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Lethbridge Herald, The (Newspaper) - November 16, 1974, Lethbridge, Alberta Turner budget may offer some medicine to ease housing pain OTTAWA (CP) A few new tax rebates on home be mixed with some six-month-old tax proposals in Finance Minister John Turner's budget con- coction Monday to ease the housing pain. The tar rebate plan and leftover ideas from the defeated May budget air among many proposals to shore up the sag- ging housing n.jrke' that the finance minister has been con- sidering in en piling for his Monday budget speech. Finance department officials indicate privately they are more worried about the housing situation than about any other element of the economy. Housing starts this year have dipped sharply below last year's record levels. Mr. Turner is expected to place most emphasis on dealing with the threat of a recession. There is more concern among federal and provincial government leaders about an eco- nomic slowdown than about inflation. One area that already has slumped is the housing sector with residential starts so far this year down 16 per cent from the corresponding period last year. It is understood Urban Affairs Minister Barnett Danson has recommended a tax rebate on home mortgage payments in government budget discussions. The Housing and Urban Development Association of Canada (HUDAC) also has suggested the idea to the finance minister. One item the finance minister has said he intends to bring back is a proposal in the May 6 budget for a registered home ownership savings plan The idea died with the defeat of the government two days later, leading to the July 8 federal election. The home ownership savings plan was intended to ease housing demand which was then high despite rising mortgage rates. Anyone over 18 could contribute up to a year to a home ownership savings plan with a lifetime limit of The contributions would be tax free if the purchaser was us- ing the money to buy his first home or to furnish that house. The finance minister also may reintroduce May budget proposals to remove the federal sales tax on material bought by municipalities for building water systems and on construction equipment. Ernest Assaly, HUDAC president, said Friday removal of the 12 per cent sales tax on construction equipment would not do much for the house building industry. It might help more in construction of big commercial and industrial buildings. Little heavy construction equipment is used by the house- building industry, he said. Mr. Turner may comment generally on his efforts to per- suade lending institutions to direct low-downpayment mort- gage loans to people buying moderately-priced homes. Banking sources say the banks have accepted the finance minister's advice but mortgage money is still short. Investors have been hesitant to put money into mortgages while interest rates have been so unsettled. Money has gone into short-term securities, as investors have been unwilling to commit themselves to long-term investments like mortgages. The lethbrtdge Herald LETHBRIDGE, ALBERTA, SATURDAY, NOVEMBER 16, 1974 20 Cents This Weekend CANADA GROWS UP Does the country that laughs together stay together? Maybe not, but It could mean that It's growing up, and that's what a new situation comedy on CTV, called "Excuse My French" Is all about. Weekend, Page 4 ISKIH-TAKIMSKA The 8 lack foot used that word, meaning "it flowed to describe the channel of the Oldman River just south of Highway 3, a few miles northwest of Lethbrldge. The viewpoint overlooking the oxbow lake formed in the old river channel has been chosen by the province as a heritage site. Page 13 SURPRISE University of Lethbrldge Pronghorns surprised the powerful UBC Thunderblrds 89-69 In a season opener for both clubs In the Canada West Basketball League. Page 21 HAIMIJ) Or. Lofts Hltschmanova Is haunted by the world's destitute. But unlike most of us she has spent a lifetime trying to alleviate some of the suffering of the poor. Now she says Canadians must assume some of the responsibility for the food shortages plaguelng the world. Page 33 108 Pages Classified..... 26-30 36 Comment .4.5 __i Loral District......13-15 Family..... 33-35 Markets ........24. 25 Religion.........8, 9 Sports ......21-23 Theatres 17, 18 TV 16 Weather 3 LOW TONIGHT 25. HIGH SUN. 45; St NNY, WINDY This is Florida Two telephone linemen place a ladder against a town marker to find out where they are, after sev- eral inches of snow fell overnight in the region. They received the shock of their lives when they discovered the sign read Florida. Had they taken a wrong turn? Fortunately for the state of two actually were in Florida, Mass, exactly where they, and the snow, were supposed to be. Aldermen consider park plan City council Monday will be asked to make proposals for an urban park covering five sections of river valley land a reality. Aldermen will consider a draft bylaw encompassing five years of planning by citizens" committees and civic officials for protecting the land for recreational development. "This bylaw is the instru- ment that makes what were proposals into fact." Bill Brown, parks director, said Friday Initially, the cjty is looking at protecting acres of land in the valley. Eventually the "public open space" en- visioned would cover acres. The bylaw includes mention of 42 specific parcels of land which could be affected and is called the Lethbndge River Valley Development Scheme It declares private properly in the area of the valley essen- tial to the carrying out of the development scheme." U.S. hits back at beef quotas Tough retaliation seen WASHINGTON (CP) The United States will im- pose "tough" and wide-ranging quotas on the importation of Canadian beef and livestock and live swine and pork, informed government sources said Friday. However, a White House spokesman said he could not confirm a report that the U.S. retaliation against Canadian beef quotas would come today in a presidential proclamation. "It could he said. "But President Ford has a lot of things on his desk to clear up before he leaves Sunday for overseas." An informed U.S. govern- ment source said that "since the action is designed to ob- tain the removal of Canadian quotas, you can take it the ac- tion will be tough." Both the government source and the White House spokesman agreed that the retaliation will be against beef and pork, whereas the Cana- dian quotas affect only beef. The Canadian quotas, an- nounced Aug. 2, affect im- ports from all countries for one year, limiting them to an average of the imports cover- ing the last five years. The U.S. quotas likely would cover, so far as beef is con- cerned, "a quantity much comparable to what we lost through Canada's non-tariff the White House spokesman said. By this, he said he meant the amount of exports to Canada lost to U.S. cattlemen through not only the quotas but also the border-closing Diethylstilbestrol (DES) issue which preceded them. Canada closed its border to U.S. cattle after the U.S. re- moved its ban on feeding the growth hormone DES to cattle. Laboratory tests have shown it to be a cancer- causing agent in animals. The quotas followed imme- diately upon the negotiating of a plan with the U.S. for certifi- cation to prove that cattle of- fered to the Canadian market had not been exposed to DES. Pork men may be hit hardest EDMONTON (CP) Dr. Hugh Homer, Alberta's agriculture minister, said Fri- day the introduction of import quotas planned by the United States on Canadian beef will have little immediate effect on western cattlemen. However, Dr. Horner said the restriction probably will also include live swine and pork and that could have a serious effect on Alberta's pork producers. The minister, said in an interview the West is a net im- porter of beef and that will soften the impact of the quota restriction on cattle. Dr. Horner termed the quotas unfortunate and said President Ford was playing politics with the agriculture industry. Food council established ROME (AP) The World Food Conference agreed today to establish a world food coun- cil as an umbrella group to funnel food and money to needy countries. United States sources said. "We have an agreement." one of the informants said, emerging from the caucus where the accord was ham- mered out in negotiations with representatives from all blocs. Canada opposed creation of the council on grounds enough such agencies already exist within the UN. The sources said the world food council will be establish- ed by the United Nations General Assembly and will report to it through the UN Economic and Social Council. They said the new- probably consisting of about 25 members, will have its headquarters in Rome to work alongside the UN Food and Agriculture Organization. Seen and heard About town Lethbridge County Manager Bob Grant reading- council a letter from ratepayers claim- ing if government doesn't stop making so many laws, the only folks able to do anything will be criminals Liberal association president of Taber Warner Les Chomany saying he has held that position four years because he can't get enough Liberals together to elect new officers. Feed subsidy urged to steady beef prices BERYL PLUMPTRE OTTAWA (CP) Cattlemen should be given government subsidies to cover the cost of feeding cows over the winter as an incentive to hold such animals off the market and prevent a sharp drop in prices, the food prices review board recommended Friday. Board chairman Beryl Plumptre said she expects farmers to start culling their herds and selling large City group continues fluoridation battle The Lethbridge Safe Water Committee is considering further action against the results of the Oct. 16 vote in support of fluoridation. Mona Thorburn, on behalf of the committee, says in a letter to city council the committee is considering action under the contraverted election procedure, part of the Municipal Elec- tions Act. Because of this the committee is asking council, at its Mon- day meeting, to delay final decision on the fluoridation bylaw. The committee has until Nov. 27 to begin action under the procedure. The committee was defeated in an earlier attempt to ques- tion the results of the balloting when a district judge ruled against a recount because the committee's application was late. The contraverted election procedure makes provisions for a questioned vote if the person "raising the issue shows by af- fidavit to a judge reasonable grounds for supporting an election was not legal. (or) that the voting upon a money bylaw was not legal or was not conducted according to law." Interest rates to drop further OTTAWA (CP) Interest rates will begin dropping fur- ther Monday now that the gov- ernment has pulled off the market the Canada savings bonds which were too good a buy under current conditions. the Bank of Canada gave quick endorsement to a continued decline in rates with an announcement Friday that it was cutting the central bank rate to per cent from 9'4. The Bank of Nova Scotia an- nounced it was lowering some of its rates from Monday even before the announcement from the Bank of Canada. A change in the bank rate has in the past been seen as a signal to the chartered banks to change their rates. But this time the central bank was just recognizing a trend already underway. Gerald Bouey. governor of the Bank of Canada, noted in a statement announcing the drop from a record high level that the change followed a substantial -decline in market rates since August. Strike threat OTTAWA (CP) Federal food and gram inspectors have been urged by their union to reject a conciliation report re- leased today, raising the possibility of a strike after Nov. 22. numbers of cows as soon as the first heavy snowfalls hit the West. If they do. added board economist John Morris, cow prices could drop as low as five cents a pound to farmers from current prices of about 20 cents Mrs. Plumptre told a news conference that the govern- ment payments should not be so high that farmers could make money by holding animals off the market. They should merely be high enough to help persuade ranchers "to hold back a little and keep the price steady." Otherwise, she said, cow herds in the large beef produc- ing western provinces will be cut too quickly and too heavily, opening the possibili- ty that consumers will pay a "terrifically high price for beef next year." Mrs. Plumptre held the news conference to coincide with the release of yet another report on the beef industry the board's sixth which includes a number of recommendations to ease the current plight of cattle and calf farmers. The board urged cattlemen to cull cows from their herds in order to eventually reduce the number of beef cattle in the country and increase prices to farmers. Yet ranchers should attempt to sell their cows "as evenly as possible over the year" to prevent any flood which could further undercut cow prices. To help them, the board recommended- the govern- ment feed-subsidy payment. The board also called on the beef industry, particularly retailers, to sell greater quan- tities of lower-grade beef. Most of the cattle slaughtered in the country are graded Al, A2. A3 or A4. lop quality steers and heifers and the only beef sold by larger chain stores, hotels and restaurants But because it takes more grain to produce a grade A carcass, the board suggested that more grade B and C animals be sold. This meat usually darker-colored and comes from animals that are too old or too light to come up to Grade A. Slowdown in west development sought City Manager A ft" Findlay has recommended expansion of West Lethbridge be slowed because of "excessive" interest demanded on a developmenl loan In a report to city council, Mr Findlay recommends aldrrmrn turn down a loan approved by 1ne federal government's Central Mortgage and Housing Cor- poration "The interest rate of per cent is in my opinion ex- Mr, Findlay says The city had hoped to negotiate the loan for per cent. "The development of West Lethbridge can continue at a more moderate rate, and with the assistance of a federal capital works grant together with limited self financing, we should be able lo carry on until 1he Spring of 1975." he reports "At that time inventory can be taken of our progress and if there is sufficient demand in- dicated for serviced lots, and additional financing is re- quired, then consideration could be given lo financing through the Alberta Municipal Financing Corporation on a callable basis at eight per cent." he continues The proMTicial government only recently made loans available at the low eight per cent rate through the corpora- tion which funds municipal capital works Council will also hear from Aid Tony Tobin that the West- minsler area should be designated a neighborhood developmenl area to become eligible for home improve- ment loans from the Alberta Housing Corporation He supposts the area between 13th Street North and North Mayor Magrath Drive bound- ed bv 151 Avenue North and S1h Avenue North be designated Mr Tnbin also wants a report from the Ijethbridge vrMnt-% on its pro- iects rhjectives and an of the feasibility of a renldl information bureau ;