Paul Vargo of Fayette City died Thursday;Sept.23;1982;at 3:15 a.m.in the Mon Valley Hospital following a lengthy illness.  He was 77.  Mr.Vargo was born May 24;1905;in Braznell;Pa.;a son of the late Andrew and Judith Geshko Vargo.  He was Protestant by faith.  Mr.Vargo was a member of the Fayette City;Monessen and Charleroi Golden Agers;the Monessen Senior Citizens Club and the AARP.  He was retired from the Allenport Plant of Wheeling-Pittsburgh teel Corporation.  In addition to his parents;Mr.Vargo was preceded in death by a son;Paul James Vargo;in 1936.  Survivors include his widow;Barbara Zabrusky Vargo;one son;Jack of Washington;Pa.;one daughter;Mrs.Stephen (Pauline) Baker of Fairhope;six grandchildren;three brothers;Andrew;John and Samuel;all of Fayette City;four sisters;Mary Vargo of Fayette City;Mildred Sever of West Newton;Sue Cassidy of Rochester;Pa.and Anne Cupps of Pittsburgh and several nieces and nephews.  Friends will be received in the Howard W.McCrory  Funeral Home;Fayette City;on Thursday from 7 to 9 p.m.and Friday from 2 to 4 and 7 to 9 p.m. and Saturday until 1 p.m.;when services will be held with the Rev.Robert Baer;pastor of the Christian and Missionary Alliance Church of Fayette City;officaiting.  Burial will be in Belle Vernon Cemetery.  The Howard W.McCory Funeral Home is in charge of arrangements.