™s NOME NUGGET
OLDEST NEWSPAPER IN ALASKA—MEMBER ASSOCIATED PRESS_
VOL. LVI NO. 1 NOME, ALASKA, FRIDAY, JANUARY 1, 1954 ■=-3 <3 ~ Per Copy—154
First General Tax Cut In Five
Years l akes Effect at Midnight
WASHINGTON, UP)—Uncle Sam
presents a New Year’s gift tomor
row to more than 50 million in
dividuals and 50,000 corporations
—the first general tax cut in five
years.
Starting tomorrow, these three
big changes will give a new look
to the government's revenue
structures:
1. Individual income tax rates
will drop about 10 per cent for
all except the highest brackets,
chopping three billion dollars an
nually off federal revenue.
2. The ekcess profits tax on
corporation will expire, reducing
government income about two
billion dollars annually.
3. The Social Security payroll
tax, levied on both employes and
employers, will go up from IVi
to 2 per cent. It is collected on
the first $3,600 paid annually to
a -worker. That will increase in
come to the. special Social Secur
ity trust fund by almost lVi bil
lions annually.
Drives already have started on
two fronts to give even bigger
»-;-7-—
breaks to taxpayers during the
congressional election year of
1954.
Chairman Reed (R-NY) of the
tax - writing House Ways and
Means Committee, has said the
10 per cent income tax is not
enough and he hopes for another
reduction as soon as possible.
Economists have been saying
the income tax reductions should
spur consumer buying and help
ease threats of any business re
cession next year. And for cor
porations, death of the excess pro
fits tax may pave the way for
expansion—especially for newer
and smaller firms, which can re
tain more of any expanded earn
ings.
JUNEAU, tPI—A reminder that
all aliens in the states and terri
tories are required to report their
addresses some time during Jan
uary has been issued by John
Brantner, immigration inspector
here. The cards are obtainable at
any postoffice or immigration and
naturalization office.
In this issue, the first of 1954,
the staff of the Nugget wishes to
express appreciation to the crew
of the Alaska Communication
System for uninterrupted service
since their transmitter station was
destroyed on Chistmas Eve.
The publication of the Nugget
is dependent on the ACS for news
service and the prompt and ef
ficient manner in which this ser
vice was given during the recent
emergency under the leadership
of commanding officer, Captain
Stanley Morgan, pioneer of today,
is an expression of the coopera
tion that should exist among all
businesses and organizations in
the community for a successful
and fruitful New Year.
Only 1,800 of 20,000
In Anchorage File
Land Registration
ANCHORAGE, (41 — Only 1,800
of an estimated 20,000 property
owners have filed declarations of
ownership in the U.S. Commis
sioner’s office with the deadline
set for tomorrow at noon.
A la^v passed by the 1953 leg
islature prescribes a $5 penalty
for persons not filing by tomor
row and provides for confisca
tion and sale Of property not
registered by July 1, 1954.
Some doubt has been expressed
whether the law ever will be
enforced, with two territorial of
ficials disagreeing.
W.A. Chipperfield, territorial
land commissioner, charged with
administration of the act, has ex
pressed doubts it will be enforced.
Atty. Gen. J. Gerald Williams,
who was first to comply with the
law in this district, said, how
er, he expected it wo.uld be en
forced.
Williams registered his property
the second week in December,
touching off the scramble by
othe -s to comply. This has been
com. 'icated by failure of the ter
ritory to provide forms for filing.
Ch. nerfield said he has not
publb ;d the act because his of
fice \ s not provided with funds
to fu iish the forms or compile
the information obtained in the
filing.
No Move Afoot
To Curb Scope of
McCarthy Comm.
WASHINGTON, Iff) — Senator
Knowland said today the Senate
Republican Policy Committee may
study a change in subpoena rules,
but he declared there is no GOP
move afoot to curb the scope of
investigations by Sen. McCarthy.
Knowland, the Senate majority
leader, said in an interview the
policy group may look into the
wisdom of requiring approval by
a committee quorum before issu
ance of any subpoena for wit
nesses or documents.
This isue was raised last month
when Chairman Velde acted alone
in signing a subpoena for former
President Truman to testify be
fore the House un-American Act
ivities Committee in the Harry
Dexter White case. Truman re
fused to honor the subpoena, not
because of the way it was issued,
but on the ground that Congress
may not require an ex-president
to testify.
Although there has been no
comparable action in -the Senate,
Knowland said he thinks it might
be wise to clarify the rules on
this point.
There has been (unconfirmed
talk that some Republican lead
ers would like to curb the far
flung investigation activities of
McCarthy’s permanent investiga
tions subcommittee. Some mem
bers of the Senate Internal Se
curity subcommittee grumbled
privately that McCarthy was en
croaching on their field of hunt
ing for Communists.
C-47 Crashes On Take-off From
Nome Field This Morning And
At Least One Of Crew Killed
1954 Employment
Outlook Described
As “Uncertain”
(By the Associated Fressi
Recent and planned layoffs of
employes in industry and rail
roads, which employ nearly 20
million workers, total 53,000, a
survey has disclosed. >■
The nation’s total unemployed,
as of November, was 1,428,000, an
increase Of only 10,000 from No
vember, 1952. Of the 61,925,000
workers in all gainful occupations
in November, 16,711,0000 were in
manufacturing industries and
2,956,000 in railroads.
The Associated Press survey
showed that most of the 53,000
workers were laid off in the last
few weeks or face unemployment
by the middle of January. Al
though most of the layoffs ap
peared to be of the long - term
type, there appeared openings in
other fields. Most of the metro
politan newspapers carry many
columns of “help wanted” classi
fied ads.
On Tuesday President Eisen
hower outlined a federal man
power policy designed to channel
more defense contracts into areas
“where there has been a large
amount of unemployment.” The
proposed program has drawn pro
test from southern Democrats.
Senator Knowland of California,
the Republican leader, also has
expressed disagreement over the
administration’s proposal.
At a forum in Washington this
week, a majority of about 300
economists agreed that the coun
try is having an “orthodox reces
sion,” mild but general, and pre
dicted that the business slump
would continue through next year.
In a New Year’s statement,
George Meany, president of the
American Federation of Labor,
said there is “no indication that
the rising tide of unemployment
will be reversed” in 1954. “There
is but one word which describes
employment conditions for the
New Year: uncertainty,” Meany
said.
Heintzleman Leaves
For Conferences In
Anchorage, Fairbanks
JUNEAU, W)—Governor Heint
zleman left by air Wednesday for
Anchorage and Fairbanks and a
series of conference in both cities
with legislators, civic leaders and
Republican groups.
At Anchorage, he said he ex
pects to meet with the Republi
can group which has been openly
critical of him and discuss their
proposals for the development of
the Third Division and adminis
trative policies they support.
He also hopes to talk over cur
rent and future industrial and
busines developments in the ter
ritory with other groups and hear
their views.
> An accident occurred this morn
ing at Nome Field when a mili
tary C-47 is reported to have had
mechanical trouble while taking
off on a flight to St. Lawrence
Island. The plane swerved from
the runway and crashed into one
of the tailing piles bordering the
field.
According to eyewitnesses who
rushed to the scene of the crash
within minutes, one or more of
the servicemen aboard lost their
lives.
It was reported that the men
apparently were crushed when
the load of gasoline, with which
the plane was loaded, broke loose
and slid forward in the crash.
Whether or not the condition of
the field contributed to the acci
dent or that it was due entirely
to mechanical failure was not im
mediately known.
Major K. D. Swisher, command
ing officer of Nome Field, de
clined to make any statement as
to the number of men aboard the
ill-fated plane or the number of
men killed.
Major Plywood Co.
Applies For Pulp
Plant Near Juneau
JUNEAU, W — The Georgia
Pacific Plywood Co. has made
written application to the U. S.
Forest Service regional office here
for national forest timber for a
newsprint plant in the Juneau
area.
Regional Forester A.W. Greeley
described the application as bring
ing a step closer a long-hoped-for
industrial timber development in
this part of Alaska. He said the
firm expressed a belief that the
area is suitable for a newspnnt
mill and expressed the intention
of launching on such a future
project.
Greeley added, however, that
even if the company presses for
ward for the project, and the
ncessary procedures move smooth
ly, he does not believe the actual
plant construction could be ex
pected in less than two to three
years.
He said the company indicated
tentative plans for a newsprint
plant of 1,000-ton daily capacity.
Georgia Pacific is one of the
nation’s major operators.
He said a specific plant site has
not been selected, and other fac
tors, such as the electric power
and water supply, remain to be
worked out.
ANCHORAGE, (A*)—It looks like
a big night for Alaska’s biggest
city.
Night spots in the Anchorage
area were booked heavily in ad
vance for New Year’s Eve parties.
Cover charges range from nothing
to a maximum of $10. The cover
charge includes floor shows, fa
vors, midnight supper and some
drinks in a few cases.
Capacity crowds are predicted
on the basis of advance reserva
tions, some night spots havin j
been sold out for several days.