Herald and news. (Klamath Falls, Or.) 1942-current, January 16, 1961, Image 1

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Herald and news., January 16, 1961, Page 1, Image 1

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Newspaper Page TextCOIP. Eisenhower Budget Hits ime High; Predicts A $1.5 Billion Surplus U.Or ORE. LI 0-1 ART WASHINGTON (UPI) - Presi dent Eisenhower willed President elect John F. Kennedy a record peacetime spending budget of $80.9 billion tor fiscal 1962 today and strongly advised his successor gainst running the government "by credit cards." In his final budget message to Congress, the outgoing chief ex ecutive predicted a $1.5 billion surplus could be achieved in the fiscal year starting July 1 if pos tal rates arc raised again, if the gasoline tax is increased, if busi ness expands smartly. He held out no hope of a gen eral tax cut in the foreseeable future. . And he called for increased pri vate, state and local spending on activities which now "require a disproportionate or wasteful ex penditure of federal funds." Will Be Revised Eisenhower's budget will be re vised by Kennedy after the new President takes office Jan. 20. The extent of these revisions is not yet known, but Kennedy aides have been working in cooperation with the Eisenhower administra tion's Budget Bureau since No vember. The new Eisenhower spending program, $1.9 billion higher than the current year's estimate, con templates: , A $1.4 billion rise in defense spending, -with increased emphas is on missiles -and defenses against missiles. This would give defense a peacetime high total of $42.9 billion, biggest item in the budget. A $250 million boost for for- eign aid, raising the program to $3.6 billion, with greater emphas is on efforts in Africa and Latin America. Postal Rate Increase A $195 million increase for space projects, for a total of $965 million, more than double the I960 figure, with hope of rocketing the first American into -orbit this year. An improved economy, to pro vide added revenues to pay the increased federal bills. A postal rate increase of un specified nature and a half-cent WASHINGTON (AP) Your hare of President Elsenhow er'! new spending budget Is $436.83. That's the way the record outlay of $80.9 billion works out when divided by 18S.2 mil lion the estimated population next Jan. 1, midpoint of the 1962 fiscal year. The total Is $3.79 higher for every man, woman and child than the per capita cost of this year's $78.9 billion federal spending. There will be about 1 mil lion more Americans to share the load a year hence, but the budget total Is $2 billion higher. a gallon boost in gasoline taxes, to help balance the budget. Recognition of the so-called "dollar gap" in planning for U.S. expenditures overseas. Eisenhower hammered on the need for sound fiscal policies and on his confidence in America's economic position. He said he was: proposing a balanced budget be cause a surplus is needed "in good times" to make up for in evitable deficits in recession years. , Money Left Over With congressional cooperation, he said, there could be money left over in fiscal 1962 to make "an other modest payment" on t h e huge national debt. "This budget, like each of the seven which I have previously sent to the Congress, reflects the confliction that military strength and domestic advancement must be based on a sound economy, and that fiscal integrity is essen tial to the responsible conduct of governmental affairs," Eisenhow-i er said. He said his estimates reflected "expected gains in the national economy and provide for carry- ling programs forward in an ef ficient and orderly manner. "If, however, we deliberately run the government by credit cards, lmprovidently spending to day at the expense of tomorrow, we will break faith with the American people and their chil dren, and with those joined with us in freedom throughout the world," the President said. Here is how the Eisenhower budget for the government book keeping year that begins July 1 compares with estimated figures for the , current (19611 fiscal year: 1961 " Receipts Spending Surplus Receipts Spending Surplus 1962 $79,024,000,000 $78,945,000,000 $79,000,000 $82,333,000,000 $80,865,000,000 $1,468,000,000 Eisenhower said the estimated surplus of $79 million for the cur rent fiscal year is possible if Con gress boosts postal rales by April 1. Congress ignored an Eisenhow er proposal last year for a postal rate increase. Without the postal rale hike. Budget Director Maurice H. Slans said, the Post Office would run a deficit of $160 million April,! May and June, toppling this year's! budget into the red if everything' else goes as planned. ' Stans also expressed at a news conference the administration's view that the Kennedy camp has I been unduly negative about t lie 1 business situation. "A few state ments of confidence on the part of the next administration will do more for the economy than bil lions of dollars of fast spending," he declared. I "There are no deliberate anti recession actions in this budget," Stans added, because they are un necessary. He said the adminis tration, like Kennedy's advisers, was assuming business would climb in 1961 to $510 billion to $515 billion, compared to a rec ord $.i03 billion in I960. Democrats Skeptical In submitting his 1961 budget last year, Eisenhower had fore- WASHINGTON (AP) This Is where ynur federal lax dollar will go, under the fiscal 1962 budget: National security, 57 rents, Interest on debt, 11 cents. Veterans, 6 cents. Agriculture, 6 cents. Paying off debt, 2 cents. All other, 18 cents. And this Is where the budget dollar comes from: Individual income tax, 55 cents. Corporation taxes, 25 rents. Excise taxes, 12 cents. Other receipts, 8 cents. , cast a $4.2 billion surplus. But he said today that Congress cut $2 hillinn frnm tlm amnnnt hv on. lading spending measures and re fusing to raise postal rates. Low er corporate profits cut lax rev enues and further bit into the sur plus. , ' Eisenhower's optimistic apprais al of the economy was backed in a statement by Treasury Secre tary Robert B. Anderson. The cabinet member said that even though Industrial production and employment declined in calendar I960 the economy would "advance lo markedly high levels" this year and the budget was pegged accordingly. The incoming Kennedy adminis tration and Democrats in control of Congress disagree or at least are skeptical about any such rosy outlook. Their own viewpoints will temper final action on spending and tax proposals. Other budget proposals: Finances: Extend corporate and excise tax rates beyond their scheduled reduction or termina tion on July 1; provide "equitable taxation" of cooperatives; tem porary raise the temporary debt limit of $293 billion scheduled to expire June 30. Government Reorganization: Establish a new department of transportation: strengthen the po sition of chairmen of the Inter state Commerce Commission, Federal Communications Commis sion, and National Labor Rela tions Board; put civil water re sources functions under consoli dated control. Civil Defense: Enact legislation to require "appropriate (radioac tive) fallout shelters in certain new private construction where the federal government provides some form of financial assist ance." Labor and Welfare: Extend coverage of unemployment com pensation system to three million additional workers; extend cover age of Social Security's old-age and survivors insurance system to federal civilian employes and to physicians: broaden the existing voluntary federal state programs of medical aid for the aged. ! The- Day s km By FRANK JENKINS As required by law and cus tom, outnoina President Eisen hower sends to the congress the following budget estimates for the fiscal vcar of 1962. which will end on June 30, 1962; 18 months hence: Income $82,333,000,000 Expense $80,865,000,000! Surplus $1,468,000,000 For the current fiscal year, vhich will end on June 30. 1961, approximately five months hence, he foresees income, expense and surplus as follows: Income $79,024,000,000 Expense $78,945,000,000 Surplus $79,000,000 (According to law and custom, Incoming President Kennedy won't submit a budget of his own this year. But he will suggest piecemeal changes in the Eisen hower budget.) Some more figures, based on these estimates: At the end of this current fis cal year, which comes on June 30, the national debt will be $284,900, 000,000. At the end of the NEXT fiscal year (which will come on June SO, 1962) the national debt will be $283,400,000,000. Which is lo say: At the 1961 rate of 79 million dollars a year, it would take us S.075 years to pay off our na tional debt. - But- At the rate of the 1962 fiscal year (which is estimated to yield a surplus of $1,468,000,000) it would take us only about 195 years to pay off our national debt assuming, of course, that in these intervening years we didn't! get extravagant and run up a big deficit. So- You see ' WE'RE MAKING PROGRESS. ; If we could keep on doing as well as Ike HOPES we may be able to do in 1962. we could be out of debt in less than 200 years. In conclusion, in order to keep eur spirits up and our faith in the future alive, lei's fall back on Mr. Micawbcr's recipe for happiness, as set forth in Dickens' immortal David Coppcrfield: "Annual income twenty pounds, annual expenditures nineteen, nineteen six, result HAPPINESS. Annual income twenty pounds, an nual expenditure twenty pounds ought and six, result MISERY." Weather Klamath Falls and vicinity Partly cloudy with patchy morn ing fog Tuesday and a few light showers. Highs 45-50; low tonight 18-24. High Sunday 43 Low last night 18 Precip. past 24 hours Since Oct. 1 $.60 Same period last year 1.69 Price Tea Cents 12 Pages KLAMATH FALLS. OREGON. MONDAY, JANUARY 16, 1961 Telephone TU 4-8111 No. 6585 Wenlher Mt. Shasta-Siskiyou area Cloudy with little temperature change through Tuesday; some rain probable Tuesday. Northern California Overcast la Central Valley through' Tuesday; general fog tonight; rain north of Fort Bragg and Redding Tuesday; mostly fair elsewhere, warmer Tuesday. M Mair m mm Collars o 11 ! La AWARD WINNERS at the annual dinner of the Klamath Reservation Jayeees Satur day night were, left to right, Hiroto Zakop, Key Man Award; Dale Williams, Jaycee of the Year; William T. (Timl Hess, Outstanding Young Farmer; Bill Norval, Junior First Citizen and Mrs. Flavia Yates, Senior Citizen. The awards were presented at the dinner in the Masonic Hall, with, more than 200 in attendance. I 1 : ' ' : !:..-- - ... t . .., : I I I. '-w -ow' I ' Tft -ifi-niii-ir in i f 1 I Six-Story-High Platform Toppled By Winter Storm NEW YORK (AP) - Cryptic un derwater sounds hinted today there may he survivors trapped beneath the sea in compartments of a storm-wrecked Air Force ra dar tower. DIGNITARIES and Jaycee officials participating in the sixth annual Reservation Jay cee award dinner Saturday night seated at the head table were, left to right, Mr. and Mrs. Irwin Crume, Mr. and Mrs. Layton Hoback, Dr. Cliff . Robinson, speaker, . Mr, and Mrs. John Plouffe. Mr. and Mrs. Ron Harrison, Mr. and Mrs. Luther Sherior and Rev. Fr. Simard. Plouffe was master of ceremonies of the event. Harrison is pres ident of the Reservation Jaycee chapter. . Reservation Jayeees Pick Five For Service Awards ! Presentation of awards to Klam ath Reservation Jayeees was the highlight of the sixth annual dis tinguished service awards banquet in Masonic Hall, Chiloquin, Sat urday night. Principal speaker for the event was Dr. Cliff Robinson, Klamath County superintendent of schools. Honored at the banquet were Hiroto Zakoji, Jaycee Key Man; Dale Williams, Jaycee of the Year: William T. Hess, Outstand ing Young Farmer; Bill Norval Red Forces Move Ahead Castro Forces Trigger Attack On Rebels The responsible citizen will be dedicated. He will examine the rights, privileges and responsibill ties of living in a democratic so ciety as he has never examined them before. He will believe in our form of "government and our institutions. j goSTON (AP)-An angry crowd Jaycee resident Hon Harrison estimated by police at 10,000, hurl ing eggs and tomatoes Sunday ripped a swastika off George Lin- Nazi Style Pickets Throwing Target HAVANA (UPIi A govern-1 oral days of "softening up" of the mcnt force of 30,000 men, be-: rebel stronghold in Las Villas lieved led personally by PremierjProvince by a massive array of Fidel Castro, was reported baltl- artillery, mortars, ing heavily-armed rebels in thelolhcr weapons, the sources said. presided at the dinner, which had John Plouffe as master of cere monies. First vice president of Reservation Jayeees is Bill Nor val and second vice president is Junior First Citizen Award, and i David Northup. Dr. R. I. Kerwood . VIENTIANE, Laos (UPl'-Five1 days of rocket strikes by Laotian government pilots in U.S.-sup- plied planes have failed to halt the advance of pro-Communist forces in the strategic Plain of Jars region, informed sources said today. Mrs. Flavia Yates, PTA Senior First Citizen Award. Making the presentations were Ron Harrison, president of the Reservation Jay eees; lrwin uume, punier aiici ier and Cordelie Hoback. In his talk, "A Time of Oppor- tunity, Dr. Robinson oumnea the human values mat c o u i a is secretary and Dale Williams is treasurer. Plouffe was 1959 presi dent. coin Rockwell, self-styled "fuehr er" of the American Nazi Party, and routed an attempt by him and four "storm troopers" to ' picket a downtown movie. In Chicago, a group of pickets , allcScd subversive activities wearine armbands and calling I several years ago. Harrison lauded aKoji a n a themselves the Fighting American the city with a police escort. The Chicago pickets said they were protesting the hiring of Dal ton Trumbo to write the screen play for "Exodus." Trumbo was one of a group of screen writers who refused to answer certain Escambray Mountains of central Cuba today lo keep the insur gents from culling the island in half. Peasants were moved out of the bombardment area beforehand. The government force was be lieved one of the most formidable Reliable sources said Castro assembled by the Castro regime was throwing a full force against the estimaied 4,000 rebels led by questions of a Senate investigat ing committee during a hearing Nationalists were escorted away from a Loop theater by police af-l ler scuffling wilh patrons. Police 'dispersed a crowd estimaied at make this world a better place 1959 winner, and the Junior First in which to live. "We have noNton Award was made by Lu learned how to be cremated to getherisn't it time we learned to live tocether?" he asked. Williams for their contributions to Jaycee work and special ac tivity the past year. Presentation of the Young Farmer Award was made by Irwin Crume, who was: 200 Both theaters were showing the same film, "Exodus," a story of the Jewish migration to Israel and the establishment of the Jew- Dr. Robinson outlined the re-;jic H0back ther Sherier, 1959 winner. Presen tation of the PTA Senior Citizen Award was made by Mrs. Corde- quirements of the type of individ- Harrison expressed the appre ciation of the Jayeees to people of the community who had con- irikntnrt time offnrt anri mnnpv to the programs of the Jaycees.jp!'olclv Reports fiom the region said the, ual that is needed to tultill nis Pathet Lao rebels were continuing i responsibilities to mankind. He to push into government territory listed: from the plain, which has been in He will be a person who is will- rebel control for some time. ing to accept changing conditions. Klamath Falls Jaycee President Pro-Communist units were said Since everyone of us is constantly j0hn Heilbronner extended birth to be especially active in the Nam subjected to a rapid tempo of day greetings to the Reservation Nhiep Valley where they drove change in almost every facet efuni( and presented a large birth povernme.it forces out of Ta life, it is imperative that we adapt day ca(ei He also presented to Viang four days ago. Ta Viang ourselves to changing conditions Harrison several birthday grect- leaa useiui ana inp.s and a copy ot tne boon "Young Men Can Change The World," the Jaycee story. Pope Names 4 Cardinals Maj. Evelio Duque lo block a re ported plan to land an "opposi- dicrs who have received special tion government somewhere in training. eastern Cuba. Both sides were reported to have suffered casualties, but no figures were available. The all-out effort followed sev- NEW YORK (API-Battered by a howling winter storm, an Air Force radar tower collapsed and disappeared with 27 men aboard in heavy seas 80 miles southeast1 of New York City Sunday night. Rescue ships and aircraft raced lo the scene, but found no sur vivors from the six-story'-hiBhl structure thai was part of the Air Force s cany warning system. A mattress, , a life ring, an oil slick and debris were the only clues to the tragedy. ' The first hint, that the 14 Air Force men and 13 civilian work ers were in trouble aboard tne structure called a Texas Towerj came at 7: 15 p.m. when a Navy ship picked up a distress signal. The vessel, the "Talk-17," a Navy ship that supplied the low er, was only 12 miles away when it received the "May Day" . or. SOS. For 10 suspenscful minutes,' the ship fighting high winds and 35- foot waves maintained radar and radio contact wilh the doomed tower. Suddenly, Ihe tower's ra dar image disappeared. There were two life boats at the tower and searchers hope sur-i bazookas and vivors were able Id escape. The aircraft carrier Wasp, ac companied by two destroyers, was about 80 miles from the scene The big flattop took charge of rescue attempts as Coast Guard cutlers and other ships joined the search. Two Coast Guard planes and: helicopters from the Wasp man aged to take to the air early to a large amount of debris" about nine miles from the tower site. Ironically, the tower was under repair because of another storm Hurricane Donna when trag edy struck. The hurricane last September had severely damaged the 8,000-lon tower, forcing the Air Force to evacuate most of the 90-man complement. But for that, the tragedy could have been worse. UH Officials ish slate. VATICAN CITY (AP) - Pope I TnKn VVflT AmU r lUr, Rockwell, of Arlington Va., andjCo flf Cardinas mct in secret his companions were led away js, tod (Q c,evalc Arch. Ilinm , nil n - i -In flnnr nt I ho I lin-l. . " ....uup. 3..o bjsh j h j. RUer o( S( ter, taken to a police station in , . ,. , .. . laics to the Roman Catholic from Russia and other Commu nisi bloc nations, and the hundreds of militiamen and sol-day when visibility - diminished by driving snow and sleet lifted somewhat and snow turned to There were reports that at least rain. 1,000 men with heavy equipment But flares dropped into dark had landed somewhere in south- storm-tossed waves showed only crn Cuba and had succeeded in a few traces of the $20-million linking up wilh Duque's forces, tower. The Wasp reported finding CongoTruce LEOPOLDVILLE, The Congo (UPI) United Nations officials negotiated today for the withdraw al of pro-Lumumba troops from northern Katanga province in an effort to defuse one of the mora explosive situations in the Congo. Reports from Stanleyville, cap ital of Oriental province and seat of power of the supporters of de posed Premier Patrice Lumumba, said Gen. Victor Lundula had agreed to talk about pulling hit forces out of Manono. About 600 ol his soldiers moved into the town, in northern Katan ga, last week and proclaimed a new state. Katanga provincial President Moise Tshombe sent armed reconnaissance plane against them on strafing mission Thursday. The United Nations got Tshombo to stop the aerial attacks while they tried to talk Lundula into getting the troops out. Ethiopian Gen. Mangasha Iyas- sou, chiet 01 stall ot u.N. lorces in the Congo, flew to Stanleyville Saturday and was reported to hava won preliminary agreement from Lundula and Communist-educated Antoine Gizcnga, once Lumumba's right hand man. custody and later placed aboard a New York-bound plane. No charges were placed against them. Church's princely ranks. Promptly at 9:30 a.m. Ihe warn ing announcement of "exeunt om At BootWay Harbor, Maine, ncs"ail eut-was sounded, and fs 20 miles south of Xieng Khou- if we are lo anc. 1 healthful lives. Government T6 training planes, all obsolete American models. He will be compassionate. That is will be compassionate in Quake Strikes strafed and rocketed rebel posi- things othr than materialistic. tinnc in iho Ta Vianff slionchold He will be tough. Here, Dr. Sundav to Irv to keen the Reds Robinson pointed out the ncees- from 'consolidating their gains. Isity of being tough morally as 11 nhvsicallv. He also point-! TOKYO (AP)-A mild urgents were constructing air'ed to the 'necessity of achieving quake was felt in downtown Tokyo Rockwell strips at Ta Viang, using a num- individuality - not necessarily ol for, one minute today, comedian George R. and (Doc: radio Rock Ihe massive doors of the Vatican Killer Winds Hit Atlantic Coasft; Snow, Freezing Rain Chock Boads well, a close friend of the lale Fred Allen, identified the Ameri can Nazi leader as his son, a for mer Maine artist and publisher. "He gels off on these things every so often," the father said Mounted police and foot patrol men battled the Boston crowd for, of Caracas, Venezuela, and Luis earth- more than an hour to rcscue.Concha Cordoba of Bogota, Co- Palace s Consistorial Hall were a massive air and sea search (or By United Press International jtrihutcd to the slorm. "the worst tide situation In 25 Gale-force winds with killer 1 State poiice in New York, Ncw'ycars." : strength hurled winter back onto Jersey and Connecticut urged mo- In the Pacific Northwest, snow- the North Atlantic Coast today, tonsts to avoid unnecessary trips, melting rains in the mountains ot Alona the New Jersey coast, res- Rain also made highways from western Washington posed a flood cuers fought rain sleet and fog in Florida through the Carolinas threat and Army ducks took 301 closed on the Dontiff and the card- 28 persons who vanished when a inals in Rome. Cardinal Ritter received his big- the Pontifical College. Two North Latin treacherous and a rain drenched 1 persons from homes in the upper curve near Ramscur, N.C., waslSkokomish River Valley. lictlo at American American archbishops elevated early warning delcnse system, coi-i today Jose Humbcrto Quinlero, lapsed Sunday night under winds that brought death as they lashed lonely Air Force radar platlorm blamed for a Iwo car collision that tonnlcd into the ocean 65 miles took five lives. . offshore. I Across the nation, ocean waves The tower, part'of the nation sisurging alon steadily rising lidcsjway. threatened 50 coastal homes in the; Bad weather cancelled plane The rains Sunday touched off dirt slides that demolished three homes and blocked a state high but and his companions. no: Rockwells snirt was lorn in me fcer of trucks. being a rugged individual nut a (damage or injuries were rcponca. For the first lime, the Laolian person who thinks and acts ac- The tremor struck at 4 20 p.m AlfAt- Murl.yl a Airnft nil Anp i pirH in 0 In Ihe dictates of his own 'Officials said it was centered in l.. "" " ........... ,L. .. D.nln. of the planes knocked out truck with a rocket. scuffling. lombia-wcre notified at the Pon tifical Latin American College. Ventura, Calil., area. About 200 volunteers battled inland with snow and freezing through the early morning hours rain. I to construct 10-foot seawalls and scheduled third day of conferences On land up to four inches of officials sought to have a disaster with President-elect John F. Ken flights In Palm Beach, Fla., Sun day and led Vice President-elect Lyndon Johnson Into an un 1 The fourth new cardinal is snow along wilh freezing rain area declared. nedy Meanwhile, President Eisenhow er, returning for his last week In . . iL- rt-..:l: Afr D.. mf.1 ' n, ii.a HnFnrA if ar-ritAl at IhAtha Bncnonrtf niipr in p I ppni exam- me rdLIUV uu vinua I Kiiiinum t,w,,v.t miun 1 n. ...... n. I , ' lination of an issue. least of Tokyo. Ithcatcr and was ordered out efLalin America A truck bearing IB olhcr Rock- Msgr. Giuseppe Ferrcto of Ihe chocked highways from Wash- Officials said Ihe rising waters well followers was intercepted bviVatican Curia, the secretary of ington, D.C., into southern New; were apparently touched off by an Pontitical Commission for England. Three tratlic deaths in earthquake that rocked Los An- the wnite tiousc, motored 60 mites metropolitan New York were at-geles Friday night and termed Itifrom Maryland 1 Camp David to Washington along snow-slick highways. The January thaw in the Mid west also brought problems. An Army reserve unit training near Buffalo, Minn., struggled to ex tract a pair of 50-ton tanks from 6-fect deep mud. , The forecast for today indicated continued rain, snow and sleet In the Northeast. The Weather Bu reau 'warned another day of hazardous driving in the area. Cold moved in on the heels of the storm early today, dropping the temperature to 7 below zero at Caribou, Maine. Rain was expected for the North west again today, adding to tha flood threat as the Snohomish and Stillaguamlsh rivers in Washington wera reportedly only a few cot from flood level.