Waterloo Courier (Newspaper) - February 9, 1979, Waterloo, Iowa Friday 40 pages 4 sections February 9 1979 Waterloo Iowa 25 cenis Wholesale prices worst in WASHINGTON lAPi Wholesale prices spurred by soaring prices for beef and veal rose by 1.3 percent in January the biggest monthly increase in four years the Labor Department reported Friday The report means consumers can ex- hefty increases in grocery prices in the next few months Last month alone wholesale beef and veal prices rose 13 percent the ment said That was equal to about half the beef and veal increases in of Wholesale price boosts last month were widespread and included sharp gains in gasoline fuel oil cosmetics tobacco autos tires machinery and a variety of other products NOT SINCE November 1974 when the increase was 1.8 percent have wholesale prices risen so rapidly in one month Those prices usually are harbingers of trends in retail prices in following months Last November and December wholesale prices were climbing rapidly but at a slower rate of 0.8 percent If the January increase continued for a year the compounded rate would be more than 16 percent Alfred Kahn chairman of the Council on Wage and Price Stability called the wholesale price increases terribly widespread and troublesome Testifying before the Senate Banking Committee Kahn said the dramatic January increase underscores the vital importance of President Carter's program However he said some of the increases such as beef and gasoline were largely out of our control Kahn said the wholesale price rise might reflect action by companies to raise prices to the limit under Carter's anti- inflation guidelines and sooner than they might have otherwise Kahn said the administration's efforts at monetary and fiscal restraint have not begun to be felt The administration pre- had cautioned that results of its wage-price curbs probably would not be evident until late spring or summer KAHN SOUGHT Thursday to enlist consumers in the fight saying We have to depend on alert consumers to monitor prices He gested that consumers demand tions from retailers for stiff price boosts that seem unjustified and that they re- fuse to buy products that seem to be overpriced The first inflation report for the year showed wholesale prices for con- sumer foods rose by 1.8 percent in January Besides beef and veal wholesale prices rose sharply for fresh and dried vegetables vegetable oil products cessed poultry pork and black pepper Prices for dairy products and processed fruits and vegetables also moved up but not as fast as in recent months Prices for fresh fruits roasted coffee and fish declined sharply Prices of cars rose 2.1 percent Big price increases also were reported for jewelry luggage furniture household lawnmowers and tableware Glassware prices declined Prices that service stations pay for their gasoline rose 3.2 percent and big increases were reported for kerosene other fuel oil razor blades sporting goods soft drinks and clothes BUSINESSES had to pay higher prices for trucks and tools and other capital equipment The Producer Price Index for Finished Goods which measures wholesale prices moved up to 205.3 That meant the average wholesale product that cost in the base period of 1967 cost in January The figures are adjusted to account for seasonal variations In other developments on the economic Secretary Michael thal said a tax cut might be needed to stimulate the economy in 1981 but it would be dangerous to reduce taxes this year There have been widespread tions of a slowdown this year but the administration does not agree with them Tax cuts are often prescribed to combat slowdowns Commerce Department said the price of the average new house rose from to in December A year earlier the average new house cost Prices 206 205 ISO- Producer Pme Index for Finished Good 1967000 in k M J J AS 0 Source Depl ol labai F M 1979 AP A police union member waves picket signs following approval of a general strike by the Police Association of New Orleans The strike comes a week before the Mardi Gras season begins Police vow to strike through Mardi Gras tavern owner closes early to protest ASAP NEW ORLEANS lAPi The city's effort to force striking policemen back to work bogged down in court Friday and members of a police union rallied in front of City Hall and vowed to picket through Mardi Gras if necessary Vincent Bruno president of the Policemen's Association of New Orleans met a crowd of strikers on the wide lawn of the City Hall and hailed the court delay as a victory As the men clustered around him he reiterated the union's stand that the key issue was recognition of the union by the city However the issue which came into focus in state District Court was whether the city could force the men back to work under a temporary restraining order After an hour-long conference with lawyers Civil District Judge Richard Garvey agreed to send the case to federal court saying constitutional issues were involved Police association lawyers claimed that a order would violate 13th Amendment rights against involuntary servitude and the 1st Amendment right of free speech and peaceful assembly There was no indication how iong it would take a federal court to act Lt Frank Hayward police information officer said 314 men failed to report or called in sick during the early hours of the strike called late Thursday night He said 85 to 120 men would normally be out By DAVE BERNARD Courier Staff Writer An Evansdale tavern owner says lie closed six hours early Thursday night protesting the way he believes the county's Alcohol Safety tion Project is being handled Floyd Red Rider owner of the Pine Room here says he closed at 8 p.m to make sure none of my customers get picked up for stands for operating a motor vehicle while under the influence of intoxicating beverages a charge brought against drunken drivers Rider says he will close his tavern early again Friday and Saturday if I think the same thing is going on RIDER AND some of the other tavern owners in Evansdale believe sheriff's deputies are concentrating their efforts here during the three nights ASAP is en effect The driving program began Feb 1 Supported fay in federal funds the sheriff's department is able to pay deputies overtime on day Friday and Saturday nights to watch for drunken drivers Thirteen suspected drunken drivers were arrested last week during the first three nights of the program's operation The majority of Evansdale tavern owners believe the number of persons arrested in or near Evansdale indicates harassment on the part of the sheriff's department According to records of the arrests two of the 13 arrests occurred in Evansdale four occurred near Evansdale Of the 13 persons arrested two were Evansdale residents None of the tavern owners are against ASAP But as the owner of Cedar Sportsman's Lounge John Cooley says it appears to me they are picking on Evansdale Some of the tavern owners say they are being told by their customers that sheriff's deputies are parking near taverns waiting or people to head for home They don't believe that was the intent of the ASAP program IF SHERIFF'S deputies are doing that I feel it is said Don Starr owner of Starr Lanes here Starr as well as other tavern owners here believes the deputies should be concerned with highway travel in the county rather than with city streets that are patrolled by city policemen Sheriff Wendell Christensen ing criticism of the ASAP program from tavern operators said last Monday that if his deputies staked out taverns we would have more cases than we could handle The sheriff emphasized that the gram is intended to be a deterrent to drunken drivers and to reduce the number of alcohol related fatalities in the county Half of the 29 traffic fatalities in Black Hawk County last year were alcohol related Evansdale Police Chief William Fernau believes sheriff's deputies are not their driving efforts here His night shift policemen Fernau says tell me deputies are not sitting on taverns Fernau who believes the ASAP program is worthwhile says I don't believe they are concentrating in any city They aren't in my town FIVE TAVERN owners here met last Monday with Mayor Robert Aldrich to discuss their concerns with the ASAP program Aldrich called the meeting because of numerous complaints he said he received from city residents and the tavern owners Aldrich said he wanted to make it clear he as mayor had no control of activities of the sheriff's department The tavern owners left the meeting with the consensus that they would contact members of the county Board of Supervisors to discuss what they believe to be poor handling of the ASAP program Ozark tries again to cut Waterloo service By MIKE KELLY Courier Staff Writer Ozark Airlines filed notice Friday that it will drop Waterloo air service to neapolis and Kansas City in 60 days and hopes to be able to do it sooner In a series of documents filed with the Civil Aeronautics Board Friday it would drop its Kansas flights by April 10 permission to drop the route effective Feb 22 claiming a shortage of planes as its reason that all air service to Ottumwa would as of May 10 it would add a temporary St flight to replace the Kansas City flight being dropped this flight would be canceled May 10 along with every other Ozark route to Ottumwa OZARK HAD originally asked the CAB for permission to drop the route through Waterloo effective Feb 1 claiming an accident in Chicago had reduced its fleet of available aircraft The CAB rejected Ozark's request after a storm of opposition from Waterloo Ottumwa which is also on the Kansas loop the state of Iowa and Rep Charles Grassley Ozark spokesman Chuck Ehlert said Friday a commuter airline was ready to step into the Waterloo market and take over the Minneapolis and Kansas flights if the CAB granted Ozark's request for an early route cancellation An official of Mississippi Valley Airlines a LaCrosse Wis commuter airline confirmed that MVA is waiting in the wings to take over the present Ozark route if Waterloo airport authorities allow it to anticipate offering no less service than Ozark presently said Patrick Thompson marketing vice dent for Mississippi Valley THOMPSON said Mississippi Valley probably couldn't begin service here for at least a month but hoped to be able to offer flights to both Kansas City and Minneapolis for the same price now charged by Ozark and would consider to Des Moines Ozark charges for a round-trip flight to Kansas City and to neapolis Thompson defended charging the same price for the spartan service offered by a commuter line with its smaller planes The cost of operation on a per seat basis is higher with a smaller plane and it figures out to just about the same ticket price for passengers Thompson said Airport Aviation Director Lloyd Turner said no agreement had been reached with Mississippi Valley or anybody else to provide replacement service on the route and added that the airport com- mission would fight Ozark's attempts to drop the route Tom O'Leary CAB regional director in Kansas City said Mississippi Valley could begin serving Waterloo as soon as it reached an agreement with the airport commission and could rearrange its schedule IF THEY could agree on landing fees space rental and things like that they could fly in there today O'Leary said Mississippi Valley had recently been rejected by airport officials in attempts to bring service to Waterloo But now they may be a bit more receptive Thompson said We ly hope so anyway The MVA official said he would attempt to set up a meeting with the airport commission as soon as possible House votes for balanced budget By BOB CASE Courier Staff Writer DES a real cliff-hanger the Iowa House voted 50 to 49 Friday to call on Congress to propose by July 1 1980 an amendment to the U.S tion mandating a balanced federal budget Sponsored by Rep Cooper Evans Severin Severin The Iron Duke is on vacation His column will resume when he returns Grundy Center it calls for a tional convention to propose such an amendment in the event Congress failed to act by that date Evans offered it as an alternative to a resolution without the ex- tension of time for Congress to act and a proposal by Rep John Clark to eliminate any reference to a tional convention in- the balance the budget resolution Approval of the move by Evans was viewed as the key vote of Friday's debate and it appeared to ensure House passage of the Senate resolution as amended later in the day Clark had originally offered his posal because of fears as to what might happen at a constitutional convention It appeared at one time he would have enough votes to get it approved but that was before Evans came up with his compromise Five Democrats joined 45 Republicans in voting for the Evans proposal while 10 Republicans and 39 Democrats voted against The Grundy Center lawmaker said if Clark's position prevails a resolution without a call for a constitutional tion would be completely ignored by Congress Mr Clark would have us gently tug at the sleeve of Congress and then drop to our knees and politely ask for an Evans said He said his proposal is not a toothless but instead would light the fuse to get Congress to act Like other opponents of a convention Clark said the potential of this is de- He emphasized he favors a tional amendment to balance the budget but insisted a call for a convention is a very very dangerous and he asked his colleagues not to join in putting this nation on a course which will divide perhaps permanently Supporting Clark's position was Rep Steve Rapp who said proval of the Evans proposal would mean Iowa will join the constitutional tion bandwagon Twenty-seven of the required 34 states have now passed budget balancing tions Among those speaking in favor of the Evans proposal were Reps Jim Jolinson Ray Lageschulte and Kenneth Miller Today's Quick Comment ANYONE who doubts President Carter's tion to jogging should have seen him and wife running in tandem in the White House Rose Garden She was snug in a warmup suit but the dent had stripped down to tennis shorts with the temperature about 40 degrees Not too wise you Well Carter would tell you he hasn't had a cold since the jogging mania struck him Inside Waterloo teachers approve a contract giving them an average pay and fringe benefit raise ol 8.2 percent Page 3 Weather Slight chance of snow day with high temperature about 10 Complete weather page 2 Capitol quips When the snow and ice finally melt across the land look tor a rising trend of grime in the streets
