New Braunfels Herald Zeitung (Newspaper) - October 26, 1982, New Braunfels, Texas
Stock market continues
NEW YORK (AP) — Stock prices slumped again in opening trading today, extending the market’s nosedive in the previous session that was the second-worse plunge in Wall Street’s history.
Losers jumped out to a 5-1 lead over gainers in the early tally of New York-Stock Exchange-listed issues.
The Dow Jones average of 30 industrials, which tumbled 36.33 points Monday to fall below 1,000, lost another 5.52 points after 30 minutes of trading today and stood at 989.61.
Before Monday, the measure had
risen more than 250 points since late summer amid investors’ expectations that interest rates would keep falling.
Early NYSE-listed losers today included J.C. Penney *4 to 49U, Eastman Kodak Vs to 883i, and General Electric ^4 to 83^8.
Declines led advances by a wide margin today on the NYSE, whose composite index lost 3.03 to 76.65.
Big Board volume totaled 83.72 million shares, against 101.12 million in the previous session.
At the American Stock Exchange, the market value index was down
10.18 at 316.42.
On Monday, traders reeling from the worst day on Wall Street since the crash of 1929 blamed uncertainty over interest rates for the plunge. But analysts called it just an overdue correction in a “manic-depressive” market.
The Dow Jones average of 30 industrials, which had soared more than 250 points since Aug. 12, plunged 36.33 points Monday to 995.13. It was the average’s largest single-day drop since it fell 38.33 points on Oct. 28, 1929.
The drop was “an overdue
correction in stock prices” in a “highly volatile market,” said analyst Howard J. Abner of Abner Herrman & Brock Inc.
The selling was touched off by fears that the Federal Reserve Board had stopped letting interest rates fall, analysts said. After intense speculation that the Fed would cut the discount rate — its loan rate to private financial institutions — the agency left it untouched at 9.5 percent.
That action “was the No. I reason See STOCKS, Page 14
Youth leader to speak at PACT meeting
Parents and Children Together (PACT) will host a public meeting at 7 p.m. Wednesday ii the New Braunfels High School Cafeteria.
Guest Speake * will be Bill Barton, founding president of the National Federation of Parents for Drug-Free Youth, arid Bobbie Mueller, president of the Community Families in Action of San
Barton and his wife Pat founded one of the first parent groups in the United States, and have been featured on national television shows.
Mueller will speak on the “how
to” success stories of San Antonio parent groups.
ilk New -JrWrL Braunfels
New Braunfels, Texas
Vol. 91-No. 209
TUESDAY October 26,1982 2S cents
Utilities eyes November bids
The City Council gave New Braunfels Utilities its $3.2 million, scarcely flinching.
General Manager Bob Solin, flanked by a handful of Utilities trustees, left the council chamber smiling Monday night “Thank you. We'll spend it very wisely,” he said.
All that remains now is to sell the approved new series of Utility System Revenue Bonds. The council plans to open bids at a special meeting set for 2 p.m. Nov. 15. With a AA bond rating against current market conditions, Floyd Westerman of M E. Allison & Co. hopes the city can get an interest rate under 9.5 percent.
If sold on schedule, the bonds will be dated Dec. I, and the funds should be available by Dec. IO.
• Utilities really needs this money about February or March,” Westerman said. But the company is pushing another deadline. A new-federal law will require bonds purchased after Jan. I, 1983, to be registered, which means the Internal Revenue Service will have a claim
on them. Westerman said it might take several months for interest rates to stabilize again.
The $3.2 million will finance major improvements to utility systems. Water projects will account for $1,995,260. The biggest ones planned are in pressure zone 5, which takes in the area of California Boulevard, Loop 337 and the Eden Home; and pressure zones 2 and 3, east of IM 35.
Planned electric projects amount to $682,694. Updated data acquisition, needed to meet requirements of the Public Utility Regulatory Policy Act, will cost $250,000.
An estimated $280,678 will be spent on sewer improvements, including new service to Sleepy Hollow; and $249,300 is slated for data processing equipment and repairs to the general facility.
“Scrutinizing the list of projects, it looks very good,” said coun-cilmember Barbara Tieken. She thought the council would do well to look at a similar long-range plan for improving streets and drainage.
Chunn appointed city attorney
By DYANNE FRY Staff writer
Outgoing City Attorney Irvin Boarnet went home Monday night with a plaque, a framed certificate and a council resolution recognizing his IO years of service. John Chunn, former City Prosecutor, was appointed to take his place.
The council held a half-hour executive session before the 7:30 p.m. meeting for discussion of legal and personnel matters. In open session, Mayor Pro Tem Gerald Schaefer nominated Chunn, and another council member moved he be voted in by acclamation. The vote was unanimous, with all council members present except Max Winkler.
i’m pleased that I have been appointed, as I have had an interest in municipal law for some time,” said Chunn in a telephone interview Tuesday morning. He has been City Prosecutor for five years. Before that, he and his partner-brother Lonnie Chunn were in practice with the attorney for the City of Boerne.
“I think > municipal law I is a real interesting area.” said the new city attorney. “It’s not only an
opportunity to have a client that pays you; it’s a form of community service.”
Regarding what the city will be paying Chunn, no definite answer seemed to be available. Delashmutt didn t know as of Tuesday, and Schaefer said fees didn’t come up in the discussion. “I would assume he'd be getting the standard salary that was budgeted.”
Chunn said he had had “no conversation with anybody relative to compensation,” before taking this job or the one he’s just left. “I think it’s a look-and-see proposition. The council decides what the city will pay, and then if adjustments need to be made later, we can discuss it,” he said.
Boarnet’s resignation, effective as of the end of this month, was announced Sept. 13. Two weeks later, it was made public that he resigned at the request of a majority of the council. But no harsh words were spoken Monday as Mayor O.A. Stratemann Jr. presented Boarnet with his awards.
The resolution outlined his city career, which began when he was appointed City Prosecutor in
See CHUNN, Page 14
Commissioner Precinct 2
Benson —planning lacking
By JACQUELINE SMITH Staff writer
Politics is ii matter of opinion One is moved to luke a political position either through ambition tor public office or because of a firm conviction, or both — Al Benson.
For fifty-three-year-old Benson, the Republican candidate for precinct 2 county commissioner, it was both. Or so he said, when asked recently why he chose to run for office.
Three of the four county commissioner seats are being contested in the November election, including Commissioner Precinct 2 presently served by Monroe Wetz, the incumbent for the past 12 years.
But of the three hopeful candidates challenging the incumbent commissioners in precincts 2, 3 and 4, Benson has been the one to most strongly criticize the current administration.
Benson, a local real estate broker,
has charged the current Court w ith poor planning, managing and funding of county government.
He repeated these charges Monday afternoon as he sat in his office addressing what he views as the top issues at stake in the campaign.
“The three top problems facing the county are lack of planning, lack of funding and lack of managing,” said Benson, who has lived in Comal County for 28 years.
As examples he cited the pedestrian and parking problems on River Road; a leak in the Courthouse roof last spring; and what he termed “the jail house issue.”
“You’ve got to plan where you’ll bt* m five years,” he noted. “River Road has been with us for over a decade as has my opponent and the decision has not been resolved.
At previous “meet the candidates” sessions, Benson criticized the court's handling of a leak which
See BENSON, Page 14
Wetz touts his record
By JACQUELINE SMITH Staff writer
Citing projects Commissioners Court is currently working on, Commissioner Monroe Wetz thinks charges being made by his Republican opponent are unfounded and nothing more than a political tactic.
Wet/’s opponent, Al Benson, has charged the current Commissioners Court with being poor planners, managers and funders.
“I do not feel that I am incompetent or a poor planner,” was sixty-one-year-old Wetz’s response to these charges.
Specifically naming the court’s action on planning for county growth, River Road and a new jail, Wetz said these charges were “unfounded.”
“To the charges of poor planners and poor managers, I say that I am satisfied with the planning I have done.
“For instance,” the Democrat incumbent noted, “the bridge at Solms and the donations I’ve gotten to help build it.”
As another example, Wetz also pointed out that “a bill came in for $35,000 to weight down a pipeline at the Schuetz Dam site.
“Comal County rejected the bid and I then supervised the project with the cooperation of the gas company and we only spent $5,IMH) or $6,000,” he added As for long-term planning, Wetz mentioned the extension of EM 3009 to Highway 46.
“Some eight years ago I personally requested that the company (working on the extension I should sleeve the area where the proposed FM 3009 would cross,” he said. “The company granted my request and sleeved it at no cost to the county.
“If the work had to Ix* done now , it would cost Comal County some
See WETZ, Page 14
Declining mortgage rates hold inflation to 2.1 percent
WASHINGTON i AP) — Sharp new declines in mortgage rates helped hold inflation in September to a scant 2.1 percent, calculated annually, the government said today. It was the smallest advance in five months.
Gasoline costs, reflecting abundant supplies of oil, fell 0.1 percent, although food prices were up 0 5 percent, the l^abor Department said in its new report on the Consumer Price Index.
Mortgage interest rates fell 1.5 percent.
As a result, consumer prices rose at an annual rate of 4.8 percent for the first nine months of the year. If held to that pace for the rest of 1982, the advance would match the 4.8 percent of 1976.
Inflation was 8.9 percent in 1981 and 12.4 percent in 1980
The new figures are the last government price announcement before the Nov. 2 elections.
But inflation — already tempered markedly from the double-digit levels of previous years — has not been a political millstone for Republican candidates. Rather, the GOP has taken credit for the improved inflation results and pointed to the
figures as a sign the administration’s economic program is helping.
Private economists, though, attribute the slowing in consumer price increases to the serious recession, which has sent unemployment soaring to its highest level since 1940.
In addition, oil and grain supplies have been plentiful.
Iii today’s report, the department said consumer prices rose a seasonally adjusted 0.2 percent in September, after climbing 0.3 percent in August and 0.6 percent in July.
Not since April had prices risen at such a slow 0.2 percent.
If prices rose for 12 straight months at September’s rate, the yearly gain would be 2.1 percent after seasonal adjustment. The annual rate reported by the department is based on a more precise calculation of monthly changes than the figure the department makes public.
The new report said that for the 12 months ending in September, prices rose 5.0 percent.
Inside .....Burglaries, robbery
Today s Weather w * /
Comal County forecast calls for mostly fair and ■ • ■ >
mild today, then partly cloudy and not as cool Ix 9T\ EN/N I I O w~\i IOX/
tonight. There will bt* some early morning IxCCIJ LIVjllLrC U UOY cloudiness Wednesday, giving way to partly cloudy * * "
skies and warmer temperatures later in the day. vt
Winds will be from tho southeast at 10-15 mph today, No a''rcsls .■“»« •"*“ "“<*
and near IO mph tonight. Sunset will be at 6:50 p.m., conium with an armed robbery al
and sunrise Wednesday will be at 7:40 a m. Reveo Discount Drugs!!) the Walnut
Shopping Center at 8:19 p.m. b nday.
Volleyball showdowns An automatic weapon of unknown
Smithson Valley is in, and both New Braunfels and caliber (possibly a black automatic
Canyon have a shot at a postseason volleyball handgun) was used in the robbery by
playoff berth tonight. The Unicorns need only a a white male. Approximately $675
victory over Hays to clinch second in District 13- was stolen.
AA A A, while the Cougarettes need a win over At least two house burglaries were
Kerrville Ttvy a a Unicorn loss to tie for second and reported l0 New Braun(fls pollct.force a playoff. Sports. Page 6. over weekend. W.O Barde Jr.,
CLASSIFIED 11-13 °* Houston, said his weekend home
COMICS 10 11 at 974 Mulberry was burglarized
CROSSWORD 11 sometime between Oct. IO and ll
DEAR ABBY..........................3 a m' 001 22'
DEATHS.............................2 Missing were $120 worth of
HOROSCOPE.........................3 clothing, a television set and oven
OPINIONS............................4 valued at $500, a $250 pistol, $60 iii
SPORTS...........................6, 7 liquor, and $100 in miscellaneous
STOCKS.............................2 items. Fingerprints were lifted from
WEATHER...........................2 the scene by detective Juan Gusme.
Dean I -aird of 864 N, Live Oak reported a bul glary at his residence between 1:30 p m. Friday and I a.rn. Saturday A pry bar was used to gain entry into the house.
Two stereo speakers valued at $600, a $300 19-inch color television set, a microwave oven, and stereo turntable and receiver were reported
Hanneiore A. Brotze, manager of the Comal Inn Motel, reported a burglary of the motel’s storeroom Monday Although there was no sign of forced entry, $2,000 in Avon gift items, and $2,000 in assorted jewelry were missing from the storeroom.
Noel Tredt of 766 Rosemary told police a diamond ring and six gold bracelets valued at $1,065 were taken from his residence between 11:45 p.m. Oct. 16 and 7:30 a.m. Sunday.
Alden Al' Benson