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AGRICULTURAL FORECAST
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KLAMATH FALLS, OREGON'. TUESDAY, OCTOBER , J963 Telephone TU 4-8111 No. 7596
GENERAL
FUND EXPENDITURES
1963 - 1965
TOTAL : 404,900,000
MIOMC COUCATIOM
f Ot.000,000
tmn COUC AT MM
IMO0,000
AM tCNOOL M.4
OS, 1 00,000
CHAPTER (IT J4.4
$ SM00.000
XT X
r7
A
LFAMf 10.4
41200,000
TAX COMMSMON t.0
9MOO.O00
NATURAL RESOURCES
ift.SOO.000
STATE POLICE t.9
s 10,100,000
MENTAL tt PCNAL II.
9 4C.VO0.000
shako aria mncAies
iCXtt NCMTUftES NOT SMMtCT
T0 AU OTMIn CONTROL...
ALL OTHER 4.9
S W.100,000
COURTS, LCttSLATURC,
clcctivc orriccs,
0C8T StTRVICC S.
$ 3,700,000
In The-
Day's km
Solons Rap
By FRANK JENKINS
From Miami:
Hurricane Flora slashed north
ward back inlo Cuba yesterday,
and for the fourth straight day the
communist island reeled under the
vicious one-two punch of howling
wind and driving rain.
With more to come, the already
staggering economy of Fidel Cas
tro's regime, has suffered a crush
ing blow. The Agrarian Reform
Institute said HALF of Cuba
sugar, rice, coffee, cotton and
cocoa crops may have been de
stroyed. Sugar, the backbone of
the Cuban economy, has been used
by Castro to trade with Russia
for military and other assistance.
Forecasters searched their rec
ords, wondering when, if ever, a
hurricane had hammered so long.
at a single area.
From Washington:
The Soviet Union, for the first
time, has indicated to the U.S.
government that it is interested in
buying between $150 million and
$200 million worth of wheat, in
formed sources" said last night
that this apparently represents
the first DIRECT admission by
the Russians that they want to
buy American w heat. Previous
Russian overtures had been made
through purchasing agents to pri
vate American wheat traders.
High administration "sources"
believe a Presidential decision on
the sale may come w ithin the next
day or so or, at the latest, by
the end of the week.
More from Washington:
'While it has been known that
the Soviet bloc was having agri
cultural production trouble, the
size of the Russian grain purchas
es from the free world has caused
considerable surprise. These pur
chases have been EXTREMELY
COSTLY to the Soviets.
For example:
The Soviet government has been
SELLING GOLD to help pay for
the wheat. This gold costs Russia
an estimated $60 or $70 an ounce
to produce. But it brings only $35
an ounce when it is sold abroad
Which Is to say:
Every time Russia sells an
ounce of gold 6he loses about $35
the difference between what it
costs her to produce it and what
she gets for it.
And-
Every time the United States
gets an ounce of Russian gold, or
its equivalent in lorcign exenange
in payment for wheat, we benefit
in two wavs:
1. We get more gold, or foreign
exchange, with which to improve
our present unfavorable balance
of Davmcnts.
2. We GET RID OF WHEAT, ol
which we have a fantastic surplus.
AND
Every time Russia uses up her
cold or her foreign exchange to
BUY WHEAT with w hich to feed I
her people she robs herself by just
that much of gold or lorcign ex
change that she might have used
otherwise to increase her arsenal
of modern military weapons.
Big question:
Why is Russia doing what she is
doing?
The LOGICAL answer to that
question Is that Communist Rus
sia isn't quite so ALL POWER
FUL as she has been claiming to
be.
That, if Irue, is VERY interesting.
Education Gets Big
Share Of Budget Fund Mm. Nhu's
Visit In U.S.
By FLOYD L. WYNNE
Editor's Note This is the second in a series ol articles on the
recently passed Income Tax law which will be voted on Oct. IS.
The general fund budget set by the 1963 Legislature totals
$404,300,000.
This represents an increase of $37,600,000 from the general
fund budget of the 1961 Legislature.
Where does the money go?
Of the total general fund, almost 61 per cent goes for education,
Basic school support equals $135 million or about 33.4 per cent of
the total. Higher education gets $92,800,000 or about 22.9 per cent
and other education gels $18,200,000 or about 4.5 per cent.
In addition to education, next highest expenditures go to wel
fare which gets $42 million or about 10.4 per cent of the total.
Mental and penal institutions gel $47 million, about 11.6 per
cent. Court costs, legislative costs, elective officers and debt service
takes 5.9 per cent or $23,700,000. $10,200,000 or 2.5 per cent goes for
state police operation; $9,300,000 or 2.3 per cent for natural re
sources; $8,200,000 or two per cent for tax commission and $18,-
100,000 or 4.5 per cent for all other state government functions.
Now, where did the $37,600,000 increase in budget funds go?
Of this amount, $32,100,000 occurred in the costs of education
while the balance was in mental and penal institutions.
Of the total increase for education, $14.5 million was added
to the basic school support fund.
History of this fund shows that it has increased from $105
per census child (ages 4-19) in 1959-60 to $143 per census child (5-161
in 1963-64 and will go to $152 per census child in 1964-65. This
increases the level of state support and decreases the load on local
property taxes.
Within education, in addition to the increase in basic school
apportionment, the budget provided a 29.4 per cent increase of
$18.1 million for higher education. Community colleges secured
an increase of $1.9 million, administration costs in education
were up $100,000 and other special education programs increased
$600,000. There was a sizeable decrease in the amount of money
available for salary raises in the educational structure at the state
level.
Mental institutions were budgeted an additional $4.3 million,
an increase of 14.8 per cent over the previous biennium, while
correctional institution budgets were up $2 million or 18 per cent,
Public welfare budgets were up $400,000, an increase of one per
cent, and all other general fund expenditures were up $4.7 million
or about 7.7 per cent.
Overall, appropriations for education increased 15.3 per cent
or the 1963-C5 biennium while all other general fund expenditures
were up only 3.5 per cent.
Reasons given for the rise in educational costs have a direct
bearing to the increase in expected enrollment, especially in higher
education.
Here, authorities estimated that there would be a six per
cent increase in enrollment for 1963-64 school year and another
eight per cent increase in 1964-65, In figures, they estimated
enrollment in stale schools would increase from 29,493 for 1962-63
to 31.250 (an increase of 1,757 for the 1963-64 year), and a total
of 33.750 (another increase of 2,500) for Uie 1964-65 year.
It was estimated that the population of the state's four cor
rectional institutions will increase 6.2 per cent, from 2,371 to an
estimated 2.517 in the biennium.
It was estimated that the total persons in the state's three
mental hospitals will decline during the biennium from 4.167
to 3.719. a drop of 10.8 per cent, but the relatively higher cost
of improved treatment,' loss of part of the patient work force
and other factors will cause increased costs.
This is where the money collected and spent in the general
unn goes.
Next Why docs the bill increase lax revenues M million
when the budgeted increases were only $37.6 million?
US Suspends
Viet Mam Funds
NEW YORK (UPll - Mme.
Xgo Dinh Nhu, brimming with
confidence but slightly concilia
tory, arrived Monday night for a
three-week visit to the United
States with hopes of improving
her own image and that of the
South Viet Nam government.
Mme. Nhu, whose sharp criti
cisms ol U.S. policies, officials
and newsmen in her country
have helped make her controver
sial, said she came here "to see
you and to try to understand why
we can t get along better.
"I feel this deeply, and I hope
at the end of my stay that I may
know, she said.
There was some strong congres
sional opposition to Mme. Nhu's
visit.
Sen. Stephen M. Young, D-Ohio,
told the Senate that her visa
should be cancelled and "she
should be compelled to leave the
country."
Let her slander us from her
native land or any other country,
but not from our own soil,"
Young said.
Rep. Silvio 0. Conte, R-Mass.,
called her "a thorn in the fight
for democracy around the world."
He denounced her as an "irre
sponsible, arrogant woman" who
has made statements that arc,
"viciously anti-American."
The sister-in-law of South Viet
Nam President Xgo Dinh Diem
addressed a crowd of about 100
newsmen and photographers at
Id low i Id Airport after leaving the
jetliner she and her pretty daugh
ter, Le Thuy, 16, took Irom Paris
Speaking in English, Mme. Nhu
said that because she was a "con
troversial person" she did not in
tend to seek meetings with Presi
dent Kennedy or other high-
ranking government officials dur
ing her coast-to-coast tour.
She also denied that she was
"power hungry," and said that
she enjoyed the "confidence of
the Viet Nam government.
SAIGON (UP1) - The United
States has suspended nearly $12
million commercial aid payments
to South Vict Nam since the Au
gust crackdown on the Buddhists
and is considering further cuts,
informed sources said here Mon
day.
The plan to wilier reduce aid
is aimed at forcing political re
forms from the government of
President Ngo Dinh Diem, the
sources said. It is reported now
under consideration in Washington.
The payments suspended since
Aug. 21, when Buddhist leaders
were arrested and pagodas
closed, covered aid to imports.
This program costs the United
States $95 million a year, out of
the total $203 million economic
aid. It finances more than 60 pe;
cent of South Viet Nam's imports
The sources said further suspen
sion of this commercial aid
would amount to a reduction in
the economic aid to this nation
and could seriously affect its
economy. I his might nave the
effect of bringing policy or per
sonnel changes on the part of
Diem's government, they added.
(In related developments, the
Soviet Union Monday tried to
block U. X. approval ol a fact
finding mission to South Viet
Nam. Diem's government offered
to accept a team of U. N. mem
bers to investigate the Buddhist
dispute. But the Russians insisted
that they and the British, as co-
chairmen of the 1954 Geneva con
ference on lndo-China, carry out
the probe.
(Diem's sister in law. Mme.
Xgo Dinh Nhu, arrived in New
York Monday night to begin a
20-day tour of the United States.
She said she hoped to explain
her government's viewpoint to
Americans.)
The American-owned Times of
Viet Nam, which is Close to the
Ngo family and often critical of
U. S. policies here, was the lirst
cuts. Its article Monday said the
United States was using the cuts
to put pressure on Diem.
U. S. Embassy officials de
clined comment, but it was
learned Diem's government has
not been told of the reasons for
the aid suspension.
The commercial aid program
helps support the Vietnamese cur
rency. If It is suspended for a
long period, the government will
be forced to print more currency
without reserve backing or dip
into its own considerable foreign
exchange reserves.
Soviets Want
U.S. Wheat
ieadHy Flora
veir 4,
CDS)D1DS
10 b Haiti
WASHINGTON (UPD The So
viet Union, for the tnst time,
has indicated to the United States
government that it is interested
in buying between $150 million
and $200 million worth of wheat
Informed sources said Monday
night this apparently represented
tlie first direct word from the
Russians that they want to pur
chase U.S. wheat. Previous Rus
sian overtures have been made.
through purchasing agents, to pri
vate American w heat traders.
High administration sources be
lieve that a presidential decision
on the sale may come within the
next day or so or, by the latest,
at the end of this week.
The administration's failure
thus far to obtain bipartisan con-1
gressional backing for the move
plus a reluctance to appear to
be chasing after the possibility of
a Russian sale, were believed to
be delaying President Kennedy's
decision.
If such is the case, the Rus
sians have removed at least part
of the roadblock by making the
MIAMI lUPl) Hurricane
Flora crossed Cuba today lor the
third lime, heading for the Ba
hamas and leaving a trail of de
struction across three Caribbean
islands which counted more than
4,100 dead
The Weather Bureau urged
emergency hurricane precautions
be taken in the southeastern Ba
hamas islands at once. It pre
dicted tlie center of the deadliest
storm in 63 years would cross
Crooked Island a few hours later.
Flora went on the prowl today
after spending an unprecedented
four days pounding Cuba where
the death lull mounted to more
than 100. It left the economy of
Premier Fidel Castro's regime
ecling and the government or
dered tight new food rationing.
The hurricane crossed into the
Atlantic at 11 a.m. t,M near
Cape Lucrecia, the Miami
Weather Bureau said. Its center
was located near latitude 21.1
north, longitude 75.7 west, or
about 80 miles north-northwest of
Guantanamo Bay. This was 440
miles southeast of Miami.
The Weather Bureau said Flora
would move generally toward the
northeast at about 10 miles per
hour during the day.
A Cuban government broadcast
monitored here said the town of
Santa Cruz del Sur, on the south
east coast of Camaguey Province!
was being Hooded by ocean tidal
waves. The broadcast said urgent
help was needed.
A tidal wave that crushed Santa
Cruz dc Sur on Nov. 9, 1932 killed
more than 3,000 persons
Crop damage in Cuba was in
The helicopters were unable to
fly into easternmost Oriente
Province, where damage was re
ported worst, because of Flora's
winds.
A radio broadcast from Bay-
amo. monitored In Miami, in
formed Castro that 15 people had
drowned in the town of Manzanil-
lo but that the heaviest casual
ties were believed in the western
regions of Oriente.
oitLantic
9cezrv
, -
v-A- ,- CUBA . ' . .;
Ar . x.
wZk rO & ; :
HAITI K l7 1 v '
1 4000 DEAD 1 .
Caribbean Sea.
DEATH PATH Dawdling Hurricane Flora, one of tho
20th Century's deadliest storms, raked battered Cuba
again today with winds and floods after leaving a path
of death and destruction in the Caribbean Sea.
UPlTelephoto
Helicopters To Survey
Death, Damage In Haiti
PORT AU PRINCE, Haiti
(UPD Tlie U.S. aircraft carrier
Lake Champlain was to launch
liclicoptcrs today to survey storm
damage in southwestern Haiti,1
where Hurricane Flora killed an
estimated 4,000 persons,
Health Minister Girard Philip-
peau said Monday more than
the millions ol dollars. Fidel Cas-U.OOO bodies already have been!
hrst official move toward a pos-
to disclose the rommorcial aidlsible sae.
United Fund Contributions
Near One-Third Of Goal
Shocking Strip
MONGHIDORO, Italy
. L'PIi Dante Mazzini, 31,
was working on top of the
local church steeple Monday
night when a lightning
bolt stripped off his clothes
and melted his wristwatch
but left him uninjured.
Contributions to the United
Fund after one week of campaign
ing have l eached nearly one-third
of the goal, drive chairmen were
told Monday.
Paul Meier, general campaign
chairman, told the chairmen at
noon luncheon meeting that
contributions to date total $45,
380.17 31 per cent of the goal
of $148,311.
The pilot division campaign.
which will end next week, has col
lected $27,848.50, 81 per cent of its
goal.
Outside the pilot campaign me
education division campaign
among employes of public schools
has collected the largest percent
age. Teachers and other em-
Dloves have contributed $8,402. la,
73 per cent ol their n,uuu goal,
Running close Benind tne eou
cation division is the special gifts
division, which has collected
$2,929, 68 per cent of its $4,300
goal.
From that point, percentages
droD down to the Kingsley rield
division, whicn nas coueciea
473.05, 21 per cent of iu 7-000
coal.
Olher divisions, their collections
to date, and the percentages ol
their goals lollow:
Large Firms II, $887.72. 14 per
cent; Large Firms I, $2,456.40, six
per cent; Professional, $631, five
per cent; Public Employes, $27,
five per cent; Downtown I, $250,
two per c;nt; Downtown II, $87,
one per cent, and County (outside
of Klamath Falls', $28, .04 per
cent.
The division chairmen discussed
ways of speeding up the campaign
and agreed that personal contact
is the most effective method ol
gaining contributions.
Meier, reading statistics irom
other United Fund campaigns
across the nation, noted that Bir
mingham, Ala., scene of recent
racial unrest, this year is running
seven per cent above collections
in last year s campaign, despite
unfavorable campaign conditions."
It was reported that the local
campaign is running just slightly
above the drive last year at this
lime.
Valachi Life
Threatened
WASHINGTON lUPD-Under-
world inlormer Joseph Valachi re
sumed his tales to senators of
crime's inner sanctum today un
der increased protection of fed
eral agents alter the FBI received
anonymous threats on his life.
Chief U. S. Marshal James Mc
Shanc said telephone tips were
received over the weekend warn
ing that a bomb would he placed
in the Senate hearing room and
that several soclators would try
to shoot Valachi.
Consequently, McShane said
"extra precautions" were taken
to insure the safety of the talka
live mobster-murderer.
There have been reports thai
underworld chiefs have placed a
$100,000 price on Valaclii's head
for breaking the Cnsa Nostra syn
dicate's cxle of silence.
tro assumed personal command
of relief operations.
The Miami Weather Bureau
said the storm was centered mid
way between Santiago and Camaguey.
Havana Radio announced that
all coffee distribution had been
suspended in Havana because of
losses to the coffee crop In Orr-
ente Province.
Meat rations were cut in half.
and vegetable rations were re
duced 60 per cent, the broadcast
said.
Haiti was devastated by tlie
storm with an estimated one
third of the Ncgio Republic's J
million population affected. En
tire villages were destroyed and
crops were wiped out. An esti
mated 2,000 bodies had been re
covered on Haiti and officials es
timated 4,000 persons in all had
died on the island.
Only a hurricane that claimed
6,000 lives in Galveston, Tex., in
1900 killed more persons in this
part nf the world, according to
U.S. Weather Bureau records.
Since striking the eastern end
of Cuba with 125 mile-an-hour
winds last Friday, and then mak
ing three slashes across the island
to its present location, Flora's
torrents and lethal winds also had
taken a huge economic toll in
devastated coffee, sugar and veg
etable crops, livestock and buildings.
Castro arrived Monday night in
Camaguey, about 25 miles from
the hurricane's center. He or
dered helicopters put aboard So
viet army trucks trying to get
through on flooded roads to the
hardest hit areas and begin re
moval of stranded residents
threatened with famine and the
spread of disease.
recovered. He estimated that the
total death toll might run to twice
that number.
The city of Ansc A Vcau was!
said to have been "wiped off the
earth" by the storm, and only a!
handful of its residents survived
A number of nearby villages also
were swept aay.
Piiilappeau baid other coastal
clues on the Tiburon Peninsula
were 40 to 70 per cent destroyed.
An estimated total of 1 million
persons about a third of the peo
ple of densely populated Haiti
were affected by the hurricane.
Crop damage was described as
'nearly total."
The health minister said it
probably will take two weeks to
reestablish communication with
isolated areas and complete a
survey of tlie rugged terrain.
A call has gone out for tetanus
and typhoid vaccine to meet the
threat of disease in devastated
areas. Red Cross officials from
Puerto Rico arrived Monday ' to
discuss other needs. Ir
Spokesmen for the Canadian
owned Reynolds Bauxite Com
pany said its mine at Miragoane
suffered an estimated $! million
damage. They said the mine will
be closed down for at least three
months.
Kingsley Holds 2nd
In Early Live Firing
TYNDALL AFB - Kingsley
Field was in second place today
after tlie first round of competi
tion in the William Tell missile
firing competitions at this Air
Force base, but despite its post in
Ihe runnerup slot the Klamath
Falls air fighter team was being
tabbed as the unit most likely to
capture the blue ribbon.
This morning, lour KlOls of
Kingsley Field blazed into the
Florida skies at 9 o'clock and
headed for their second target
mission. Three rockets detonated
in a valid high altitude area, but
one aircraft, experiencing radar
trouble, did not fire at the Fire
Bee jet drone.
Today s mission will probably
not be scored until tomorrow.
Yesterday's results of Kingsley'sl
firing in the Air Force World-Wide
lighter meet were announced this
morning.
Alter its lirst mission, a low lev
el intercept, the 322nd scored 1450
points and is now officially second
in competition. Firing a higher
score was the 62nd Fighter Squad
ron of K. I. Sawyer Air Force
Base, Michigan, which totaled
1550.
Two other F101 units have not
yet fired.
Kingsley s chances for a first
place trophy remained undimmed
because the hardest mission, that
of low level interception, is now
behind it, Kingsley Field officers
said.
The 62nd Fighter Squadron, with
its 1550, fired in an easier cate
gory and still faces the sterner
test of a low level flight.
At this time, Kingsley s chances
for a trophy look good, Lt. Tom
Hanlin, Kingsley Field informa
tion officer, has disclosed.
The Tyndall AFB television sta
tion has announced that the King
sley team is the unit to beat.
Portland's 460th Fighter Squadron .
is trailing in fourth place in the
F102 competition and will need
good firing to earn a blue ribbon.
Suit Adds Neiv Twist To Work Rules Dispute
By DAN WALTERS j
Seven local railroad firemen
have added a twist to the work
rules dispcte by suing the Broth
erhood .of Locomotive Firemen
and Engincmcn for more than
$175,000 over work limits imposed
by the union.
The olaintifls are t. L. heck.
B. L. Whitt. Roland D. Bechtold,
Corman Smith. V. R. Dalton.
James A. McClain, and C. 11.
Skinner Jr. all firemen regular
ly employed by Southern Pacific
in the Klamath Falls-Crescent
Lake subdivision.
They specifically name in their
separate suits Eugene Lynch,
chairman of Lodge 542 of the
brotherhood.
Tlie seven suits were filed in
Portland, hut a change of -venue
has transferred them to Klamath
County for trial, the date of w hich
hasn't been set. The suits were
filed June 25, 1962, and were
transferred here last week.
The point of contention is an
agreement between Lodge 542
and Southern Pacific limiting (ire-
men from working more than 3,800ied twice.
their (air hare of the work.
The agreement provides that a
fireman who violates the rule by
working more than 3.800 miles
shall be suspended tuo days for
eaVI). 100 miles he has ex
ceeded tlie limit.
The seven firemen charge that
they were suspended for varying
periods up to 49 days in 1961 and
1962 for exceeding the limit. One
fireman charges he was snspend-
miles in any month
Union officials explained to a
reporter that the limitation is de
signed (o allow younger firemen
without much seniority to get
Each man is asking the wages
he feels he lost during suspension.
plus $25,000 each in punitive damages.
toff Hmas official said the
case's disposition will be watched
throughout the nation as the ques
tion of work limitations is de
cided in court.
In addition to this inter-union
fracas, the firemen and their un
ion have been involved in an ex
tended dispute with the railroads
themselves over the companies'
work rules. Some railroads are
seeking abolition of firemen alto
gether in some instances.
But in this local dispute, the
firemen's ranks are broken as
(hey settle a union question in
court.
The plaintiffs charge In their
complaints that during March, Ap
ril, May and June, 1061, 18 men
were employed by Southern Pa
cific as firemen in the Klamath
Falls area, and further allege
that all of tlie 18 exceeded the
3,800-mile work limit during those
months.
The firemen charge that follow
ing these four months, Eugene
Lynch, acting as chairman ol
Lodge 542, caused Southern Pa-
cilic to suspend eight firemen,
seven of whom filed suits.
Tlie seven said the suspensions
came "discrlminatnrily, arbitrar
ily, willfully, maliciously and with
(Coethmd ea Page 4)
ii m mi a iima'ja
PARK DEVELOPMENT MILESTONE The first railroad car on the tracks of a recrea
tional and historical train system being developed near Dunsmuir Is an executive coach
donated by the Weyerhaeuser Lumber Company office in Klamath Fells. Awaiting its
final journey for some months, the coach was taken from the Southern Pacific yards to
the museum end perk site on Little Castle Creek this week through the courtesy of Maw
key Transportation, Inc., Redding.