Univ. of Oregon Library
196 county political pot already simmering
See story. Cot. 4
IBUHOETIN
. Partly cloudy in Central Ore-
FOreCOSt son, with few light thoweri
in mountain!. Highi, 38-44;
lows, 26-34.
High yesterday, 54 degrees.
Low last night, 24 degrees.
Sunset today, 4:38. Sunrise
tomorrow, 7:40, PST.
Hi and lo
SERVING BEND AND CENTRAL OREGON
61st Year
Twenty Pages
Thursday, January 2, 1964
Ten Cents
No. 22
Thi
m
Johnson concerned 1
at unemployment
as new year starts
By Morriman Smith
UPI Staff Writer
JOHNSON CITY, Tex'. (UPI)
President Johnson headed into
1964 today deeply concerned
about chronic unemployment
and convinced that the $11 bil
lion tax reduction bill before
Congress was a "must" for the
economic vitality of the nation.
The Chief Executive applies
the same "must" label to the
pending civil rights bill. He also
wants the medicare program
for the aged enacted by the
Congress which resumes its de
liberations Jan. 7.
In the international field, the
President plans an "unrelenting
peace offensive" in the new
year to improve relations with
Soviet Russia. According to as
sociates, Johnson says the Unit
ed States cannot "drag its feet
a year until after the election"
before pressing the peace offen
sive and exploring the peacea
ble promises held out in a year
end exchange of messages with
Soviet Premier Nikita S.
Khrushchev.
Familiar With Thinking
It is possible to report these
and other viewpoints of Johnson
at tha start of the year on the
authority of a key White House
official intimately familiar with
his feelings and thinking about
official matters. This account
does not represent an interview
with the Chief Executive, but it
does reflect his attitude as re
ported by an authoritiative
member of the White House
. staff.---, -,r--'--
The unemployment problem
has figured frequently in John
son's planning for the new year
and legislation which he will
recommend to Congress.
Walter Heller, chairman of
the President's Council of Eco
nomic Advisers, saw the Presi
dent earlier this week. While
Heller's emphasis was on the
upward trend of the American
economy in 1963, he called the
unemployment situation the
most serious problem on the
current economic horizon.
Record number
of Americans
die on holiday
By United Press International
Automobile accidents killed a
record 193 Americans over the
30-hour New Year's holiday, fi
nal tabulations showed today.
The toll surpassed the pre
vious record of 160 for a one
day New Year's holiday set in
1957-1958 and exceeded the
worst expectations of the Na
tional Safety Council.
The council had estimated
that from 140 to 180 persons
would be killed in traffic acci
dents during the official holi
day period between 6 p.m.
Tuesday and midnight Wednes
day. Howard Pyle, council
president, said we are very
disappointed . . . grieved . . .
over the showing by motorists."
Deadly fires helped boost the
overall holiday accident fleam
toll to 250.
The breakdown:
Traffic 193
Fires 29
Miscellaneous 28
Total 250
California's 18 traffic fatali
ties led the death list. There
were 14 in Michigan, 13 in both
New York State and Wisconsin,
11 in Texas and 10 in Pennsyl
vania. Six states had no traffic fa
talities over the holiday. They
were Alaska, Delaware, Mas
sachusetts, New Hampshire,
New Jersey, and Oregon. The
District of Columbia also es-
caped automotive death over
New Year's.
The normal traffic death toll
for a 30-hour midweek non
holiday period Is 70.
The New Year's toll edged
past the previous record 160
set In 1957-1958 late New
Year's Day. Helping to boost
the traffic death count were
hazardous road conditions
spawned by snow and ice
storms across the eastern third
of to nation.
'Must' tags dus sss5B8e
4 Million Jobless.
The unemployment rate is
around 5'i per cent of the work
force with more than 4 million
persons out of work. According
to the government, automation
is displacing about 1.2 million
workers annually and to com
plicate the situation further,
about 1.2 million persons also
are being added to the work
force each year.
The President feels a sub
stantial effort must be put forth
on unemployment problems for
the future. He is dissatisfied
with present cures and pro
grams that have been sug
gested.
"We may be underestimating
what lies ahead and I am call
ing for new solutions and I am
demanding new thinking on this
entire problem," Johnson has
been quoted as saying.
As part of his overall ap
proach to economic improve
ment, Johnson wants more la
bor leaders and business execu
tives actively participating in
government.
He thinks the public service
field in Latin America is par
ticularly promising for U. S.
labor leaders. And he thinks the
government should draw more
heavily on the reservoir of tal
ent in business.
Johnson wants what he calls
dynamic young businessmen in
government. In this connection,
associates said he speaks of
wanting "action from the young
and advice from the old.
The President seems. to,be in
creasingly preoccupied with do
mestic economic matters ana
federal finances. For example,
he has been citing recently a
firm conviction that fiscal pru
dence is no longer what he calls
a rich man's issue.
He believes the massive fed
eral budgetary burden is "stag
nating traditional liberalism in
the United States" and hitting
particularly at middle income
families.
Johnson is convinced the up
ward progress of the economy
in 1963 will be sustained in 1964.
But as part of maintaining
economic progress, he wants
and expects business confidence
to remain high and he feels the
need for a re-evaluation of gov
ernment-business relations.
Other Highlights
Other highlights from this
authoritative report on the Pres
ident's outlook and plans for
1964:
Johnson believes the "unre
lenting cold shoulder to any pos
sibilities of reaching an accom
modation with the Soviet Union.
Now is the time, the Chief
Executive feels, to push for new
break-throughs on peace. He Is
acutely sensitive to the fact
that East and West stand on a
nuclear precipice. This being so,
he cannot wait until after the
election to mount a peace of
fensive. He thinks it would be
"muddle-headed" for the Unit
ed States to fail to seek peace
simply because we are afraid
of beine taken in by Communist
tactics. He is confident the na
tion is fully alert to such tactics
after 15 vears of cold war.
Johnson is confident that
the economies planned for fis
cal 1965 will lead to a pattern
which will reflect itself in fis
cal 1966 budgeting. He is enthus
iastic about the policies and
performance of Budget Direc
tor Kermit Gordon.
Tree pickup set
by Skyliners
Skyliner racers, both Mighty
Mites and juniors, will hold a
Christmas tree pickup Friday
evening, January 3. Trucks will
c 1 r c u 1 a t e in the residential
areas of Bend from S to 7
p.m.
Trees will be collected and
hauled to the dump, at a fee of
25 cents apiece. Proceeds will
be used for the ski teams'
coaching costs.
Householders are asked to
leave porch lights on, If they
want trees collected. They may
also call Mrs. Kenneth DeGree,
382-3774, or Mrs. Phil DeGree,
382-0686.
The pickup is planned as an
annual fund raising event for
the ski teams, according to
those lo charge.
New mayor
to be named
here fonlght
A new mayor and mayor
pro-tem will be selected by City
Commissioners when the
board's first session of the '64
year gets underway tonight at
7:30 in city hall.
Both figures will be chosen
from among the seven commis
sioners: E. L. Nielsen, present
mayor; Leon Devereaux, mayor
pro-tem; Dr. C. J. Rice, Paul
Reynolds, Jack Dempsey, Rich
ard Carlson and Charles Cleve
land. Other business may make to
night's session a drawn-out af
fair. On the agenda is an ap
pearance by Joseph Larkin,
Redmond attorney. Larkin is at
tempting to obtain refunds of
assessments to 50 property own
ers who reside at E. Third
Street, where the expenses of a
street - widening project in 1962
were charged to property own
ers. Fourteen Third Street resi
dents that year brought lawsuit
against the city to be relieved
of the obligation of paying to
tal assessments. Their objection
was supported in Deschutes Cir
cuit Court and later in S t a t e
Supreme Court.
Larkin contends that the re
maining residents living in the
affected area should also be re
lieved of the assessment obligation.
Lynn Hoffman
named county
4-H agent
Miss Lynn Hoffman has been
named Deschutes county 4-H
club agent, succeeding John
Schmid. The appointment was
ettecuve January l, according
to announcement from Oregon
State University.
Schmid, 4-H agent in Des
chutes county, resigned to ac
cept a similar position in Ven
tura county, California. Miss
Hoffman has been a county 4-H
agent at large, specializing in
home economics projects, since
last July.
"The outstanding work which
Miss Hoffman has done since
coming to Deschutes county
prompted the local 4-H Leaders
Association to request that she
be retained to fill the posi
tion," John Schmid, county ag
ricultural agent, said in verify
ing the appointment.
When Deschutes county's
fourth county agent position
was eliminated as the result of
the October 15 tax referral vote,
the leaders association inquir
ed Into the possibilities of re
taining Miss Hoffman on a lo
cally - supported arrangement.
The Oregon State University ex
tension staff discouraged such
a program.
When efforts to retain the
second 4-H agent were at their
peak, news came of Schmid's
resignation.
"The appointment of Miss
Hoffman for the one remaining
4-H position is a logical one,"
said Mrs. Walter Smead, pres
ident of the Deschutes County
4-H Leaders Association. "We
feel that the 4-H program will
progress with less Interruption,
with an agent who has experi
ence in the local area in
charge."
Announcements will be made
soon regarding office schedules
of the agriculture agent, Mrs,
Vie Schroeder, home econom
ics agent, and Miss Hoffman,
Sterling said. Program adjust
ments will be necessary, be
cause of staff changes.
Snow covers mountain passes
A blustery, ocean-born storm
that enveloped the Oregon Cas
cades New Year's Day blanket
ed mountain passes with con
siderable snow and whipped the
Deschutes country with erratic
winds. Bend was white this
morning, as clouds cleared and
bright sunshine followed the
storm.
Bend measured only a trace
of snow and the same amount
of moisture from the New Year
storm.
Ten Inches of snow fell on the
Santiam divide last night, and
motorists reported tough travel
Al Nielsen,
Penhollow
early filers
By lla Grant Hopper
Bulletin Staff Writer
Two candidates threw their
hats in the political ring on the
first business day of 1964, by
filing today for county offices.
They are County Judge D. L.
Penhollow, Republican incum
bent, and E. L. (Al) Nielsen,
Democrat, now mayor of Bend.
Nielsen is seeking nomination
for the office of county com
missioner, now held by Fred
Shepard, Republican.
Shepard was not available for
comment at press time, but a
reliable source said that he is
planning to seek reelection. He
is serving his eighth elective
year in the office. He was ap
pointed following the death of
A. E. Stevens, in the fall of
1955, and has been elected to
two four-year terms.
Nielsen is serving the third
year of his present term on the
city commission. He was also
on the city commission from
1949 to 1953. There has been
considerable conjecture that he
would seek a county office the
next time around, but the early
registration came as a surprise
to most observers.
Completing Term
Judge Penhollow is complet
ing a six-year term. He is pas
tor of the Powell Butte Com
munity Church, and a resident
of Redmond.
The offices of sheriff, judge
and one commissioner are to be
filled next November. The ear
ly filings of two candidates are
interpreted by some observers
as an indication of more than
the usual competition in the
May primary. ' ""
Shepard, incumbent county
commissioner, is a retired
farmer and is active in the
Grange. He has served on num
erous county boards and ap
pointive commissions. Former
ly a resident of Tumalo, he and
his wife now make their home
at 1175 Roosevelt Avenue.
Sheriff Forrest C. Sholes said
today that he definitely will file
for reelection. He is completing
his third four-year term. He
was appointed a deputy sheriff
in 1949, by Claude L. McCau
ley, and ran in the fall of 1952,
when McCauley retired.
Nielsen, who is seeking a
county office for the first time,
came to Bend a) years ago
from Hillsboro. For 18 years, he
was the local Mobil Oil distri
butor. For the past two years.
he has been in partnership with
E. B. Hogan, in H & N Co., an
investment business.
Nielsen is a graduate of the
University of Oregon. He and
his wife, Dorothy, are parents
of three children, two boys and
a trirl. The eldest, Sally and
Craig, are graduates of the Uni
versity of Oregon, and the
youngest, Scott, is a Bend High
School student. The family
home is at 611 Drake Road.
Shepard named
DA for Crook
SALEM (UPI)-Douglas Shep
ard, 32, today was appointed
Crook County district attorney
by Gov. Mark Hatfield.
Shenard. a native of Des
chutes County, will succeed
James Mintum who has re
signed to promote full time to
the private practice ot law.
Shepard's appointment is ef
fective Friday.
Shepard is the son of Mr. and
Mrs. Fred Shepard, of Bend. His
father is a Deschutes County
commissioner.
Bluster storm
ing over the storm swept
mountains. Some cars stalled,
others slipped Into roadside
ditches. Roadside depth of the
Santiam pack this morning was
30 inches. Much needed snow
fell in the Hoodoo bowl.
The high Willamette divide al
son felt the brunt of the New
Year storm, with a 12-inch fall
of snow reported. Roadside
depth was 22 inches. Govern
ment Camp measured seven
inches of snow this morning.
Plows were operating over
the Cascade passes this morn
ing and sanding crews were on
Caofi of $100
il
pes?
i :.:.; -'"1
FIRST IN '64 First baby born at St. Charles Memorial Hospital in 1964 was Kip Kiven
SchoHow, son of Mr, and Mrs. Larry Schossow, ISIS Fresno.' Baby is' pictured here with his
mother. The Schossows are lifelong residents of Bend. Kim becomes their second child. .-
Young cyclist
severely injured
in crash here
A Bend youth. Jerry Lynn
Page, 19, was in the St. Charles
Memorial Hospital today, a vic
tim of severe neaa cuts ana
bruises suffered Wednesday
about noon when his motorcycle
crashed into a barbed wire
fence near the intersection of
Butler and Studio Roads, near
the northeast edge of Bend.
Page apparently lost control
of his 'cycle, which skidded
from the road, crossed the
roadside ditch and threw the ri
der into the wire. He was taken
to the hospital in the city am
bulance, and underwent surg
ery.
In another accident, early
this morning at the E. Third
Greenwood intersection, a mo
torist was charged by police
with mixing liquor with his
driving.
Cited on charges of driving
while under the influence of in
toxicating liquor was Joseph
Henry Ward, Jr., 40, of 435 E.
Sixth. Police said his car, east
bound on Greenwood, skidded
through the traffic light and
struck the side of a state sand
ing truck moving southbound on
E. Third. No injuries were re
ported. DOW JONES AVERAGES
By United Press International
Dow Jones final stock aver
ages: 30 industrials 766.08, up
3.13; 20 railroads 179.68, up 1.14;
15 utilities 138.53, off 0.46, and
65 stocks 269.09, up 0.87.
the job. Icy spots covered vari
ous roads early In the day, and
the Sisters area was badly Iced.
There were spots of Ice on the
Ochoco summit, where skies
were clear this morning follow
ing a one-Inch fall of snow last
nicht.
Motorists driving south
through the Chemult area were
advised to carry chains. A two
inch fail of snow was measured
at Chemult.
Forecasts call for "few light
showers," apparently snow, In
the mountains again tonight.
Temperatures will be on the
cool side.
deficit iffa
::,y
First arrival
of '64 makes
his appearance
Thirty six valuable gifts
from Bend merchants await
the son of Mr. and Mrs. Lar
ry Schossow, 1515 Fresno.
The 7-pound, 2-ounce baby,
named Kip Kiven, was born
at 4:29 a.m. New Year's Day
to become the first Central
Oregon baby born in St.
Charles Memorial Hospital in
1964.
The baby joins a sister,
Kerri Lynne, whose birthday
also falls in January. Kerri
will be two on the 28th.
Schossow is a timber faller
with the Watt Allison firm.
Both he and Mrs. Schossow
are lifelong residents of Bend.
Grandparents of the child are
Mr. and Mrs. Art Mastrud,
South Highway 97.
3
after accident
Special to The Bulletin
PRINEVILLE Three Ma
dras residents were admitted to
Pioneer Memorial Hospital New
Year's Day, two of them seri
ously injured in an automobile
accident.
A middle aged couple, Del-
bert Eccles, and his wife, Jo
sephine, suffered multiple injur
ies when their car swerved off
highway 26 and overturned,
about 14 miles from Prineville.
They were admitted to the hos
pital at 2 a.m.
Bufford Orcutt, a self-employ
ed appliance repairman, suffer
ed head and eye injuries in a
work connected accident at
his home.
Officers said that the Eccles'
accident may have been the re
sult of a tire blow-out. Neither
is able to be questioned. Ec
cles' condition was reported to
day as poor; his wile's as lair.
His injuries included a com
pound skull fracture. Mrs. Ec
cles suffered head and facial In
juries, and multiple fractured
ribs. It was reported that she
was driving the car.
Orcutt reportedly was injured
while sawing a piece of lumber
that struck him in the face. His
condition Is reported as good
He is a former Prineville rest
dent.
All three patients were
brought to the hospital in the
Madras ambulance.
Holiday crowds
setting records
at ski resort
The word Is out. Skiing on
Bachelor Butte is good when it
isn't everywhere else.
Bachelor's post Yule overflow
crowds testify to its fame. Ac
cording to Mrs. Lou Blann at
the Bachelor Butte Lodge this
morning, last weekend saw a
record crowd, and New Year's
Day saw a mass invasion of
out-of-state skiers.
No official count was avail
able, but Mrs. Blann disclosed
that Sunday, December 29, saw
over 3,000 skiers on Bachelor's
slopes. "Both parking lots were
full, and cars were parked all
the way down to the intersec
tion of the Century Drive High
way," she said. It was as
though we didn't have a second
parking lot at all."
Though the numbers were
much less on New Year's Day,
the skiing throng from out-of-state
was "tremendous." New
Year's washout by rain brought
so-so ski conditions on Bache
lor, but completely obliterated
skiing at camps In Washington
and California. The dislodged
crowd came to Bachelor Butte.
"To the out-of-stalers," Mrs.
Blann said, "skiing conditions
were tops. . .we, locally, are
used to even better conditions
.that's why so many Bend
skiers sat out New Year's
Day."
Towards the end of yesterday,
however, more snow fell and
conditions were "excellent" by
closing time.
New Year's
is soggy day
for Oregon
By United Press International
New Year's day was a wet
and soggy one in Oregon with
coastal areas getting more than
an inch of rain in 24 hours.
Most of the stale got some
precipitation, ranging from a
trace at Baker to 1.34 inches at
Astoria.
Brookings had 1.26 inches and
North Bend 1.16.
Temperatures were mild, with
Pendleton reporting a high of
63 on New Year's Day. Baker's
22 was the coolest reported this
morning.
m
Reductions
are planned
in personnel
JOHNSON CITY, Tex. (UPI)
A cut of $100 million in the
postal deficit in fiscal 1965 and
a reduction in Post Office De
partment personnel during the
next six months were announced
today by Postmaster General
John A. Gronouski after a con
ference with President Johnson.
Gronouski told reporters that
the economies were ordered in
compliance with presidential di
rectives to keep government
employment and spending to a
minimum.
The postal deficit in the cur
rent fiscal year ending June 30
is expected to run about $650
million and Gronouski, without
giving a final budget figure for
his department for fiscal 1965,
said he expected the deficit to
run about $550 million In tha
new fiscal year.
Part of this deficit reduction.
however, will depend on wheth
er the Interstate Commerce)
Commission approve a Poet
Office Department request for a
$77. million Increase; in panel
post rates.
Confers with Weaver
The President also conferred
today with Robert C Weaver.
head of the Federal Housing;
and Home Finance Agency, on
plans for a new comprehensive)
housing program which will go
to Congress under the banner
of a "home for every man."
Gronouski flew from Washing
ton early today with Weaver.
White House press secretary
Pierre Salinger and other staff
members who had gone home
for the New Year holiday;
uronousKl said that by not
filling vacancies, he would in
stitute what amounted to an im
mediate personnel freeze and re
duce Post Office Department
employment by 5,000 to a pay
roll ot 5UU.UIH) persons ny June
30, end of the current fiscal
year.
A general outline of the hous
ing program was expected to
be included in the President's
Jan. 8 State of the Union mes
sage to Congress. Johnson
worked on the message for two-and-a-half
' hours - Wednesday
night.
He also telephoned the Dem
ocratic and Republican leaders
of the Senate, Mike Mansfield
of Montana and Everett M.
Dirksen of Illinois, Wednesday
night to wish them a happy
new year and discuss what the
White House called "Senate
matters."
Globemaster
down in ocean
HONOLULU (UPI) -An Aif
Force C124 Globemaster en
route from Japan to Hawaii with
nine men was reported to have
ditched in the Pacific today and
a radio report said "then are
survivors."
Two air-rescue C135 aircraft
took off from Hickam Air Force
Base to join four other aircraft
at the scene, 4S0 miles west of
Hawaii,
The reported ditching ended
three hours of confusion dining
which the Air Force reported
the big plane missing and pre
sumed down, then discovered on
radar that it was "still flying"
an hour and 10 minutes after it
was calculated to have run out
of fuel.
The reported ditching came in
a round-about w?y. An Air
Force spokesman said It origin
ated with a surface vessel in
the area, relayed to the Navy
Rescue Center at Fuchu, Japan,
and then passed on to the Navy
Air Rescue Unit at Pearl Har
bor. Aboard the plane were eight
crewmen and a military pas
sengcr who was escorting l
body being returned lo the unit
ed Slates.