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FACE FOUR

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THt DAILY REFLECTOR, GREENVILLE, N. C

v.

Monday March 20, 1961

Monday, March 20, 1961 .

No Hesitdnce Now On Hiking Taxes

Where Pe^le Are SurpW.

In sharp contrast with the legislature of two years ago, members of the 1961 General Assembly show no fear of introducing n^easures to increase taxes of the i>eople of the state.

It is, perhaps, a reflection of the feeling of the majority of the people of North Carolina, It is not that the people of the state are anxious to assume a heavier tax load, but rather that they are anxious for a better ediKration system in the state and are willing to pay for It.

Two years ago there developed in the legislature ^ determined opinion that no new taxes should be add-the state's tax structure. Former Gov. Hodges took^that position for his administration and it was upheld by the majority of the legislature. In lieu of new tax sources or higher rates, the governor recommended and received approval for taking advantage of a $27 million revenue windfall by adopting the withholding plan for collecting personal income taxes.

This year there seems no queslion of whether taxes are to be increased. The only questions center around what forms the increases will take, where they will be levied and how they will be collected. Such thinking is reflected noi only in statements by the ad

ministration and legislators, but also in katements of numerous citizens who have commejited on tax proposals made so far. ^

Where hold-the-line thinking held sw^y on .the issue of new taxes when the legislature convened two years agoT^the go-forward thinking apparently is in comfortable control of the situation today. Needs of, the state are being recognized, and along with this recognition there is the realistic approach that new goals for the state cannot be reached unless the people of the state are willing to pay for them.

The change of attitude on the part of the legislatureand apparently on the part of people in general in the statein the past two years represents a drastic departure from the traditional conception that it was unpopular to propose higher taxes.

Spring ^ Has Not Been

LateFor A Change

Continuity Has 3een A Factor

By LYNN NISBET

BASIC CONTINUITY The Strength of North Carolina's government has been its basic continuity through the years, despite the changing of administrative policies. Governors come and go. and each has his peculiar idea about organization of state agencies. And yet the overall program of growth and progress does not falter.

Consider the highway commission. Governor Gardner consolidated prison administration with highways, abolished county. road gangs and assumed State responsibility for maintaining all public roads and prison camps. A quarter century later Governor Hodges returned to the separate status, with a separate board of control, but with highways still paying a large part of prison costs. Now Governor Sanford proposes to complete the separation and relieve the highway fund of most of the cost of prison operation.

Meantime, the structure of the 'highway commission has undergone numerous changes. The first highway commission had very little authority and less money. It was a six-man group appointed by Governor Locke Craig In 1915. A 1919 act reduced tbie commission to three men and a chairman, and Governor Bickett put Prank Page at its head. This commission still .had little real power and scant money.

Came 1921, the first statewide bond act for $50 million and an authoritative commission of nine men and a chairman. Governor Morrison continued Frank Page as chairman and, pursuant to the statute, appointed six Democrats and three Republicans on the commission. The ten men were selected from the then 10 congressional districts.

VARIATIONS - Governor McLean continued the Morrison structure, with some personnel changes, and encouraged more money for public roads. In his second legislature Governor Max Gardner has the commission reduced again to six members and a chairman, and this structure was continued by Governor E^ringhaus.

'Governor Hoey in 1937 first established the division system for appointing commissioners, increasing the number to_ 10 and setting up special highway divisions. This plan was maintained. ailh frequent changes in personnel, through the administrations of Governors Broughton, Cherry and Scott. Governor Scott considered but abandoned the Idea of Increasing the membership on the commission to handle his 200 million secondary road program.

Governor Umstead got through the 1953. Legislature an increase

from 10 to 14 strcts with a commissioner each. From beginning of the division set-up in 1937 through 1952 there had been pro-greissive disposition for each division to be a sort of independent entity, over which the resident commissioner had substantial control.

Governor Hodges sponsored, and the 1957 General Assembly enacted, a return to the seven-member board, wthut geographic or division residential requirements, which had prevailed in the Gardner and Ehringhaus regimesbut with one Important distinction. Instead of one member of the commission designated as chairman being the chief administrative officer, the Hodges concept called for a seven-man board to make policy only, and an appointed director of highways to be the responsible administrator.

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The calendar says Spring officially arrives today,' but lookingl back over the past few weeks in Pitt County, one wonders if the calendar isnt running late this year.

Flowers are blooming^ on every hand, trees are putting forth new buds, azaleas are blooming profusely, and the sputter of lawn movers is no longer unique In the neighborhoods.

In contrast with the past couple of years, Pitt County has missed a March snow, although most people in the county have been keeping their fingers crossed during the unseasonalbly warm wa^er that came in late February and has lingered sincel

With Spring officially here, perhaps now we can uncross those fingers and relax to enjoy the balmy weather without fearing each night will bring a killing frost or the cloud banks might hold a trace of snow in place of warm rain.

Certainly 1961 has brought to Pitt Countyv the nicest late-winter weather In several years. In part at least it made up for the bitter cold that gripped the county during parts of December and January. It was a pleasant respite from the lingering bitter weather than has held on too long in recent years.

This year at least, the calendar and the weather have truly brought Spring to Pitt County on time.

Iml

By GEORGE SOKOLSKY

nwritten Side Of Story

New PersDective

There have been numerous complaints that this set up removed road administration too far from the people, that citizens felt they had no point of contact, and that the social service phase of roads had been entirely sacrificed to cold-blooded economic and engineering efficiency.

NEXT MOVEGovernor Sanford indicated many times during his primary and general election campaigns that he would propose still another reorganization "plan for the highway commission, the intent and purpose of which would be restore closer contact between the people and responsible highway officials. Although the 1961 General Assembly is going into its seventh week, with 34 legislative days behind, ho bill has been offered effectuating these suggestions. It is universally believed that some highway reorganization measures will be offered by the Governor.

Roads and schools are the two governmient services that affect nearly everybody and they are inter-related in the popular mind. Governor Sanford has put all his. blue chips on his school program, and feeling prevails that some trading may be in prospect on highway policy to g|t legislative support for the educational program.

CONTINUING Getting back to the bgd premise of basic continuity in State government programs, it is both surpri.sih and gratifying to note how consistent progress has been, despite the frequent personnel and organizational structure changes in highway administratiol.

This recalls the statement made several years ago by State Treasurer Edwin Gill that in North Carolina good government is a habit.

On Nation Needs

By RALPH ROBEY

Among the hundreds of appointments that President Kennedy has made is a new Council of Economic Advisers. This council was established by the Employment Act" of 1946 and consists of three ihembers. The new appointees are Walter W. Heller, chairman, Kermlt Gordon, and >James Tobin. All are academic economists, as were the members under President Elsenhower, and none of them has a reputation as a conservative.

The council made its first public statement on March 6 before the Joint Economic Committee. Dr. Heller acted as spokesman but emphasized that he was speaking for the council as a whole. The statement was 56 pages long, not counting two lengthy supplements- The explanation for the presentation as that "an administration has been organized which looks at our economic problems a new perspective.

That new perspective has been made relatively clear by other members of the Administration. It la that we never had a full recovery from the 1958 recession, that for the past ten rnonths we have been in another downtiumthe fourth since World War Uthat the growth rate of the nation is much too slow, that we have a basic unemployment problem, and that there IS pressure on our international balance of payments. Many sta-'tlstlcs and arguments were presented to support these contentions, some of these were impressive, and some were farfetched.

Nothing of Significance

One of the .impressive arguments was that since 1955-57 we have not been Investing enough in plant and equipment and as a result the age of our capital plant has been Increasing. We all know that is true and that something should be done about It. But the council offers nothing of significance in the way 0 a solution. There is no mention of the inadequacy of present depreciation laws and regulations. of the heavy squeeze on profits, of the present burdensome tax rates on both busine-ss and Individuals, of the monopoly ' power of labor union leaders which forces up the costs of production, of the inadequate volume of savings for venture capital purposes, or of the increasing difficulty for American business^ to meet foreign competition.

An example of the far-fetched arguments is found in connection with the recently persistent rise in unemployment. The fact is that in each of the postwar recovery periods the volume of unemployment has been high-, er as a per cent of the labor force than in the preceding upswing. The usual explanation of this has been a change in the structure of our labor forcea larger percentage of young workers and of the unskilled. The coimcil says this is not true that the increase' has been simply the result of inadequate demand.

Ploitiag the Upswing In replies to questions by members of the Joint Econopiic Committee, Dr. HeUer made It clear that he thinks the program which has been present* ed by President Kennedy will be sufficient to bring us out of the current downturn but that the upswing probably will not start until after the middle of the year. Secretary of the Treasury Dillon believes we shall have an improvement before the middle (Continued on pags five) ^

Copyrigl^, 1961, King Features Syndicate, Inc."

It was at the Teheran Conference (1943) tiat Stalin first met Roosevelt and Churchill together. Churchill had been to Russia earlier and he met the Georgian; however, to Roosevelt he was not known. It is clear from what is available about Teheran trat it was at this meeting that Roosevelt agreed to give to Stalin a large part of Europe and Asii^ Although the Yalta Conferece loccurrW after Teheran, the aaltk Papera, have been published State Department but-^Teheran Is still supposed to be secret.

Recently, it was stated and denied that General Eisenhower, when he left the White House, took the Teheran Papers with him. Eisenhoww said that he had not done so. Those papers, in no manner, are the property of Eisenhower. They are State Department documents. still secret, and General Eisenhower, as a private citizen, has no more right to them than you or I. His denial must be taken on its face and it must be assumed that all those documents are in their proper place

in the State Department archives anl that they will one day be published.

However, it needs to be noted that they cannot be destroyed because the British and Russians have these Teheran Papers and some, if not all of them, have been seen by private persons in tris country and elsewhere. The only purpose for suppressing them would be to save the repti-tatioos of the persons who attended this^ conference. Congress ,s auth<lzed their publication; evertheless, they have been suppressed. From the standpoint of history, nobodys reputation can ever be saved by violating documents because the historian ultimately gets,at the facts.

ments and books, these steteamen told the truth? Is it to'save the reputation of General George Marshall? If those in charge of such matters have no reason fcH* suppressing the truth why do they do it?

Until the Teheran Papers are published * completely, most of the judgements of the American people on the relations between the United States and Soviet Russia will be based on lack of accurate information.

The public official who set up the Teheran "Conference was Averell Harriman, presently PresidentKennedys roving Am-bassadm*. Harriman has matured considerably since his early days in public life. He knows what happened at Teheran and undoubte<ily has kept notes or a diary or he may even have copies of some documents. Harriman is one of the few top men alive to tell the tale. The American people have the right to know what happened at this conference that (Changed the world and that laid down principles and agreements over which the Cold War has been continuous since 1945.

There must be a purpose in suppressing these documents. Is it to save the reputations of Franklin D, Roosevelt and Winston Churchill? Is it to prove that in their various public state-

Other Editors Saying Not Bureaucrats Alone

The Public Forum

TO THE EDITOR:

As physician to the County Home for the past several years I should like to write a few words in support of the new Superln-tendant, Mr. Horace Hardee.

The recent over-publicized though unproven episode of suspected food contamination at the Home was most unfortunate. Mr. Hardee has assumed his new post only recently, since the first of the year and there is already apparent an improvement in all phases of the running of the Home. Through his efforts there has not only been a general clean-up and the addition of such material assets as new mattresses. curtains, wheel chairs etc. but more Important he has brought a feeling of genuine interest in the welfare of each resident.

With Mr. Hardees willingness to serve plus the continued support of Mr. Alton Gardner, the County Commissioner in charge of the Home, and a moderate increase in available funds for repairs and hiring of more personnel the Pitt County Home should continue to improve in all directions.

Harriet H. Wooten, M.D.

(Hnderson Dispatch)

President Kennedy wants Congress to surrender more of its prerogatives and transfer them, perhaps without recourse, to Washington bureaucrats. Thats the impression that grows out of the suggestion smt to Capitol Hill to toe fdrm of a new fapn bill. *

It would probably be a good idea to allow the farmers greater choice in setting up regulations governing their activities. But an important aspect of the proposed change would be the degree of authority delegated to the Secretary of Agriculture. They had a fill of that sort of authority in the adamant attitude assumed by former Secretary Benson, whose idea of administering the law they did not like. There is no assurance that the new secretary would be much better if allowed the free rein to establish practices and procedures of his own design.

Unquestionably agriculture needs strengthening If It is to continue as the backbone of the national economy.. Moreover, changes may be needed. But Congress would do well to retain such authority as it has over Federal agencies. While it is

true that the Kennedy plan would leave the lawmakers the function of vetoing programs it did not like, the difficulty of withdrawing such powers from government departments after it is once shifted is well known.

Such changes as may be necessary in the farm program, or in any other Federal activity, should be made by Congress, and that authority ought never to be surrendered by delegating it to a few policy makers who would assume that they had the green light to go as far as they chose.

The Cold War has three sides: our side, the Russian side, and the neutral side. Our side is that we believe that we know and we state It to be that at Potsdam. Soviet Russia agreed to conditions of conquest which the Russians have violated. Their side, we do not know and cannot know until we have be-f<H^ us the Teheran Papers wtoch, if ^published in full, will give us the agreements and understandings among Roosevelt, Churchill and Stalin, In a word, are the Russians bluffing or were promises made to them which have not been lived up to, or are we complaining about acts of aggression on the part of Soviet Russia to which we agreed when the war was still on?

Surpluses which exist will be sharply curtailed in some instances, such as food supplies, for example, under the new process of making distributions of free commodities at home and abroad. That threat to markets available to farmers would thus be diminished, if not removed completely, and a firmer market established.

Shaplg of the nations farm policy ought not to be left to the bureaucrats alone. The farmers would not wish it that way. The President may have been sold a bill of goods in this instance. :

J: lorida

Holds

!?^romise

To understand the character of The Cold war and the Russian tosistence that It be prolonged, even against their Interests, one is forced to believe that there must be a reason for their attitude. That reason is to be found in the Teheran Papers, As one reads the Yalta Papers, it becomes clear that Yalta was a prolongation and a correction of Teheran. But what happened at Potsdam, where Harry Truman, unfamiliar with both the Teheran and Yalta Conferences, was confronted by prior agreements? He never agreed to a Summit Conference after that. President Eisenhower went to one Summit Conference and came off with little benefit and at the second one he ws abused and belitUed. What cards does Khrushchev .^old that he dared to humiliate the President of the United States? I think the answer will be found In the Teheran Papers.

By ROGER BABSON

BABSON PARK, Mass.As I write this column, thousands of farmers and their wives in the snow-packed Central West are . insisting they will never spend another winter on the farm. They are agreeing to spend their winters in California or Florida, and ^ are tnrlng to decide which it will be. Here 1s a brief, but impartial. answer. _

WHAT ABOUT CALIFORNUr

Although I have spent 35 winters to Florida and expect to do so for the remainder of my life, I often wish I had been born in California I It Is a wondedul state, with tropical climate to the south, snow in the north,' and any climate between these which anyone coifld wish. It has a long coastline, a desert interior, and , great mountains. The only out is Los Angeles, with its crowded population, terrific transportation problem, its smog, etc.

California is Mso rich to natural resources, wRb the possible exception of coal. It has great .waterfalls which supply electricity to aU the homes; it furnishes natural gss which beats most of the homes; but its great abundance of oQ ot good quahty,. and this has been a., tremendous asset to the state Industrially, besides paying for roads, state buildings, and other public Improvements, All of these come after the discovery of gold in 1849, which sparked the gold rush and resulted in the building of the Union Pacific and Southern Pacific railroads.

IS rr TOO LATE TO

MOVE TO CALIFORNIA?

As I think of the fanner and his wife in Nebraska, I w<mdcr whether all these natural resources will be of much help to them? For the businessman with money, who can purchase large acreage for an extensive cattle ranch or orange and other fruit groves, there Is still an opportunity for health, power, and prosperity in California. Itew investment bargains, however, exist at the moment; although they will appear again when the next depression comes. A large amount of money, is IXMTOwed on CalifcMTila ent^rlees, and most of these mortgages are held by one or two great California banks which could be very tough if the tide turned against them.

For the farmer and his wife to moderate circumstances who want only a winter home or place to retire toCalifornia may not be the state. Prices are Wgh, and there 1 a shortage of houses in most sections. If yon have friends living in some small California city-preferaWy near tre coast and they know of some reasonably priced home, it might be well to go out and look it over. California to general, however, is a place for big business rather than for retired farmers.

WHAT ABOUT FLORIDA? *

Outside of sunstone and a fair rainfaU, Florida has only a few natural advantages. It has no coal; no waterpower; no natural gas, except that being brought in by pipeline; and, most important of all, Florida has not yet discovered oil. Some years ago oU was found In South Florida around the town of Smmiland and a few wells nearby were drilled and produced oil. This caused the great Florida oil boom. Nearly all the large oil companies sent representatives to get leases and do exploration work. Many of these companies spent millions of dollars drilling for oil, but not one drop of com-mereial oil or gas did they find-Very few wells have gone below the 10.000-foot limit, and very litUe off shore drilling has been done.

Small industries are star^g up in Florida, using electricity. Orlando and Tampa and Tampa are rapidly becoming industrialized, while Jacksonville is a great Jobbing center. Florida is a state of small homes; to fact, just now there is a surplus of small * houses. Therefore, for fanners of the Central West and the East who want a winter home free from snow, or for retired families who would get a check from the north every month, I surely advise one of the small cities of Florida. Perhaps it would be cheaper to buy a house already built than to buy a vacant lot. But I do not advise buying a Flcadda home without seeing the actual property. There surely is a surplus of mo* tels and subdivtoions.

Airline Rate War Will Be Brief

Strength For Today

EARL L. DOUGLASS PRAYER AND WORK

An acquaintance of mine who likes to try to justify his own lack of religious faith by undermining that of others was arguing recently about the ineffectiveness of prayer. Like many such demorvstrations, his case was built on the personal experiences of long ago, when he had prayed for this or that but never received it.

One thing that struck me about his account of his disappointments was that the things he had prayed for were things "that he wsis profaaMbr.-Jtette -off without. I am sure that very often God in his wisdom is too good to us to grant those petition* which we In our Ignorance have made, unconcious that the seeming advantages we have*

against us.

But even more strongly I was struck by the fact that this mans notion of prayer seemed to be an entifely passive one. The gifts he had sought, he hsul hoped God would deliver: he certainly had not intended to fetch them himself. Small Wonder his wishes were not fulfilled. We can expect something of God only if He can expect something of us. Most often, perhaps, we need to ask Him for strength and courage to'" accomplish something; and there are many who have personally experienced the lultiitaumt- tiL tha? -prayer.. ^ -

Long ago Jeremy Taylbr wrote. Whatsoever we beg of God, let us also work'for it. Or. as the Master himself said: I must work. . .while it is day: the night corneto when * no man can work, (John 1:4).

By ELMER ROESSNER

Current transatlantic air freight rates expire April 9. Members of the International Air Transport' Association were unable to reach an agreement on ^new rates In Paris. Now airlines are announcing new low rates, one line promises cuts up to 65 per cent in some categories.

That looks like a rate war, doesnt It?

PredlcMon: In a matter of

days, perhaps even hours, I.A.-T.A. members will agree to continue present rates until new meetings can fix new rates.

Electric raZor boom: Watch electrics take a bigger share of the razor business. A new medical study finds that safety razors are more harmful to the skin ,than electrics, removing from iour to fifteen times more -ItMue-

While the study was submitted only to a rriedlcal journal, the electric - shaving people will mfke sure niiost men hear about it.

RISE IN CAR SALES

Aato ioglam breaking: The

rise in auto sales is continuing into March and. with better weather. may swell exceptionally In AprU. One reason: as employment picks up, more workers will need auto transportation. Another: there are some rare bargains on the market now as dealers scramble for funds to pay off winters bills.

Instant spelling coming: Coming to market is a series of LP records to teach children from second through seventh grade how to spell. Records will give harassed parents more time to watch television.

More strike insurance: Some kinds of companies can get strike insurance, others cant. But Insistent demands of those not yet insuiable is Inducing underwriters to devise new coverage Coming soon wiH be insurance against losses by strikes of -biwkerfi. -- -

ATTACK ON TAX-HAVENS

' Tax loopholes will be shniiik: Both Congn^men ad Treasury officials are working on plans to qvercome effects of for-, ign tax havens- Hew . la Wk A^d

regulations are in planntog to prevent taxpayers from salting income in tax - free harbors abroad. One reason: to reduce , the dollar Imbalance by bringing in' funds held abroad. Another: to increase revenues for Administration projects. Note: The Ingemar Johansson tax case, by putting a spotlight on an occan-size loophole, will speed Congressional action.

Rise in opposition to duty-ex-. emption coming; Chief cora-plainer about proposed cuts from $500 to $100 in touriste exemption from U.S. duties Is Canada, tourists happiest hunting grounds. Friends of Canada are propagandizing *and lobbying against the cut, pointing out few tourists buy more than $100 abroad. * '

More ad - agency switches: Corporations changing advertising agencies have been many recently and the number will grow. One reason Is that corporation executives have been blaming..- recent drops in sales on their advertising, instead of on toe recession or themselvies. To save face,, they

must switch to agencies promto ing new action to stir sales.

LD * PROMOTER TURNS O GREENBACKIER FIELDS

The Old Promoter was in today with an oral prospectus of a new venture. Hes organizing Slums, Inc., selling shares at $10 each.

Fastest proflts in toe World, he assured me, twirling his goldheaded came. House & Home magazine reports that slum owners in a Milwaukee urban renewal project got 289 times their investment.

Before selling their properties, the average return to 48 alum owners was 19.8 per cent a year. Eleven owners averaged more than 25 per cent return for nine year. Renting and selling slum properties Is obviously one of the most profitable operations possible today. Our com-' papy will buy up slums, jack up the rents and, when the cities-: move In, sell out at more money than you can make running a crap game. How many shares. Elmer?

. iione. we told him

i:

* wtrrrtiaryaji