The Daily Alaska empire Newspaper, February 18, 1949, Page 1

VOL. LXXII., NO. 11,123 PROPERTY TAX B BILL WOULD DOUBLE TAX FOR SCHOOLS $10.50 Pro?sal Reap-g pears-National Guard Act Is Debated By JIM HUTCHESON A proposal to increase the terri- tory’s school tax from $5 to $10.50 per person came back to the House yesterday afternoon. A similar measure passed the House during the special session but died in the Senate. It was reintro- duced by Rep. Warren Taylor, Fair- banks Democrat. It provides that 44 per cent of the receipts would go to the “Universities of Aldska” for salaries and 56 per cent to pub- lic school salaries. It was one of three bills intro- duced during the afternoon. Two memorials also appeared. ‘The House passed two bills dur- ing ‘the afternoon and completed : the nearly two hours of reading the bulky bill for creation of the pro- posed Alaska National Guard, with several amendments being made. The bills passed provide $2,560 ex- Hooper Bay Gels Food BL Airlift ANCHORAGE, Feb. 18— A jato-equipped C-47 plane of the ;ll'.lh Rescue Squadron is scheduled jto leave Eimendorf Field .today with 4,450 pounds of emergency food for villagers at Hooper Bay on the Ber- ing Sea Coast. The Alaska Native Service receiv- 'eq the request fram the cooperative istore there, saying the 290 villagers |were short on staples. The AN.S. \bougat the food frem the Army and |the Alaskan Air Commang volun- iteered to fly it to the village. Frzezing rain conditions at Hoop- 'er Bay kept the plane from making the trip yesterday afternoon. | The plane 'wm carry 20 cases {milk, 40 bags of flour, 10 sacks sugar, 10 cases of coffee and pounds of tea. The ski-equipped plane plans to Jand on a frozen lagoon if conditions !permit, otherwise parachute drop from low altitude. The villagers did not have suffi- icient money to order enough staples of 5C ilast spring in order for it to be; ,placed akboard ship. Now the villag- ‘ers have the money, the food must 'te flown to them, an official ex- of | it will make a| ATLANTIC ALLIANCE STUDIED 'Commi"eehlfiuzz!ed Re- garding Stand in Case Member Attacked (By The Associated Press) The Senate Foreign Relations Committee puzzled today over how far the United States should com- mit itself under the proposed At- lantic defense treaty. tary of State Dean Acheson for a study of just how to word the pro- pesed alliance. Thus far unsettled is the wording of a defense clause—the problem of what to promise if one of the member states of the security sys- tem is attacked. President Truman reaffirmed at a news conference yesterday that American policy calls for the agree- ment to provide: “Unmistakable proof of the joint determination of the free countries to resist arm- ed attack from any quarter.” The treaty proposal is expected to be submitted at once to other na- tions in on the negotiations, if The committee called in Secre- | trr compensation for the Attorney 'plalned. General for his special services for | He said the villagers were not in | the Senate Committee approves the the legislature and would forbid any danger but the food was being : Wording of the pact. The coun- standing passengers in buses on' iV sent to supplement the native diet. trips more than 15 miles from an' ik i Alaska city center. The attorney ! 4 G E “ E R Als | i a supporter of .the $500 figure, counter-proposed $2,500 ‘when it looked as though the $1,000 would | The vote by which Rep. Frank 'Bomh Wing, MacDill Air Force base, | Angerman’s no-standing bus bill at Tampa, Fla, will become com-| passed was 16 to 8. |manding general of the 5020th wing, | general compensation bill passed 14 | to 9 after prolonged wrangling. It ! originally had proposed §1,000. That | wss cut to $500 Wednesday. On re- consideration yesterday an amend-l REASSIG“ED. ment was offered to put it back ' ' be approved. The House voted for HITS AlASKA the $2,500 amendment. Franklin was ! _ accused of trying to kill the bill by | WASHINGTON, Feb. 18.—#— making it too high. As expected The Air Force announces reassign- by virtually everyone in the House 'ment of four generals. chamber, Franklin then voted| Brig. Gen. Donald R. Hutchinson, Bus Bill Exemption IDavis Ak Force base, Adak, Aleu-; The stiffest provisions were cut tjan Tslands. ! from the bill. { i As finally passed, the bill sayscommanding gemeral of the Alaskan! bus passengers don't have to beiaj command, Fort Richardson, Al- seated on trips within 15 miles of a '54¢a has been named commanding Maj. General Joseph H. Atkinson. | qtries include Canada and five west- ern Eurcpdan countries — Great Britain, France, Belgium, The Neth- erlands and Luxembourg. Some of the other European na- tions are openly worried as to just how far the United States intends ;to go under the alliance. | Norway's Labor party newspaper (asserted today Norway must adhere to the Atlantie Pact, instead of “an iisolated neutrality which we cannot {detend.” LIMIT ON FISH IMPORTS ASKED FROM CONGRESS WASHINGTON, Feb. 18.—M— East and West Coast fishery spokes- men have joined in asking Congress to limit fish imports. They told a House Fisheries Sub- committtee that current taritf bar- to $1,000, but Rep. Glen Franklin, ageinst the bill in final form. . ‘commanding general of the 307th| city center. Franklin moved for the amendment to replace a 10-mile reconnaissance, Topeka Air Force, amendment, arguing Juneau had a lccal bus running 14 miles out. Angerman ,objected vigorously to stretching the exemption. The bill alto exempts buses now in Alaska (Continued en Page 2) The Washington* Merry - Go-Round By DREW PEARSON (Copyright, 1949, by Bell Syndicate, Inc.) ASHINGTON—It was kept very hush-hush, but Norwegian Foreign Minister Halvard Lange had a very significant secret luncheon with a group of Congressional leaders in House Speaker Sam Rayburn’s off- ice just before he returned to Oslo. At the luncheon, the Norwegian diplomat shrewdly let his hair down to tell American Congress- icnal leaders his nation’s troubles resulting from its willingness to join the dynamite-laden Atlantic Defens? Pact, Norway has been un- der terrific pressure from the Rus- sians not to join with the West- ern powers in a mutual-defense agreement. Lange told the Congressmen who met him that Norway was not wor- ried about whether or not to throw in its lot with the West. Rather, Lange said, the thing that concern- ed the Norwegians, as well as the Danes, was what would happen in the event Russia began massing troops near the Norwegian border during the period while Congress debated and before American aid became effective. Lange showed a brilliant knowledge of the Ameri- can legislative process. He estimated it might be five months before American aid reach- ea Norway in quantity. It was this lag, the Foreign Minister said, that was causing the Norwegians sn much concerh. House Speaker Sam Tiayburn and } igeneral of the 311th Air Division, base, Kansas. Brig. Gén. Paul T. Cullen, now |commanding the 311th Air Division, will become deputy to Atkinson. { Brig. Gen. Frank A. Armstrong, |Air Command, will replace Atkin- tson as commanding general of the AC. i —,———— i ! SWITCHMAN FOR A.RR. IS KILLED BY LOCOMOTIVE ANCHORAGE, Feb. 18.—(®—His head covered by a heavy parka and with a nearby machine shop making a lot of noise, Columbus Jones, 42- year-old Negro Alaska Railroad switchman, did not hear a backing locomotive at the freight terminal yards. He was killed almost instantly. Railroad officials said they plan- ned a full investigation. His next of kin was listed as Mrs. Maple Harris, Sacramento, Calif. — e COLDER WEATHER CHECKING FLOOD THREATS IN PNW SEATTLE, Feb. 18—(P— Parts of the Pacific Northwest still are threatened by floods, although cold- er weather has checked the threat in some regions. Inland areas of the northwest are having colder weather, which is putting a brake on swollen streams. Cold air is spreading into the northern plains, and a new snow ifall is harassing Wyoming. , 2 1Jr., chief of staff of the Alaskan! riers olfer little or no protection and that the domestic industry is junable tc meet foreign competition. The committee has been studying fishing industry problems with a view to drafting remedial legisla- tion. Witnesses from New England pro- {posed that an annual import quota of 43,000,000 pounds be imposed, saying fhat import duties would have to be raised to “fantastic” heights before they could afford ef- | fective protection. + Joseph A. White, business agent of the Gloucester, Mass., Seafood Workers’ Unicn (AFL) said that even a 100 per cent boost of tarirf West Coast spokesman said they are threatened by imports of can- ned gnd freshy tuna from South America and Japan. ABOARD PNA FLIGHTS IN AND OUT THURSDAY Passengers aboard Pacific North- ern Airlines flights yesterday in- cluded the following: From Anchorage: Major Frank Griffin, M. D. Huffaker, J. Frobose, Norman Haley. From Cordova: A. L. Kaye. To Gustavus: Mrs. Archie Chase, Lyle Bieber. To Anchorage: A. Jones, Glen Wilde:, Walter Walsh, J. 8. Rude. To Kodiak: Mr. -and Mrs. Vic. Shenitzler -and Vickie. IARMY PLANE CRASH; '8 BELIEVED KILLED BUENOS AIRES, Feb. 18.—(®— The American Embassy said today that eight persons are believed to thave perished in the crash of a U. 8. Army C-47 plane near Salta, {Argentina, south of the Bolivian {border. rates would not solve the problem. i DOWN TREND Current Price [ Drops Onlil Healthy Leveling-Off, Says ?Esident ; By FRANCIS M. LE MAY. { WASHINGTON, Feb. 18—@— President Truman’s confident fore- cast of continued prosperity brought this reaction today from his Capie tol Hill critics: The best way to heip the nation’s business is to leave it alone. The President also renewed his re- quest yesterday for a $4,000,000,000 tax boost—a proposal which appears ed to be picking up support from Democrats, but only if necessary to keep the treasury out of the red. There is a lot of opposition, how= ever, Mr. Truman told his Thursday news conference current price drops are only the leveling-off that every- body has been hoping for, and he spoke confidently of the business outlook. He said the bukingss situa- tion is nofmnz to te alarmed about. Some critics agreed that the lev- elling off is healthy. But they said the President’s economic controi program, if approved by Congress, might turn a healthy recession into a depression. OTHER DEVELOPMENTS While Mr. Truman took the eco- nomic temperature, there were these other developments: 1. Buying interest in the New York Stock Market sharpened yes- terday and the market moved ahead weeks, 2. At Cleveland, the Chesapeake & Ohio Railroad announced tem- porary layoffs for more than 4,000 employees in four areas. A spokes- man blamed declining passenger business and slower movement of | coal due to a mild winter. FIVE DAY FURLOUGH 3. The Baltimore & Ohio Rail- road. ordered a five-day furlough late this month of 2,521 of its shop em- Pployees. 4. A majority of the 17-private- industry economists attending 2 Capitol Hill conference spoke out against the Administration’s re- lquest for higher taxes and wage- price allocation controls. ‘The House yesterday voted to let the President keep part of the power he now has. A bill extending export controls for 28 months was passed and sent to the Senate, which has approved a similar measure with slight differences Mr, Truman told his news con- ference, in answer to a question, that he has no plan now to modify installment buying controls. sRep. lPatman (D-Tex) has argued the controls are hurting business. | ALASKA STEAM PROPOSES NEW CHARTER DEAL SEATTLE, - Feb. 18—#—G. W. Skinner, President of Alaska Steam- ship Company, confirmed reports today that his company has sub- mitted a new charter arrangement proposal to the maritime commis- sion for the Alaska trade. Skinner said the plan is designed to provide sufficient vessels for the trade during the peak shipping sea- son in spring and summer months. A commission decision on the re- quest is expected next week, accord- ing to word from Washington, D.C. The company asked authority tc maintain surplus ships on a year around basis, paying charter costs only when vessels are in use and paying maintenance costs when ships are idle. Skinner said this would not re- duce company costs, but would as- sure the trade of having enough ships to meet shipping needs. It also would save the government ex- pense of taking ships in and out of layup, he added. ¥ “we regard it as a step in the right direction,” ‘Skinner concluded «although it definitely is not the complete answer to all our prob- lems.” — MEMBER ASSOCIATED PRESS (ars Flee Flood Many cars were trapped on Oregon roads As sudden thaw flcodcd most of foward safety as fast-rising creek washed over wide area near Portland. P Wirephoto. L PASSES SENATE the State. Here two splash U Michigan Juniorls - SKOW SMUDGE IS CAUSE, SNOWSLIDE For over one minute this forenoon, for the best..querall advance in sj 1 To Iry fo Oule_al Hog PIONEERS' HOME BILL GETS ROUGH HOUSE HANDLING A House bill for a Ploneer wom- en’s home or homes ran into as much trouble in the House this morning as a sidetracked sister measure had encountered previously in the Senate. After almost an hour’s argument this morning, the mangled bill ap- pearea headed back for redrafting in committee. The move to re-refer was interrupted by the noon recess. The measure was introduced by the three feminine house members— Essie Dale, Amelia Gundersen and Doris Barnes. About the only specific action the House took on the bill was to elimi- nate the proposal for a home at| ANN ARBOR, Mich,, Feb. 18—/ —A University of Michigan junior said today that he would try to out- eat a hog. The contest is scheduled for Sat- urday between Paul H. Smith, an engineéring student, and Broadview ! Perfect Lad, a four-months-old hog. Both will “weigh in' as weiter- wejghts—at 165 pounds. Smith hopes: to match pound for pound of food |with the hog until the animal calls t quits. The contest climaxed a growing series of gastronomical feats on the campus. One student ate 48 oysters and a second bésted him ty eating 76, A girl student ate 12% ham- burgers, falling balf a burger short |of the intercollegiate record. Dr. Warren E. Forsythe of the | University Health Service, called the exhibitions “disgusting and silly” and remarked: “You could go and get a hog that |could eat more than that.” Smith said he would try to prove Juneau was caught in a regular snow smudge. A snowslide on Mount Juneau occurred and came roaring down spraying snow over the city, across the channel almost to Doug- [las. The slide came down from Moun{ Juneau and’ struck halfway between the wooden bridge and the trestle on 'up the sifle, piling 15 feét deep on the Basin road, according to H. A. Stoddart, Division Engineer of the Public Roads Administration. The Basin road will be eleared by Sunday, permitting traffic., Two employees of the Junean the Basin.road. The slide, 20 feet wide, came across Gold Creek, and TEN MILL TAX LEVY OK'D 12-4 Measure Now Goes Back to House for Approval of Amendments BULLETIN—The House this afterncon concurred in toto to all Senate amendments and the measure now goes to the Gov- ernor for his signature. By BOB DeARMOND The General Property Tax Bill came unexpectedly to the Senate floor this morning under a suspen= sion »f the rules and quickly passed by a 12-4 vote. There was almost no preliminary fuss or flurry. The only votes cast against the Ll were by Senators Dawes and | Garnick of the First Division and i Stnators Jones and Munz of the second. Senators Butrovich and Rivers supported the measure in the short ° debate preceding passage; Senator Jones spoke against it. The bill now goes back to the House, where it originated, for the House to approve or disapprove the amendments adopted by the Senate. The smendment most likely to meet with the House opposition is the one reducing personal property exemptions from $2500 to $200. If the House approves the amend- ments made by the Senate the bill will go to the governor for approval; if the House does not approve the Senate amendments, the bill will go to a Conference Committee of six members, three from each the Houss and Senater The Property Tax Bill came back from the Engrossment Committee this morning and Senator McCutch- eon immediately moved for third reading and final passage. There was no objection. Eenator Charles D, Jones took the floor with the announcement that l Water Company consider they had | gnse the amendment he had of- Fairbanks as well as at Sitka ol Wrangell. Mrs. Dale moved to eliminate the | Fairbanks proposal because she had | bl g found no need there. She said old! BODY folks told her they would rather| go to Sitka, where the Pioneer'ls fou“D I“ RAVINE men’s home is located. i # H With the elimination of the Fair- “E AR WRE(K S(E“E' banks project, the women sponsors also offered an amendment to cut; AL the appropriation from $200,000 to| ATHENS, Feb. 18.—#—A body 1$100,000. The 200,000 item already|found in a ravine near Karpenist had been cleared Ly the House Ways i has been identified positively as| and Means committee. ! that of Lieutenant Colenel Selden Two motions were before the'Edner, an American Air Force offi- | House at recess time. Jack Conright | cer. moved to send the bill back to com-! The American Mi n announced mittee for redrafting. Warren Tay- that the identification. had been lor had moved to strikz the whole made from medical records. section providing for the Piomeer, Edner was from San Jose, cant.i Women'’s building at Sitka or Wran- !He was 30 yeras old. He was an ! gell. He said it should be left to the | unarmed obsewer aboard a Greek ! decision of the commission which Royal Airforce plane which mnde{ Dr. Forsythe wrong. | | | would be established under the bill.'a forced landing in Karpenfi on | A similar bill for a Pioneer Wom- January 21st. i en’s Home building or annex at! The Greek guerrilla radio said Sitka has been postponed until the scon after the crash landing that | end of the month in the Senate, af- Edner had died of injuries suffer- | ter having reached the floor there ed in the crash. | twice. Senator Anita Garnick is its, A Greek Army colonel said af- author. ter an investigation that it was |safe to. conclude that Edner was killed within two hours after the! STOCK QUOTATIONS plane landed. The colonel said vil- | 'lagers told him they saw many R | guerrillas running toward the spot | NEW YORK, Feb. 18.—R—0l0s- ;) 0qiately after the crash. | ing quotation of Alaska Juneau ! T SRS mine stock today is 3%, American i Con 88, Anaconda 32%, Curtiss IRUMAN S AIMS Wright 9%, International Harves er 24%, Kennecott 487, New York Central 11%, Nerthern Pacific 14-‘.,} (By The Associated Press) U. 8. Steel 71%, Pound $4.03%. President Truman told the news- Sales todey were 650,000 shares. |[men hat he stands on what he Averages today are as follows: said before: . industrials 174.71, rails 49.21, util- | He still wants taxes increased by ities 34.60. | four billion dollars . . . —— e o ! He still takes a confident view SIEAMER MovEMEms of the business oatlook . . . | And he means what he previously !said about the objectives of the pro- Princess Norah from Vancouver posed North Atlantic Defense Al- scheduled to arrive Sunday after- liance . . . noon or evening. | Furthermore, the President toldl | Gommunis-controlled police, & narrow escape. Pete Petrovich and B. H. Kirchofer were working in the creek bottom, | checking the penstock of Gold Creek. !They heard the slide, and ran for their lives. Their truck, at first believed to be caught in the slide, was missed, and still is on the farther side of the slide. — - CONFIRMED WASHINGTON, Feb. 18.—(#—The Senate has confirmed the nomina- tions of these United States attor- neys: Frank C. Bingham for Division No. 2 of the District of Alaska. . Harry O. Arend for Division No. 4, Alaska. They have been serving under previous appointments. GERMAN P POLICE KILL GERMAN IN BLOCKADE CONTROL By THOMAS A. REEDY BERLIN, Feb. 18—(®—Soviet-con- trolled Gierman police killed anothe: German while tightening their blockad®, and the incident heighten- ed tension today between Commun- ists and their foes who charged the shooting was “murder.” Sporadic fist fights were report- ed on subwsy and elevated trains between German passengers and who sought to search and seize their be- longings. @ German man and a 14-year-old girl, innocent cystanders, were wounded in another sector border incident. — e 'COUNCIL MEETS TONIGHT Matters to come before the Ju- nesu City Council at tonight's regu- lar meeting will be chiefly of a routine nature, according to May- or Waino Hendrickson. Definitely on the agenda are third and final reading of Ordin- FROM. FAIRBANKS ———————— The frigate bird, clocked at 261} IN FROM SKAGWAY Baranof scheduled to sail from'hic news conference—there’s been ance No. 326, to negotiate $260,000 Seattle tomorrow. ino change whatever in American of paving bonds; establishment of fered to aid the industry had votes, he would the pill. Retouching a picture he had pre- viously painted of the difficulties of profitable mining, Senator Jones said that many of the small mining operators in the Second Division will close down next season. “With the severe restrictions placed on the sale of gold, the gov- ernfnent holding it at $35 an ounce while the world price is around $72, the miners are unable to assume any additional costs,” Senator Jones asserted. “very sick” mining received only four be unable to support A FAIR TAX “This is as fair a means of rais- ing revenues to operate the Terri- tory as any we gould pass,” Sena- tor Butrovich told his colleagues. He admitted that it is not pain- less but felt that one of its greatest - merits is that it is not aimed at any one industry or class of taxpay- ers. The amount of revenues the tax would bring in was the only reason for any qualms concerning it, the senator said. “I voted against this bill in the 1947 session because I doubted then that it would bring enough reve- nues to offset the costs and diffi- culties of assessing and collecting the tax,” Senator Butrovich said. ‘Our experience in collecting taxes in independent school districts has proved that I was wrong,” he added. INCOME AND WEALTH Fair and equitable taxes include those on income and wealth, both ot which are based upon ability to pay, the senator explained. 3 “We have already passed a Lill to tax income and if there is any wish among the members of this body to enact equitable tax legisla- tion, this bill should get 16 votes here,” Senator Butrovich concluded. Senator Victor Rivers asserted that the Territorial treasury is in the worst condition ever although Alaska has had the biggest boom in its history. He pointed to the failure of past legislatures to pass basic tax laws as the cause of this condition. “We have always gone home from past sessions after having provided only for the barest necessities,” Senator Rivers said and expressed the hope that the “great need for schools, hospitals and other facili- ties for the welfare of our pecople can be. taken care of.” .— (miles an hour, is the fastest feath- Leo Kaye of Fairbanks is regis- | Alaska from west scheduled policy regarding the occupation of |precincts for the next municipal —————— . (Continued on Page Four) Registered at the Gastineau from | Skugway is Howard Welch. | tered at the Baranof Hotel. { ered . flyer. I southbound Monday. Japan, election, and payment of bulls, (Continued on Page Five)