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Cedar Rapids Gazette Newspaper Archive: January 15, 1974 - Page 1

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Publication: Cedar Rapids Gazette

Location: Cedar Rapids, Iowa

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   Cedar Rapids Gazette (Newspaper) - January 15, 1974, Cedar Rapids, Iowa                                Weather- Mild tbirough Wed- nesday. Lows tonight around 30. Highs Wed- nesday in 40s. VOLUME 92 NUMBER G CITY FINAL TO CENTS CEDAR HAPIDS, IOWA, TUESDAY, JANUAKY 15. 1974 ASSOCIATED PRESS, UPI, NEW YORK TIMES Fuel Allocations Go into Effect WASHINGTON (AP) The federal government Tuesday ing from too little fuel. house or a business that's hurt- began applying a program of gasoline austerity and fuel oil rationing, including less home Ihc regulations say, "means a situation involv- ing or potentially involving sub- heating for the nation. While no ration stamps are in- volved, Federal Energy Office officials liave described the pe- troleum allocation system non-coupon rationing for major products except retail gasoline. The new regulations, which took effect one minute before midnight Monday, permit ex- ceptions for hardship cases. Normally, however, thermo- stats in homes and other resi- dential buildings must be set six degrees lower than in the same month of 1972, and in other buildings ten degrees lower. Many people have already done this and the regulations will not require a further reduction on their part. Less Gasoline Service stations will get less gasoline than before. Just much less was uncertain, but an FEO official guessed it might be 15 to 20 percent less than the public otherwise would use in 1974. John Sawhill, FEO deputy administrator, told a news- man following a briefing this morning that the administra- tion's request that motorists voluntarily limit themselves to 10 gallons of gasoline a week was "still consistent with current estimates" of the j stanlial discomfort or danger and-or economic dislocation." In effect, the system rations major petroleum products asi right down to the final con- sumcr, with one major excep- tion: Gasoline. The Nixon administration has ordered creation of a standby gasoline-rationing system but :ias not yet decided whether to 'ise it. As when they were first pro- posed .vhich the look final effect regulations, just before midnight, were accompanied bj a flip-flop of FEO interpretation. Allocated as Much? Late Monday, FEO spokesmen said mistakenly, as it devel oped that service stations would be allocated as much gas oline as in 1972. Still later, however, the agency reversed itself and as sistant director John Hill salt service stations would get what ever was left after higher priority bulk purchasers such as farmers, were supplied, just a: proposed earlier. Hill said the flip-flop in ex- planations made little real dif- ference since most gasoline goes to service stations any- way and file priority demands "off the top" would make lit- tle impact. More significant was the regu .gasoline to tip refinery In the briefing Sawhill away from gasoline and the basic strategy behind other A petroleum allocation rules is final regulations f CUf S I ILj preserve jobs. Citing some examples of the impact of specific figure for a reduc-ion in refinery gasoline By Associated Press 1 allocations, Sawhill said number is to be Dec. 1, an independent nesses and industries, to by the in the Chicago area was as much gasoline as in home heating oil at 28Va would be short about 7 to 10 percent of their potential 1974 demand; homeowners would be getting about 15 percent said the cutback consid ered earlier to 95 percent of 1972 levels was being reviewed and might be eased a gallon. Today, the same dealer is charging 35 cents a gallon. fuel oil than normal, oil stocks continued to an increase of almost truckers, while getting 10 through a winter which, percent in six weeks. It re- cent more than in 1972, has been unusually the situation throughout theless would be about 5 to 7 percent short of potential a rough estimate, Hill saic ;he available gasoline may be country, according to a spot check of trade associations. needs. .The administration has 20 percent below potentia 1974 demand. heating oil prices have motorists to limit sharply in the last month, voluntarily to ten gallons of gasoline per week, but so far there is no formal limit to their new regulations permit state allocation agencies to set aside portions of industry spokesmen say they'll probably rise some more vidual gasoline products for distribution to hardship the future. In fact, some spokesmen say Airlines will get five percent less aviation fuel than in 1972 and they have already started reducing flight schedules. Electric power plants are states can set aside Ihree percent of monthly gaso line supplies; three percent o propane; four percent of middl distillate fuels, including may cost you twice as much to heat your home this winter as it did last year. In dollars and cents, lhe increases can boost your yearly heating bill by get as much residual fuel oil oil and diesel fuel; more, depending on how the FEO says they can percent of residual oil you use and who your depending how much there fuel oil used in is. .But essential services and some Be Lucky military activities will get just '.ibout. all the petroleum they need, holding top priorities'1 in the new nationwide are no state set-aside for crude oil, butane gas, you were lucky enough to have a supplier who is getting domestic oil, you may not be hit Page 3, Col. allocation Plenty of Plan In allowing for "hardship" ceptions lo their specific limits, the regulations provide plenty of room for deciding what a with ship is apparently it (AP) lo her home with an at- include an exceptionally of State Kissinger of shingles. Egypt's counter Point Bus Plunges for a withdrawal of chief point under discus- A 1.   Society .....................10 Sports ...................13-15 Stale Television ..................11 Arts ................2fl-M ruel Oil Institute said domestic oil should average about 24 cents a gallon. But consumers jetting foreign oil may pay 40 cents a gallon. Changing to Gas Wayne Parthun of the Chicago Oil Heat Marketers Assn. said here is a range of 10 cents per gallon between high and low leating oil prices. The low price is 29 cents a gallon; the high is 9. The variation has prompted complaints from consumers who want to know why they're pay- ing one price and their neighbor is paying another. In addition, he said, the heat- ing oil industry is losing cus- "This is not simply a rebate or a political Ray declared. "This is substantive: it is real; it is helpful and if you follow my budget, it can be done." The sales tax would be re- pealed on groceries, but not on meals at restaurants, to save taxpayers an estimated million annually. The saving on prescription drugs would total an estimated million a year. A bill to repeal the sales tax on food and prescription drugs has been promoted for some time by state Sen. Joan Orr (D- Grinnell) and others, but this is the first time Ray has recom- mended it. The governor, saying he would outline his program "re- lative to the issues of energy and transportation" in a second address to the legislature next Tuesday, also called for: 6.5 percent "cost of liv- ing" pay raise for employes of public schools, area schools, re- gent institutions and the state. 55-mile-an-hour speed limit. ceiling on the rate of in- terest that can be collected on revolving charge accounts. one year ahead of schedule, of the ten-mill an- nual reduction limit in the state's school foundation pro- gram. (See Story on Page 41. The complete list of Ray's 44- point program may be found on page 2 today. Legislators listened intentlj for the better part of an hour to Ray's proposals for using the million balance, which he said would be in the treasury on I June 30. creased this balance above orig- inal he added, fluences on total growth. One is inflation. The other is what we term 'windfall revenue' caused hy enormous surges in our economy during 1973." Ray said he applied the phi- losophy he always has used to make up budgets in answering the oft repeated question about I the treasury surplus: "How are we going to use it "I believe he ex- plained, "in fulfilling the com- mitments government has made to people; second, in look- ing for ways to accomplish those projects of government without burdening our people with additional taxes; and third, in taking those steps to prevent government from spending more than is actually required to meet those needs and com mitments." Praises Legislature The Republican governor scored some points by praising he Republican controlled (Continued: Page 3, Col. 5.) t o m e r s. Parthun estimated about 50 or 60 people a day in Il- linois are switching from oil to natural gas, which costs less. Industry figures in May of 1973 showed about half a million neating units in Illinois used oil, compared with 2M> million using ;as, Parthun said. Gazette Leased Wires WASHINGTON Technical ATLANTIC CITY, N.J. Vice-president Ford Tuesday accused the AFL-CIO and other 'small groups of activists" of attempting to exploit the Water- gate affair to bring about Pres- ident Nixon's downfall. "And make no mistake about it it is an all out Ford said. "Their aim is total victory for themselves and total defeat not only for President Nixon .but. for the policies for which he stands. "Dominate Nation" "If they can crush the Pres- ident and his philosophy, they are convinced they can domi- nate the congress and, through it, the nation." Ford, in his strongest defense yet of the President, made the statements in a prepared address to a convention of the American Farm Bureau Feder- ation. The vice-president said that leaders in the anti-Nixon cam- paign besides the huge labor ederation headed by George Vleany were the liberal group, Americans for Democratic Ac- ion and other unnamed 'pressure organizations." If they succeed in their aims, Ford said, "We can all kiss joodbye the chances of reducing :ederal spending and increasing community and individual in- dependence. "We can expect an avalanche of fresh government inlerven- ;ion in our economy, massive experts reported Tuesday thai the 18-minute gap in one of the subpoenaed Watergate tapes was caused by "the process o! erasing and re-recording at leasl five, and perhaps as many as nine, separate and contiguous segments." In a report to Judge John Sirica the experts said the gap "could not have been produce( by any single, continuous opera tion." Not Recoverable Ray projected that at the -nor mal 5.5 percent growth rate which has been exceeded in 1973-74, the state would have a million surplus in fiscal year 1976 and a surplus in fiscal 1977. Still Have Surplus If followed to the letter, he continued, his program would leave a surplus of million in the treasury when the present biennium ends June Ray said some will view his "But there arc two ;.lher in- cstimates as "too conservative" They also said that recover} of any speech that was obli terated "is not possible by an> method known to us." Sirica scheduled an afternooi hearing to hear additional iesti mony from the experts. They did not speculate whether the gap was caused by deliberate or accidental actions. Their report appeared to elim- jinate the possibility that Pres- ident Nixon's secretary, Rose Mary Woods, could have inad- vertently erased a segment when she accidentally pushed the record button when inter- rupted by a telephone call while trying to transcribe the tape of a June 20. 1972, conversation be- new government spending and a more rampant he said. "Most Damaging" Ford said he did not think Nixon's enemies would be suc- cessful in bringing about his im- peachment and would try in- stead "to do the next most da- maging thing." "They will try to stretch out the ordeal, to cripple the Pres- ident by dragging out the pre- liminaries to impeachment for as long as they can to use the whole affair for maximum polit- ical advantage." Ford urged the house judici- ary is inves- tigating whether grounds exist for impeachment, to finish its job by the end of April. "No Grounds" Personally, I firmly believe that no valid grounds exist for impeachment of the lhe vice-president said. "I be- lieve that a majority of the committee will reach the same conclusion. But, whatever their feelings they owe it to all of us to do it promptly and responsi- bly. Anti-Tanaka Uproar: Indonesian Troop Call JAKARTA, Indonesia (AP) -I A battalion of troops in full bat- tle dress and scores of armored cars were called out Tuesday to keep anti-Japanese stu- dents from storming the grounds of President Suharto's Freedom paiacc while he met with visiting Prime Minister Kakuei Tanaka of Japan. There were a number of bloody clashes and the students smashed or burned about 50 Japanese-made cars and motor- cycles. Troops battled other stu- denls at a high school near the paiacc. Unconfirmed reports said six students were wounded there by bayonets and rifle bulls. One student was reported killed. lu one clash, students at- tacked soldiers with bricks and stones. One soldier was led. "Go to hell with your aid, said the banners it a rally on one campus where an effigy of Tanaka was burned. Tanaka arrived late Monday or the last stop on a tour of 'ive Southeast Asia nations. In each he has been the target of demonstrators charging Japan with economic imperialism W I eCOMUll LC Nil Jfl liUI.1111 UUI most of Ihe demonstrations have away bleeding profusely il wounds. from I ween the President and his aide H. R. Haldeman. Hands Required .Miss Woods had testified she jthought she might have caused 'at least part of the gap when she pushed that button and pos- sibly inadvertently kept her foot on a foot pedal that operated the machine. But the experts said their ex- amination showed conclusively that the gap could not have been produced by a single con- tinuous operation. They said whether the foot pedal was used not "the recording controls jeen peaceful. He was grim-faced as he left he palace and went to lunch h Foreign Minister Adam Malik. Malik said Tanaka told lim he would establish an office of economic cooperation lo pro- vide guidance for Japanese companies operating abroad and any country could take griev- ances about Japanese business men lo that office. Informed sources said 'Kana- ka's scheduled visit lo the lie roes' Cemetery was canceled because of Ihe official Mill. reason [hand in the making of each seg- ment." The tones which formed the uzz "do not appear to be caused by normal machine the experts said. They also said they believe that conversation had been re- corded on the obliterated seg- ment. The six experts also said they agreed unanimously that: "The erasing and recording operations that produced Ihe buzzing section was done direct- ly on the evidence tape." The tupc recorder "probably They have no right to leave America hanging when so much that is important remains to be done. "Write the last chapter, close the book and get on with the vital business of the Ford urged his former house colleagues. "It is high time we got out of the rut of despair and self doubt and back onto the high road of progress." Ford: Should Be Adjustment In Guidelines ATLANTIC CITP, N.J. Vice president Gerald Ford pre- dicted here Tuesday there would he some readjustment in wage guidelines this year to compensate for sharply rising food costs. "It would only be Ford told a press conference aflcr speaking at the American Farm (Continued Page 3, Col. 8) Today's Chuckle Most movies on television are just like furniture they're cither Early American or Old English. .-coiwmnt   

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