons sec ondary highway on a bid of $118,645 by E. C. Swaggert, Eu gene. Bituminous macadam will be used. The engineer was given power to award the contract. Albany Building Proposal for another secre tary of state building at Albany was discussed with the commis sion deciding to sell to the high est bidder half of a vacated street known as Lafayette street joining the highway overpass in Albany. The property was de sired with access to the highway for such a building, it was re ported by the legal department of the commission. The commis sion ordered the property sold without highway access. (Concluded on Page 5, Column 8) 94,000 Jobless Now in Oregon There are 94,000 jobless per sons in Oregon, largest number on record. The state unemployment com pensation commission said that is 10,000 more than a year ago, and is 1,000 more than the pre vious peak reached in the mid dle of last February. Eugene, Medford, Astoria and Hillsboro had the biggest un employed increases from a year ago. Roseburg, Corvallis, Tilla mook, Pendleton,' Klamath Falls and Bend also had large in creases. Portland reported 26,000 out of work. The commission said that bet ter weather would put a big per centage back on the job. More than half of the jobless work ers are in the lumber and log ging industry, which has been closed down by the weather. $3 Million High School Held Needed For Salem A $3 million high school in school classrooms in needed areas of a city-wide school improvement This program was presented to 25 representative citizens of the community by school authorities seeking to find an acceptable solution to the growing need for$ school facilities in Salem. The trtal cost of such a program has been estimated at $3,730,000 and would cover the schoo. needs for probably the next year and one- half. The problem that had prompt ed this suggested solution was the number of Marion county births which had tripled from the depression years to the peak year of 1947. The problem of finding additional classrooms for the increasing number of chil dren as they come of school age, resulted in the current classroom China Hits at Russia in UN Lake Success, Feb. 7 () Na tionalist China struck back at Russia's diplomatic boycott to day with a new demand that the United Nations find Russia guil ty of playing a big part in the Chinese civil war. Nationalist Chief Delegate T. F. Tsiang made his demand in the year-round little assembly. Meanwhile, Russia walked out of another major council in pro test against Chinese nationalist diplomats keeping their seats in the U.N. The new walkout was in the 18-nation economic and social council at the opening of its winter session. This was the 12th U.N. body affected by the gen eral Soviet strike-boycott. The delegates of Czechoslovakia and Poland strode out with the Rus sian. The Soviet bloc delegates left the room after the council re fused to approve a Russian de mand that the Chinese nation alist delegation be kicked out and replaced by representatives of Mao Tze-Tung's Peiping red regime. The vole was 3 to 10, with 5 abstaining. Only the three Soviet bloc countries voted to oust the nationalists. Britain, France, In dia, Pakistan and Denmark ab stained, i Cohen Bombing Linked to Mafia Los Angeles, Feb. 7 (IP) A po lice inspector today linked the latest Mickey Cohen bombing to the Mafia. "We believe the bombing is the result of an internal struggle between Cohen's mob and the Mafia," said Inspector Jack Don ohoe. "They have fallen out and now they're fighting for power." . The Mafia is a Sicilian secret order, reputedly with interna tional underworld ramifications His statement came as other officers began a roundup of per sons they said are believed hos tile to Cohen. Four were picked up over night: Joe Sica, 38, his brother, Alfred, 25; Salvatore Piscopo, 54, and James R. Inannone, 41. The Sicas and Piscopo were booked on suspicion of assault with intent to commit murder, but Iannone was released after brief questioning. The Sicas were indicted January 19 by federal grand jury on charges that they headed a million dol lar narcotics ring operating throughout California. They have been out on bond. South Salem with elementary of the city formed (he outline program offered Monday night. headache to school authorities. The school board's building program will be presented to a public meeting later n an effort to seek suggestions. Then, after full discussion of the problem, the agreed solution would be presented to the voters, prob ably in May. Frank Bennett, school super intendent, stressed the need for giving plenty of time for full discussion of all aspects of the problem. (Concluded on Psft 6, Column 7) ft 4J K . ii irr i Emergency Board Provides Funds for Lot Purchase Mem bers of board from left to right: Senator Howard Belton, Canby; Speaker of the House Frank Van Dyke, Medford; President of the Senate William Walsh, Coos Bay, chairman of the board; Senator Dean Walker, Independence and Rep. W. W. Chadwick, Salem. Money Made A vailable On Coates By JAMES The state of Oregon is prepared to purchase the Summer street property, originally planned as a site for an apartment houst by Robert Coates of Portland, following unanimous ap proval of $14,250 request by the slate board of control. As quickly as Coates obtains Safeguards lor I Capitol Zone Alderman Tom Armstrong will sponsor a bill now being pre pared for introduction in the city council that would set up an additional guard against type of buildings to be erected in the capitol zone. '" The bill would require approv al by the cityxouncil before" is sue of a permit for any building in that zone. It would apply both to new buildings and alter ations of existing buildings. At present the city building inspector, who is the city engi neer, issues permits if he finds the proposed buildings meet re quirements of the zoning code as applied to the zone in which they are located. The capitol zone permits resi dences and apartment houses, as does Zone II residential, but in addition permits public office buildings. Two other bills amending the zoning code in or joining the capitol zone are on the calendar for third reading next Monday night. Both are now on the table, One of the bills would change to Class 1 residential zone the four-block area which the state capitol planning commission recommended that the state pur chase for capitol zone extension, plus a fringe area of several lots. This would bar apartment houses. Most of the change would be from Zone II, but part of it would be from Zone III business classification. The four blocks are bounded by Center, Union, Winter and Capitol streets. The other pending bill would limit the height of buildings in the capitol zone to 45 feet. Strauss Quits Atomic Board Washington, Feb. 7 (U.R)-Pre sident Truman today accepted the resignation of Lewis L. Strauss as a member of the ato mic energy commission. The resignation is effective April 15. Strauss, in a letter dated Jan 31, said he is quitting to return to "my private affairs from which I have been separated for so long." He said that between now and April 15 he will give all possible help to the new AEC chairman who has yet to be named by Mr. Truman. Strauss was one of the original members of the five-man body which runs this country's $4, 500,000,000 atomic energy pro ject. He is the fourth of the ori ginal commissioners to resign before expiration of their terms next June 30. Others of the five original commissioners who have resign ed are W. W. Waymack, Robert F. Bacher, and Chairman David E. Lilienthal. Lilicnthal will leave Feb. 15. Waymack and Bacher already have left. Purchase D. OLSON FHA approval on a substitute lot in the 1300 block on Che- meketa street, the board of con- trol is ready to pay Coates $14,- 100 for the Summer street prop erty. The remainder of the ap proved appropriation will be used to defray costs of title in surance fees. Moreover, the emergency board requested members of the board of control to prepare suit able legislation to provide for an appropriation to cover the cost of acquiring four blocks in the proposed capitol extension, as recommended by the state capitol planning commission, Van Dyke for Four Blocks Although most members of the board felt that the property could be acquired piecemeal, as quickly as owners desired to sell, Speaker Van Dyke favored pur chase of the entire four blocks. 'There is only one sure way in which to guarantee that we will not be faced with a situation sim ilar to one resolved today and that is for the state to purchase the property," he said. "Coun cils change and one legislative body cannot commit the next." On suggestion of Sen. William Walsh, chairman, a resolution of appreciation fcr the cooperation shown by Coates was introduced by Senator Howard Belton and approved. The board of control was asked to convey the message of appreciation to the Portland builder. "At first I was under the im pression that Coates was endea voring to 'put over a fast one' on the state," said Belton, "but upon investigation I find that such is not the case and Mr. Coates has been extremely co operative." (Concluded on Pago 5, Column 8) Russians Slow Berlin Traffic Berlin, Feb. 7 UP) The Rus sians slowed down interzonal truck traffic slightly again to day and at the same time accus ed the west of trying to "warm up the cold war in Berlin." Week-end traffic had zipped unhindered through the Helm stedt checkpoint, 100 miles west of here. But today about eight trucks an hour were clearing in each direction on the east-west superhighway as Soviet guards tightened inspections. By mid morning the queue waiting to get into Berlin comprised about 40 trucks. American officials say the reasonable clearance rate for Berlin-bound winter truck car goes is about 10 an hour. The official Soviet army news paper Tacgliche Rundschau said in a front-page editorial that "western reactionary forces are constantly making new attempts to warm up the cold war in Ber lin again." There is plotting of incidents and spreading of disquiet to cre ate an artifically new 'Berlin problem,' " the newspaper said. It called the recent partial block ade a "fairy talc" invented by western officials to cause trouble he new slowdown today was not nearly as tough as at the height of the partial blockade, when as few as two trucks an hour were allowed to crawl past the Russian autobahn barrier. Hoover Unable to Get Full Details of Fuchs Confession Washington, Feb. 7 (P) Law makers today blamed ponderous British legal procedure for ham pering FBI pursuit or turtner atomic leaks in the Klaus ruchs case. They expressed fear that the delay may enable some suspects to skip this country. FBI Director J. Edgar Hoo ver was reported to have told senators that thus far he has been unable to get from the Brit ish full details of any confes sion that may have been made by Fuchs. Fuchs, 38-year-old German born scientist accused of passing along top atomic and some hy drogen bomb information to the Russians, is believed to have had accomplices in this coun try. British Hold Records But lawmakers said they were told that until the British justice department releases its records, the FBI may have to wait lor leads with the result that some suspects might get out of this country unmolested. British justice authorities are understood to be keeping Fuchs comple t e 1 y incommunicado even from Scotland Yard. Hoover goes to Capitol Hill today for the third time (1:30 p.m. EST) to talk behind closed doors with senators this time with the senate appropriations subcommittee to which he first divulged some of the FBI's ac tivities in the case last week. Asks Quebec Agreement Senator BricKer (R-Ohio), f member of the congressional ato mic committee, told reporters the 1943 Quebec agreement which the late President Roose velt entered into with Great Britain and Canada should be made public. (Concluded on Page 5, Column 6) Mo's Captain Loses Command Norfolk, Va., Feb. 7 P) Cap tain William D. Brown, a de- fondant in a naval court of in quiry probing the recent ground ing of the battleship Missouri, was relieved today of his com mand of this nation's single ac tive battleship. Atlantic fleet headquarters announced "for the time being and at least until legal proceed ings are completed," Captain H. P. Smith, former commanding officer of the Missouri, will as sume command. Fleet headquarters explained "it is fair and proper that the commanding officer, navigator and other officers defending themselves in the present court of inquiry should not have the additional burden of the respon sibility of the ship during the present legal proceedings which are required by naval regula tions and procedure." Brown is one of three of the Missouri's officers named as de fondants in the court of inquiry. Hoover Takes Stand FBI Director J. Edgar Hoover (left) and Associate Director Clyde Tolson seated at the witness table for opening hearing before the joint congressional atomic energy committee in Washingtonn, in connection wilh the recent arrest in England of Dr. Klaus Fuchs. Dr. Fuchs is accused of giving lop atomic secrets to Russia. (AF Wire-photo) Col. 1. W. Miles, above, res ident engineer at Detroit who is transferred to Okinawa, and C. C. Davis who succeeds him. Miles Moved, Davis Succeeds Lieutenant Colonel John W. Miles, resident engineer of the corps of engineers' Detroit dam on the North Santiam river, has received orders transferring him to Okinawa for duty with the 20th Air Force there, according to Colonel Donald S. Burns Portland district engineer. Colonel Miles was assigned as resident engineer at Detroit in March, 1949, by Colonel O. E. Walsh, then Portland district engineer. Previous to that Colo nel Miles served as special as sistant to Colonel Walsh in charge of all flood control de sign and construction programs in the Portland district except those in the Willamette river basin. Colonel Burns said Colonel Miles would be replaced by Clarence C. Davis, former civ ilian engineer with the opera tions division of the Portland district. Davis is returning to Portland from Boston where he has been on active duty as lieutenant colonel in the corps of engineers reserve. Davis was recalled to active duty in October, 1946, reported at Fort Bclvoir, Virginia, and was assigned as executive offi cer of the Albuquerque, New Mexico, district, and later as operations and executive offi cer of Hie Okinawa district More recently he has been en gineer for the New England mil itary district. As a civilian he was engaged in construction planning of De troit and Lookout Point dams. During the war he served as lieutenant colonel with the corps of engineers Fad Finders Start Work on Coal Dispute Lewis and Operators Called On for Expla nation of Stalemate Washington, Feb. 7 VP) Pres ident Truman's high speed fact finding board today called on John L. Lewis and the soft coal operators for an explanation of their long dispute. The board set up by Mr. Tru man under the Taft-Hartley law yesterday and given less than one week to report, sum moned several "anonymous" witnesses for this afternoon and invited Lewis and the operat ors to begin their testimony to morrow morning. Chairman David L. Cole of the three-man board told a news conference he did not anticipate any need to subpoena Lewis and the United Mineworkers as was necessary in March, 1948, dur ing a pension strike. Merely to Find Facts Cole and his colleagues said the board "is not trying to set tle the dispute," which threat ens to choke off the nation's coal supply almost completely. "They are trying to find out the facts as directed by the pres ident," Cole told reporters. The unidentified witnesses to be consulted this afternoon were known to include Dr. James Boyd, driector of the bureau of mines, and conciliation Direct or Cyrus S. Ching, who sought vainly last fall to bring-the op erators and Lewis together. Cole said the board hopes to complete its hearings by Thurs day afternoon so it can meet the Monday deadline fixed by Pres ident Truman for a report. Speed Necessary Speed is necessary because the soft coal mines already are clos ed down tight and the presi dent must have the board's re port in hand before he directs Attorney General McGrath to seek an 80-day court injunction under the Taft-Hartley emer gency machinery which the president reluctantly set in mo tion yesterday. (Concluded on Page 5, Column 5) 372,800 Out In Coal Strike Pittsburgh, Feb. 7 (IP) Coal production plummeted today in the wake of the soft coal miners' nation-wide strike. All signs point to rising unemployment in cnal-using industries About 372,800 bitter diggers are on strike in 14 slates. They insist they won't be "black jacked" into heeding the Taft Hartley act. The strikers can produce about 2,220,000 tons of coal a day. Nearly 20,000 workers in steel mills and on railroads were laid off in past months because of Ihe three-day work week order ed July 1 by President John L. Lewis of the United Mine Workers. Now railroads say more thou sands of furloughs are in the cards. Duquesnc Light company, a big Pittsburgh utility, said it has only enough coal to insure electrical power to 2,000 plants for another week. Over the nalion, less than two weeks' coal reserves remain stored above ground The coal industry said the suppiy is poor ly distributed. Through the coal fields, the miners are out for a showdown in their struggle for a new con tract and the five daj week. "The Taft-Hartley law cannot dig coal," declared Althronia Brown, a committeeman of the Maxwell local near Unioniown, Pa. "We won't be blackjacked into the mines." Throw Cold Wafer On Cold War Fighters Berlin, Feb. 7 (IP) West Ber lin police apparently planned to day to throw cold water on the cold war. The British-sector newspaper, Dcr Tag, said that police head quarters was ordering two trucks with armor-plated re volving turrets which can "fire" high-pressure water streams at street mobs. Such water-hose trucks wera last used by Berlin police dur ing the pre-Hitler Weimar re public t