U.OF ORE. LOBAR! NES?APER SECTION GEfi.REF. AND DOCUMENTS DIV. CO MP. EuuEe,oa F tad SDL on WASHINGTON (UPD - Presi dent Kennedy emphasized today that he would accept a tax cut of $10 billion or larger from Con gress this year without tax reform in order to avoid a recession. The chief executive delivered an. address to a sympcsiuin on economic growth sponsored by the American Bankers Association, and then participated in a ques tion and answer session during which he emphasized his desire for tax reduction affecting calen dar 1363. Only a week ago, Democratic congressional leaders said the ad ministration planned to continue its efforts for the over-all tax re-duction-and-reform package. This involved a gross tax reduction of $13.5 billion with about $3.5 bil lion being returned to the govern ment through reform measures to tighten loopholes and correct in equities. Kennedy told the bankers today that "quite obviously" he did not High Sunday Low las) nlglil High year ago Low year ago High oasl 14 ycart Low past 14 years Preclp. sail 24 hourl Since Jan. 1 Samt period last year 40 t In The By FRANK JENKINS From Washington: A bipartisan Senate group head-i ed by the majority leader. Demo crat Mike Mansfield of Montana, is urging a clampdown on U.S. aid to Southeast Asia and a thor ough reassessment of security needs there. These senators say $5 billion in economic and military aid has been poured into that part of the world since 1950, and they ques tion whether much has lieen ac complished by all this spending. Senator Mansfield says: "What is most disturbing is that Vietnam now appears lo be, as it was seven years ago when I first saw it. only at (he BEGIN NING OF A BEGINNING in coping with its grave in ner problems It is most disturbing In find that after sev en years of the republic South Vietnam appears LESS, not more, stable than it was at tiie outset, and MOMS REMOVED FltOM. rather than closer lo. the achieve ment of popular and responsive government." What's in the back of Senator Manslicld's mind and the minds nf the senators associated with him in this bi-partisan group that is taking a sharp new look, at our position in Southeast Asia? These are educated men. They are (amiliar with hislory and mythology. They arc obviously asking themselves if it isn't about time for Uncle Sam to quit play ing Old Man Atlas. Who was Atlas'.' He was the giant who was or dered by Zeus to CABBY THE WOULD ON HIS SHOULDERS. He did so lor centuries. But. evcnlually, he became faint with weariness. One day Perseus flew by. carrying with him the head of Medusa, which turned anyone who saw it inlo stone. Atlas begged Perseus to let him look at the Medusa head, and was thereby changed into the slone that is now the Atlas moun tains. There are signs that our old Uncle is getting weary o( the bur den of carrying the world on his shoulders. This bipartisan committee head ed by Democratic Senator Mans licid is one of the signs. Incidental question Where docs our word ATLAS come I mm'.' It comes from this want Atlas A picture of him carrying the world on his sliouldcrs was print ed on the first page of the earliest books "I maps. So a book ( maps is still called Al atlas. Let's get on with tiie news of tie diiy. In the lounge of a ski report in the Vermont mountains yesterday, a local news photographer in the course of his job aimed his cam era at Senator Edward M. Ken nedy, the newest member of what cynics arc beginning to call the Kennedy dynasty, and snapped a picture. Senator Kennedy giahhed the camera, tore its leather case al til scam, pulled out the roll of exposed film and held it against a light until it was ruined, and then dropped it into a waste basket. I Day's flews Well, the brow of the Pre-i-(Continued oa I'ige 4) want his reform recommendations to delay the tax reduction so much that it might not be suf ficiently effective this year. "If we cannot get reform, ob viously we are going to have to rewrite the package," the Presi dent said. "If Congress were to come up with a $10 billion cut. we would then have to adjust all the rates." The President said that from his viewpoint a cut of less than $10 billion this year might be preferable. But at the same time he said he would prefer to "err on the side of a large enough tax reduction" and thus would accept a $10 billion reduction without the reform provisions if it became necessary. In Hie formal speech, the Presi dent said there was "nothing deeply wrong with our economy," but that the nation "must release the brake of excessive taxation which has been holding back de mand and momentum. . ." If er&i& aw Jtt&$ (154) (IMS) Price Ten Cents 12 Pages Hoffa Raps Kennedy's Press Policy NEWARK, N.J. (UPI) - Team ster Union President James R. Hoffa has compared the Kennedy administration with the regimes of Hitler, Mussolini and Khrush chev in an attack on the nation's government and press. Hoffa said the dictators would not do the things the Kennedy ad ministration has done to organ ized labor. "They will kill you," he said, but what's the difference if they shoot vou or kill you with bad publicity." Holla spoke Saturday night to l.ooo teamsters and their wives at a $50 a ticket tribute to An thony i Tony Pro) Provcnzano. president of Jersey City Local StiO and New Jersey Joint Coun- il 73. The testimonial was given for the Josephine Provcnzano Schol arship Fund, named for Provcn zano s motner, wiucn aius cnu drcn of union members. Hoffa attacked proposed federal labor legislation claiming it would eliminate free assembly, free speech and right of contract. He said the administration was designing a "grand scheme to carry out a campaign of vililica-. lion." The proposed legislation, he said, indicated the rise of a po- ice state under officials elected by the people. Holfa said a campaign has been started in the nation's colleges and universities where the ques tion has been asked: "Why shouldn't labor be restricted under the antitrust laws?" U.S. Appeals On Blocking GENEVV il'PD - The United, States said today that progress on a nuclear lest ban treaty is im- Kissih!e unless the Russians ease their rigid position on verification. Chief U.S. negotiator William C. Foster, who just returned from consultations will) itcmucih Ken nedy in Washington, appealed to the Soviet Union lo remove lis "substantive and procedural ob stacles" to nuclear negotiation?. He urged tiie Russians lo give serious consideration lo me i ,v oflcr of seven annual on-site in- s$ections to police a test ban He hinted that the I S. position I other issues at slake in tiie test ban bargaining also might be undergoing change. Foster told the lT-natmn Dis armament Conference: "I feci compelled U ask myielf how we shall find any way to overcome now tnc suostantive and proce.lural obstacles which the Soviet delegation is piling up on the road to concluding a test ban treaty. "How short sighted it would be to lose tiie opportunity we now have to press forward and to cre ate tumething which would be He called for an end to "squab bles over who will benefit most" from the proposed reductions. He challenged critics of his pro gram to come forward with a solution of their own and not con centrate entirely on "partisan. . . exasperated. . .rash talk" about swollen federal payrolls, a higher deficit and "a crushing debt bur den." He said he was "not predicting a recession for 1963." But he said (hat if no tax cut is enacted this year, he would be willing to make his prediction: "The country will, in the not too distant future, be struck by its fifth post-war recession, with a heavy loss of jobs and profits, a record-breaking budget deficit, and an increased burden of na tional debt." The President mentioned no names in asserting that "tax re duction will not be passed if each economic group continues to treat i economic) growth as a melon to a w tftM$$Sg!tWWM jWIM.lIM..'M.'4MlW...M i,,.SI.IW4 v'. X I . J"'" -V s!i ' ' ." 4 I .y-J ' f . .K,ni 1 , I 1 I VI 5.32. tyt - . I ... - A l F7mmvrr 'Z -v ; l . - KJJzzJ- r - - ,i ', fife;"' HOW COULD WE FORGET? Today is the 50th anniversary of the constitutional amendment permitting the income tax to go into effect. President Kennedy observed the anniversary by malting a strong pitch to Congress to cut income taxes as the best route to national prosperity. Here, Internal Revenue Commissioner Mortimer Caplin stands in front of blowup of a federal income tax form. UPI Telephoto Last Ditch To Avert SAN FRANCISCO (UPD - As sistant Secretary of Labor James I. Reynolds bolstered the govern ment's forces today in its last ditch" effort to avert a strike by railway clerks against the South ern Pacific Railroad in seven western states. Rcvnolds arrived from Washing ton Sunday night to join Chair man Frank O'Neill nf Die Fed eral Mediation Service, who has been trying in both San Francis co and Chicago since Feb. 6 in an To Reds Test Ban more valuable than all the bombs ever built. This opportunity will not be lost. I can assure you, through any fault of the United SLites." Hinting at possible chances in the U.S. position. Foster said that during talks last week with Soviet First Deputy Foreign Minister Vassili V. Kuznetsov "I explained the United States position on a number of features of the inspec tion system we envisaged." 'I hope that the Soviet Union government is now study ing. . .not only the now U.S. quota numbei hut also tiie other matters I put to the distinguished Soviet rcpre sentative," he said. Foster did not specify the "oth er matters" and U S. spokesmen declined to elaborate. The U.S. negotiator underlined U.S. flexibility on all ancles ol the lest ban talks. He said the West has issued no ultimatums and desires negotiations on a basis of equality. Tne I S. negotiator said on his return Irom Washm;ton Sundav he hoped to ersuaie tbe Rus sians to reopen earnest bargain-, ing on tiie nuclear tsiue. be divided instead of a crop to be harvested or if each group ex amines this crop through the wrong end of a telescope." ASKS TAX SLASH President Kennedy today asked Congress for a tax cut of $10 billion or larger. He in dicated be would now accept the tax cut without a cor responding tax reform which he had also asked. He warned that unless taxes are cut, a big recession will hit the nation. UPI Telephoto KLAMATH FALLS, OREGON, MONDAY. FEBRUARY 23, II163 ores Aid Given Viet Effort Planned SP Clerks' attempt lo avoid a walkout. Reynolds and O Neill planned to meet with both sides today, and union Vice President William McGovcrn said he and SP local Chairman James Weaver "will have an announcement'" this af ternoon. O'Neill met with both sides in formally Sunday, but reported no progress in settling the lengthy dispute between SP and the Broth erhood of Railway Clerks over au tomation. The 11.000-member union has for five years attempted to get the railroad to agree to retrain men displaced by automation for other jobs within the company. The railroad has relused, contend- such retraining would create unnecessary jobs and retard tech nical progress. The clerks threatened to walk off their jobs Feb. 6, but O'Neill Hew to San rrancisco from Wash ington and was granted time, on Pity Poor Millionaire LONDON 'UPD - Jean Paul Getty, one of the richest men in the world, believes millionaires are the hardest-working people in the world "They work longer hours than any oilier working man." the 70- year-old oil king said Sunday night on a television interview on the British Broadcasting Corp. Ilul that doesn't mean Getty is ready to retire. "Tie never had the feeling I'm flu.hcd," he said. "I'm strug gling on. The Minnesota-born tycoon spoke from his lfith century home in Surrey amid the masterpieces of his private art gallery. "Of ail the classes I know, mil lionaires are U hardest work ers." "The facts of the matter are. of course, that the reduction is fair ly distributed through all income brackets," Kennedy said. "And I EC Tel jhone Strike a day-to-day basis, to settle the differences. After two weeks of talks in San Francisco, national leaders of the union agreed to transfer the peace negotiations lo Chicago against the wishes of the SP unit of the brotherhood. Negotiations broke off after only three days in Chicago, and union oflicials returned lo San Francisco "now in complete ac cord" that a strike could not be averted. But the tireless O'Neill followed them to the West Coast and asked for more time. Court Rules Arrest False WASHINGTON (UPD - The Supreme Court, by an S I vote declared unconstitutional today the breach of peace conviction of 1S7 Negro students who held an anti- segregation demonstration on the grounds of South Carolina's Capi tol. The court held that the convic tions violated constitutional guar antees of free speech and asscm bly. The demonstration took place t Columbia. S C., March 2, 196! In other actions today the Su preme Court; Ordered further lower court proceedings in the case of Leon Beardcn who was convicted with his son of hijacking a Continental Airlines plane over New Mexico in 1!W. The 5th Circuit Court of Appeals was lnsliiictod to lake further action in tlw case of Bearden who was sentenced In u(e imprisonment. Granted a hearing to Harold Fahy who was sentenced to W) days in jail by a Norwalk, Conn court of painting swastikas on syua&'gue Feb. 1, 1!j0. would hope, that all groups would put the national interest first, and recognize that the prospects for tax reduction and economic growth must not be endangered by squabbles over who will bene fit most. For It is the nation that will benefit most from the pas sage of this program and the na tion that will suffer if they de feat it." Criticism of Kennedy's program has ranged from the AFL-CIO which wants a quicker tax cut than he has recommended, to busi ness groups which want its bene fits allotted differently. The bankers association and oth er organizations as well as a number of key lawmakers have warned against cutting taxes with out reducing federal expenditures. "I do not say that it is a per fect program, which cannot be changed by the Congress, which will satisfy the desires of all groups, or which will achieve all the growth we need as fast as TU 4-811 No. Wi WASHINGTON lUPD-A sena- torial study group has reported! to President Kennedy that alter seven years of U.S. aid to Soutn Viet Nam the country still lacks a stable government. In fact, the study said the gov ernment of the Southeast Asian ountry "appears more removed, rather than closer to, the achieve ment of popularly responsible and responsive government." Most of the blame for this, the report said, is due to policies by South Viet Nam President Ngol Dinh Diem. But, U.S. action. especially the aid program "must bear a very substantial share ol the responsibility." Although the report said the United States has poured more than $2 billion into the former French colony since 1955. it pre- Big Bomber Controversy Opens Again WASHINGTON (UPD - The House Armed Services Committee reopened the HS70 bomlicr con troversy today by voting to au thorize the Air Force an extra S(i3 million to build two more of the planes. President Kennedy has said re peatedly he does not want the authorization and the 31-5 vote set the stage for anotlier congression al battle with the administration. The House committee also added! two nuclear powered attack sub marines which the administration docs not want. Defense Secretary Robert S McNamara maintains any more money spent on tne proposcu RS70 would be wasted and Ken nedy has backed him up. The actions boosted Kennedy's arms authorization bill, already1 the largest ever Introduced in Congress, lo $15,856,391,000. This was M!r7.7OO.0()0 more than Ken nedy requested last month and would also Increase Die over-all $53 7 billion defense budget by that amount. Chairman Carl Vinson, D-Ga said in a slalemcnt afterwards that it was "a deep and abiding belief of the Armed Services Com mittee that manned systems should continue lo be a majir part of our military force." "There is no doubt," he said 'that our missiles, and particu- arlv our intercontinental ballis tic missiles, are a major part of our arsenal. Neither I nor tie lommittec members would for a moment Ihink of minimizing their mportance or cutting back on the missile program. 'But the committee sees a growing tendency on the part of the Department of Delense to place more and more emphavs on missiles and less on manned systems. ''This is dangerous course si i-.ie whkh the committee In tends to do everything in Its pow er to stop." Vinson said the addition ot two more JlS70s would constitute a major itep toward an airpiane "with most of tiie characterUts and capabilities of a true combat aircraft." The RS70 is a long-range, su personic bomber which also cou d have the capabilities of beinj recxinnais&aiK plane a well. we wish to achieve It," Kennedy said. "But those who admit the prob lem, but oppose the proposed so lution of a $10 billion top-to-bottom tax revision, are under some obligation to put forward a solu tion of their own." He insisted that the nation's economic growth "will be stepped up only by lightening the repres sive weight of war time tax rates which put a damper on private purchasing power and profits." "But it will not be stepped up by political slogans or homely analogies, Kennedy said. Kennedy said no nation in his tory had experienced a century of economic growth comparable to that of the United States in the last 100 years. But he warned that if Congress rejects his pro posals there not only will be a re cession but there also will be these consequences: -"Tax revenues will continue year-in-year-out to be insufficient Woiilhcr Klamath Falls, Tulelake and Lakeviow Increasing cloudiness and possible light showers tonight and Tuesday. Mostly light winds. Slightly cooler Tuesday. Lows to night 30. high Tuesday near SO. Mum dieted no end to the assistance "In the best of circumstances, out side aid in very substantial size will be necessary fur many years." The report was Die fifth of a series made following a study trip to Asia last year made by four senators led bv Democratic Lead er Mike Mansfield. Mont. He was accompanied by Sens. J. Caleb Boggs, R-Dcl.. and Clai borne Pell, D-R.l., and former Sen. Benjamin A. Smith 11, D-Mass. The report said victory in the guerrilla war in Viet Nam is lore- seen wittun one to three years by responsible experts, but, bdsed on past experience, it recommend ed "caution in predicting its ra pid achievement. South Viet Nam is faced with a "massive job of social engineer ing, the report sard. Outside aid will not help the country, the re port predicted, unless there is a great mooilization of soilless Vietnamese leadership in all parts f the country and at all levels." The group concluded that U.S. lid to Laos and Cambodia had improved conditions (here. It found no need to extend Ameri can foreign aid to other Southeast Asian countries which are not now receiving it. Solon Rips Spend Idea WASHINGTON (UPD Sen William Proxmire, D-Wis., said today that history disproved the theorists who argue that large Icdcral deficits contribute to econ omic growth. "From 15(57 lo dale," Proxmire said in a statement, "federal def icits have averaged a heavy $(j billion per year. And yet, econo mic growth has been a slow-moving despair of current economists during this very period." Flu Death Toll Rises As Epidemic By United Press International The death toll edged upward to lay in (lie outbreak of flu that has hit 21 stales. Thousands lay ill from some sort of respiratory ailments. ' Asian flu was isolated in II stites. Health olflcials in New York Cily reorted that during the first even weeks of 1!KV!. 818 New Yorkers died from either pneu monia or influenza. This represents about 300 more victims than normally would die during a corresponding period in an average year. The Health De partment said there was no ac- urate w ay to distinguish between the victims of the two diseases. The latest death figures in oilier stales included West Virginia 6, Kentucky 3, Indiana, Michigan and Florida, 1 each, and in John son Cily, Kan., several elderly pa tients in a rest home. Different parts of the nation mostly in the East and South- have been hit by tiie virus during the past six weeks and millions have felt the ellecls of fever, fa tigue. cough and sneezes. In West Virginia, three more persons died, apparently from flu' to balance the budget, no matter how tightly the administration and Congress control expendi tures." "Unemployment and unused business capacity will remain at or above their present high lev els, creating a lack of investor confidence at home and a lack of confidence in the dollar abroad." "Pressures for a 35-hour week, for restrictions on imports and automation, and for large 'quickie' tax cuts and sharply in creased federal spending will all grow beyond manageable limits." "This nation's rale of eco nomic growth will not match over the next 10 years the record of most other industrial powers or our own record in this coun try." Kennedy made a contrasting set of predictions "and pledges" if his tax reduction program is enacted this year. He said his program "will In U.S. Troops Shoot First SAIGON, Vict Nam (UPD-Thc United States has decided to per mit its soldiers to shoot first in the Vietnamese guerrilla war without wailing to be fired on by the Communists, it was reported today. The move is aimed at checking the mounting U.S. casualty rate in the undeclared jungle war, accord- ng to informed sources. Another American died Sunday, young machine gunner was killed when two U.S. Army H2I helicopters were downed by Com munist Vict Cong ground fire. The machine gunner, a private first class, was not identified. His death brought to 52 Iho number of Americans killed in combat since the United Stales began ils military buildup in South Viet Nam m lOfil. Informed military sources said the new "rules ot engagement will permit the U.S. Army's new' HU1 Ras turbine helicopters to open lire on "positively Idcnlifcd guerrillas without waiting -c tic fired on first as heretofore. The sources said the effective ness of the heavily armed craft, known by their crews as Hueys, in protecting the more vulnerable 1121 troop carrying helicopters is expected to increase under the new rules. The Hueys now will be able lo precede the H21's into a troop landing zone and keep the gucr rillas busy while the troop-carry inz helicopters unload assauu forces and then get away. U.S. military observers in Sai gon feel that if the Hueys had been able to follow this procedure during the batile of Ap Bac last month, the Vict Cong would not have been able to slioot down so many helicopters. Two Americans were killed and several others were wounded in the process. U.S. officials denied press re Flu Expected PORTLAND (UPI) A spokes-1 man lor the Slate Board of Health said today as yet no Asian flu has been isolated in Oregon this winter. The virus is expected, though, and flu shots were urged. Spreads and pneumonia complications Two persons had died earlier. Doctors in Summers County have been treating between 75 and 100 patients each day In their offices and making .15 to 25 house calls daily. The Syracuse, N.Y., Health De. artment confirmed six cases of Asian flu during the weekend, but A. Clement Silverman, director of the Bureau of Communicable Dis eases, sain he believed the flu had run its course this winter. The Mississippi State Health Department said there were mdi- alions the Asian (lu was reach ing epidemic proportions in Mar shall end Coahoma counties. Hospitals in many cities cur tailed visits to patients in an ef fort to halt Ute spread of germs. "Send a card or write a note, liospital officials pleaded. More tlian 4.000 caret ol flu were reported in Alabama last week. Schools In Bullock, Houston and Macon counties were closed, but Bullock officials hoped to have classes again today. A total of 2,(97 cases of flu were reported In th Memphis, Term., area last week. a short time result in increased tax revenues and a substan tial portion of that increase will be used each year to reduce the deficit until the budget is once again balanced." "Any increases in the federal debt resulting from these transi tional budget deficits will be kept proportionately lower than the In crease in our gross national prod ucts, and the real burden of the federal debt will be steadily re duced," he said. The President said "every effort will be made to continue the present downward trend in our balance of payments deficit, and the present stable levels of our wholesale and consumer prices." He added: "No budget will be submitted by this administration which does not continue our persistent and often unpopular program of cut ting costs, increasing efficiency and weeding out obsolete activities." Get ports that the United States might withdraw its Air Force combat units from South Viet Nam. The reports claimed the with drawal was under consideration because ol charges that heavy government air strikes against villages suspected of harboring Vict Cong were turning the popu lation against the government U.S. diplomatic and high-ranking military officials, including mili tary assistance command chief Gen. Paul D. Harkins, said lo the best of their knowledge no such decision was under consideration. Gen. Emmctt (Rosie) O'Don- nell, U.S. Air Force Pacific com mander, indirectly denied persist ent reports that many innocent civilians arc being killed in air strikes against the Vict Cong. O Donnell said Vietnamese air force tactical fighters and bomb ers "have been able to locate positively and destroy targets, and 1 mean small fleeting targets. under dilficult conditions." Timber Tax, Speech Ban Bills Offered SALEM (UPD Timber tax revisions, repeal of exclusive electric service areas, and a ban on Communist speakers in public buildings were called for today in bills introduced in the House. The Senate received bills to give officers greater powers in combatting drunk driving as the legislature began its seventh week. Two major limber lax measures landed fn the House. One would increase eastern Oregon sev erance taxes on pine f r o m 5 to 7',! per cent. House Tax Commit tee Chairman Richard Eymunn, D-Marcola, said the present rate, set in I'M, has failed to raise the expected revenue. The new western Oregon tim ber tax biil, also sponsored by F.ymann, is similar to the minority report that was defeated when the present western Oregon timber tax law was passed two years ago. Eymann said in addition to In creasing revenues on Douglas fir. the new proposal would move closer lo tiie prinelplo of paying njpst taxes at the time of cutting. It would establish a severance tax, while reducing the ad valorem tax on standing timber. A bill to repeal the 1961 law) permitting the public utility com missioner to ratily agreements be tween utilities for exclusive serv ice areas was sponsored by Ey mann and several others. It also would void any agreements made under th in .v. At the request of the Oregon Veterans' Joint Leglsl.-Uive Com mittee, Rep. Philip Lang, D-Port- land, Introduced n bill to prohibit use of tax-supported facilities by members of any organization re quired to register under the in ternal security act or the sub versive activities control act. Communist leader Gus Hall created a row when he was per mitted to speak on several public and private college campuses in Oregon last year. Two Senate bills would expand police powers in arresting drunken drivers and administering chemical tests. The measures also set percentages of alcohol in the blood that would be Indicative of sobriety or drunkenness. Another Senate bill would per mit county civil service employe! (Continued Page 4) Okay