sly
Sabiiceol
Budget
.
Lv V A 1
w .... K .y,4W.., -wmmwi" i r.
PHOMOTE PROJECT Members of Girl for several months. Members (from left to
Scout Troop 198, Griffin Creek, have been right) are Maureen McNeil, Carole Leon,
planting bulbs and "beautifying" the area Shirley Romanchuk, Karen Hugdahl (with
near Kennedy's Union Service Station on shovel), Pamela Hampton, Lorraine Le
South Riverside ave. as their part of the Faive, Sharon Hugdahl, Chris Killmgsworth
"Make Medford Beautiful" program. The and Teresa Merritt. Standing at left is the
troop has been busy working on the plots troop leader, Mrs. Richard Foy. . .
Mikoyan in Angry
Verbal Exchange on
Issues of Cold War
Washington (DPD Soviet
Deputy Premier Anastas I.
Mikoyan's sweetness-and-light
visit to the United States
blew up today in an angry
exchange of cold war charges
with the government.
Mikoyan declared in a Na
tional Press Club speech that
the U. S. is completely rigid
In its "cold war .position."
"We all realize that the
cold war is the prelude-or
may be the prelude to a hot
war," he said.
Angry Exchange
The Kremlin's second in
command made the- state
ments following an angry ex
change with the State De
partment. Mikoyan said after a 45
minute meeting with C. Doug
las Dillon, undersecretary ;of
state for economic affairs that
the State Department is con
ducting a "cold war" that af
fects world trade."
The department immediate
ly issued an equally angry
retort that Mikoyan was
abusing U. S. hospitality by
making "fatuous" remarks
about the government.
Mikoyan broadened his
charges in his Press club
speech.
He said the U. S., with the
apparent backing of its allies,
remains unwilling to reach
agreement with the Soviet
Union on cold war jssues.
Americans Want Peace
The Soviet leader said on
the eve of his return to Mos
cow that talks with Ameri
cans generally led him to be
lieve the country wants
peace. But, he said, the gov
ernment "still remains on the
old cold war position."
He said his talks with Presi
dent Eisenhower, Secretary
of State John Foster Dulles
and other U. S. officials were
"pleasant, friendly - and use
ful exchanges."
But "when it came to con
crete, specific matters, it was
Indicated that the bipartisan
policy, shared by the allies,
remains unchanged," Mikoy
an said.
State March
Attack Made
Portland-Donald Ostensoe,
state March of Dimes chair
man, answered an attack on
the National Foundation by a
local weekly , labor publica
tion as "completely opposite
to the national AFL-CIO en
dorsement of the organiza
tion, based on falsehoods and
nartial information and de
liberately planned during
January to hurt the March of
Dimes." , '
He answered the editorial
appearing in the Oregon La
bor Press, an independent
publication serving the Mult
nomah AFL-CIO, saying,
"This assumes serious pro
portions in that it jeopardizes
the total program of the Foun
dation in this state and was
deliberately planted for this
purpose." . -
Opportunity Welcomed
George Meany, president of
AFL-CIO wrote all affiliates
last November, , "The AFL
CIO again welcomes the op
portunity to endorse the 1959
March of Dimes campaign.
We are happy that we have
been able to participate in a
program which has resulted
in such decided victories over
a crippling disease that trou
bled mankind through the
ages. The March of Dimes has
not only made available polio
protection for our nation's
school children; it has pro
vided and continues to pro-,
"
"Let us hope," he said,
"and those who believe in
God pray, that neither our
country nor your country will
suffer from a new war that
would be more terrible than
anything in history."
Mikoyan obviously was up
set by the refusal of Dillon
to offer' concessions on the
issue of U. S.-Soviet trade,
which Mikoyan wants to in
crease.
He emerged from Dillon's
office and told newsmen that
"the cold war in the State
Department is still going on
and it affects foreign trade.
Aufo Fire Believed
Caused by Gas Thief
An automobile was de
stroyed by fire Saturday
night on Dead Indian rd. 'ap
proximately one half mile
from Highway 66 after a thief
apparently tried , to siphon
gasoline from the car's gas
tank, state police report. ,
The car was operated by
Mrs. Alonzo E. Alexander, 33
Front St., Medford, when the
vehicle stalled. She walked to
the house of a friend to sum
mon help and upon returning
discovered the car in flames.
Police said that a five-gallon
gas can and remains of a
piece of garden hose . were
found near the vehicle. The
fire apparently broke out
while the gas was being taken
and the thief fled, they theo
rized. Also reported discov
ered in the area was a fresh
cigar wrapper.
The burning car was first
reported to Ashland city po
lice by Richard Freese, 19, of
Roseburg, who was visiting a
friend at Southern Oregon
college. Ashland police noti
fied state police officers.
Washington - (UPB -The
General Service Administra
tion has signed a deed trans
ferring the Yamhill lock and
surrounding property to Yam
hill county, Ore.', for recrea
tional purposes.
of Dimes Head Answers
by Oregon
vide millions of dollars in pa
tient care to union members
and their families stricken
with polio."
Ostensoe said, "Certainly,
no informe dperson'could call
the polio threat 'conquered'
with more than 40 million
Americans under 40 years of
age still not having had a sin
gle shot of the Salk vaccine.
There have been nowhere
near enough people vaccinat
ed to prevent recurrence of
such epidemics as that in De
troit last year."
Ostensoe pointed out that
virtually all the independent
health agencies, with the ex
ception of heart and cancer,
came to the National Founda
tion asking help with their
campaigns and organization.
Nationally the State Gover
nors in convention passed a
unanimous resolution appeal
ing to The National Founda
tion not to disband its chapter
organization of hundreds of
thousands of volunteers, but
rather attack other major un
met health needs for the total
health and welfare of the na
tion. Prolonged Survey
"Rather than jump off into
a new program based upon
emotional consideration, the
Foundation conducted a pro
longed survey and study in
depth to determine whether
to continue or disband. Two
i mi iiiEmiiiirMiimifflimillirw"
Annual Meeting
Of YMCA Planned
Tuesday Evening
Dr. Robert F. Anderson, Sa
lem, chairman of the North
west Pacific YMCA area
board, will be speaker at the
annual meeting of the Med
ford YMCA tomorrow eve
ning.
The meeting, including elec
tion of directors, will start at
7:30 p.m. with a dessert and
social period. The business
meeting will start at 8 p.m.
with Carl Brophy presiding.
Dr. Anderson served pnvari-
ous area YMCA committees
and in 1954 was a delegate
international assembly in
Paris? France. 1 -
At the meeting Tuesday rec
ognition will be given volun
teers who have given out
standing service to the YMCA.
Plaques will be awarded
them.
. Mrs. Scott Wickersham, sec
retary of the YMCA board, is
in charge of arrangements.
- More than 500 persons at
tended the YMCA's open
house Sunday, according to R.
L. Jones, secretary of the lo
cal association. Visitors tour
ed the building and watched
activities of various Y pro
grams.
- Music was provided during
the afternoon by students of
Mrs. Darell Huson and the
junior high school music de
partment. Dr. and Mrs. Frank
Wilson were in charge of the
social arrangements. Clifford
McGinty is chairman of Y
week activities.
Light Snow Falling
In Several Areas
Salem-TOPD-The State High
way Department today re
ported light snow falling in
several areas with heavy snow
at Willamette . pass .'and at
Meacham between Pendleton
and LaGrande. Willamette
pass had six inches of new
snow and Meacham one.
Portland (DPD Army en
gineers said a main generating
unit at The Dalles dam with
an installed capacity of 78,
000 kilowatts has been placed
in service.
Labor Press
major "nationwide studies
were made in 1953 and 1954
by the American Institute of
Public Opinion at Princeton
and the Bureau of Applied
Social Research at Columbia
university," Ostensoe said.
: "The further the studies
progressed, the more appar
ent became the demand that
the National Foundation turn
its full strength to patient aid,
medical - scientific research
and professional education in
the fields most closely related
to their background, experi
ence and personnel.
Expansion Announced -
"As a result we announced
the expansion of our program
to include arthritis and rheu
matism and birth defects. As
the scope , of this problem is
known to the public, the pres
ent neglect. and the possibili
ties through the March of
Dimes, I am certain that the
public's mandate will be re
flected by greater than ever
support of the March of
Dimes." -
Ostensoe reported receiv
ing many calls from March of
Dimes volunteers, supporters
and contributors as well as
union people, denouncing the
labor paper's statements and
emphasizing their continued
support of the March of
Dimes and its new expanded
program.
More Thaim
By A. ROBERT SMITH
Mail Tribune Washington
Correspondent
Washington - President Ei
senhower's proposed annual
budget for the fiscal year
starting next July 1 contains
$2,747,788 for continued con
struction of irrigation works
in the Talent division, Rogue
river basin project.
This amount will make the
project 86 per cent complete,
the bureau of reclamation re
ported. Reservoirs and collection
and delivery canal facilities in
the higher eastern portion of
t Price 10 Cents
Medford
16 Pages MEDFORD, OREGON, MONDAY, JANUARY .19, 1959 No. 258
Truman Cautions
Against decent
Crop off Tourists
By HARRY S. TRUMAN
North American
Newspaper Alliance, Inc.
Copyright, 1959, -By
Harry S. Truman
(Reproduction of this article in
whole or in part is forbidden
without written authorization.)
I hope that the recent crop
of diplomatic tourists does not
get us into more complications
at a time when the free world
is trying to find how to deal
with the Communist world.
Those of our own people
whether they travel to Mos
cow or whether they have
been hosts to Mikoyan here
in this country-must ; under
stand that they have no re
sponsibility for the shaping
of American foreign policy.
I am particularly disturbed
by the eagerness displayed
by some of our leading indus
trialists and financiers . to
shower the visiting Soviet
deputy prime minister with
solicitous attention and social
glamour resulting in pressure
on the White House.
Considerable Difference
There is considerable differ
ence between negotiations by
governments and the probing
by individuals for some kind
of a deal.
I am all in favor of negotiations-no
matter how trying
to our patience-with anyone
currently in power in Russia,
be he Khrushchev, his deputy,
or anyone else.
We have had many long
and exhausting talks with
Stalin, Molotov, Gromyko,
Bulganin, . Zhukov, Khrush
chev and others, but up to
now these talks have been
futile as far as reaching even
a working basis, much less
a peaceful accord, with the
Two Men Injured
In Aufo Accident
Two men seriously injured
in a traffic, accident near
Phoenix Saturday night were
reported in good and fair con
dition in Rogue Valley hos
pital this morning.
Injured in the two-vehicle
accident were Robert Nail,
Camp-U-Rest, Phoenix, and
Gary Leroy Straus, box 362,
Talent. Nail was reported in
fair condition by the attend
ing physican. He is suffering
from a crushed chest, several
broken ribs, a punctured lung,
scalp wound and concussion.
Straus has a broken arm,
multiple cuts and bruises and
concussion, the doctor said.
State police said Nail was
apparently attempting to
enter the South Pacific high
way to head south when he
pulled in front of the car
driven by Straus. Straus hit
Nail's pickup truck broadside,
officers said. Force of the col
lision threw Nail into a ditch
on the west side of the road.
The pavement was slippery
from the rain, officers added.
Both cars were damaged be
yond repair and had to be
towed away.
A car driven by George
Walter Moore, 22 of . 129
Wightman st., Ashland, had
halted at the scene of the ac
cident as . directed by state
police when his car was struck
from behind by Charles Lee
Skeeters, 62, of Prospect.
Skeeters was cited for viola
tion of basic rule.
the project will be completed.
The 16,000 kilowatt Green
Springs power plant will be
completed and first supple
mental irrigation water de
livery will begin early in
fiscal year 1960, presumably
in mid-or late summer of this
year.
Nearly half of this budget
request is to continue con
struction on Emigrant dam
and related saddle dikes, and
to complete relocation of prop
erties in its reservoir basin.
Active construction of irri
gation distribution works will
changing figures in the
Kremlin.
The Kremlin has used all
these talks to feed its propaganda-
mills. - ,
Complicating Matters .
The situation with regard
to the establishment of peace
is, in reality, very simple. But
the Russians and the Chinese
insist on making matters com
plicated.: And I must say that our
diplomatic tourists and some
of our industrial leaders have
been of little help in clearing
the air. Diplomacy by press
interviews, special audiences
or fishing " expeditions " can
only compound an already
complicated situation.
(Continued on Page 16)
Centennial Events
Open in County
With Dinner Held
First of the county's Ore
gon centennial ' celebrations
was held at Upper Applegate
Grange hall Saturday night.
The dinner and dance, plan
ned by the Applegate Centen
nial committee with the help
of seven Applegate valley or
ganizations and schools at
tracted about 200 persons, in
cluding many from Medford
and other parts of the county.
A group of native sons and
daughters attended as honor
ed guests. Oldest of these was
Caloris (Val) Haskins, 88, who
was born near the Applegate
in 1871, son of a pioneer
couple who crossed the plains
in' 1852 by wagon train.
Among others honored were
his wife, Mr. and Mrs. Bert
Clute, Mrs. Mattie Buck, Wal
lace Haskins, Medford; Ernest
McKee, Jim Winningham,
Earl Bostwick, . Leonard Mc
Kee, Mrs. Luella McKee Dun
nington, Mrs. Floyd MeKee,
Mrs. J. W. Bates, Medford,
Ray Offenbacher and Mr. and
Mrs. Rolland Smith.
Robert Sorber, chairman of
the Applegate Centennial
committee, served tas master
of ceremonies and introduced
the honored guests. Groups
cooperating with the commit
tee on the event, and their
representatives, were Upper
Applegate Extension unit,
Mrs. Edna Sawyer; Lower Ap
plegate Extension unit, Mrs.
Chester Kubli; Applegate
Grange, Mrs. Lance Offen
bacher ;Ruch school.a Boyd
Gibson; Applegate school and
Applegate Parent-Teacher as
sociation, Mrs. Elizabeth Hen
derson; Ruch Parent-Teacher
association, Harlan Cantrall.
WEATHER
FORECAST: Partly cloudy with
scattered snow flurries in moun
tains tonight and Tuesday. Cold
er. Low tonight 25. High Tues
day 38-40. TEMP.
Highest Yesterday . 54
Lowest This Morning 31
Prec. to 10 a.m. Today 02
Our Skies Tonight
Sunset today 5:08 p.m.
Sunrise tomorrow 7:36 a.m.
Moonset tomorrow 3.54 a.m.
Full Moon Jan. 24
PROMINENT STAR
Aldebaran, near the Moon.
VISIBLE PLANETS
Venus, sets 6:02 p.m.
Mars, high in
southeast . 6:09 p.m.
Jupiter, low in
southeast
Saturn, rises
.1 4:51 a.m.
6:17 a.m.
$2
TFolleirfl'fi Work
proceed on the diversion struc
ture for Phoenix canal, re
placement of distribution sys
tem structures, enlargement
of the existing Ashland and
East laterals, and construction
of a siphon on the West lat
eral. Construction of the Talent
lateral and of various sub
laterals will be initiated in
the spring of next year.
This year's budget, the
President told Congress, con
tains no funds to start new
projects. He said it contains
funds totaling $1.1 billion-an
53rd Year
Tribune
Bills Introduced
For Payment of
Jobless Checks
Salem (DPD Both the
. Oregon House and Senate,
acting with record speed,
today passed unanimously
and sent lo the governor an
emergency bill providing
stopgap action so the state
can pay unemployment and
welfare checks.
Salem (DPI Two bills
were' introduced in the Ore
gon House arid Senate today
to provide stopgap action so
the state can pay unemploy
ment checks and other bills.
The emergency action was
needed until the state Su
preme Court decides whether
Howard Appling Jr. or Dave
O'Hara is the proper secre
tary of state.
Arguments in the case were
set for 2 p.m. today before
the court. - . ' ' '
House Speaker Robert
Duncan, Medford, said he
thought the simplest bill was
the one suggested by State
Treasurer Sig Unander and
Fred' Paulus, deputy state
treasurer.'
Could Pay Money
It was introduced in the
House at the request of the
Committee on State and Fed
eral Affairs and provides that
the state treasurer, with legi
slative approval, may make
advances to the State Public
Welfare Commission and the
State Unemployment Com
pensation Commission to
The Medford Salvation
Army has offered lo give,
assistance to area families
who are directly affected
by the lack of unemploy
ment checks, Capl.' Wil
liam Ricken, commanding
officer, reported today.
Capl. Ricken said that,
the local Corps would as
sist in the purchase of
groceries and in some cases
the payment of rent and
utilities. He said that the
Salvation Army will con
tinue aiding these families
until compensation checks
are mailed by the slate.
meet emergency welfare
claims and pay unemploy
ment checks.
There have been no unem
ployment checks issued since
last Friday morning, the first
time such checks have stop
ped in the 22-year history of
the Commission.
Rules Suspended
Introduced in the Senate
was a bill by Sen. Monroe
Sweetland (D-Milwaukie) and
Reps. Ed Whelan and Ed
Benedict (D-Portland) to pro
vide unemployment pay and
state employee checks pend
ing the secretary of state de
cision. The rules were suspended
on both emergency bills and
they were placed on second
reading.
Sweetland got together
with the House committee on
State and Federal Affairs this
morning and amended the
Unander-Paulus bill so it
would run - until March 1
rather than Feb. 1.
Washington -(DPD Presi
dent Eisenhower said he in
tends to ask Congress to au
thorize the sale of the federally-owned
long-1 ine com
munications system in Alaska.
Mil
all-time high-for reclamation
and Army Engineers projects.
Over $80 million is listed for
dams on the Colba, Snake and
Willamette rivers.
Bureau of land manage
ment access road construction
will continue with $5,200,000,
most of it for roads on the
O&C timberlands.
Crater Lake National park
roads and trails will be im
proved with $91,200. Those
of Oregon Caves National
monument will be improved
with $36,500. Development of
the new Fort Clatsop park
will start with $105,000.
"Anything Special You
Recreation Areas
On Reservoir Tops
Would Prove Costly
The large, concrete-covered
reservoir on Capital Hill could
be used for recreational pur
poses if the city was willing
to finance proper surfacing,
City .Water Superintendent
Robert Lee said today.
But, he said, it would be
impractical to provide con
crete lids for the two smaller
reservoirs to be covered this
spring.
Lee announced last week
that bids would . be opened
Feb. 3 for covering the small
er reservoirs with timber
frame and aluminum roofing
structures. Estimated cost, he
said, was $95,000.
The covers are being pro
vided on a recommendation
from the state board of health,
Lee said last week. They
would assure protection from
pollution or such other haz
ards as the chrome bombs
thrown in one reservoir last
spring.
They would also stop
growth of algae, and reduce
the maintenance costs arising
from the scrubbing now re
quired to keep the reservoirs
clean, he explained. They
would eliminate as well the
future need for replacement
of the reservoir lining, which
would cost $30,000, Lee added.
Too Costly
"We considered recreation
possibilities of course," Lee
said today.
But it would cost about
$140,000 to provide the two
reservoirs with concrete cov
ers, he said. He explained that
since they were not built with
heavy covers in mind, they
would have to be reinforced
throughout ' before concrete
lids could be placed on them.
The large reservoir, he said
Fire Discovered in ,
McLoughlin School
A fire which started in the
furnace room at McLoughlin
Junior High school sometime
during the week end was still
burning in the ceiling when
firemen arrived shortly after
6:30 a.m. today.
Firemen said that the fire
apparently had started in the
sawdust hopper. It burned
eight 'feet of conveyor belt,
extended through the plaster
covered ceiling and damaged
the joists above in a 6 by 10
foot area.
The heating plant was un
damaged, according to fire
men, who said a janitor dis
covered that the fire had
occurred.
DDU
In addition to construction
funds for Rogue river recla
mation, the budget lists $200,-
000 for rehabilitation and bet
terment of existing works,
and $78,000 for operation and
maintenance.
Continued work on improv
ing Gold Beach harbor at the
mouth of the Rogue will be
done with $1,500,000.
Funds for forest service
roads and trails in national
forests were cut $2 million to
$24 million. This will mean a
reduction from 900 miles of
roads being built this year to
720 miles next year.
Were Looking For?"
last week, was covered with
concrete at the time it was
constructed, in 1946.
Its surface, he explained to
day, is rough with wide ex
pansion, joints. It would re
quire application of a smooth
er surfacing before it would
be suitable for recreational
purposes, he explained.
He added that if the addi
tional money needed to con
struct the concrete covers was
used for recreational facilities
that would be build directly
on the ground, it would pay
for an area times the
reservoir size.
Skating rinks and tennis
courts are two uses of reser
voir covers in other commun
ities. Lee also discussed possible
recreation uses for the pro
posed reservoirs on Barne
burg hill. These reservoirs,
on the north slope of the hill,
are to be "started from
scratch," he said.
He explained that if the
original planning for these
new reservoirs included using
their covers for recreation,
"We could get recreational
facilities at a reasonable
cost."
DOW-JONES AVERAGES
New York (DPD Dow
Jones final stock averages:
30 industrials 594.50, off
1.35; 20 railroads 166.57,
off 0.60; 15 utilities 92.42,
up 0.24, and 65 stocks
207.70, off 0.35. Sales today
were about 3,840,000 shares
compared with 4,300,000
Friday.
Demos Pick Los Angeles
As Site for Convention
Los Angeles - Civic and, Committee Feb. 27 in Washv
political leaders were jubi
lant today over the choice of
Los Angeles as the site for
the 1960 Democratic National
Convention.
They expressed hope that
the Republicans also would
hold their 1960 convention
here.
The Republican Site Selec
tion Committee began meet
ings today at Des Moines,
Iowa. A Los Angeles delega
tion was on hand to make a
bid.
Chicago Mayor Richard J.
Daley protested the Demo
crats' choice in Los Angeles.
He said he would personally
appear before the National
Higher Gasoline
Taxes, Postal
Rate Boost Seen
Mild Threat of
Increase in Taxes
Washington -(DPfi- President
Eisenhower today sent Con
gress a precariously balanced
budget of $77,030,000,000 de
manding higher federal gas
oline taxes and a new hike
in postal rates.
He requested an increase
in gasoline taxes from 3
cents to 4VS cents a gallon
and a $350 million boost in
postal charges, apparently by
instituting a five-cent stamp
for some letters.
These proposals, combined
with higher taxes on aviation
fuel and some other tax re
visions, would bring in $1,
356,000,000 of new revenue
in fiscal year 1960, which
starts this July.
No tax cuts were proposed.
On the contrary, there was
a mild threat of more general
tax increases, if the Presi
dent's goal of achieving a $70
million surplus in the coming
year should fade and the gov
ernment again goes into the
red. The current year's "recession-induced"
deficit was
estimated at $12,900,000,000.
The Democrats accused Eis
enhower of submitting a "po
litical budget" which has
little chance of being bal
anced. Republicans stood sol
idly behind the President's
proposal.
Warns of Tax Hike
Treasury Secretary Robert
B. Anderson told reporters it
"might prove to be neces
sary" to consider a general
tax hike if the Democratic
Congress should fail to give
Eisenhower the legislative
support he needs to balance
the budget, and if business is
good.
Eisenhower proposed to cut
spending by nearly $3,900,
000,000 below this year's fig
ure. He held the defense
budget at virtually the same
level as this year-nearly $41
billion- and ordered big re
ductions in outlays for agri
culture', foreign aid and hous
ing. Again and again In his
budget message he called for
state and local governments
to shoulder more of the costs
of services and lessen the bur
den on Washington, and for
more federal lending func
tions to be put in private
hands.
His chances of keeping the
budget balanced appeared
slim, however, on the basis
of Democratic attitudes in
Congress. For example, if
Congress failed to approve
the postal rate hike alone, it
would throw finances into the '
red.
Paint Bright Pictures
Both Eisenhower and Sec
retary Anderson painted
bright pictures of the econ
omic outlook.
"We are now entering a
period of national prosperity
and high employment," the
President said.
Anderson said the revenue
estimate of $77,100,000,000
for the coming fiscal year
was based on the assumption
that personal income would
climb from $353,500,000,000
in calendar 1958 to. $374 bil
lion this year, and that cor
porate profits would rise
from $36,500,000,000 to $47
billion.
On this basis, government
income was budgeted to rise
$9,100,000,000 over this year,
while spending was cut.
Budget Director Maurice
H. Stans told newsmen the
administration delib
erately held down the intro
duction of new programs in
what the President has called
"a breather in expansion."
(See Stories on Page 10)
ington and ask it to over-ride
the subcommittee on site
selection which gave Los An
geles the nod.
The subcommittee's choice
in the past has always been
followed.
First in History
Holding of the Democratic
convention here in 1960
would be the first time in the
city's history that a major
political party's national con
vention met in Los Angeles.
Politicians saw it as a
symbol of a variety of things,
including the possible elec
tion of Democratic Gov. Ed
mund G. Brown as his party's
presidential choice.