STATE CAPITOL
House Approves Tax Relief
Plan of Governor McCall
By ROBERT r. SMITH
Speaker of The Moum
Tht Oregon lloune of Rcpre
M-ntutlves Monday look the
first Important Mep towards r
fcrring a property tax relief pro
gram to the people of Oregon.
The House placed its ntamp
or iiDoroval on the relief pro
cram recommended by Gov
Tom McCall, and net a date of
Mav 2U for a special election so
that the people of Oregon can
he heard on the subject.
The proposal U now in the
hundii of the Senate Taxation
and Education Committees, and
it can be expected that these
expert panels will make
speedy decision and forward the
package to the full Senate tor
a nuroval.
Basically, the cornerstone of
the program Is a new method
of financing schools, whereby
the state will more than doub
lc Its share of the costs of prl
marv and secondary education
Revenue for the program
would be raised by a three per
cent sales tax, with exemptions
for prescription drugs, feed, seed
and fertilizer.
Education In Oregon present
Iv eats up an average of two
thirds of the money raised by
property taxes, and it has been
the rapidly increasing costs of
education which have caused
property taxes to become so
high.
3 Tax Drop Seen
Therefore, an Increase In the
state share of these local costs
w.iuld result in a property tax
reduction by an average of 25
to .30 per cent statewide.
The House Education and
Taxation Committees realized
the fears of many citizens that
in feveral years we would find
our. elves with property taxes
b.ick up to their present level,
vl h an additional tax to boot.
To combat this danger, a
meaningful limitation has been
applied to school spending, so
that the rapid upward spiral In
'ocal property taxes can be ef
fectively eliminated.
This limitation feature would
five schools a current tax base,
f ix( d at their present operating
cots. They would he allowed a
five per cent inflation or growth
nr lease each year, with rapid
ly growing school districts re
ceiving additional funds to meet
their growth problems.
School districts would be lim
ileri to two budget elections
e; c!i year on uniform dates, so
that we would no longer be
he , ten over the head with elec
tipn after election after election.
In addition, we would no long
er be faced with the threats
that school doors will be locked
if school budget increases are
not approved. 1
Growth Feature fncluded
With the growth feature in
cluded, schools would not be
threatened with closure, and the
voters could easily distinguish
between genuine growth prob
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F-ducHior have expressed
their pleasure vUth proposed
formula whereby a greater r
tion of Mate funds will he lu
trlbuted on the basts of flat
grants per student, with leu
emohasis on equalization.
However, there are five small
counties In Eastern Oregon
which would be exempted from
this change in equalization In
cause they operate on unique
equalization programs ond
would be damaged by a change.
The suhlect of school financ
ne and Us methods Is a com
plicated one. and It Is certain
Iv difficult to explain. However,
the Senate and House Taxation
and Education Committees have
given this problem lengthy and
objective study.
They have attempted to ne
vise a greatly Improved pro
gram of school and education
financing, while at the same
time significantly reducing the
nearly confiscatory property lax
burden.
Your thoughts on this pro
gram are appreciated, riease
keep those cards and letters
coming In.
Board Discusses
Rodeo Business
A variety of business was ta
ken care of at the last regular
meeting of the Morrow County
Itodeo Board on February 5.
Stock contracts had been re
ceived from four contractors in
eliding Jim McOowan of Re
publie. Wash., Walter Rilev of
Rosalia, Wn.. Jim Gibbs of Yelm.
Wn., ond Howard Johnson of
'omlon. Johnson was low old
er and was awarded the con-
raet.
Following discussion, the
board decided to eliminate the
wild horse race event from I hi.-.
ear's program. It was also de-
ided to raise entry fee for nov-
ce brone ruling from & to iu.
Members of the Morrow Coun
ty Jaycees were present to dis
cuss handling ot concessions, it
was agreed that concessions for
both the college rodeo on Mem
orial Day week-end in May and
the regular rodeo shows in Aug
ust be handled by the Jaycees.
Sound contract for the 1969
rodeo was awarded to W. N.
Werger of Enterprise. Contracts
are out for show clown and an
nouncer, but have not yet been
returned to the board.
Before dismissal, discussion
centered on possibilities of ad
vance ticket sales and on blocks
of reserved scats.
Savings Bonds and Freedom
Shares cannot be used as colat
eral because only the registered
owner can redeem them anoth
er safety feature of Bonds and
Shares.
it or get it done in Hepp
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HERMISTON
t-i. ki
Ml
Minority Leader
Assails Sales Tax
As 'Oppressive'
House Minority Leader Jaon
& npiH'd into the proposed Re
publican 3'i general Kales lax
Plan today in Salem with full
force.
"It seems absolutely incredi
ble to me." Boe stated, "that
this lax proposal ha gotten as
far as it ha. It is unquestion
ably one of the worst lux meas
ures that ha ever come before
the Oregon Legislature. I
thought we were supposed lo
give the people relief from tax
es, but now we una oui mey re
coins lo be taken lo the clean
ers by an oppressive aales tax."
Boe presented Ilguret on me
Imoact of Ihe sales lax which
demonstrated that in almost ev
erv case a person would actual'
ly pay more much more in
sales taxes than he would Ret
back In property tax "relier .
As an example, a person
earning $7,000 In Portland with
a familv of four and an $11,000
home would pay about $70.00 a
year more in sales tax than he
would save In property tax re
lief. A person In Beaverton In
the same bracket would pay
about $54.00 more and In Klam
uth Fulls, he would pay a fan
tastic $111.30 more than he
would save."
The Democratic Minority Lead
r also pointed out other high
er and lower levels oi income
that would be hard hit.
1 lust think that the peopl-?
of Oregon are too smart lo let
the Republicans pick their pock
ets with this sales tax measure
that will cost them an incredible
Sti7 million a year. We're not
talking about small change,
we're talking about hard-earned
dollars that the average family
can't afford to lose." I
"The Democrats in the House
have not in any way obstructed '
the Republican majority In the
House in their impassioned de
sire to pass a 3 general sales
tax," Boe concluded. "They
have the voles here to do it.
Fortunately, the people of Ore
gon have the votes to slam it
right hack at the Republican
party of this state."
College Ag Course
Geared to Change,
Instructor States
"Agriculture is changing, and
we have to adapt to keep up
to date," said Riley Freeman of
the Blue Mountain College staff
in discussing the technical p.g
riculture program at the college
in a talk at Chamber of Com
merce here January 27.
In the two-year course, the
college emphasizes occupational
preparation for its students in
the field, he said, teaching them
to set a lob in agriculture or
to a better job.
The endeavor is to bring a
student up to his capabilities.
Ranchers today find that
good labor is hard to get, Free
man said, and some believe that
a college-trained employ e e
would be too expensive.
But the instructor declared
that perhaps a rancher cannot
afford to be without this train
ed helD in today's agriculture.
The college course seeks to
train a bov to communicate in
writing and speaking as well
as in the technical areas of ag
riculture. Offered in the course at Blue
Mountain are the academic
courses in English and writing,
as well as those of machinery
and maintenance, hydraulics
and mechanics, plant science,
animal husbandry, and others.
Field trips are taken to ranches
and feedlots, giving the students
a large "laboratory."
Blue Mountain also works
with agriculture in some of its
other programs, such as the
evening school, Freeman said.
Currently a class in animal
health is being given at Stan
field and one in water manage
ment at Milton-Freewater.
Freeman, whose parents are
purebred Angus growers in Ba
ker county, demonstrated the
same enthusiasm for his work
as he hopes to engender in his
students.
President Wallace McCrae, al
so a euest of the Chamber, in
troduced Freeman, pointing out
that with his farm background
his experience as a former feed
lot operator, his teaching exper
ience in a large Southern Cal
ifornia high school, and his
training and work as a book
keeper and accountant, the in
structor has an ideal combina
tion for his position.
President McCrae gave a brief
report on progress of the third
building on the Blue Mountain
campus, now under construction.
The library and classroom build
ing is expected to be ready for
use in the fall.
He also told of the college's
attempts to meet the needs of
the two-county area it serves
and cited work being done in
the fieleds of practical nursing,
police science, radio broadcast
ing, and one of the newest, the
flight program, using the Pen
dleton airport's facilities.
County Judge Paul Jones, first
vice president, was in charge
of the meeting.
Marsha Lovgren left Sunday.
February, by jet from Pendle
ton for Kansas City, Mo. She is
nro'led at Weaver Airline
School, where she will study for
one month before entering fur
ther airline hostess training
with a specific airline company.
Death Claims
Lexington Man
Charlcn II. Bloodsworth died
Sunday, February !. at hi home
In Lexington, at the age of 70
years. He had been under doc
tor's tare for some time for a
heurl cuiullton.
Funeral services were held
Wednesday, February 12. at 2:00
p.m. at Ihe Lexington Christian
church, with the Rev. O. D. Har
rls officiating. Vault interment
followed in the Lexington Cem
etery, with Sweeney Mortuary
In charge or arrangements.
Mr, Bloodsworth was born
January 8, iwm, in Enterprise,
Ore. He was united in marriage
to Eula Crossler on June 22,
1929. They lived In Enterprise
until ltt-H; moved lo Touehet,
Wn., for a short lime, then be
gan ranching near Lexington in
1915.
For 13 years, from 1952 to
1!K5. they made their home in
ilcrmislon. then returned lo live
In Lexington. He had also been
engaged in carpenter work, as
well as ranching.
Survivors include his widow,
Eula, of Lexington; two sons,
James E. of Heppner, and
Charles A. of llcrmiston; one
daughter, Mrs. Roger (Irisi
Campbell of Lexington: also
seven grandchildren and two
great-grandchildren.
The family suggests contribu
tions be made to the Oregon
Heart Fund In his memory.
Interest rates on U. S. Sav
Ings Bonds have been Increased
five times since the first Series
E Bond was sold on May 1,
1941. The current rate is 4.23
per cent, if held to maturity.
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Our
Programs Scheduled
For Chamber Here
Program schedule for the
weekly meetings of the Cham
ber of Commerce through March
is announced by Mrs. Avon Mel
by, program chairman.
David Hall, Salem, chief of Ihe
Slate Engineer's Watershed
riannlng Division, will report on
the Rhea Creekwatershed pro
Jert at Ihe meeting Monday,
February 17, at Ihe Wagon
Wheel CaLs banquet room at
noon.
Other meetings planned are
as follows:
February 24 Robert Cavnor,
Portland, officer with Small
Business Administration, speak
ing on opportunities for local de
velopment March 10 Harold Cantrell,
Walla Walla, district manager
of Bonneville Power Administra
tion. March 17 Report on progress
by the Morrow County Port
Commission,
March 24 Program by Pacific
Northwest Bell Telephone Com
pany.
Arriving her for a visit with
the Robert Abrams family last
month was Miss Margaret
Murks, who has been attending
school at the University of Ma
drid, in Madrid. Spain. Miss
Marks returned to the U. S. to
attend winter and spring terms
at Oregon State University,
where the Abrams' daughter,
Frances, also attends school.
Miss Marks lived with the Ab
rams family while attending
high school here. She accompa
nied her parents to Buea, West
Cameroon, Africa, where her
father is on an assignment for
the U. S. Department of Agricul
ture. and
,
Drive
House
Open
g"Btflf
si rwifSiNc
FARMER OWNED AND CONTROLLED
Lexington, Oregon
HEPPNEH GAZETTE -TIMES. Thursday. Ftbruarr . IMS
Credit Bank Retires Government Capital
When ihe Federal Intermedi
ate Credit Bunk of Spokane op
ened its doors for business on
January 2. VMM. It was en
tlrely owned by Ihe 21,623 Mock
holders and patrons who dis
count with the bank, according
lo Carl II. Nleberg, president.
Nieherjj said that the Spokane
Bank has retired Its finul share
of government capital, exceed
ing $.V million, on December
31. VMH. The Bank took advant
age of a recently enacted law
which accelerated completion of
ownership by Ihe 30 production
Credit Associations IPCAs) of
the four Northwest states.
The Sookane Credit Bank is
one of twelve federally Incorpor
ated banks created In to
otM-rate exclusively In the field
of agrclulturul production cred
it. These banks discount short
and Intermediate-term notes of
farmers and ranchers, repre
senting loans made for operat
inn and capital purposes, en
dorsed bv PCAs as primary
lenders. The Spokane Bank now
does business with 30 PCAs,
farmer-owned lending corpora
linns which, along with two
other financing Institutions,
now become sole owners of the
bank. Farmer-ownership of the
combined net worth of the Spo
kane Credit Bank and PCAs of
the Northwest now exceeds $73
million.
The bank does not lend gov
ernment funds. It secures loan
able funds largely by monthly
The first Jaycee organization
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mam
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Them At
February
C
nut If qjin
sales of debentures In the pri
vate money markets of Ihe na
tion. These debentures curry no
government guuruntee, but
have long been a favorite sec
urity of discerning Investors be
cause of the financial strength,
the long record of Integrity,
and the high quality of Ihe col
lateral of Credit Banks and
PCAs nationally.
This is the final step taken
bv farmers and ranchers of Ihe
Northwest to pay back Ihe cap
Hal originally invested by the
U, S. Government In the three
Farm Credit Banks of Spokane
the Federul Land Bank, the
Bank for Cooperatives, and now
the Federal Intermediate Cred
it Bank of Spokane. Including
the PCAs, farmer-ownership of
the net worth in the Spokane
Farm Credit Banks exceeds $140
million.
Nleberg concluded with high
praise for the farmers and
ranchers who. at substantial
sacrifice to themselves, determ
ined to become sole owners of
their own financing system.
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17