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Mason City Globe-Gazette (Newspaper) - January 12, 1963, Mason City, Iowa HOME EDITION The newspaper that makes all North lowans neighbors MASON CITY GLOBEGAZETTE VOL Paper Coosisti o Two MASON CITY IOWA SATURDAY JANUARY U 1WJ No 2U Quick recovery from storm Problem of cutting the taxes i HerlongBaker plan analyzed By RICHARD SPONG GlobeGazette Editorial Research Bureau WASHINGTON One way o cutting taxes sure to come be fore the House Ways and Meanr Committee at the 1963 sessioi of Congress is a proposal for progressive reduction in rate over a fiveyear period The idea has long beer pressed and has the approval of leading business groups Hi most attractive form probably is the socalled HerlongBake bill Rep A Sydney Herlong D Fla and Rep Howard H Baker RTenn both are mem bers of the Ways and Means Committee Baker is the second ranking Republican Their plan is to reduce person al income tax rates from the prevailing 20 to 91 per cent range to a range of 15 to 47 per cent For the first bracket up to of taxable income the rate would drop one percentage point from the present 20 per cent each year for five suc cessive years Similarly the rates inhigher brackets would be reduced progressively with the maximum rate going from 92 per cent to 47 per cent At the same time the 52 per cent corporate tax rate would be reduced by one percentage point a year reaching the 47 per cent level at the end of five years In previous years the Herlong Baker bill also would have per mitted faster depreciation of business capital investments eased capital gains taxation for individuals and reduced gift and estate tax rates The HerlongBaker bill re ceived the solid support of the National Association of Manu facturers and the Chamber oi Commerce of the United States The Committee for Economic Development approves the prog ressive reduction principle but its billion reduction plan en visages a twostep reduction both steps being considerably steeper than HerlongBakers The First National City Bank three years ago described Her longBaker as forwardlook ing and observed The es sential goal upon which every one should be able to agree is to lighten the burden of taxation on the creation of income anc wealth to bake a bigger pie for all to share HerlongBaker has not alway found favor of course witl labor groups or among inde pendent tax authorities Thes insist understandably that i gives too vast a break to to bracket taxpayers Two years ago the authors o the bill estimated that the la cuts would amount to billio over the fiveyear period The insisted that national productio resulting from accelerated in vestment in plant and equipmen and higher productvity wou offset the tax cuts with revenue President Kennedy in his ap pearance before the Economi Club in New York on Dec 24 re peated his pledge of last Augu of a substantial tax cut in 1963 In reply to a question whic quoted in part rates sin iiar to those of HerlongBaker he said I would suggest tha details of the tax reductio should wait on the presentatin io the Ways and Means Com mittee Aye theres the rub fo HerlongBaker or any other re duction this year Chairman Wil bur D Mills DArk made clear his opposition in a recent US News and World Report inter view Ive been unable to conclude that the situation at the moment justifies a rate reduction atone with resulting increase in deficit and the public debt Up to nine inches in Iowa Mercury to drop even lower Wind whipped snow howled across Iowa early Saturday leaving accumulations of up to nine inches in the northwest and sending the mercury nosediving into the far subzero regions at some places The wind was drifting the snow in some areas but the State Highway Commission said highways throughout the state were near normal except for a few sheltered areas and in cities and towns where snow was packed on the streets and roads The Mason City area had a total accumulation of TVi inches It had little moisture content however and snow removal AP Photofax YOUNG MAN WITH A FUTURE Despite his age only 13 Leslie Norman already is assured of a good future The boy from Donocaster England has been hired by one of the worlds biggest travel agencies Leslie drew attention as result of travel agency he started last summer to cater to school chil dren Hell start work with the agency following graduation in about two years 7 mo re Yanks die in Viet Nam fight SAIGON UPI Unex plained mechanical trouble forced down three U S Army helicopters on war operations in South Viet Nam killing at least seven Americans it was reported Saturday A fourth H21 stuck in rice field mud capsized and smashed its rotor while at tempting a takeoff No casual ties were reported Search planes were combing the Communistinfested cen tral highlands for traces of a light propellerpowered A01 photo plane operated by the Armys special guerrilla warfare detachment which was missing and believed shot down The worst of the helicopter crashes involved a chopper carrying four U S crewmen and three American passen gers from Soctrang to Saigon after a night attack on the Communists Another H21 crashed for un specified reasons near Tranh Binh and a third piled up while attempting a takeoff from an outlying airfield on the way to Soctrang 85 miles south of here The eight crew men of the two helicopters es caped injury It was the worst day the U S military assistance forces in Viet Nam had had since last week when Communist gunners shot down five heli copters and killed an Ameri can Army captain who was trying to rally Vietnamese troops N ews in a nutshell FROM OUR WIRE SERVICES Judges censure union NEW YORK A factfinding panel of judges has strongly censured the leaders of the printers un ion whose strike has shut down the citys nine major newspapers for 36 days The panels report termed the walkout the deliberate design formed by the printers representatives as the opening gambit in negotiations Gomulka a peacemaker WARSAW Poland Polish Communist chief Wladslaw Gomulka now meeting privately with So viet Premier Khrushchev was described as seeking to play peacemaker in the ChineseSoviet dispute This conclusion was pieced together from fragments of information reaching here on the Khrushchev Gomulka talks at a Polish forest retreat Leaves Army at age 74 FT BRAGG N C M Sgt Charles E Pop Burt 74 who was overage when he made his only parachute jump is retiring from the Army after 36 years of service And how did he manage to stay in the Army until he was 74 Burt says he never applied for retirement and the Army is just now catching up with him Freeze threatens Texas EDINBTJRG Tex Temperatures fell 65 de grees in a matter of hours in the lush Rio Grande Valley and a disastrous freeze threatened the multi milliondollar citrus and vegetable crop No air support promised WASHINGTON A Cuban invasion leader says his forces had never been promised U S air support in their illstarred landing at the Bay of Pigs We had our own planes but they were knocked out said Jose A Perez San Roman commander of the group Antistrike plan OKd by union FONTANA Calif officials say workers at Kaiser Steels Fontana plant have voted overwhelmingly in favor of profitsharing program aimed at eliminating strikes The plan described by one union executive as a bold new concept is to become effective March 1 It provides that workers dis placed by automation will not be fired but will go into a special labor reserve pool As the firm expands they will be retrained and placed in other jobs Under the program employes will share in savings resulting from increased productivity anc reductions in material costs The will receive per cent of the total savings payable monthly The union said the vote count completed Saturday showed 362C workers for the plan and against May name Rowan as ambassador to Finland WASHINGTON UPI Car T Rowan highestranking Ne gro official in the State Depart ment will be named ambassa dor to Finland soon source said Saturday Rowan 37 a former Minne apolis newspaperman recent had received some attractiv offers to return to his publi writing career but has turnei them down in favor of govern ment service the sources saic He currently is deputy assist ant secretary of state for publi affairs He recently declined an offer from President Kennedy t become U S representative t the UN Trusteeship Counci with the rank of ambassador Rowan would succeed Ambas sador Bernard Gusler in He sinki COLDER owa Mostly cloudy with dimin ishing winds Saturday night Occasional snow northeast Colder east Sunday partly cloudy to cloudy Not quite so cold extreme west Lows Sat urday night zero to 5 below in southeast 10 to 15 below northwest GlobeGazette Weather Data up to 8 am Saturday Maximum Minimum At 8 am Precipitation Sunrise Sunset 12 0 0 Snow crews were making short work I of disposing of it All highway commission i crews were out in the northeast Iowa district which includes Mason City County roads are open i The highway commission re ported that in the area north of a line from Lake Mills through Charles City and Cres co the highways are 25 to 50 per cent snowpacked and icy In the remainder of the dis trictthe highways are normal except in sheltered areas and towns North winds are causing a little drifting on most high ways but visibility was good Temperatures in the district at 8 am Saturday ranged from 8 below to 12 above In the southeast quarter of the state blowing snow reduced visibility at times to 500 to 1000 feet The Weather Bureau said the trend is toward colder tempera tures and readings Saturdayj night should vary from 10 to 20 below zero in the west to zero o 10 below in the east The mercury dipped to 10 be low zero at Council Bluffs and Lenox early Saturday Other lows ranged up to 18 above zero at Davenport East Germany Cuba plan closer ties BERLIN Germany and Cuba have agreed to open full diplomatic relations the Communist East German news agency ADN reported Saturday ADN said the two nations agreed to raise the chiefs of their respec tive diplomatic missions to am bassadorial rank Observers said the decision if carried out prob ably would lead to a break in full diplomatic relations between West Germany and Cuba FIRE CLAIMS 4 HAMMOND Ind Fire swept a modest home in which Alberta Griffin 28 and her 11 children were Saturday Four children died and the mother and three other children were hospitalized Highs of zero to five above were predicted for the north west Saturday afternoon and a more moderate 15 above in the east Top readings Frida ranged from 3 degrees at Spen cer and Sioux City to 24 a Burlington Snow depths varied from nin inches at Sioux City to two inch es at Burlington and some othe southern Iowa points De Moines Council Bluffs and Spen cer had around five inches The Weather Bureau said mos of the snow had moved on to the east of Iowa by Saturday morning continuing only in thi northeastern counties The outlook for Monday is fo partly cloudy skies and contin ued cold Only the western third of th sleeping early country escaped the furious on slaught which left at least sis persons dead shut down closed highways hazardous driving air an con ports caused ditions Colorado and Wyoming suf fered numbing cold as the mer cury dipped to 46 in Laramie Wyo In Colorado a 24 readin in Denver shattered the 15 se Jan 12 85 years ago Othe Colorado temperatures included 16 in Fort Collins and 15 read ings in Grand Junction and Pueblo GiobeGazette photo by Jo YOHO HEAVE HO You cant see much of Gary Andersonfor all the new snow but hes there pitch ing the white stuff higher arid higher in downtown Mason City It was only the secondtime this season that shovels had to be called in but the fall quickly brought the winter weather honeymoon to an end No optimism on liquor bill DES MOINES UP A leading advocate of liquor by the drink who plans to introduce a bill to change Iowas liquor laws says he doesnt believe the proposal will be approved by the 1963 legislature I dont think the chances are any better this time than they have ever been said Rep Riley Dietz RWalcott in a telephone interview I doubt that it will get by the House andif it does it will be by only a few votes But if the House does pass it Im sure it will sail through the Senate in a minute Dietz bill calls for legalized sale of liquor by the drink in all of Iowas counties Counties could prohibit sales only by call On ffie inside Editorials Page 4 Religious Society News89 Mason City News 1011 Latest Markets11 Sports 1314 The Surveyor17 Comics 18 Business News 2021 North Iowa News24 SAME IN THE BLARNEY BUSINESS These fellows got the Emmetsburg Blarney Canning Co into business as the Chamber of Commerce prepares for its annual St Patricks Day parade and celebration Containers of the blarney actually only air are on sale in this North Iowa community Shown are from left John Nagel Fae Tate Jack Cook Hugh Joynt John Mc Cain John Stegman and Leo Joynt They didnt say why they are wearing the masks but it must be to protect them from premature whiffs of eloquent blarney a special election and resi dents voting to ban liquor by the drink in the county Previous liquor by the drink bills introduced by Dietz in cluded local option whereby counties would have had to vote for it before liquor could be sold by the drink The bill Dietz will present to the 1963 session which convenes Monday calls for liquor by the drink to cost for taverns and for clubs that serve food or present entertainment The bill provides that city councils and county boards of supervisors issue the licenses and determine the number is sued A 10 per cent sales tax levied on all drinks would go to the local school district with the license fees to go tothe Liquor Control Commission Dietz said all liquor would have to be purchased from stateowned stores which now sell liquor by the bottle to indi viduals The veteran lawmaker said he elieves the battle over liquor y the drink in the House will lit the rural legislators against he urban legislators I hope it passes but I dont elieve the House is much differ ent than it has been in previous years Its a dry Housa Dietz said he favors liquor by the drink because violations of present liquor laws are making all of our laws look silly People are losing their respect for the law I dont think liquor by the drink will increase consumption much except we will get sales from people in border cities who now go out of the state to buy their liquor The increased volume in liq uor sales wont be too much at most about miHion Dietz said But I think we will have other increases in state revenue such as sales tax I know people in Davenport who do all of their shopping in Illinois so they cui ;