I
rem
n
u u uzs
q) c
Oregon Democrats
Claim Election of
Walter J. Pearson
Lowry Joins Voices
Disclaiming Results
Salem (U.R) The Democrats
claimed today, in the hottest
meeting o( the session so far, to
have elected Sen. Walter J.
Pearson of Portland as presi
dent of the Senate.
The vote was 15 to 14 in
favor of Pearson over Sen. War
ren Gill, Lebanon Republican.
The Democratic contention of
having elected Pearson came
while Republican Sen. Rudie
Wilhelm Jr. of Portland was
absent, presumably in Portland
on personal business:
But Sen. Howard Eelton of
Canby, temporary chairman,
ruled that the Senate was still
operating under the caucus rules
set down Sunday night which
specified it would take 16 votes
to elect.
Full of Fireworks
In a session which saw more
parliamentary fireworks than
some entire legislative sessions.
Sen. Monroe Sweetland, Mil
waukie Democrat, demanded
that the chairman declare Pear
son elected Senate president.
Sen. Phil Lowry, Medford Re
publican, shot back that "technic
cally we are not yet organized
as a Senate but are still in cau
cus. In fact, it seems that as of
now we .are neither fish nor
fowl."
Sen. Bclton declared a 30-
minute recess, and even this was
appealed by the Democrats. But
during the ensuing rollcall, all
the Republicans walked out, and
Sen. Bclton ruled there was no
quorum present. He said it took
20 members to make a quorum.
Asked by Sen. Sweetland on
what grounds. Sen. Bclton
banged his gavel and said the
recess was on.
Rtgular Business Stymied
It appeared to observers and
was voiced by some senators
that the Senate was no nearer
to being fn agreement on com
mittee assignments and choice of
president than it was when the
caueus opened Sunday night, on
the eve of the 1957 session.
A record deadlock in organ
ization was threatened.
While racor reminiscent of the
closing days rather than the
opening days of the session
cropped out. the regular busin
ess of the Senate was stymied
while the 15 Republicans and 15
Democrats attempted to agree
on a compromise formula.
Meanwhile, special and more
severe penalties for selling or
dispensing narcotics to minors
were advocated today in the
second bill to be introduced in
the House of the Oregon Legis
lature. .The bill was introduced
by Rep. Fred Meek, Portland
Republican; Joe Rogers. Inde
pendence Democrat, and Ed
die Ahrens, Turner Republi
can. Insurance Bills Introduced
Three other bills relating to
insurance companies were intro
duced today by request of the
Department of Insurance.
One would require insurance
companies being examined by
the department to compensate
the examiner for his salary and
expenses: another would re
quire a trust deposit of S350.000
for insuring with an insurer of
less than $500,000 assets.
The last bill would permit
temporary licensing of out-of-state
insurance adjusters in
cases of castastrophe.
DOW-JONES AVERAGES
New York 'U.R) Dow-Jones
final- stock averages: 30 indus
trials 485.05. up 0.30; 20 rail
roads 153.75, off 0.52; 15 utili
ties 60.69. up 0.36, and 65 stocks
171.80. up 0.10. Sales today
were about 2.210.000 shares
compared with 2.370,000 shares
Tuesday.
Washington (U.R) Presi
dent Eisenhower does not plan
to hold a news conference
Wednesday.
New Building
County Red Cross Chapter
A new building for the local
chapter of the American Red
Cross will be presented by Mr.
and Mrs. A. S. V. Carpenter.
Red Cross officials announced at
an executive board and budget
committee meeting this week.
The building will be built on
three Jots facing Hawthorne
park, and will consist of admin
istrate quarters and sufficient
space for volunteer services. An
auditorium will be made avail
able for community use. Red
Cross officials said.
Harlow Carpenter, the Car
penter's son, has drawn initial
plans for the building, they said.
iiim.niuii.iii -
ARTURO TOSCANINI
Slips Away Quietly
Arluro Toscanini,
89, Dies in Sleep
At New York Home
New York (U.R) Arturo Tos
canini, 89, whose genius as a con
ductor of operas and symphonies
thrilled the world for 68 years,
died today in his sleep. He had
suffered a stroke New Year's
Day.
Death came to the beloved,
white-haired maestro at his lux
urious Riverdale home in the
Bronx, apparently as a nurse
tried tojawaken him. He had
been confined to his bed for
three days.
"He just slipped away very
quietly and very peacefully," his
physician. Dr. Waldo Farnum,
said. "He suffered no pain."
Body To Be Taken To Italy
A family spokesman said Tos
canini's body would be taken to
Milan, Italy, for burial beside
that of his wife. Carta, who died
in 1951. Final rites, probably
private, will be held here, but
definite arrangements have not
been made.
Members of the Toscanini fam
ily gathered around the maestro
for the holidays and were with
him when he died. At his bed
side wer his son' and constant
companion, Walter, his two
daughters, Mrs. Vladimir Horo
witz, wife of the noted pianist.
and Countess Wally Castelbarco,
and two . grandchildren. Miss
Sonia Horowitz, and the Duch
ess Emanuela d'Acqarone.
Remarkable' Comeback
Farnum said Toscanini, who
had lived in strict retirement
since 1955, Tiad a "remarkable"
comeback after suffering a cer
ebral thrombosis Jan. 1 but prob
ably had suffered two or three
slight strokes since then. Friends
said Toscanini's sight also had
failed.
The Italian - born Toscanini
conducted his last concert in pub
lic April 4, 1954, in Carnegie
Hall. He led the NBC Symphony
Orchestra, which had been cre
ated for him, through the "Die
Meistersinger" overture, let the
baton drop from his hands, "and
walked off the stage without any
bint that it was his last appear
ance.
New Texas Senator
To Vote With Democrats
Washington (U.R) Newly
appointed Sen. William Blakley
(D-Tex.), has killed Republican
hopes that he might vote with
them to give the GOP control
of the Senate.
Asked if he would vote with
the Democrats on organization,
he said: "Sure. I'm a Democrat."
Weather
FORECAST: Clear throurh
Thursday except valley fng
patrhn er sunrise. Colder
tonight. Low 30-23. High
Thursday 43.
Temp.
Highest Yeserdar 5?
I. owes this Morning 39
Prec. to 4:30 a.m. Today 01
Sunrise 7:3S a.m.
Sunset 5:05 p.m.
Our Skies Tonight
The Moon rises at C:15 p.m.
and Is tQ Perije.
Last Quarter Jan. 13
JUPITER rises at 10:53 pjn.
and will be hich In south at
4:13 a.m. Tonight tt begins a
slow westward movement
among the stars that will con
tinue until May.
Planned for
Seth Bulllc was named chairman
of the building committee with
Mrs. Robert W. Shepherd, Ed
ward Branchfield and Ray Sor
enson serving on the committee.
Construction is expected to
start in early February, officials
said.
Attending the meeting were
Manville.M. Heisel, Mrs. W. E.
Thomas, 'Mrs. A. S. V. Carpent
er, Harlow-Carpenter, Mrs.
Rease Braley, Mrs. Frank Fair
weather. Mrs. J. W. Burba, Mrs.
John S. Day, Mrs. Helen A. Wil
son, Seth Bull is. Jack Crawford,
Elwood Hedberg and Col.
Charles Stafford.
alent
51st Year
Medford
United Pr
-full treated Wire
16 Pages MEDFORD, OREGON, WEDNESDAY, JANUARY 16, 1957 No. 255
Kenwood-Grandview
Area Annexed by City
The Medford city council last
night annexed the Kenwood
Grandview district to the city
after a public hearing in which
no Medford residents voiced op
position. The annexation is the second
large area taken into the ci.
within a year. Last summer,
about 1,191 acres in southeast
Medford was annexed. The Kenwood-Grandview
and southeast
Medford areas almost double the
number of acres now within the
city.
The Kenwood-Grandview dis-!
trict is about 1,506 acres, bring
ing the total acreage of the city
to about 5,002 acres. Population
in the Kenwood-Grandview area
has been estimated at 1,300,
bringing the total population of
Medfprd to about 21,350.
Objection From Area
The Kenwood-Grandview area
was annexed after Edward
Kelly, Medford attorney, repre
senting several property owners
Lack of John Day
Funds 'Shocking'
To Oreqon Demos
Washington (U.R) Ore
gon Democrats in Congress to
day were indignant over the
failure of President Eisenhow
er to - include, funds for John
Day dam in his budget for the
next fiscal year.
Sen. Wayne Morse said he was
"shocked" and Rep. Edith Green
said the President showed what
she called a "shocking attitude."
Mrs. Green said "either Sher
man Adams has not told the
President the outcome of the
elections or the President has
been told about the audacity of
Pacific Northwest voters and
has decided to administer them
fatherly chastisement."
To Write Funds in Bill
Both Rep. AI Ullman of Bak
er and Mrs. Green said the Ore
gon House delegation would
write into the public works ap
propriations bill construction
funds for John Day dam.
At least one Republican, Rep.
Russell Mack of Washington,
said "if it had not been for the
omission of John Day dam, this
would be a fine public works
budget for" the Northwest."
He added, "... we must go
ahead with construction of John
Day if we are to avert a power
shortage in the early 60s. I am
very hopeful that Congress will
put some money in for this proj
ect, despite the President's fail
ure to recommend it."
(Sea Story on Page 5)
ueiention nome r;
Plans Are Changed
Several changes were made by
the county court yesterday in
the proposed plans for the juv
enile detention home.
In a meeting with representa
tives from the state fire marshal
it was necessary to change the
width of the proposed corridor
in the detention area to meet
state fire regulations. An elec
tric lock system in the detention
area also was added at a cost of
between S1.800 and $1,900, the
county court said.
The changes were approved
by the- county court and incor
poorfted into the plans.
Building plans will be submit
ted for bids Jan. 18. Bids will
be opened Feb. 15.
Snider Asks History
Of Off-Slreei Parking
Mayor John Snider last night
asked Councilman Fred Robin
son to prepare a summarized his
tory of Medford's off-street park
ing situation for use by the coun
cil. Snider said it will be part of
a renewed effort by the city to
find a solution as soon as possi
ble to the parking problem. '
Medford voters defeated a pro
posed off-street program in the
November general election.
Funds
in the Lone Pine area of Kenwood-Grandview,
told the coun
cil "it would only be in the
public interest to annex the pro
posed area apart from the Lone
Pine section."
Kelly said the chief reason
Lone Pine residents objected to
annexation was because they
are all farmers and had their
own water service as well as
septic tanks. They are already
heavily taxed and taxes would
increase from 77.9 to 116.6 mills
upon annexation, according to
KeJJy'
He presented to the council
a petition signed by 61 resi
dents of the Lone Pine area
protesting annexation. This was
almost all residents in the area,
he said.
The Medford attorney quoted
a recent decision by the Oregon
Supreme Court on a General
Electric vs. Estacada case in
which an annexation was ruled
void for violating state law. A
city can annex for legitimate
purposes but cannot reach out
to take any land it wants, Kelly
said.
Kelly suggested the council
temporarily reject the annexa
tion proposal. He requested after
council investigation into the
Lone Pine situation a second
hearing be called and that area
be omitted.
City Attorney E. R. Bashaw
pointed out it might be legally
possible to eliminate Lone Pine
from the annexation area but
that legal- -exploration wuuUl
first be necessary. He added to
alter the proposed annexation
area the city would have to sub
mit the question again to resi
dents in the area in another elec
tion. The matter was brought to a
vote when Councilman Don Han
sen commented it would be to
the "longe range" advantage of
residents in the Kenwood-Grandview
districts that the area be
annexed.
The annexation is effective
after 20 days.-
(See Council story page 7)
Funeral Services Set
For Mrs. S. B. Wing-
Ashland Funeral services
for Mrs. Sarah Bclvins Wing,
103-year-old Ashland resident
who died Sunday, will be held
at Litwiller's Mountain View
chapel, Highway 66 and Normal
ave., Ashland, at 1:30 p.m.
Thursday, Jan. 17.
The Rev. Wendall Herbison
will officiate, and interment
will be in Mountain View cem
etery. Mrs. Wing lived in Ashland
since 1901. She was born March
10, 1853, the daughter of a pio
neer family who traveled from
Missouri in 1843 with the Apple-
gate wagon train. She was six
years old before Oregon became
a state.
"You Must Tell Me About Your Work
Sometime, Dear"
Price 10c
Tribune
Full Leuea Wirm
FRANK VAN DYKE
Named Chairman
Medford Attorney
Named Chairman of
Education Group
Frank J. Van Dyke, Medford
attorney and former member of
the Oregon State board of higher
education, will become chair
man of the Western Interstate
Commission for Higher Educa
tion Feb. 1.
He will succeed Dr. Ward
Darley, president of University
of Colorado, who will resign the
chairmanship. Van Dyke, named
vice chairman last year, will
complete Darley's unexpired
term which ends next August.
The commission was estab
lishecl iriT950in "an" attempt to
increase cooperation between in
stitutions of higher learning in
the West. It is made up of repre
sentatives from 10 western
states and Alaska.
Oregon's other representatives
on the commission are Dr. John
R. Richards, chancellor of the
state system of higher education,
and former State Senator Lowell
Steen of Milton-Freewater.
The commission has developed
an interstate exchange program
which makes it easier for stu
dents to cross state lines to take
advantage of specialized train
ing offered in other western col
leges and universities. It has
alsBundertaken surveys in the
est of the needs of dentistry
and mental health training re
sources and research.
Van Dyke was appointed to
the commission in 1955. He
served on the state board of
higher education from 1950 to
1953 and was a state legislator
from 1943 to 1949.
$76 Million Asked
For Drought Relief
Washington (U.R) Presi
dent Eisenhower asked Congress
today for a S76 million program
of emergency drought relief in
cluding direct government loans
to farmers.
His program was contained in
his annual budget message to
Congress.
r-.r
ought
$6 Million Asked
To Continue Work
In TID Project
Message Includes
Access Road Funds
By A. ROBERT SMITH
Washington President Eisen
hower asked Congress today for
$6,041,000 to carry on construc
tion of the irrigation works of
the Talent project.
In his annual budget message
he also asked for increased funds
for O&C forestry management
and access roads to increase
timber cutting.
The budget also contains
$101,000 for fish protective fa
cilities at Savage Rapids dam.
Progress Payments
Funds for Talent project work
in the fiscal year which starts
July 1 would provide for prog
ress payments on the first sec
tion of Howard Prairie delivery
canal and award of construction
contracts and progress payments
on second and third sections, as
well as the Ashland, East, and
Talent laterals.
Progress payments are also
scheduled on the Green Springs
power plant and related equip-ment-and
the award of a con-
ct for the Cascade Divide tun
nel and inlet structure.
The program also provides for
the completion of rights-of-way
acquisition for the Howard Prai
rie dam and reservoir, partial
clearing of the reservoir area,
continued relocation of county
and forest service roads and
progress payments on the prime
contract for the Howard Prairie
dam.
. Completion of field data and
preparation of designs and speci
fications is programmed for the
Emigrant dam and reservoir.
The prime contract for this fea
ture is scheduled for award late
in the fiscal year.
- Progress payments on Utte
prime contract for Keen creek
dam and reservoir are also
scheduled, as is the relocation
of existing property connected
with this feature. Payments are
also programmed on the 0.7-mile
tunnel of the south fork collec
tion canal. Field data will be
compiled and clearing of right-of-way
is programmed for the
Daley collection canal. A con
tract is. scheduled for award
during the fiscal year on the
Dead Indian collection canal.
Contract progress payments
are programmed for the Green
Springs power plant switchyard, ;
as is a portion of the cost of the
fish screens at Howard Prairie
dam and the purchase of main
tenance equipment.
Budget Jacked Up
Bureau of land management's
forestry management budget has
been jacked up to $5,374,700
from $3,981,000 this current
year.
"The 1958 program will per
mit selling 920 million board
feet of timber having a stump
age value of $29,300,000 com
pared to 820 million board feet
in 1957 having a stumpage value
of $27,000,000. An expanded
program of reforestation will be
undertaken," the president's
message said.
O&C access road funds would
go up to $6,500,000 from $4,
600,000 to result "in more tim
ber becoming available on the
market." This money is repaid
the government by the O&C
counties.
Another recommendation
which may affect the lumber in
dusty was a request that inter
est rates on GI home loans be
increased from 4 tc5 per cent
to match a similar increase in
FHA rates two months ago.
Lumber trade officials here have
urged this, saying it would stim
ulate new housing starts by eas
ing the tight mortgage money
market.
Housing Sought for
Hungarian Refugee"'
The First Presbyterian church
is sponsoring a 20-year-old
single Hungarian refugee, but it
has been unable to locate a suit
able place for him to get room
and board at a reasonable price,
according to church officials.
The Hungarian is now in
Portland, where he arrived with
a group of other refugees. A job
in Medford has been arranged
for him by the church, but he
will not arrive here until ade
quate housing has been arranged,-
officials said.
Anyone who has adequate fa
cilities to board of refugee has
been asked to call Mrs. John
Kenson at 2-5642.
TAX REDUCTION
HOPES DASHED
Washington (U.R) President Eisenhower today proposed a
$71.8 billion spending budget the biggest ever in peacetime
America.
He said three-fifths of this huge amount is necessary to provide
U.S. and allied strength "to deter and, if need be, to defeat aggres
sion" in this still uncertain world. ,
He ruled out any general tax cut this year despite a small pro
jected surplus. He asked for higher postal rates.
The President's Secretary of Treasury, George M. Humphrey,
emphatically called for reduced spending and tax cuts in future
budgets.
If this isn't done, "we'll have a depression that wll curl your
hair," said Humhprey without committing himself to any definite
time element. He held out cautious hope that tax cuts could be
started next year.
Humphrey made it plain to
reporters that the record spend
ing proposed in the new budget
for 1958 was distasteful to him,
although he went along with it.
The official budget itself was
presented to Congress with a
message from the President,
which was read by clerks.
The Eisenhower budget was
studded with records for spend
ing exceeding those of peace
time Roosevelt and Truman
years for U.S. armed forces
($38 billion), for farm programs,
for atomics and others.
In Black for Third Year
His new budget for fiscal 1958
was in the black for the third
straight year. The surplus of
revenues over spending was
estimated at $1.8 billion for the
new year starting next July 1.
But to help check inflation,
Mr. Eisenhower said, the sur
plus must be used further to re
duce the federal debt which now
stands at $275.7 billion.
"The prospective budget sur
plus in the fiscal year 1958 will
reenforce the restraining effect
of present credit and monetary
policies," he said in a new
warning of inflation dangers.
Mr. Eisenhower asked an in
crease of $654 million in postal
rates. His budget message did
not give any details, but they
were sure to include one or two
cents more for a first class
letter.
Congress turned down such a
request last year. His chances
were considered better for get
ting it this year.
Of the total spending, about
six-fe'nths-$45.3 billion would
be for national security, includ
ing military and economic aid
to U.S. allies. U.S. armed forces
would get $38 billion. These pro
grams, he said, will "provide a
wise and reasonable degree of
protection for the nation."
In addition to the big defense
budget, Mr. Eisenhower called
for the highest spending ever on
atomic energy and farm pro
grams. Atomic energy funds
were hiked by $400 million to
$2.3 billion for military and
peaceful purposes. Agriculture
spending was increased by $300
million to $5 billion.
Sizeable increases also were
asked for veterans benefits, im
proved air safety and develop-,
ment of natural resources.
School Plan Telescoped
Mr. Eisenhower telescoped his
five-year $1.2 billion school con
struction program into a four
year plan. It died in Congress
last year because of the segre
gation issue. He estimated spend
ing next year on school construc
tion at $185 million if Congress
now agrees to start the program.
All these things, and more,
pushed the total spending esti
mate up $2.8 billion over the cur
rent fiscal year.
About seven-tenths of the in
crease went to the military. It
resulted largely from the high
cost of "new and more powerful
weapons" such as guided missiles
with atomic warheads. The mis
siles budget rose from $1.5 to $2
billion.
Mr. Eisenhower said U. S.
military forces also must be
equipped with conventional
weapons during the period of
switching to the new ones.
The military funds were di
ided: $17.5 billion for the Air
Force, $10.3 billion for the Navy
and $9.1 billion for the Army
all to maintain them as a "bul
wark for world peace and secur
ity." To Push Development
The President made clear that
the development of atomic and
hvdroeen weapons will be
Lptlsned until an ironclad disarm
ament agreement is reached with
Russia.
"Our nuclear weapons and our
ability to employ them," he said,
"constitute the most effective
deterrent to,an attack on the free
nations.
"We shall continue to expand
our nuclear arsenal until an
agreement has been reached for
reduction and regulation of arm
aments under safe-guarded in
spection guarantees."
The whole 1958 budget stacked
up against 1957's like this:
in billions
1958 1957
Receipts $73.6 $70.6
Expenditures 71.8 68.9
Surplus 1-8 1.7
While proposing record-spend
ing, Mr. Eisenhower emphasized j
the importance of government,
business and labor doing their
utmost to curb inflation.
Government can do its part by
practicing all possible economies
and deferring a tax cut, he said.
For this reason, he said, he
recommended against some "de
sirable construction projects."
No Tax Relief This Year
While taxes "must be retained
at the present rates," he said.
Congress should consider- some
tax relief for small business
"with a minimum loss" of fed
eral revenue.
Decreases in tobacco, liquor.
auto and corporation taxes
scheduled for April 1, he said,
must be postponed for another
year.
Stating that his revenue esti
mates were based on continued
Tax Dollar Sliced
Under Ike's Budget
Washington OJ.R) Here is
where your tax dollar would
go under President Eisenhow
er's fiscal 1958 budget:
National Security: 59 cents.
This includes the military,
aid to allies, atomic energy.
Interest on federal debt: 10
cents.
Veterans benefits: 7 cents.
Agriculture: 7 cents.
Debt retirement: 2 cents.
All other programs: 15
cents.
And here is where the
budget dollar . would . com .
from:
Individual income taxes: 51
cents.
Excise taxes: 12 cents.
Customs and other receipts:
8 cents.
prosperity, Mr. Eisenhower said
"the prospect for continued
economic growth is bright."
The current prosperity was
reflected in an increase of $828
million in 1957 revenue over
the August estimate. It resulted
mainly from increased receipts
from'the personal income tax.
Mr. Eisenhower's budget mess
age included a number of legis
lative recommendations.
It proposed that the interest
rate on veterans' home loans be
increased from four and one-half
to five per cent in an effort to
induce investors to 'make more
money available for such loans.
It asked Congress to approve
a natural gas bill similar to the
one Mr. Eisenhower vetoed last
year because of what he called
''arrogant" lobbying for it. The
bill would ease federal regula
tion of gas producers.
Statehood Recommended
The president also recom
mend statehood for Alaska and
Hawaii, additional federal
judges, a new corn acreage pro
gram, authority to barter farm
surpluses to Iron Curtain coun
tries, easier credit for small busi
ness, and lowering of the voting
age.
(See stories on page 5)
1,109 Children Given
Polio Shots Tuesday "
A total of 1,109 children re
ceived Salk anti-polio vaccine
yesterday under the Jackson
County Medical Society's free
Vaccine Schedule
Thursday. Jan. 17, 9 a.m.
until noon: Ruch school, Evans
Valley school, Roosevelt grade
school, Medford; Walker grade
school, Ashland; Elk-Trail
school.
vaccine program, according to
Dr. ' A. Erin Merkel, county
health officer. Coupled with 802
on Monday, 1,911 were vaccin
ated in the first two days of the
program.
At Phoenix yesterday 101
school students were vaccinated,
with 13 pre-school children; Gold
Hill had 138 students and 43 pre
school children; Medford Senior
high school had 409 students
and five pre-school children, and
Rogue River had 300 students
and 50 pre-schoolers.