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™E NOME NUGGET
OLDEST NEWSPAPER IN ALASKA—MEMBER ASSOCIATED PRESS
NOME, ALASKA, TUESDAY, DECEMBER 31, 1963
Per Copy 15c
64th Year No. 154
Nome Council Burns Midnight Oil In
Seeking Solutions to Sewer-Water Bugs
The Nome City Council met on
Friday night in a special session
with all members present and a
considerable number of prob
lems to ponder . . . some formid
able — others routine. There were
four spectators present.
Nome Bowlers, Inc., owners of
Aukruk Lanes, requested renewal
of their year-to-year lease on the
city ground on which the bowling
alley is situated. This was granted
at. a lease price of $50 for the year
with the petitioner to assume the
costs of drawing up the lease.
The Pioneers requested a per
mit to conduct a game of chance
in January. This was passed by all
Council members with the excep
tion of Councilman Karmun.
The balance of the meeting —
running until 11 p.m. — con
cerned the sewer and water pro
ject . . . and the items as they
arose were:
1. Purchase of the property
needed for the water system
pumping plant, from the USSR&M.
The Council, although faced with
undesirable wording in the deed,
agreed to purchase the property
from the USSR&M, by way of a
quit-claim deed, for $1,500. It
was agreed by the members that
condemnation would have been
less desirable than an outright
purchase for several reasons, and
living with the terms of the sale
as set by the mining company
will not be untenable.
2. A letter from the Army En
gineers, requesting renewal of a
right-of-way for an Air Force
pipeline was tabled. This concerns
a 6-inch petroleum pipe which
runs through city property, owned
by the Air Force and leased to
Standard Oil Company. The re
quest calls for a 5-year period at
$1 a year.
3. The Council is advised by
Philleo Engineering that 76 sets
of plans have been sent to pros
pective bidders and other inter
ested parties. The cost of these
plans ran to $35 each and the city
assumes this expense.
4. The HEW (Health, Educa
tion and Welfare) desires to learn
of the city’s plans for sludge re
moval from the sewerage treat
ment plant. This will probably
have to be done twice a year. A
reply to this letter will be pre
pared.
5. The Government Statistical
Corporation has committed to the
City of Nome, the $475,000 needed
as fatching funds to the HHFA
grant. This will be turned over to
the city through banking trans
actions after the city has met sev
eral requisites and specifications
set up by the GSC. There will have
to be some new ordinances passed
in order to meet their demands.
Th interest rate on this interim
financing has been set at 3.6 per
cent. As the money will be held
in the bank until used, it was
determined by the Council that
the bank interest will offset this
charge by the GSC for a period of
time. Their offer was accepted
by the Council in an unanimous
vote.
6. The city must make appli
cation for easements with the
FAA and with the USSR&M for
the intake pipeline and the Mayor
was given authority to deal on
this.
7. The Philleo Engineering Com
pany has suggested to the Mayor
that the sewerage treatment plant
be named as the No. 1 alternate
in the construction bidding. This
was cause for great concern
among the Council members and
resulted in long debate. There
are 17 alternates in the bid plans
at this time. If the low bidding
contractor fails to bid a price
which will see the job completed
with the funds that the city has
available, then the alternates —
one by one — and in numerical
order, must be pruned off.
(Continued on Page 8)
HURRY. MOTHER . . .
The U.S. Merc announces that
they will once again give a $25
gift certificate to the mother of
the first baby born in 1964. The
race is on. . . .
notice
The North Star Seaview Room
will host the Lions Club New
Years Eve party until 5 a.m. The
restaurant and grill will remain
open all night unti 7 a.m., and will
be closed on New Year’s Day. A
Combination Chinese Dinner will
be served in the grill.
1963 Mineral
Production Valued
At $65-Million
.JUNEAU — Crude oil from
the Swanson River Field on the
Kenai Peninsula furnished some
50 per cent of the total value of
Alaska’s 1963 mineral output, the
US. Bureau of Mines reported
today.
In a preliminary annual report
on mineral production in Alaska
this year, the Bureau said crude
oil worth $32,700,000 was produced
in the 49th State in 1963.
Sand and gravel moved from
fourth to second rank in value,
reflecting increased production for
state highway projects, the bureau
said. Sand and gravel production
was valued at $19,634,000.
In third place in terms of value
were a group of minerals includ
ing coal, gem stones, peat, stone
and platinum-type metals. The
total valuation was $8,346,000.
The state’s output of gold for
the year dipped to 99,000 ounces,
valued at $3,465,000', the smallest
physical quantity produced since
1894, with the exception of the
World War II years.
Natural gas valued at $1,072,000
was produced during the year.
There was also production of
$75,000 worth of mercury and $16,
000 worth of silver, for a total
mineral production value of $65,
308,000, the bureau said.
LOOKIE GIRLS . . . FREE — One
only 8V2XII photo of FABIAN.
First gal in gets it.
Famed Flyer G. MacKenzie Dead at 69 j
ANCHORAGE m — Funeral
services are pending here for Gor
don K. MacKenzie, a pioneer Alas
ka pilot who had been a licensed
flier for 49 years.
MacKenzie, 69, died Sunday af
ter a long illness.
He first came to Alaska in 1927,
and was an active pilot until 1952.
In that year, he gave up active
flying when he became employed
by the Civil Aeronautics Adminis
tration, predecessor to the Fed
eral Aviation Agency.
MacKenzie retired from the
FAA earlier this year. Last Oc
tober a painting of MacKenzie
was hung with those of 24 other
famous Alaska pilots — in the
lobby of the Anchorage Interna
tional Airport.
He began his colorful aviation
career in 1914 when he joined the
Royal Flying Corps in England.
After the war, he barnstormed
for a time and then came to Alaska
to fly the Nome-Anchorage mail
run for Anchorage Air Transport.
From 1932-35 he flew for West
ern Canada Airways, then re
turned to Alaska. In the ensuing
years he flew for Hans Mirow at
Nome, for Wood Airways, Alaska
Star Airlines, and Reeve Aleu
tian Airways.
Egan Summarizes State’s 1963 Growth
JUNEAU Ufl — Gov. William A.
Egan, in a year-end statement
said today that by “nearly any
standard one can select, Alaska’s
economy is growing.”
Summarizing the events of 1963
and the outlook for the new year,
Egan said based on information
available to him. he is “confident
this growth will continue and that
1964 will see Alaska’s economy
reaching new peaks of pros
perity.”
The year 1963, Egan said, was
a period of outstanding growth
and progress for the 49th State.
“We have seen the realization
of long-held dreams such as the
Marine Highway System, the larg
est highway construction program
ever undertaken in Alaska, a sharp
increase in our foreign exports
and the discovery of a significant
new oil field,” Egan said. “These
and other attainments have pro
vided both an immediate return
and a solid foundation upon which
we may continue to build our
state.
“As a result of these accom
plishments, Alaskans during 1963
enjoyed greater year-around em
ployment and a record high per
sonal income. A publication of the
National Business Community,
Business Week, credits Alaska
with a 7.5 per cent increase in
personal income — a gain of near
ly $50 million from 1962’s high
level and well above the average
gain for the nation.
“The Empoyment Security Divi
sion estimates a minimum gross
dollar volume of payrolls in cov
ered employent for 1963 at $271
million as compared with but $260
million in 1962.
“The gross volume of business
as reported to the Department of
Revenue by Alaska’s businessmen
will reach an estimated $972,346,
195 in the year concluding, up
substantially from the $931,850,525
reported in 1962.
“By nearly any standard one
can select, Alaska’s economy is
growing. Based on all information
available to me, I am confident
that this growth will continue and
that 1964 will see Alaska’s econo
my reaching new peaks of pros
perity.”
Armory Basketball
Fixtures On the Way
Senator Lester Bronson advises
that finally the National Guard
Armory gym will be outfitted for
basketball play.
He reports that the glass back
boards, bleachers and electric
score board arrived in Anchorage
on the 21st, and will be flown to
Nome by the National Guard
sometime soon after the first of
the year.
The Senator advises further that
there is a need for lockers to make
the gym fully equipped, and that
he is working on this need also.
FERRY MALASPINA TO BE
BACK IN SERVICE IN JANUARY
JUNEAU Ufi — The State ferry
Malaspina, now undergoing work
in a Stattle shipyard, will go back
in service on the Southeast Ma
rine Highway System January 10,
the Marine Transportation Divi
sion said today.
The Malaspina has been south
for winter maintenance, correc
tion of deficiencies and the in
stallation of additonal sleepng
facilities.
» The Harpoon «
Resolved—Thai the Dem
ocratic way of life is the
coming thing. . . .
Bering Sea
Annual
UONS CLUB
GALA NEW YEAR’S EVE PARTY
OPEN TO THE PUBLIC — 10 P.M. ’TIL ? ? ?
All You Can Eat and Drink for $10 per Person
Help Us Usher Out the Old Year and Welcome 1964
NORTH STAR HOTEL # SEAVIEW ROOM _
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