Arizona Daily Star from Tucson, Arizona • Page 8

TUCSON, THURSDAY. APRIL 18, 1974 PAGE EIGHT SECTION A THE ARIZONA DAILY STAR TGE's Credit Rating, Earnings Link Cited read for almost three hours at Papers Donation Profited Rhodes PHOENIX (AP) House Minority Leader John Rhodes, took tax write-offs totaling J19.604 for congressional papers he donated to the Arizona State University library, the Arizona Republic said in its Thursday editions. The newspaper said Rhodes took his first writeoff in 1966 Wounded U.S. Official Airlifted To Panama CORDOBA, Argentina (AP) Alfred Laun III, the American official shot and wounded when kidnaped by leftist guerrillas last week, was airlifted to Panama Wednesday night for further medical treatment. Hospital sources said Laun.

36, of Kiel, was in stable condition when he was put aboard a United States Air Force jet for the flight to Panama. (Continued from Page One) is turned downed by a series of banks, then obtains the money from a finance company at vastly higher interest rates. "The company will not be able to finance with mortgage bonds and preferred stock unless there is a substantial increase in earning power." Merrill told the three-man corporation commission. Mortgage bonds and preferred stock, known as "senior capital" as opposed to "junior capital" in the form of shorter-term debt, has become the biggest portion of TGE's total debt since 1967. That total debt, Merrill said, increased 208 per cent between 1966 and 1973 from for his congressional papers coverine the years from 1953 ings.

At present, Merrill said, TGE has an rating on its preferred stock from Standard Poor's, a New York City rating service. Should it lose that rating, big investors would shun TGE for more lucrative and stable industries, thus depriving the utility of needed expansion capital, at least at the relatively low interest rates allowed with the high credit rating. Higher interest rates would be passed on to the rate payer. TGE is asking for a 31 per cent electric rate increase and a 16 per cent natural gas rate increase. Together, the increases would raise the average customer's bill by $7, from $30.90 to $37.90.

The average customer, TGE estimates, uses 600 kilowatt-hours of "And it would not be prudent to adjust a five-year construction plan on the basis of three months' experience (with conservation)," Welp answered. Webb, opposing the increase on the city's behalf, asked why TGE's central problem rapid growth in customers and demand should not actually work in its favor. "It was almost a canon, a few years ago, that average costs decreased with expansion of sales," he noted. Welp replied that the old "econmies-of-scale" concept died in the late 1960s, when inflation and the rising cost of energy and environmental controls caught up with it. The hearing will resume today at 9:30 a.m., when opposition attorneys will grill the New York financial expert on his testimony.

a hearing attended by only two or three private citizens, came after two hours of morning testimony and cross-examination. Commission attorney Charles D. Wahl and City Atty. James D. Webb resumed their questioning of Theodore M.

Welp, TGE chief financial officer who prepared the rate case. Wahl, spearheading the commission staff's adversary role against the rate increase, asked Welp if energy conservation had made TGE's vast construction program partly unnecessary. Welp said TGE had noted about a 10 per cent conservation since winter's onset of the energy crisis and national appeals to reduce energy use but denied that the drop resulted in a net saving to the company. $122 million to $376 million. The utility's average cost of obtaining the capital, 9.5 per cent, is approximately the rate of return it now needs on its total investment, he said.

But TGE won't be able to convince Wall Street that it is a good credit risk in multimillion-dollar transactions unless it gets a substantial rate increase to raise earn- section like the Sen. Carl Hayden section," Rhodes said. "Of course, mine are not as valuable as Sen. Hayden's." Hayden C. Hayden, nephew of the late Sen.

Hayden, said no tax writeoffs were claimed by the veteran lawmaker's estate for personal papers and documents donated to the university. "It was suggested to me by an attorney that I could accept the senator's papers and then present them as a gift to the university and become eligible for a tax writeoff," the nephew said. "I told them I'd rather not. I didn't like the idea so the senator's donation to the university was 100 per cent." power and 7,000 cubic feet of gas a month. Merrill's complex testimony.

fancy your meeting convention seminar reception reunion banquet luncheon here Came see the difference Call 881-4200 for reservations 2 LOCATIONS 10 SERVE YOU SHAVER REPAIR REMINGTON SCHICK RONSON NORELCO SUNBEAM FETTERLY'S CATALINA SHAVER CO. 2406 BROADWAY 623 5070 4854 5PEFDWAV 325 400? iACC Usually Limits Hikes EDWARD W. SCRUGGS Tucson Lawyer, 70, Dies Edward W. Scruggs, a Tucson resident for nearly 65 years and a lawyer since 1934. died yesterday at Tucson Medical Center.

He was 70. A graduate of Tucson High School, Mr. Scruggs was 9 years old when his family moved to Tucson in 1912. He studied law on his own after becoming a deputy clerk of the U.S. District Court in 1927.

He passed the bar examination in 1934. From 1936 to 1946 he served as chief clerk of the U.S. District Court. He resigned to enter private practice. Utility customers who don't want to pay bigger bills can take heart from recent rate-setting history.

In six rate cases since November 1971, the Arizona Corporation Commission never has granted a company's entire request. In fact, Tucson Gas Electric first request of the decade was turned down in total. The elected three-man commission holds sole authority to approve or deny rate increases asked by a regulated public utility. Its decision follows public hearings and engthy testimony. When TGE asked in November 1972 for an increase to raise $5.3 million in new revenue, the commission turned thumbs down.

When TGE came back with a new request for $5.8 million in May 1972, the commission granted the utility 79 per cent of it. Arizona Public Service the state's largest utility, serving most of Phoenix, got two-thirds of a rate request in January 1972 and 74 per cent of a second one last September. Mountain Bell fared worst of all when it tried for a $30.7 million revenue increase in April 1972. The commission gave the company 26 per cent of it. When Mountain Bell returned with a second request in March 1973, the commission allowed it 72 per cent.

HOW IS YOUR FOAM ROOF? Urettiane Foam is only as good as the coating that covers it and therefore requires yearly inspection and care. DEER-0 PAINTS pioneered foam coatings. Ask about FOAM CAP, price and application method. DEER PAINT CFNTER 5416 E. Pima, Tucson Phone 881-4407 DOUBLETREE INN.

Acoss Ifom Randolph pa, 445 Soum Alvemon Wriy Tucson Anona 881 4200 Banyan Tree DINING Cork Tree LOUNGE Coffee Tree COFFEE SHOP is-, ti KM 11 2 Men, Youth Arrested In Sells Burglary Two Tucson men and a 16-year-old boy have been arrested by sheriff's deputies in connection with the burglary of a trading post near Sells last Thursday that resulted in the fatal shooting of a young Tucson man. Norman Lee Robnette, 18. of 7110 E. 31st was shot to death by William Parsons, the owner of the trading post, who said he found Robnette and another man inside the store, deputies said. The trading post is about 13 miles west of Sells.

The man in the store with Robnette dived head first through a window, then jumped over a five-foot fence as Parsons wife shot at him with her rifle, deputies said. Robnette's stepfather, Louis Andrew "Carl" Maynard, of 1139 W. Hadley was arrested by deputies at 1 a.m. yesterday at his home and booked into Pima County Jail on a charge of burglary. Hours before, deputies arrested Daniel Paul Rice at Mavnard's place of business.

Carl's Body Shop, 3255 E. 48th St. Rice told deputies he lives with Maynard. lthe 16-year-old boy was arrested at his south side home. Rice was booked into the county jail on a charge of burglary and the youth was taken to the Pima County Juvenile Court Center, deputies said.

Deputies said yesterday the investigation may result in more arrests. to 1958. The documents were appraised at $7,652 by Guidon Books, a Scottsdale firm, an aide of Rhodes reported. In 1968, another batch of papers was donated to the library, but the aide said he could not recall the years involved. The spokesman said those papers were appraised by the same firm at $11,952.

This also was taken as a deduction by Rhodes on his income taxes. The Republic said the other five members of the Arizona congressional delegation have donated papers to ASU or the University of Arizona in some cases, but none reported taking tax write-offs. A secretary for Sen. Barry Goldwater said he donated his 1964 presidential campaign papers and senatorial documents to the Arizona Historical Foundation at ASU, but took no tax deductions. "All I've ever donated was a couple of Bull Durham sacks and a Copenhagen snuff box," said Rep.

Sam Steiger, through an office aide. Rep. John Conlan, said he is a freshman and "not a historical figure yet." He said his papers have no value at this time. Sen. Paul Fannin, said he has donated much of his senatorial papers to ASU without a tax writeoff.

An administrative aide for Rep. Morris Udall, said a check with the congressman's tax accountants reported the congressman had not taken a tax writeoff on papers donated to the University of Arizona. Rhodes said he donated the papers, which included his speeches and correspondence, to the university at the request of Dean Smith, ASU director of publications. Smith said he suggested this course in the early 1960's because of Rhodes's important congressional activities. Rhodes said the papers include "bills and my notes on bills I introduced, most of which have some historical significance, particularly when the Central Arizona Project was getting pretty hot." "They are placing them in a Highway Hide Rescues Two From Blaze A Pima County Highway Department engineering aide saved two women yesterday morning from a fire in their second-story apartment.

Don Wikfors of 8165 E. Nicaragua St. stopped his car when he heard two women screaming for help, Fire Department officials said. Wikfors said he saw the top story of the apartment building, at 3914 S. 5th engulfed in flames.

The fire started underneath the wooden stairway, the only access to the second story, firemen said. Wikfors found a ladder and helped Julia Duarte and her teenage daughter, Olivia, escape from the fire. The fire caused $6,000 damage to the building and contents. Firemen said the cause of the fire had not been determined and was still under investigation. No one was He served as U.S.

attorney for Arizona in 1952, but resigned after six months. In the same year, he was an unsuccessful candidate for a seat on the State Supreme Court. In 1964, Mr. Scruggs was appointed to the Arizona Supreme Court, but lost the seat six months later to former Gov. Ernest W.

McFarland. Mr. Scruggs served as special city magistrate in the case of go-go girl Nancy So-den, 18, and declared the city's topless ordinance invalid and unconstitutional because it was too vague. He acted as attorney for the Motorola Corp. in its unsuccessful battle last year against increased rates at Tucson Medical Center.

Survivors include three sisters, Dorothy McMaster, Mary Spencer and Agnes Scruggs, all of Longview, and three brothers, James and Daniel, of San Antonio, and John, of Huntington Park. Calif. Funeral arrangements are incomplete. Former Film Star Frechette Jailed For Armed Holdup BOSTON (AP) Mark Frechette, 25, star of the film "Zabriskie was sentenced Wednesday to 6 to 15 years at Walpole State Prison after pleading guilty to the armed robbery of a city bank last August. Sentenced along with Frechette was Sheldon T.

Ber-nhard, 31, a fellow member of the Fort Hill commune in Boston's Roxbury section. Both men were arrested inside the Brigham Circle branch of the New England Merchants National Bank in Roxbury on Aug. 30, 1973, soon after a third member of the holdup team, Christopher Thien, 15, was shot and killed by police. Liza Back On Stage STATELINE, Nev. (AP) -Liza Minnelli has her nightclub act back together again after a day out with what was described as an attack of flu.

She became ill just before show time Monday night at Harrah's. We Collections Physician Enters Innocent Plea In Abortion Case BOSTON (AP) A Boston City Hospital physician pleaded innocent to charges of manslaughter Wednesday in connection with the abortion of a 6-month fetus at the hospital last October. Dr. Kenneth Edlin, chief resident in obstetrics and gynecology, was released on $1,000 personal bond by Judge John F. Moriarty in Suffolk Superior Court.

The courtroom was crowded with doctors, nurses and other hospital personnel in a show of support for Edlin, who was suspended from the hospital staff after his indictment last week. Still to be arraigned are four other doctors charged with illegally dissecting aborted fetuses at the hospital. zz up your dining room with festival counterpoint groups that reflect the best traditions in period and contemporary design. In the French Provincial New Orleans mood there's Mardi Gras a flair for the past in present good taste. The contemporary beat as expressed in the Newport collection joins the sturdy period look with modern accents.

In a symphony or a jam session, the festival groups make dining an entertainment treat. Put either one on record in your home. Mardi Gras French Provincial, above 7 oval table, 4 side Reg. Sale 1 cnairs, arm chairs, 2-18" leaves 56" China, framed glass shelves and lights 525. 325.

399. 279. 199. Server to match, 18x29, 2 doors with plastic interior shelf for serving 225. Newport Contemporary, left 7 oval table, 4 side chairs, 2 arm chairs, 2-18" leaves 539.

399. China to match 299. 249. Server 249. 199.

Our Interior Designers will help you achieve the RIGHT look in furnishing and decorating. No extra charge. BUT NOBODY will offer you greater reductions than we do: 1. Items which are being offered for sale a 2nd time are up to 70 off and more. 2.

Items being offered for sale for the 1st time are 30 off and more. Bofon9s Furnishings of Distinction 5725 E. Broadway 296-2361 Open Monday and Friday evenings 'til 9.