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At MSU Water Resources Conference . .
Public v. Private Power On Fairness of 'Preference Clause' Gus Norwood of Vancouver, Wash., executive secretary of the Northwest Public Power Assn., and Edwin Ven nard of New York, N. Y., vice presi dent and managing director of the Edison Electric Institute, will speak at the Water Resources Conference that will be held July 20 and 21, at Montana State University, Confer ence Director Albert W. Stone an nounced. "The Consumer's State in the Pref erence Clause" will be Norwood's topic, and "Certain Aspects of the Preference Clause Which Undermines Its Soundness As A National Policy" will be Vennard's. Both speeches are scheduled for July 20, when Francis F. Hill, Portland, Ore., attorney, and Lawrence Potamkin, Washington, D. C., attorney, will also be on the pro gram. Leland Olds, former chairman of the Federal Power Commission, and Prof. A. J. Gustin Priest of the University of Virginia law faculty will address the conference on July 21 . Vennard resigned as president of the Middle West Service Co. to take his present position with Edison Elec tric Institute in June. Active in trade associations, he has served on the EEI Rate Research Committee, and as chairman of the General Commercial Committee, the Modern Kitchen Bu reau, and the Sales Executive Con ference. He has been a member of $85 Million At Stake In Quota Election: Olsen "In three previous wheat quota elections Montana farmers played a major role in preventing a devastating sag in Montana's economy," said At torney General Arnold Olsen today in appealing to the state's wheat growers to once again vote over whelmingly for marketing quotas when they go to the polls Friday, July 20. "That the nation's grain growers again give quotas at least the re quired two-thirds vote of all grow ers voting is imperative to the eco nomic well-being of practically every Montana person," the Democratic gubernatorial nominee continued. "Contingent on quotas receiving the required two-thirds approval, the U. S. Department of Agriculture has set the 1957 support price at $2.00. Should marketing quotas not receive the necessary two-thirds vote, then, the price of wheat will fall to approx imately $1.05 a bushel. "This 95 cents-a-bushel loss, translated into terms of income to Montana amounts to approximately 85 millions of dollars," Olsen stated. Defeat of the quotas would bring financial chaos and hardship to farmers, businessmen and wage earners alike in most parts of our predominantly agricultural state. "I sincerely hope all Montana wheat farmers will exercise their franchise at the marketing quota election next Friday and will give quotas an even greater 'yes' vote than the 87.2 per cent vote favoring quotas last year, Olsen said in concluding his appeal. ' ' Postal Rates Increase . . Fjare Backs Another Giveaway Cong. Orvin Fjare, that dauntless defender of the public weal, last week voted to give away another piece of your purchasing power when he voted for the Adminis tration-sponsored bill to increase postal rates. The bill passed the House 217-165. Under the bill, first class letter mail rates will be bumped from three to four cents per ounce or fraction thereof. The Administra tion has been urging this 33}6% rate increase for two years while, at the same time admitting that let ter mail is the only class of mail which makes a substantial profit for the Post Office Department each year. The bill also proposed a 30 per cent increase in rates charged news papers and magazine with one half of the increase (15%) to take ef the Load Research Committee of the Assn, of Edison Illuminating Com panies, the Finance Committee of the Electric Companies Advertising Pro gram, and the Industry Committee o the American Power Conference. Vennard earned a degree in me chanical and electrical engineering from Tulane University, where he studied under an honor scholarship. After graduation he worked for the General Electric Co. and for utility companies in the South before he be gan his twenty-year association with the Middle West Service Co. Vennard is a member of Tau Beta Pi engineering fraternity and a mem ber of the board of trustees of North land College in Ashland, Wis. Norwood has been full-time execu tive secretary of the NPPA since 1947. The NPPA conducts seminars on utility operating problems, makes wage surveys, and is active in the field of wholesale rates and federal water power legislation and appropri ations, according to Norwood. In ad dition to his primary duties in re search, he edits the Pacific North west Public Power Bulletin, the NPPA 's monthly publication. Norwood received a master's degree from Harvard University's Littauer Graduate School of Public Adminis tration in 1947. A graduate of the U. S. Naval Academy at Annapolis, Md., he served seven years on naval war vessels and holds a commission as commander in the Naval Reserve. Norwood belongs to the American Society for Public Administration, the National Municipal League, the Bonneville Regional Advisory Coun cil, the Pacific Northwest Governors' Power Policy Committee, the Wash ington State Resources Committee, and various American Public Power Assn, committees. Fraudulently Titled Initiative's Defeat Hailed By Labor Failure of the Right-to-Work ini tiative petitions has been cited by the Helena Labor Advisory Committee as a step toward protecting Montana's economy, according to Dorothy Engle dow, chairman. The committee noted that of the required 977 signatures needed to qualify this county, only 39 persons signed the petitions and many of them later had their names withdrawn. In commenting on the failure of the initiative to get on the November ballot, the chairman said, "This ini tiative was totally misleading in that its guaranteed no one the right to work, but was rather a union-busting measure which would have hurt not only the workingman, but the busi nessman as well. We certainly think the people have the right to vote on an important issue, but this initiative, disguised as it was, deserved no place on the ballot. Our committee was formed for the purpose of getting the true story to the people of this county and that we have tried to do. World Wool Output Rises WASHINGTON, D. C.—The world produced 4,480,000,000 pounds of wool in 1955 compared with 4,400, 000 pounds the year before and about 20 per cent higher than in 1945. ' feet this year and the other one half (15%) to go into effect a year hence. Postmaster General Summerfield ha mitted that a major cause of his department's annua] deficit is the way-below-cost zine rates which find the depart ment spending more than five times as much for such mail han dling as publishers pay in postage. LIFE magazine, for example, an nually costs the department (sic. taxpayers) over eight million dol lars more than the postal charges that publicaton pays to the depart ment. Cong. Lee Metcalf, in line with his consistent record of keeping his constituents' interests upper most in his congressional activities, voted against this most unfair rate increase proposed by the Eisen frequently ad newspaper-maga HISTORICAL^ SOCIETY OtfIVfO A A 9 ) * V ô x LENA D 1 P* n • pRTTTi ; LffS . _ _ Séaàz - ^WnoTr r r Btxâ&np nirrw n.i MONTANA'S ONLY STATEWIDE INDEPENDENT NEWSPAPER $3,00 Per Year Vol. XVII—No. 32 HELENA, MONTANA, JULY 13, 1956 Havm/Cooperators Celebrated 25th fiimhersary Yesterday m I f I i w. U ; Hi Employees of the Farmers Union Oil Company, Havre, pictured from left to right, front row, Albert McLeod, manager; Hylas Johnson, Ellen Cool and Norma McLeod; back row, Frank Moravec, Mike Doll, Dean Teel, George Paladie and Thomas Floerchinger. Russell Blom, also an employee, missed being in the picture. The Havre oil company started 25 years ago with two employees, now needs ten people to handle its ever expanding business. (VOICE Photo.) Thanks To Montana's "3Ms" . . Rural Electrics Are Near SAGE Victory WASHINGTON, D. C.—(NRECA)— Rural telephone and electric systems combined to win their battle against the Ameri can Telephone and Telegraph Co, and the Bell System attempts to prevent their participation in the U. S. Air Force's multi billion dollar SAGE communications project. The Senate Armed Services mittee favorably reported to the full Senate late last month authorization for the SAGE project. The bill specifi cally states: "The Secretary of the Air Force is authorized to procure communication services required for semi-automatic ground environment system ... In pro-curing such services, the Secretary of the Air Force shall utilize to the fullest extent the facilities and capa bilities of communication common carriers, including rural telephone co-operatives, within their service areas and for power supply shall utilize to the fullest extent the facili ties and capabilities of public utilities and rural electric co-operatives with in their respective service areas. Earlier, the House Armed Services Committee had amended the Air Force authorization for the SAGE project to include rural telephone co operatives. This was done largely through the efforts of Rep. Lee Met calf (Mont.). Subsequently, it became evident that no specific protection was afforded rural electric co-opera tives, and Metcalf, working with Sen ators James Murray (Mont.) and Mike Mansfield (Mont.), submitted the above amended language in the Senate authorization. In the June issue of RURAL ELECTRIFICATION MAGAZINE, Metcalf disclosed the background story of the SAGE project. He re hower Administration. (Cong. Rec., July 6, page 10, 854). Before the new rates can take effect Senate approval must be secured.-HLB. Com-^ vealed that the whole situation was brought into the open by a letter from Mrs. Anna Dahl, secretary of the Sheridan County Electric Co op, Medicine Lake, Mont. Mrs. Dahl protested treatment accorded to her co-op on the part of the Army Corps of Engineers in securing power supply for a SAGE installa tion in her co-op's service area. In June of last year House Major ity Leader Rep. John McCormick (Mass.), had released a Comptroller General's opinion declaring that the Air Force was proceeding with its SAGE system without adequate au thority from Congress. Then began a complete expose of the antics of former AT&T personnel working within the government to turn the multi-billion dollar SAGE program into an AT&T bonanza. The charge was also made that REA was caught sleeping, or at least rural telephone co-ops were not notified of SAGE until last December. The Senate version of SAGE au thorization now goes to conference where it is expected to be passed with little opposition. It culminates an ap proximate year's battle to bring the project out into the open. Soap Operas? Heck, No, Aussies Have Farm Shows MELBOURNE, Australia,—(CNS) —Victoria's agriculture department is producing and sponsoring some day time radio dramas including "Death of a Maggot, gery," and "Spotlight on Lucy, the Green Blowfly. Phantoms In the Pig ff (( ff ♦ What makes a successful Co-opera I tive business? In a good position to answer that question would be the co-operators : of the Farmers Union Oil Company at Havre, who Celebrated their 25th an niversary, Thursday, July 12, at their annual meeting for 1956. The 25th Anniversary history of the Farmers Union Oil Com pany at Havre is a rags to riches tale, that the managers and stock holders would be quick to tell you did not come about through the magic of a fairy godmother, but rather through the wisdom, hard work, and loyalty of managers, directors and stockholders who truly believe in co operation. Started 25 years ago with a capital of $630, $600 of which was bor rowed on notes of stockholders as collateral, the Havre station today records assets of $295,283.71. The first station was a leased bulk plant located on West First Street in Havre, consisting of two 10,000 gallon bolted bulk tanks, a bulk pump and a 12x24 office and warehouse. They survived competition of old line companies who were able to ex tend credit, farmers hauling crude direct from the wells who would cook it in home made stills, and a Co-op buying organiaztion on the "High line" that sold fuel for cost plus handling, and after eight months they were considering buying lots and putting up their own station. In February 1953 following the completion of their own plant the minutes relate the cost was $2,129.22 and $113 of stock was issued labor. The Havre Farmers Union Oil Company had been in operation for a year when the auditor suggested they declare a dividend of 2c a gal lon on gasoline, 1 % c a gallon on distalité and 10c a gallon on oil. These dividends were credited to the stockholders' notes and non-stock holders' dividends were set up toward a share of stock. The Farmers Union Oil Company at Havre has had only two managers in its 25 years of operation. Hilbert Peterson, hired from among 8 appli cants, was the original manager and held that position for 22 years. He resigned in 1953. A1 McLeod came to the station at that time from Fair field where he had been manager o the Greenfield Farmers Oil Company. The history of the Havre oil corn continued on Page Four) Gov. Aronson To Vote "Yes On Quotas tr "As Governor and as a wheat grow er, I wish to reiterate my position on the acreage quota referendum to be held July 20th," Gov. J. Hugo Aron son stated last Friday. "In reply to a request from a farmer publication I stated my position several weeks ago. I said that, as a farmer, I will vote 'yes' on the referendum. July 20th is an important date for the wheat growers of Montana. On that day these farmers will decide whether quotas shall be applied for 1957. I believe a vote approving the quotas is important not only to the wheat growers themselves but also to the general population and business in the vast areas of this state where quotas is the only feasible answer this wheat is the mainstay of the economy. "What remedy the future may bring for the problems that the refer endum presently undertakes to cope with I do not know," Aronson said, "but I am convinced that imposing year."